ISLAMABAD, Dec 31: The Board of Directors of Saudi Pak Industrial and Agricultural Investment Company (Pvt) Limited has approved a new Rs1.3 billion financing to 27 companies.

The Board met in Dubai on Monday under the Chairmanship of Dr Abdullah Tal-Thenayan, who is also Director General of Arab Company for Livestock Development, Kingdom of Saudi Arabia.

According to an announcement made by the local Saudi Pak office, the Board approved a total financing of Rs1.3 billion to 27 companies which comprised Rs817.0 million for 19 companies in manufacturing sector and Rs554.0 million for 8 companies in services, energy and financial sectors.

The Board reviewed the operating performance of the company for the year 2001 and expressed satisfaction over the growth and volume of business. During the year, Saudi Pak approved financing of Rs2,557 million as against Rs1,39 million in the year 2000.

The financing in 2001 includes long-term loans and TFCs, lease financing, working capital financing, guarantees and underwriting commitments. The disbursement of funds against various financial commitments amounted to Rs1,690.1 million in the year 2001 as against Rs1,477.5 million in 2000. Besides, strategic investment for acquisition of a Commercial Bank was also carried out. The Bank, having 20 branches in all major cities of Pakistan, is operating under the name of Saudi Pak Commercial Bank Ltd.

The Board also reviewed the position of collection of dues from long-term and short-term finding portfolios. The recovery amounted to Rs1,270 million at collection ratio of around 95 per cent in the year 2001 as compared to Rs1,122 million recovered in 2000.

The Board also approved the operational strategy and budget for the year 2002. The Company’s financing operations are planned to be geared up in 2002.