ISLAMABAD: The International Finance Corporation (IFC) announced Thursday a loan of up to $20 million to Novatex Limited, a major Pakistani producer and exporter of plastic packaging materials, to finance the import of essential raw materials and equipment.
The investment aims to bolster Pakistan’s packaging industry, a critical input for export-oriented sectors including food processing, pharmaceuticals, and consumer goods.
By supporting domestic production, IFC said the loan will help sustain jobs, preserve export revenues, and strengthen the resilience of local supply chains.
A stable domestic supply of plastic packaging also reduces Pakistan’s reliance on imports and protects downstream manufacturers from supply disruptions.
The financing also advances the IFC’s sustainability priorities. Novatex operates large-scale PET recycling plants and is expanding its recycled PET (rPET) capacity, supporting Pakistan’s transition toward a circular economy in the packaging sector. IFC will also help Novatex align its operations with the corporation’s Performance Standards on environmental and social management.
“Pakistan’s long-term economic growth depends on sustaining competitive, export-oriented industries that create jobs, generate foreign exchange, and invest for the future,” said Wagner Albuquerque de Almeida, IFC Director for Manufacturing, Agribusiness and Services, Middle East and Central Asia.
“IFC’s investment in Novatex will help sustain employment, support export competitiveness, and strengthen the resilience of a key manufacturing sector while advancing more sustainable production practices”.
Rizwan Diwan, CEO of Novatex Limited, said the company views IFC as a key financial partner for Pakistani corporates and for Novatex in particular. “For Novatex this is the first step, and it looks forward to expanding this relationship,” Diwan said.
Novatex has two manufacturing facilities in Pakistan, including a main facility in Karachi and a smaller unit near Faisalabad, according to IFC project documents. The company is a member of the Gani & Tayub Group, one of Pakistan’s largest manufacturing and export groups with more than 70 years of experience in textiles, plastics, and downstream chemicals.
