It is revealed that (IFC) International Finance Corporation which is the member of the World Bank Group is considered to extend a loan of upto $35 million to Pakistan-based Engro Polymer & Chemicals Limited (EPCL).
EPCL had planned to invest a total of $92.3 million in order to improve the capacity and productivity at its chlor-vinyl chemical complex near Port Qasim in Karachi.
IFC revealed that its implementation is supposed to improve the availability and affordability of high-quality PVC resin and caustic flakes. Although related local industries are also supposed to be benefited from this project. EPCL facility administer: manufacturing, marketing and distribution of PVC and chlor-vinyl allied products like vinyl chloride monomer, caustic soda, hydrochloric acid and sodium hypochlorite.
IFC’s financing will help the company to get ease of access to foreign currency funding in an environment where the funding is insufficient.
Pakistan Stock Exchange-listed Engro Corporation and Mitsubishi Corporation are the majority shareholders of EPCL, with a 56.19 per cent and 10.24 per cent stake respectively.
The rest of the shareholding is conveyed among different establishments and overall population. In April 2017, IFC had said that it expects to build its portfolio in Pakistan to over $1 billion dollars from $800 million already. A month ago, the advancement organization proposed a venture of up to $7.5 million in Pakistan Mortgage Refinance to meet its capital prerequisites.