Notes to and forming part of the Unconsolidated Financial Statements

For the year ended December 31, 2018

Note 2018 2017

------- (Rupees in '000) -------
17.2 Details of borrowings

Secured
Borrowings from the State Bank of Pakistan under:

Export refinance scheme 17.3 28,120,012 19,375,930

Refinance facility for modernization of SME 17.4 11,204 10,250
Long term financing facility 17.5 21,871,486 17,312,481
50,002,702 36,698,661
Repurchase agreement borrowings 17.6 131,492,844 450,489,798
Bai Muajjal payable to other financial institutions 49,878,076 -
231,373,622 487,188,459
Unsecured
Call borrowings 17.7 18,850,439 9,713,596
Overdrawn nostro accounts 1,836,701 1,196,470
Money market deals 17.8 16,063,271 14,551,940
36,750,411 25,462,006

268,124,033 512,650,465

17.3 The Bank has entered into an agreement with the SBP for extending export finance to customers. As per the terms of the
agreement, the Bank has granted the SBP the right to recover the outstanding amounts from the Bank at the date of
maturity of the finances by directly debiting the Bank's current account maintained with the SBP. These borrowings are
repayable within six months, latest by June 2019. These carry mark-up at rates ranging from 1.00% to 2.00% per annum
(2017: 1.00% to 2.00% per annum).

17.4 These borrowings have been obtained from the SBP under a scheme to finance modernization of Small and Medium
Enterprises by providing financing facilities for setting up of new units, purchase of new plant and machinery for Balancing,
Modernization and Replacement (BMR) of existing units and financing for import / local purchase of new generators upto a
maximum capacity of 500 KVA. These borrowings are repayable latest by February 2021 and carry mark-up at rates
ranging from 2.00% to 6.25% per annum (2017: 6.25% per annum).

17.5 These borrowings have been obtained from the SBP for providing financing facilities to exporters for adoption of new
technologies and modernization of their plant and machinery. These borrowings are repayable latest by January 2029.
These carry mark-up at rates ranging from 2.00% to 9.70% (2017: 2.00% to 9.70% per annum).

17.6 These repurchase agreement borrowings are secured against Pakistan Investment Bonds, Treasury Bills, Government of
Pakistan Eurobonds, Foreign Bonds Sovereign and Foreign Bonds Others and carry mark-up at rates ranging from 3.27%
to 10.35% per annum (2017: 5.75% to 5.85% per annum). These borrowings are repayable latest by February 2019. The
market value of securities given as collateral against these borrowings is given in note 9.2.1.

17.7 These are unsecured borrowings carrying mark-up at rates ranging from 2.0% to 10.25% per annum (2017: 0.1% to 5.8%
per annum), and are repayable latest by March 2019.

17.8 These borrowings carry mark-up at rates ranging from 3.25% to 4.64% per annum (2017: 2.57% to 4.80% per annum), and
are repayable latest by June 2019.

106 United Bank Limited