How We Work
Our Philosophy
At InfraZamin, we believe that sustainable infrastructure development is the cornerstone of national progress. Our philosophy is rooted in the conviction that access to quality infrastructure empowers communities, drives economic growth, and enhances the quality of life.
Project Commercial Viability
Project return must be commercially attractive and feasible in order to mobilize private capital via our credit guarantee structures.
Additionality
We aim to operate with an objective to improve structuring of project and financing terms. Our participation will lead to improving the bankability/invisibility of the transaction. InfraZamin Pakistan aims to provide access to a broader degree of capital classes and investor base.
Development Impact
Projects must lead to one or more of our development impact goals: sustainability, poverty reduction, financial inclusion, gender balanced employment and job creation while meeting best practices on health, safety, environment and social impact
Sector Coverage
InfraZamin’s sector coverage reflects our commitment to strengthening Pakistan’s infrastructure landscape by supporting diverse sectors critical to national development. From transportation and energy to water, healthcare, and urban development, we provide tailored credit guarantees and financial instruments that enable private investment in high-impact projects.
Renewable Energy
Water, Sewage & Sanitation
Electricity Generation, Transmission & Distribution
Digital comms & infrastructure
Social Infrastructure - Affordable Housing
Social Infrastructure - Health & Education
Financial Sector (Portfolio Guarantees)
Agricultural Infrastructure
Transportation Infrastructure
Guarantee Products
InfraZamin Pakistan is a catalyst for unlocking financing in a local lending market often constrained by the crowding out of private sector borrowers, underdeveloped capital markets, and heavy reliance on multilateral institutions for critical infrastructure projects. Through our guarantees, InfraZamin Pakistan can help corporates achieve:
- Better financing terms, including optimized pricing for both bank and capital market debt financing.
- Enhanced per party bank limits.
- Longer tenors.
- Diversification of lender/investor base by tapping other institutional investors and reducing reliance on bank financing.
InfraZamin Pakistan's product portfolio comprises the following types of credit enhancements:
- Pari Passu Guarantees: Enable debt financing through banks and/or capital markets (bonds/sukuks).
- Trade Finance Guarantees: Enable import financing for trade-related transactions.
- Portfolio Guarantees: Enable financing for small and medium entities through portfolio structures.
- Second Loss Guarantee: Absorbs losses after a pre-defined threshold to mobilize capital.
- Performance Guarantees: Enable unfunded capital for the issuance of performance or advance payment guarantees.
- Liquidity Extension: Provides extended tenors for long-term, sustainable infrastructure projects.
Borrower/Issuer
- Risk transfer (instead of risk mitigation) counterparty risk to AAA rated entity
- Efficient capital treatment on account of credit cover provided by InfraZamin Pakistan
- Extend tenors without attracting additional capital charge for long term infrastructure projects
- Build capacity in long term sustainable finance using multiple finance solutions
- Positive market signaling
- Access to new classes of asset writers (lenders and investors)
- Enhance overall return on investment by reducing borrowing costs
- Greenfield or Brownfield ventures
- Address per party bank limits
- Fill shortfalls in financing requirements on new projects
- Improved overall project governance and reporting frameworks
- Easier to attract additional capital
