Long-Term Financing Facility (LTFF) Scheme extended to all sectors, with revised limit of Rs. 5000 Million 
Reform ID  F079 
 

Reform Description  

 Before: Long Term Financing Facility (LTFF)/ Islamic Long Term Financing Facility (LTFF) was restricted to few sectors and limit was up to Rs. 2,500 million which was regarded as insufficient. 

After: The scope of LTFF/ILTFF has been extended to all sectors and maximum financing limit has been enhanced from Rs. 2,500 million to Rs. 5,000 million.  
Sector   All Sectors 
Beneficiaries  All Export Oriented businesses 
Jurisdiction/Location   Federal (Entire Pakistan) 
Department  SBP 
Date of Implementation   28-01-2020 
Timeline  Last 03 Years  
 

Details 

  

Difficulty 
  • Long Term Financing Facility (LTFF)/ Islamic Long Term Financing Facility (ILTFF) was limited to few sectors and upper limit was set at Rs. 2,500 million which did not cater to the growing needs of the businesses.  
 

Analysis 
  • It was felt that scope of the LTFF/ ILTFF should be extended to other sectors to promote exports and upper ceiling shall be revised to facilitate the businesses which require more money under the LTFF. 
 

Solution  
  • Accordingly, the State Bank has extended the scope of LTFF/ ILTFF to all sectors and the maximum financing limit for a single project has been enhanced from Rs. 2,500 million to upto Rs. 5,000 million. 
Evidence    https://www.sbp.org.pk/smefd/circulars/2020/CL2.htm  

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