| Karachi: InfraZamin Pakistan and Kashf Foundation have collaborated to introduce Pakistan’s first gender bond, with a target to raise PKR 2.5 billion through subscriptions, a news source reported on July 5.
Read: SBP extends prize bonds encashment deadline
As per the details, the bond is expected to be fully subscribed within the next four to six weeks and will subsequently be listed on the Pakistan Stock Exchange within 180 days. The funds raised from the bond will be used by Kashf Foundation to exclusively lend to women for the development of micro-infrastructure projects, including school construction, flood rehabilitation, and the expansion of women-led micro-businesses.
The bond should meet the global standards to be categorised as gender bonds and is likely to be the first of its kind in South Asia and the Middle East. The instrument carries a 100% credit guarantee from InfraZamin and is priced at the three-month Karachi Interbank Offered Rate (Kibor) plus a 1.5%-point spread.
Read: Deadline for encashment of discontinued prize bonds extended again
The bond has garnered interest from mutual funds, pension funds, and insurance companies, and Arif Habib Ltd. has served as the arranger for the bond. The successful issuance of the bond is expected to support the development of micro-infrastructure for 30,000 women from low-income households and contribute to the empowerment of women in Pakistan. |
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