ISLAMABAD, October 31, 2026 — The federal government is considering measures to make export financing more accessible to Pakistan’s small and medium-sized businesses, following concerns about borrowing costs and difficulties entering international markets.
The proposals were discussed at a Finance Division meeting chaired by Minister of State for Finance Bilal Azhar Kayani on October 29.
Representatives of exporting businesses highlighted problems involving bank financing, shipping costs, taxes and the expense of meeting international product standards.
Some exporters also raised concerns about certification requirements, including environmental standards increasingly required by overseas buyers.
The government is examining ways to improve access to its existing Export Finance Scheme, which helps eligible businesses obtain financing for export activities.
Kayani asked participating banks to identify staff responsible for assisting smaller exporters, explain eligibility requirements clearly and establish timelines for processing applications.
Officials also discussed the possibility of expanding export credit insurance and introducing arrangements that would reduce the risks faced by lenders when financing smaller businesses.
Export credit insurance can help protect businesses against losses when overseas customers fail to pay.
The meeting also considered the cost of freight, access to modern machinery and difficulties reaching foreign markets.
According to the Finance Division, government departments and other stakeholders have been directed to consult exporters, document the main problems and identify practical solutions.
The discussions could lead to changes in how smaller businesses obtain financing and support for overseas sales.
Further decisions will depend on the review of the proposals and consultation with businesses and relevant institutions.