November 6th, 2024
Meezan Bank, Pakistan’s leading Islamic bank is pleased to announce a new strategic partnership with the International Islamic Trade Finance Corporation (ITFC), a member of the Islamic Development Bank (IsDB) Group, under the ITFC Letter of Credit (LC) Confirmation product. This product facilitates trade flow by allowing exporters and issuing banks to gain assurance from ITFC to secure payment and thus eliminate credit risks. It will support private sector clients, including SMEs, by working with local banks in Organisation of Islamic Cooperation (OIC) member countries to facilitate various import transactions.
The agreement was signed by Nazeem Noordali, Chief Operating Officer of ITFC, and Syed Amir Ali, Deputy Chief Executive Officer of Meezan Bank, in the presence of executives from both sides. Meezan Bank is the first bank in Pakistan to partner with ITFC for the LC Confirmation facility.
This Islamic trade facility will enable Meezan Bank to extend geographical coverage by leveraging the ITFC network, both in member and non-member countries. It will also enable the Bank to handle longer term LC Confirmation transactions (6 to 12 months).
Syed Amir Ali, Deputy Chief Executive Officer of Meezan Bank, highlighted the impact of this cooperation saying: “Today marks a significant milestone in our business relationship with ITFC as we solidify our partnership. This arrangement reinforces our Bank’s commitment to reliability, stability, and financial excellence. The Letter of Credit Confirmation Agreement strengthens our position in the market, enabling us to capitalize on new opportunities and facilitate international Islamic trade.”
M. Nazeem Noordali, Chief Operating Officer of ITFC, expressed his views on the partnership: “We are proud to strengthen our partnership with Meezan Bank through this Letter of Credit Confirmation Agreement, which reflects our commitment and support to private sector clients in our member countries”.
Mr. Nazeem Noordali, Chief Operating Officer of ITFC, and Syed Amir Ali, Deputy Chief Executive Officer of Meezan Bank, in the presence of executives from both sides.
About the International Islamic Trade Finance Corporation (ITFC)
The International Islamic Trade Finance Corporation is a member of the Islamic Development Bank (IsDB) Group. It was established with the primary objective of advancing trade among OIC member countries, which would ultimately contribute to the overarching goal of improving the socioeconomic conditions of the people across the world. Commencing operations in January 2008, ITFC has provided over US$75 billion of financing to OIC member countries, making it the leading provider of trade solutions for these member countries’ needs. With a mission to become a catalyst for trade development for OIC member countries and beyond, the Corporation helps entities in member countries gain better access to trade finance and provides them with the necessary trade-related capacity-building tools, which would enable them to successfully compete in the global market.