IFC invests $20m in Novatex

The International Finance Corporation has announced an investment of up to $20 million in plastic packaging manufacturer Novatex Limited to support imports of raw materials and equipment, strengthen export competitiveness and promote sustainable production, a World Bank news release said on Friday.

The IFC, a member of the World Bank Group, said the financing would help strengthen Pakistan's packaging industry, which serves key export-oriented sectors including food processing, pharmaceuticals and consumer goods.

The investment would enable Novatex to import critical raw materials and machinery, ensuring a stable domestic supply of plastic packaging materials, reducing reliance on imports and enhancing the resilience of local supply chains.

The financing is expected to help sustain employment, preserve export earnings and support the manufacturing sector by protecting downstream industries from supply disruptions.

The investment also supports IFC's sustainability agenda, as Novatex operates large-scale polyethylene terephthalate (PET) recycling plants.