Bank Alfalah and IFC launch Pakistan’s first $100M DPR deal

The International Finance Corporation (IFC) and Bank Alfalah have signed a project agreement to launch Pakistan’s first Diversified Payment Rights (DPR) program. The initial transaction involves an investment of up to US$100 million.

Under this structure, the bank can borrow from international investors by using its future foreign-currency income as security. This market-based financing mechanism allows the bank to access long-term foreign-currency funding without requiring a sovereign guarantee from the Pakistani government. By leveraging future eligible foreign-currency receivables, the program aims to provide an alternative to conventional loans and traditional funding sources.

The signing ceremony in Islamabad was attended by Federal Minister for Finance and Revenue Muhammad Aurangzeb. This initiative is intended to help expand Pakistan’s access to international capital markets and develop alternative channels for external financing.