SBP launches 'RFCC' for hospitals, medical centres

The State Bank of Pakistan (SBP) has announced more flexibility under Refinance Facility for Combating COVID-19 (RFCC) to further facilitate hospitals and medical centres engaged in fight against COVID-19.
Since the outbreak of COVID-19, State Bank has taken a number of measures to support the economy. One of the earliest measures taken by SBP was to support hospitals, which have been at the forefront in combating the disease, by providing them a cheap financing facility to meet their financial needs.
The SBP Refinance Facility for Combating COVID-19 (RFCC) was launched for hospitals and medical centres engaged in fight against COVID-19 on March 17, 2020 to provide financing facility at 3 percent for purchase of medical equipment.
Since then SBP has received several suggestions by stakeholders and keeping in view such suggestions, SBP has announced to provide more flexibility under RFCC to facilitate the health sector further.
Now, hospitals and medical centres engaged in fight against COVID-19 will be allowed to avail financing against their existing equipment and purchase of refurbished equipment as well, provided the same are used in creation of special facility/isolation ward to deal with COVID-19.
Moreover, maximum coverage of 60 percent of civil works, for setting up separate/isolation facility, has also been enhanced to 100 percent.
The SBP has directed banks to ensure that financing extended under this facility is utilized for the intended purpose. SBP believed that these changes would help hospitals/medical centres avail SBP's refinance facility with much ease.