Fatima Fertilizer, IFC agree on $60 million renewable liquidity facility for imports

Fatima Fertilizer Company Ltd. and the International Finance Corporation, a member of the World Bank Group, have agreed on a renewable liquidity facility of $60 million per year to support uninterrupted domestic fertilizer production in Pakistan, the companies said.

Under the arrangement, IFC will provide U.S. dollar liquidity to enable Fatima Fertilizer to import essential raw materials, machinery and technical services at a time when Pakistan continues to face foreign exchange shortages and delays in clearing imports. Such constraints have previously disrupted access to key inputs and raised the risk of fertilizer shortages.

The facility is designed to address what the companies described as a critical market gap by providing hard-currency financing when access to dollar funding is limited. It will allow Fatima Fertilizer to operate at full capacity, sustaining about 1.46 million tons of annual fertilizer output and preserving more than 850 direct jobs at the company’s Sadiqabad complex.

The companies said the financing will help maintain a steady supply of fertilizer, support thousands of small businesses across the distribution network and protect yields for staple crops such as wheat and rice.

“This partnership represents an important milestone not only for Fatima Fertilizer but also for Pakistan’s agriculture sector,” said Fawad Ahmed Mukhtar, chief executive officer of Fatima Fertilizer. “Access to dependable liquidity allows us to maintain operational resilience, ensure stable delivery of essential nutrients to farmers, and contribute to a more food-secure future.”

Ashruf Megahed, IFC’s regional industry head for manufacturing, agribusiness and services in the Middle East, Central Asia and Turkey, said the facility would help keep essential inputs flowing to farmers by providing dollar financing for vital imports. The aim, he said, is to support food security, preserve jobs and strengthen the resilience of Pakistan’s agribusiness value chain.

By strengthening Fatima Fertilizer’s operations, the financing is also expected to help stabilize fertilizer prices for farmers and reduce Pakistan’s dependence on imported fertilizers, aligning with national agricultural priorities.

IFC is the world’s largest global development institution focused on the private sector in emerging markets. It operates in more than 100 countries and in fiscal year 2025 committed a record $71.7 billion to private companies and financial institutions in developing economies.

Fatima Fertilizer is one of Pakistan’s leading fertilizer manufacturers, with a nationwide distribution network and farmer-focused programs. The company is also the first private-sector firm in Pakistan to partner with the United Nations Development Program to adopt the U.N. Sustainable Development Goals Impact Framework Program.