Industrial Development Bank of Pakistan () is located in

Karachi Karachi (; ur, ; ; ) is the most populous city in Pakistan and 12th most populous city in the world, with a population of over 20 million. It is situated at the southern tip of the country along the Arabian Sea coast. It is the former ...

Sindh Sindh (; ; ur, , ; historically romanized as Sind) is one of the four provinces of Pakistan. Located in the southeastern region of the country, Sindh is the third-largest province of Pakistan by land area and the second-largest province ...

Pakistan Pakistan ( ur, ), officially the Islamic Republic of Pakistan ( ur, , label=none), is a country in South Asia. It is the world's List of countries and dependencies by population, fifth-most populous country, with a population of almost 24 ...

. It is among the oldest financing institutions in Pakistan.

History

Industrial Development Bank of Pakistan (IDBP) is one of Pakistan's oldest development financing institutions and was created with the primary objective of extending term finance for investment in the manufacturing sector of the economy. Over the years, however, the Bank has become an institution fostering the growth of

Small and Medium Enterprises Small and medium-sized enterprises (SMEs) or small and medium-sized businesses (SMBs) are businesses whose personnel and revenue numbers fall below certain limits. The abbreviation "SME" is used by international organizations such as the World Ban ...

in the rural/less developed regions of the country. Industrial Development Bank of Pakistan is wholly owned by Pakistani Government entities with 57% of its shares held by the Federal Government, 36% by the

State Bank of Pakistan The State Bank of Pakistan (SBP) ( ur, ) is the Central Bank of Pakistan. Its Constitution, as originally laid down in the State Bank of Pakistan Order 1948, remained basically unchanged until 1 January 1974, when the bank was Nationalized and ...

and 7% by Provincial Governments and other public sector corporations. Its board of directors consists of representatives of the private sector appointed by the

Ministry of Finance A ministry of finance is a part of the government in most countries that is responsible for matters related to the finance. Lists of current ministries of finance Named "Ministry" * Ministry of Finance (Afghanistan) * Ministry of Finance and ...

. The IDBP has suffered from significant losses due to loan defaults. By the mid-2000s, the IDBP had accumulated a loss of about Rs27 billion and was insolvent. The Pakistani government merged IBDP with the Profitable Investment Corporation of Pakistan in 2006 in part to improve IBDP's financial performance. The bank continued to struggle commercially and by end of 2009 the accumulated deficit had risen to Rs28 billion. The Pakistani government continues to explore ways to make IDBP economically viable.

Mission

The Bank provides Medium and Long Term Finance in

local Local may refer to: Geography and transportation * Local (train), a train serving local traffic demand * Local, Missouri, a community in the United States * Local government, a form of public administration, usually the lowest tier of administrat ...

and Foreign Currencies for fixed asset investment in new industrial projects as well as for expansion, balancing, modernization or replacement of existing projects. It extends technical, financial and managerial advice to its clients in planning and execution of the industrial projects. It also facilitates transfer of technologies from developed countries to industrial enterprises in Pakistan. A unique feature of Industrial Development Bank of Pakistan is that besides Development Financing Institution, it is also a Scheduled Bank and authorized dealer of

Foreign Exchange The foreign exchange market (Forex, FX, or currency market) is a global decentralized or over-the-counter (OTC) market for the trading of currencies. This market determines foreign exchange rates for every currency. It includes all aspec ...

. Thus, IDBP extends all kinds of

Merchant A merchant is a person who trades in commodities produced by other people, especially one who trades with foreign countries. Historically, a merchant is anyone who is involved in business or trade. Merchants have operated for as long as indust ...

, Investment and

Commercial Banking A commercial bank is a financial institution which accepts deposits from the public and gives loans for the purposes of consumption and investment to make profit. It can also refer to a bank, or a division of a large bank, which deals with co ...

services to its clients which include provision of short term advances,

Trade Financing Trade finance is a phrase used to describe different strategies that are employed to make international trade easier. It signifies financing for trade, and it concerns both domestic and international trade transactions. A trade transaction require ...

, Lease Financing, guarantees and under-writing. Thus, Industrial Development Bank of Pakistan operates a full-fledged Bank in addition to its role as a Development Financing Institution. Industrial Development Bank of Pakistan has the unique distinction of financing the first ever projects for a diversified list of products. These include Ultra High Temperature (UHT) pack milk, three wheelers, radio/wireless receiving sets,

Marble Marble is a metamorphic rock composed of recrystallized carbonate minerals, most commonly calcite or dolomite. Marble is typically not foliated (layered), although there are exceptions. In geology, the term ''marble'' refers to metamorpho ...

Processing,

Coal Mining Coal mining is the process of extracting coal from the ground. Coal is valued for its energy content and since the 1880s has been widely used to generate electricity. Steel and cement industries use coal as a fuel for extraction of iron from ...

Granite Granite () is a coarse-grained ( phaneritic) intrusive igneous rock composed mostly of quartz, alkali feldspar, and plagioclase. It forms from magma with a high content of silica and alkali metal oxides that slowly cools and solidifies und ...

, Acetic Yarn, PVC Deep Sea Fishing etc. The projects implemented through IDBP’s financing generated over 100,000 new jobs and have an export potential of about Rs.10.00 billion per annum. The value addition by the completed project is estimated at about Rs.15 billion per annum.

Functions

Development banking business * Provides guarantee, loans * Provides medium and long term finances Commercial banking business * Bills *

Deposits A deposit account is a bank account maintained by a financial institution in which a customer can deposit and withdraw money. Deposit accounts can be savings accounts, current accounts or any of several other types of accounts explained below. ...

* Foreign Exchange accounts * Guarantees *

Letter of Credit A letter of credit (LC), also known as a documentary credit or bankers commercial credit, or letter of undertaking (LoU), is a payment mechanism used in international trade to provide an economic guarantee from a creditworthy bank to an ex ...

Remittances A remittance is a non-commercial transfer of money by a foreign worker, a member of a diaspora community, or a citizen with familial ties abroad, for household income in their home country or homeland. Money sent home by migrants competes wit ...

* Short term advances Merchant banking business * Bridge Financing *

Leasing A lease is a contractual arrangement calling for the user (referred to as the ''lessee'') to pay the owner (referred to as the ''lessor'') for the use of an asset. Property, buildings and vehicles are common assets that are leased. Industrial ...

* Underwriting of public issue of shares Collection of utility bills * Gas bills at branches in

* Telephone bills at all branches Administers of the equity participation fund Equity investment/trading

Branch Network

The Head Office of Industrial Development Bank of Pakistan is situated at

. The Bank currently operates with following 13 branches: In

Capital Territory A capital district, capital region or capital territory is normally a specially designated administrative division where a country's seat of government is located. As such, in a federal model of government, no state or territory has any politic ...

;

Islamabad Islamabad (; ur, , ) is the capital city of Pakistan. It is the country's ninth-most populous city, with a population of over 1.2 million people, and is federally administered by the Pakistani government as part of the Islamabad Capita ...

and

Rawalpindi Rawalpindi ( or ; Urdu, ) is a city in the Punjab province of Pakistan. It is the fourth largest city in Pakistan after Karachi, Lahore and Faisalabad, and third largest in Punjab after Lahore and Faisalabad. Rawalpindi is next to Pakistan's ...

Branch (Part of the Province of

Punjab Punjab (; Punjabi: پنجاب ; ਪੰਜਾਬ ; ; also romanised as ''Panjāb'' or ''Panj-Āb'') is a geopolitical, cultural, and historical region in South Asia, specifically in the northern part of the Indian subcontinent, comprising ...

) In the Province of

; Main branch

Hyderabad Hyderabad ( ; , ) is the capital and largest city of the Indian state of Telangana and the ''de jure'' capital of Andhra Pradesh. It occupies on the Deccan Plateau along the banks of the Musi River (India), Musi River, in the northern part ...

and

Larkana Larkana ( ur, , translit=lāṛkāna; sd, لاڙڪاڻو, translit=lāṛkāṇo) is a city located in the Sindh province of Pakistan. It is the 15th largest city of Pakistan by population. It is home to the Indus Valley civilization site Mo ...

Branch In the Province of

;

Faisalabad Faisalabad (; Punjabi/ ur, , ; ), formerly known as Lyallpur (Punjabi, Urdu: لائل پور), named after the founder of the city, but was renamed in 1977 in honour of late King Faisal of Saudi Arabia. It is the 3rd largest city of Paki ...

Lahore Lahore ( ; pnb, ; ur, ) is the second most populous city in Pakistan after Karachi and 26th most populous city in the world, with a population of over 13 million. It is the capital of the province of Punjab where it is the largest ...

and

Multan Multan (; ) is a city in Punjab, Pakistan, on the bank of the Chenab River. Multan is Pakistan's seventh largest city as per the 2017 census, and the major cultural, religious and economic centre of southern Punjab. Multan is one of the olde ...

Branch In the Province of

Khyber Pakhtunkhwa Khyber Pakhtunkhwa (; ps, خېبر پښتونخوا; Urdu, Hindko: خیبر پختونخوا) commonly abbreviated as KP or KPK, is one of the Administrative units of Pakistan, four provinces of Pakistan. Located in the Geography of Pakistan, ...

;

Abbottabad Abbottabad (; Urdu, Punjabi language(HINDKO dialect) آباد, translit=aibṭabād, ) is the capital city of Abbottabad District in the Hazara region of eastern Khyber Pakhtunkhwa, Pakistan. It is the 40th largest city in Pakistan and fourth ...

and

Peshawar Peshawar (; ps, پېښور ; hnd, ; ; ur, ) is the sixth most populous city in Pakistan, with a population of over 2.3 million. It is situated in the north-west of the country, close to the International border with Afghanistan. It is ...

Branch In the Province of

Balochistan Balochistan ( ; bal, بلۏچستان; also romanised as Baluchistan and Baluchestan) is a historical region in Western and South Asia, located in the Iranian plateau's far southeast and bordering the Indian Plate and the Arabian Sea coastl ...

;

Quetta Quetta (; ur, ; ; ps, کوټه‎) is the tenth most populous city in Pakistan with a population of over 1.1 million. It is situated in south-west of the country close to the International border with Afghanistan. It is the capital of the ...

Branch In the Province of

Gilgit-Baltistan Gilgit-Baltistan (; ), formerly known as the Northern Areas, is a region administered by Pakistan as an administrative units of Pakistan, administrative territory, and constituting the northern portion of the larger Kashmir region which has ...

;

Gilgit Gilgit (; Shina: ; ur, ) is the capital city of Gilgit–Baltistan, Pakistan. The city is located in a broad valley near the confluence of the Gilgit River and the Hunza River. It is a major tourist destination in Pakistan, serving as ...

Branch In

Azad Kashmir Azad Jammu and Kashmir (; ), abbreviated as AJK and colloquially referred to as simply Azad Kashmir, is a region administered by Pakistan as a nominally self-governing entitySee: * * * and constituting the western portion of the larger K ...

;

Mirpur Mirpur may refer to several places: In Bangladesh * Mirpur Model Thana, a locality in Dhaka ** Mirpur DOHS, a neighbourhood of Dhaka ** Mirpur College, a private college ** Mirpur Stadium or Sher-e-Bangla National Cricket Stadium * Mirpur Up ...

Branch

References

External links

Official site
{{authority control Banks of Pakistan Government-owned companies of Pakistan Companies based in Karachi