SBP raises financing limit for unrated large private borrowers to PKR 10bn

The State Bank of Pakistan (SBP) has increased the aggregate financing limit for unrated large private sector borrowers from PKR 3 billion to PKR 10 billion, effective September 30, 2026, to improve access to bank financing.

 

The central bank said the decision reflects changes in the macroeconomic environment and feedback from the banking industry. The revised limit will be incorporated into the Basel III Credit Risk (Standardised Approach) framework, while all other prudential requirements will remain unchanged.

 

The higher financing ceiling is expected to support larger investment projects, ease funding constraints for eligible businesses, and encourage private sector expansion, while banks and Development Finance Institutions (DFIs) will continue to apply their existing credit assessment and risk management standards.