Export-Import Bank of Pakistan Receives Top Initial Ratings from PACRA

Islamabad: The Pakistan Credit Rating Agency Limited (PACRA) has assigned its top initial entity ratings to the Export-Import Bank of Pakistan (EXIM), with a long-term rating of AAA and a short-term rating of A1+. The outlook for the bank is stable, reflecting strong state support and strategic significance.

According to The Pakistan Credit Rating Agency Limited announcement issued on 01 November 2024, the newly established EXIM bank, inaugurated by the government in February 2023 under the Export-Import Bank of Pakistan Act, 2022, shows a high likelihood of receiving state support due to its crucial role in national export strategies. The ratings benefit from the bank’s sovereign ownership and its pivotal position as a primary policy institution within the government’s economic framework.

EXIM Bank has set strategic objectives to augment Pakistan’s share in global exports by diversifying across various sectors and regions. Initially, it has launched short-term “Trade Credit Insurance” products to bolster the competitiveness of Pakistani exporters and commercial banks internationally. These policies protect against non-payment risks, covering losses up to set limits and are vital in supporting the bank’s growth and risk mitigation strategies. With an eye on expanding its insurance offerings and enhancing risk management, EXIM is also exploring reinsurance options and maintaining stringent capital and liquidity safeguards to ensure stability as it scales operations.

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