Credit Guarantee Trust Set up To Promote Low-cost Housing in Pakistan
The trust is supported by State Bank of Pakistan (SBP) and funded by theWorld Bank.
The Credit Guarantee Trust will provide risk coverage of up to 40 percent to primary mortgage financiers on first loss basis. The guarantee will partially alleviate the credit risk of primary mortgage financiers and provide a conducive environment for banks to finance housing for the low-income.
Keeping in view the dynamics of the mortgage market and to facilitate market growth, the scheme has been designed for both conventional and Islamic banks
In this regard, PMRC as trustee today signed a Master Guarantee Agreement with six leading Islamic and conventional banks including Meezan Bank, Habib Bank, BankIslami, Faysal Bank, JS Bank and Soneri Bank.
PMRC signs credit guarantee agreement with six more banks
It will help banks reduce their risk exposure SAMAA | Bilal Hussain - Posted: Dec 28, 2020 | Last Updated: 3 months ago SAMAA | Bilal Hussain Posted: Dec 28, 2020 | Last Updated: 3 months ago
The Pakistan Mortgage Refinance Company held a Master Guarantee Agreement signing ceremony with six more Pakistani banks for the recently introduced mark-up subsidy on low-cost housing schemes. These banks include Meezan Bank, Habib Bank, Bank Islami, Faysal Bank, JS Bank and Soneri Bank. The PMRC has this agreement with the Bank of Punjab too.
The Government of Pakistan has set up a Credit Guarantee Trust, with the PMRC as its trustee. The trust has been set up with the support of State Bank of Pakistan and funded by the World Bank.
Six banks sign agreement for affordable housing loans guarantee
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Six banks sign agreement for affordable housing loans guarantee
KARACHI (Dunya News) - An agreement was signed by six banks for guarantee of loan for affordable housing on Monday.
Six banks signed a Credit Guarantee Agreement to cover risk in Pakistan Mortgage and Refinance Company’s low-income housing financing. Addressing the function, Deputy Governor State Bank said that SBP has relaxed rules for low-cost housing and it is working together with Ministry of Finance for the affordable housing scheme.
The Deputy Governor SBP, Jamil Ahmed, further said that SBP has set targets for banks to provide loans for affordable housing. Banks who fail to meet said targets will be fined, he added.
FBR Planning to Remove These Corporate Income Tax Exemptions
The Federal Board of Revenue (FBR) is presently reviewing the following list of corporate income tax exemptions with revenue impact for possible withdrawal before the next fiscal year:
Tax credit for investment in balancing, modernization, and replacement of plant and machinery (corporate manufacturing sector), Rs. 65.168 billion.
Tax credit for enlistment in Stock Exchange (Companies opting for enlistment in a registered stock exchange), Rs. 357 million.
Tax credit for newly established industrial undertakings corporate industrial units (including corporate dairy farming), Rs. 5.573 billion.
Tax credit for industrial undertakings established before the first day of July 2011 (corporate industrial units including corporate dairy farming), Rs. 6.486 billion.
BoP & PMRC ink agreement for affordable housing finance
National
December 16, 2020
LAHORE: The Bank of Punjab and Pakistan Mortgage Refinance Company (PMRC) join hands for providing and promoting affordable housing finance in the country by signing a Credit Guarantee Agreement with Credit Guarantee Trust for low-cost housing, set up by the government with PMRC as trustee. The BoP has become the first bank in Pakistan which has signed a master credit guarantee agreement to avail risk cover for low-income housing finance. BoP has also partnered with PMRC and obtained a refinancing facility. These initiatives will help the bank to partially alleviate the credit risk entailed and provide affordable mortgage facilities to the low-income persons particularly those in the informal sector. The government is committed to providing affordable housing finance to its citizens for economic and social development. BoP President Zafar Masud said, “Housing sector is a niche for us as a growin