Page 4 - NIBAF-Training Matters April - June 2022

Supply Chain Financing-
Opportunities in SME
Banking
NIBAF also conducted a new
training program on Supply Chain
Financing-Opportunities in SME
Banking. This training
provided valuable insight on the
concept, products and business
models of Supply Chain Financing
(SCF). It also imparted knowledge
on SCF assessment and its related
risk profiling along with leveraging
technological innovation and
advancements. Importance of
technology-driven low risk activities at NIBAF-Quetta) and GC Finance and Marketing attended
products from the perspective of Women University of Faisalabad. these programs.
liquidity for value chain agents that This programs further discussed NIBAF also organized 1-day
help financial institutions to provide important SBP schemes, global awareness programs for SMEs &
loans to potential value chain and local entrepreneurship Banks one each in Gujranwala and
borrowers with mitigated risk was business strategies and success Multan, respectively. These
discussed in detail. Moreover, stories and also emphasized on the programs were attended by
benefits in credit and payment risk role and importance of incubator members of chamber of
by shifting the focus from bi-party centers, where students deliberate commerce, small and medium
(FI-SME) relationship to a tri-party upon innovative ideas to steer them businesses including service
(FI-anchor-SME/Agri) relationship towards viable business options. providers, manufacturers and
by leveraging the trade and The participants showed entrepreneurs. The speakers
payment between larger anchor enthusiasm in entrepreneurship discussed and highlighted main
and Agri/SME supplier/distributor ideas and asked relevant features of various subsidized and
were also discussed. questions. The speaker responded credit guarantee schemes
NIBAF also conducted two to the queries/issues for launching specifically designed by SBP for
awareness programs on such programs and seeking the small and medium-sized
entrepreneurship skill development financial support from banks. More businesses. More than 250
for university students for major than 350 students from various participants attended these
universities of Balochistan (see departments including Commerce, programs.
further details in section on

In line with SBP housing policy and instructions to encourage MFBs to program on Sale-techniques &
needs of Microfinance banks expand their support in Government Markup Subsidy
(MFBs), NIBAF organized three ‘Government’s Markup Subsidy Scheme and Cash-based
training programs for MFBs during Scheme’ for extending ‘Tier 0’ Lending & Credit Assessments.
the quarter. It is important to financing facilities with special Senior Microfinance bankers
mention that MFBs are operating in focus on marginalized segments attended these programs primarily
the financial sector for the last 20 residing in rural and peri-urban designed to promote government
years and have been catering the areas. In order to help MFB officials schemes in housing sector and
need of lower segments of the to expand their business in the discuss the potential of housing
society. Recently, SBP has issued housing sector, there is a need to sector across Pakistan. The subject
develop human resources specialist shared their insights and
capacity particularly in the area of experiences on micro industry
mortgages documentation, potential along with requirements
creating lien perfection in rural for security documentation for
areas and other important aspects diminishing banks’ risk.
of housing finance. NIBAF
developed customized training