But really they're able to make these loans without simultaneously rewarding customers with significantly higher rates that they're paying on their deposits.
The move is expected to increase loan issuances for affordable rental housing projects and aims to further improve the country's housing support system, the PBOC said.
The availability of leveraged loans, critical for executing buy-out transactions, has collapsed; in June, loan issuance was down by 41% compared with the same month last year.
They say that, you know, a well fortified banking system, which means a well capitalised one, is actually one that is healthier and means more lending is extended.
At a donor conference in January, Pakistan received close to 10 billion dollars in pledges, but most of that money will come as project loans in the next few years.