KARACHI: The State Bank of Pakistan (SBP) has granted permission for banks to open selected branches on May 27, 2020, to facilitate the public during the extended holidays for Eid-ul-Fitr.
The SBP announced on Wednesday that in order to ensure the availability of essential banking services during the extended Eid holidays, banks and microfinance banks (MFBs) are authorized to open specific branches on Wednesday, May 27, 2020. This decision aims to maintain limited banking services in major business centers and commercial hubs across Pakistan, thereby catering to the needs of the general public and the business community.
The SBP emphasized that while these branches will provide essential services, the Real-Time Gross Settlement (RTGS) System and clearing through the National Institutional Facilitation Technologies (NIFT) will not be operational on May 27. Consequently, NIFT will collect financial instruments from the branches on Thursday, May 28, 2020, for clearing purposes.
In line with the SBP’s directives, banks and MFBs are instructed to deploy a minimal number of staff necessary to ensure smooth operations at their selected branches on the specified date. This approach is designed to balance the need for public access to banking services with the safety and well-being of bank employees during the ongoing pandemic.
The SBP’s decision comes as a relief for many, particularly businesses and individuals who require banking services during the Eid holidays. By keeping selected branches open, the central bank aims to minimize disruptions and support economic activities during this period.
Eid-ul-Fitr, a significant religious festival celebrated by Muslims worldwide, marks the end of Ramadan, the holy month of fasting. It is customary for people to make various financial transactions, including charity (Zakat), gifts, and other expenditures, leading up to and during the festival. The extended holidays for Eid-ul-Fitr often result in a surge in demand for banking services, making the SBP’s directive crucial for ensuring that the public can access necessary services without undue inconvenience.
Banking sector officials have welcomed the SBP’s move, noting that it demonstrates a balanced approach to public service and employee safety. They also highlighted that the selected branches would primarily offer critical services, including cash deposits, withdrawals, and essential customer support.
In summary, the State Bank of Pakistan’s authorization for banks to open selected branches on May 27, 2020, during the Eid-ul-Fitr holidays aims to provide essential banking services while ensuring the safety of staff and the public. The SBP’s directive underscores its commitment to facilitating public access to financial services, even during extended holiday periods, to support economic stability and convenience for the people of Pakistan.