Rs3bn risk pool to power SME exports

Mettis Global reported that Pakistan has created a Rs3 billion risk pool intended to widen export credit insurance cover, with small and medium-sized enterprises expected to be major beneficiaries. The scheme is being pursued jointly by the Export Development Fund (EDF) and the Export-Import Bank of Pakistan, aiming to help firms handle international trade risks and secure easier export financing. The government views the step as part of a broader drive for export-led expansion.

Prime Minister Muhammad Shehbaz Sharif endorsed the plan at a meeting on restructuring the EDF, arguing that easier access to export credit insurance would raise export volumes. According to the meeting, the full Rs24 billion held by the fund has been earmarked for business investment. Officials also want EDF money redirected toward research, skills and competitiveness, with no further outlay on infrastructure.

Shehbaz said the restructuring had placed EDF leadership with private-sector professionals, and the meeting reviewed efforts to keep European market access under the GSP Plus trade arrangement. Shehbaz described the measures as signs that the government is backing an export-driven economy and wants Pakistan seen as a global investment hub.