China Development Bank (CDB) and Habib Bank Limited (HBL) has signed landmark deal of $500 million. The agreement ceremony was held at CDB head office in Beijing.
China Development Bank (CDB) Chairman Hoo Huabang, HBL chairman Sultan Ali Allana, President & CEO of HBL Nauman Dar also attended the ceremony. Hoo Huabang has signed an agreement on the behalf of CBD and Noman Dar signed an agreement on the behalf of HBL.
According to the agreement Chinese bank will provide medium and long term foreign currency finance to Pakistan financial institution.
CBD will provide finance to HBL up to $300 million on for long term for the energy sector in Pakistan. They will also issue $200 million for offshore working capital to cover the financial needs.
Chinese delegation told that this is the first ever agreement of its kind between Chinese and Pakistan bank. Further they will allow HBL to receive much needed financial liquidity for the development projects in Pakistan under China Pakistan Economic Corridor (CPEC).
This agreement will open up an opportunity for greater economic cooperation. After this agreement HBL will be able to start development projects and issue long term financial plans for business communities.
Sultan Ali Allana told that CBD is the top financial institution in the world and HBL is top bank in Pakistan.
By Talha Pasha