KARACHI, Nov 16: Kazi Abdul Muqtadir, Director of State Bank of Pakistan, indicated a review and a possible downward revision of export refinance rate next January.

He was responding to the demands raised by the readymade garment exporters on Friday at a seminar on “Export Refinance” jointly organiZed by the SBP and Pakistan Readymade Garments Manufacturers and Exporters Association (Prgmea).

He said that the export refinance rates are linked with Treasury Bills and are reviewed after every three months. The next review is due on January 1, 2002 when such reduction may be considered.

Kazi said that the export refinance scheme has been greatly simplified and number of documents have been cut from 11 to seven.

He said there is no limit on export refinance and financing up to 100 per cent can be obtained on a confirmed export order. Banks can fix refinance limit for an exporter on the basis of his yearly performance.

He further said that the fines and penalty is refunded in cases where the exporter was unable to make export due to inevitable circumstances.

Earlier in his welcome address Prgmea chairman Masood Naqi urged the SBP to reduce the refinance mark-up to help exporters in the present crisis.

He said that Prgmea become the first textile association to have organized a seminar in collaboration with the SBP with a view to create awareness among its members about the scheme.