Pakistan’s First Shariah-compliant Electronic Warehouse Receipt Financing Disbursed by BankIslami
July 27, 2022 | Updated at July 27, 2022
The first Shariah-compliant Electronic Warehouse Receipt (EWHR) financing in Pakistan has successfully been structured and disbursed by BankIslami Pakistan Limited (BankIslami), issued under the repository system and the management of Naymat Collateral Management Company Limited (NCMCL).
Why it Matters?
Pakistan's economy is supported by agriculture providing food security. In 2019, the Securities & Exchange Commission of Pakistan (SECP) adopted Collateral Management Company (CMC) Regulations to foster a supportive atmosphere and accredit warehouses to store various commodities in order to assist farmers and aggregators through preventing distress sales during the harvesting time. Under the regulations, the first registered CMC was NCMCL which is a...