Money and banking drive economic activity by facilitating transactions, savings, and investments. Banks manage financial resources, offer credit, and regulate money supply, ensuring stability and growth in Pakistan’s financial sector.
President of Pakistan, Dr. Arif Alvi, has called on the Banking Mohtasib [Ombudsman] to enhance efforts in protecting banking consumers from scams and financial losses through effective preventive measures.
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KARACHI: The finance division has barred opening of joint account for disbursement of pension amount.
The State Bank of Pakistan (SBP) on Monday circulated instructions issued by the Finance Division regarding the payment of pension through bank accounts.
The central bank pointed out BC&CPD Circular Letter No. 01 dated January 18, 2016, regarding Standard Operating Procedures (SOPs) for DCS issued by Finance Division, Government of Pakistan vide letter No. 12(9)-Reg. 6/2012.pt1453 dated January 05, 2016.
In order to bring transparency and ease in the pension payment process, the government through letter No. 12(9)-Reg. 6/2012 dated January 06, 2021, has made the following amendments into the SOPs for DCS with immediate effect:-
Pensioner shall be required to undergo biometric verification from any branch of a bank maintaining his/ her pension account, every year in March and September. If the pensioner is unable to undergo biometric verification due to incapacitation by bodily illness, infirmity, or if his/ her fingerprints do not exist due to old age or a genetic condition, he/she will provide a life certificate as per the SOPs.
In case of family pension, Non-Marriage declaration as required under para 4 and 9(xiii) of SOPs shall be obtained from pensioners on or before 30th September of each year instead of March and September.
Submission of above mentioned Non-Marriage declaration will be dispensed with after the widow/ daughter/ sister of the pensioner (family pension recipient) attains the age of sixty years.
If a pensioner fails to submit a life certificate or fails to undergo biometric verification during March and September or a pensioner does not draw a pension for consecutive six months, the account shall become dormant.
The requirement of submission of indemnity bond by a pensioner, as laid down in para 3(f) and 9(xii) of the SOPs is discontinued.
In continuation to the above instructions, the following clarifications have also been issued by Finance Division:
The Pension shall be paid through a bank account either current or PLS maintained in the pensioner’s name.
A pension account shall not be a joint account.
A bank account dedicated to pension transactions only shall not be mandatory for the pension.
All banks are advised to disseminate the instructions widely to branches and ensure compliance in letter and spirit. Any violation of the instructions would be dealt with under the relevant provisions of the Banking Companies Ordinance, 1962.
KARACHI: The Pak Rupee ended down by 12 paisas against the dollar on Monday owing to higher demand of the foreign currency against import and corporate payments as market opened after two weekly holidays.
The rupee ended Rs160.22 to the dollar from last Friday’s closing of Rs160.10 in the interbank foreign exchange market.
The currency dealers said that higher demand was witnessed during the day as market was opened after two weekly holidays.
They however said that the improved economic indicators would help the local currency to gain value.
KARACHI: The Pak Rupee made gains against the dollar for the fourth straight trading day on Friday owing to improved export receipts and workers’ remittances, dealers said.
The rupee gained 18 paisas to close at Rs160.10 against the dollar from the previous day’s closing of Rs160.28 in the interbank foreign exchange market.
The rupee made gain against the foreign currency for the fourth consecutive trading day as the exchange rate was at Rs160.79 to the dollar on Monday January 25, 2021 and ended the week at Rs160.10 on January 29, 2021, showing a gain of 69 paisas against the dollar.
The dealers said that the sentiments remained positive in the market owing to resumption of talks between the government and the IMF.
Further, the dealers hoped sufficient supply of the dollar into the market owing to improved export receipts and workers’ remittances in coming months.
KARACHI: The board of directors (BOD) of Silkbank Limited on Thursday approved to allow Fauji Foundation to conduct due diligence for acquiring majority stake of the bank.
The bank in a notice sent to the Pakistan Stock Exchange (PSX) stated that M/s. Fauji Foundation had expressed an interest in acquiring the majority stake in Silkbank Limited.
As part of the process, the bank had been requested to allow Fauji Foundation to conduct due diligence of Silkbank and in this regard the Fauji Foundation intended to apply to the State Bank of Pakistan (SBP) for the requisite approval of the same.
“The board of directors of Silkbank Limited in its meeting held on January 28, 2021, has subject to the approval of the State Bank of Pakistan, given its in-principal approval to allow Fauji Foundation to conduct the required due diligence and evaluation the information that will be provided by Silkbank in this regard,” the bank informed the PSX.
Fauji Foundation (also known as Fauji Group), is amongst the largest business conglomerate in Pakistan which “Earns To Serve” the interests of ex-servicemen.
According to its official website, the group is basically a Charitable Trust founded in 1954 for the welfare of the ex-servicemen and their dependents.
It is incorporated under the Charitable Endowments Act 1890.
The history of Fauji Foundation dates back to 1945, when a Post War Services Reconstruction Fund (PWSRF) was established for Indian War Veterans who served the British Crown during WW-II. At the time of partition (1947) when Pakistan came into being, the balance fund was transferred to Pakistan in the proportion of its post WW-II veterans. Till 1953, the fund remained in the custody of the civilian Government, when in 1954 it was transferred to the Army.
The Army instead of disbursing the balance fund of about Rs 18.2 millions (USD 0.2 million) among the beneficiaries, invested it in establishing a Textile Mill. Later from the income of the textile mill, it established first 50 bedded TB hospital at Rawalpindi.
Fauji foundation is proud that from Rs 18.2 million in 1953, it today runs more than 18 industries, the income from which is utilized to serve about 9 million beneficiaries (5 % of country’s population). Generally, more than 80 percent of the income goes towards the welfare activities every year.
The welfare is conducted through health care, education and vocational/technical training. To a limited extent welfare is also a by- product of employment generated for the beneficiaries through commercial and welfare activities. Presently, the welfare is conducted through 143 medical facilities, 142 Schools & Colleges, 45 Foundation Institute Technology.
KARACHI: The Pak Rupee appreciated by 26 paisas against the dollar on Thursday on improved inflows of export receipts and workers’ remittances.
The rupee ended at Rs160.28 to the dollar from previous day’s closing of Rs160.54 in the interbank foreign exchange market.
Currency dealers said that the market witnessed better supply of the greenback that that helped the local currency to make gain.
The dealers expected the better inflows likely to help the local currency to make further gain in coming days.
KARACHI: Financial institution are required to ensure complete identity verification of customers for compliance with Financial Action Task Force (FATF).
(more…)KARACHI: The State Bank of Pakistan (SBP) on Wednesday imposed a monetary penalty of Rs59.51 million on Habib Metropolitan Bank for violating regulations pertaining to AML/CFT.
(more…)KARACHI: The Pak rupee gained 10 paisas against the dollar on Wednesday owing sufficient supply of the foreign currency to meet demand for import and corporate payments.
The rupee ended Rs160.54 to the dollar from previous day’s closing of Rs160.64 in the interbank foreign exchange market.
Currency dealers said that the market witnessed sufficient supply of the greenback which was higher than the demand for import and corporate payments.
The dealers hoped that that improved economic indicators would help the rupee to make further gains in coming days.
KARACHI: The Pak Rupee gained 15 paisas against the dollar on Tuesday owing to improved supply of the foreign currency, dealers said.
The rupee ended Rs160.64 to the dollar from previous day’s close of Rs160.79 in interbank foreign exchange market.
The dealers said that the improved supply of the greenback helped the rupee to make gain.
They said that the positive sentiments prevailed following expectations of strong inflows of remittances during the coming months.
The ministry of finance in its report released on January 26, 2021 hoped that the inflows of remittances would remains strong to support financing the trade deficit.
However, the ministry was confident that the trade balance would remain under control during the current fiscal year.