Foreign Exchange (FX)

• Spot/Ready

The “Spot” market is where currencies are bought and sold in the same value date using the live FX market.

• Foreign Currency Financing

Foreign Currency Finance (FCF) facility is a product developed for customers to enable them to take advantage of a loan in a foreign currency using LIBOR based interest rate:

• Foreign Currency Export Finance (FCEF)

The bank extends a credit facility to its exporters denominated in a foreign currency to facilitate the customer’s financing requirements.

• Foreign Currency Import Finance (FCIF)

An FCIF transaction extends a credit window to importers in foreign currency to meet their obligation to retire the Letter of Credit (LC) or an Import Contract as and when due.

• Forwards

A currency forward is hedging solution offered to our trade clients to hedge their foreign exchange exposure. It is a binding contract in the market that locks the exchange rate for the purchase or sale of a currency at a future date.

• Foreign Bill Discounting

This is a financing option provided to exporters that are looking to fund their working capital requirements. The transaction is an advance or a loan against a customers’ export receivables. The export proceeds received against the discounted bill are used to settle the outstanding foreign bill.

• Global Orders

Customers can place global orders for currencies against the US Dollar for a specific rate. Global Orders can be “Good-till-Cancelled” (GTC) and “Stop-Loss.” This facility is available on HBL Infinity®.

• HBL Infinity ®

HBL Infinity® is Pakistan’s first and leading platform that provides real-time FX pricing and execution, allowing clients a streamlined trading experience. This initiative is in line with HBL’s strategic goals of providing digital solutions to its clients to ensure ease of doing business within a robust operational framework.

HBL Infinity® provides two-way executable prices for Same-day, Spot and Outright Forwards & Swaps in all major currencies. This is the first portal available globally which offers “live”, executable prices in Pakistani Rupee (PKR).

Clients can view live, tradable prices in the FX market and execute their trades on the platform. This is a significant step up in the existing, telephone-based execution method for FX transactions, allowing clients to manage their exposures in a transparent, efficient, and seamless manner, with a complete, auditable paper-trail.