Bank Alfalah and British International Investment Sign USD 50 Million Facility to Advance Climate Finance in Pakistan.

Bank Alfalah Limited, one of Pakistan’s leading commercial banks, and British International Investment (BII), the UK’s development finance institution and impact investor, have signed a USD 50 million senior term loan facility to support and scale climate finance across Pakistan.

The agreement was signed at BII’s headquarters during London Climate Action Week (June 20–28) by Atif Bajwa, President and CEO of Bank Alfalah, and Leslie Maasdorp, CEO of BII. The signing ceremony took place in the presence of Jane Marriott, the British High Commissioner to Pakistan.

Financing Vulnerable Sectors and Infrastructure

This timely partnership arrives as Pakistan continues to navigate extreme vulnerability to climate change, characterized by recurring floods, erratic weather patterns, and rising macroeconomic environmental risks. The capital injection targets a critical funding gap by drawing private capital directly into climate adaptation, resilience, and mitigation strategies.

Bank Alfalah will utilize the USD 50 million facility to expand credit lines for local businesses investing in sustainable, greener solutions. Key target areas for capital deployment include:

• Climate-smart agriculture technologies
• Water conservation and modern irrigation systems
• Renewable energy integration and energy efficiency projects
• Agribusiness support to shield vulnerable farmers from climate shocks

Alongside the financial investment, BII will provide comprehensive technical assistance to help Bank Alfalah identify, originate, and build a pipeline of high-impact, eligible climate assets.

Corporate and Diplomatic Leadership Commentary

“We are pleased to partner with British International Investment, which reinforces Bank Alfalah’s commitment to supporting climate finance in Pakistan and raising international capital towards sectors and businesses that are critical for the country’s sustainable and resilient growth,”

said Atif Bajwa, President and CEO of Bank Alfalah.

“This partnership also reflects the confidence of a leading global development finance institution in Bank Alfalah’s platform, governance, and ability to deploy capital towards high-impact opportunities.”

Leslie Maasdorp, CEO of British International Investment, highlighted the institution’s strategic vision:

“Pakistan is on the frontline of climate change, and increasing access to climate finance is critical to building long-term resilience and supporting sustainable growth. Our investment in Bank Alfalah will help channel much-needed capital to climate mitigation and adaptation projects, as well as the agricultural sector, a vital pillar of the country’s economy. It also reflects our commitment under our new five-year strategy to scale climate finance, including our target of at least 40 percent of new investments in climate-related opportunities.”

British High Commissioner to Pakistan, Jane Marriott CMG OBE, added:

“Pakistan is highly vulnerable to climate change, but there is also a real opportunity to attract investment that supports a greener and more resilient future. This partnership between British International Investment and Bank Alfalah shows how the UK and Pakistan can work together to tackle the climate crisis. By helping businesses and farmers invest in climate-smart solutions, we are supporting resilience, economic growth, and communities across the country.”

A Proven Track Record in Sustainability

This transaction further establishes Bank Alfalah’s prominence in sustainable domestic finance. Beyond its corporate lending operations, the bank has served as a key corporate donor for flood relief since 2022, driving long-term community rehabilitation through subsidized financing programs like its Revive and Rise initiative.