KARACHI, Nov 25: The State Bank has decided to keep unchanged at 1.5 per cent its export refinance rate for December 2003, according to a circular (BPD No 41) issued here on Tuesday.

Eligible exporters will, therefore, continue to get export financing from banks at a maximum rate of 3pc because banks are allowed to keep a spread of 1.5pc over the SBP’s export refinance rate.

“The financing facilities under part B (Export Sales) of the scheme for financing locally manufactured machinery shall also attract the similar markup structure,” says the circular.

The SBP’s export refinance rate is determined in line with the weighted average rate of return on six-month treasury bills.