KARACHI: The foreign exchange reserves of the country fell by $151 million to $26 billion by the week ended October 01, 2021 as compared with $26.151 billion a week ago, the State Bank of Pakistan (SBP) said on Thursday.
The foreign exchange reserves of the SBP declined by $126 million to $19.169 billion by the week ended October 01, 2021 as compared with $19.295 billion by the week ended September 24, 2021.
The foreign exchange reserves held by commercial banks also declined by $25 million to $6.831 billion as compared with $6.856 billion a week ago.
KARACHI: The State Bank of Pakistan (SBP) has made biometric verification mandatory for foreign currency sale transactions.
The central bank on Wednesday issued amendments to the exchange companies manual to stop the undesirable outflow of cash foreign currency.
The SBP introduced following regulatory measures:
i. Persons travelling to Afghanistan will be allowed to carry only USD1,000/- per person per visit with a maximum annual limit of USD6,000.
ii. Exchange companies will be required to conduct biometric verification for all foreign currency sale transactions equivalent to USD500/- and above and outward remittances. This requirement will be applicable with effect from October 22, 2021.
iii. Exchange Companies will sell the cash foreign currency and make outward remittances, equivalent to USD10,000/- and above, against receipt of funds through cheque or banking channels only.
The SBP said that the regulatory measures will help to improve documentation of sale of foreign currency by exchange companies and place a check on undesirable outflow of foreign currency.
Following is the text of circular No. 6 of the SBP
Amendments in Instructions for Exchange Companies
Attention of Exchange Companies and Exchange Companies of ‘B’ Category is invited to instructions contained in Para 9 (i) (f)&(g), 9(iii) (f)&(g) of Chapter 3 and Para 12 (i) (c) & (d) of Chapter 8 of Exchange Companies Manual.
2. In order to strengthen regulatory regime for Exchange Companies, it has been decided to amend/change the applicable regulations relating to scope of business of Exchange Companies and Exchange Companies of ‘B’ Category. Accordingly, the relevant instructions in the following Paras of Exchange Companies Manual stand replaced as under:
Para 9 (i) (f) Chapter 3 of Exchange Companies Manual
“For all foreign currency sale transactions equivalent to USD 500/- or above, Exchange Companies shall retain copies of identification documents i.e., Computerized National Identity Card (CNIC) /National Identity Card for Overseas Pakistanis (NICOP)/ Pakistan Origin Card (POC) / Passport (having valid visa on it or any other proof of legal stay of a foreigner in Pakistan) after having seen the document in original. In addition, Exchange Companies shall also carry out biometric verification of Pakistani Nationals for all such transactions and maintain the record thereof”.
Para 9 (i) (g) Chapter 3 of Exchange Companies Manual
“All sale transactions of USD 10,000/- or above (or equivalent in other currencies) shall be conducted by the Exchange Companies through Cheque/ Bank Transfer from the personal account of the customer. Instrument/ transaction reference number and issuing bank’s name shall be mentioned on the transaction receipt along with identification document number of the customer.”
Para 9 (iii) (f) Chapter 3 of Exchange Companies Manual
“Exchange Companies shall retain copies of identification documents i.e., Computerized National Identity Card (CNIC)/National Identity Card for Overseas Pakistanis (NICOP)/Pakistan Origin Card (POC)/Passport (having valid visa on it or any other proof of legal stay of a foreigner in Pakistan) for conducting transfers/ remittances transaction regardless of the amount. The name, address and identification document number of the customer shall also be mentioned on the receipt after due verification and with stamp of “original seen”. In addition, Exchange Companies shall also carry out biometric verification of Pakistani Nationals for all transactions and maintain record thereof”.
Para 9 (iii) (g) Chapter 3 of Exchange Companies Manual
“All outward transactions of USD 10,000/- or above (or equivalent in other currencies) shall be conducted by the Exchange Companies through Cheque/ Bank transfers from the personal account of the customer. Instrument/ transaction reference number and issuing bank’s name shall be mentioned on the transaction receipt along with identification document number of the customer.”
Para 12 (i) (c) Chapter 8 of Exchange Companies Manual
“For all foreign currency buy and sale transactions equivalent to USD 500/- or above, Exchange Companies of ‘B’ Category shall retain copies of identification documents i.e., Computerized National Identity Card (CNIC) /National Identity Card for Overseas Pakistanis (NICOP)/ Pakistan Origin Card (POC) / Passport (having valid visa on it or any other proof of legal stay of a foreigner in Pakistan) after having seen the document in original. In addition, Exchange Companies of ‘B’ Category shall also carry out biometric verification of Pakistani Nationals for all such sale transactions and maintain the record thereof”.
Para 12 (i) (d) Chapter 8 of Exchange Companies Manual
“All sale transactions of USD 10,000/- or above (or equivalent in other currencies) shall be conducted by the Exchange Companies of ‘B’ Category through Cheque/ Bank Transfer issued from the personal account of the customer. Instrument/ transaction reference number and issuing bank’s name shall be mentioned on the transaction receipt along with identification document number of the customer.”
3. All above instructions are applicable with immediate effect. However, for implementing the requirements for biometric verification, Exchange Companies and Exchange Companies of ‘B’ Category shall make necessary arrangements, including procurement of hardware and software and establishing connectivity with NADRA latest by October 21, 2021, while the instructions shall be applicable with effect from October 22, 2021.
4. All other terms and conditions on the subject shall remain unchanged.
ISLAMABAD: Ufone has launched its new state-of-the-art contact center for Pakistan Banks’ Association (PBA). The contact center has been launched to resolve queries and generate leads for the Government of Pakistan’s ‘Mera Pakistan, MeraGhar’ helpline initiative, which brings affordable housing finance facilities for low-income groups.
The Contact Center was inaugurated by Governor, State Bank of Pakistan, Reza Baqir, here in Islamabad, in presence of President and Group CEO, PTCL & Ufone, Hatem Bamatraf, Chairman, Naya Pakistan Housing and Development Authority,Lt. Gen. (Retd.) Anwar Ali Hyder, Chairman Pakistan Banks’ Association (PBA), Muhammad Aurangzeb, and senior management of the member banks and financial institutions of PBA.
Ufone is providing Contact Center services to PBA from two existing Centers by disseminating information on the loan process, eligibility criteria etc., besides offering 24/7 query and complaint resolution services to prospective customers.
Sharing his thoughts at the ceremony, President and Group CEO, PTCL & Ufone, Hatem Bamatraf, said:“We are glad to be a part of this historic initiative for the people of Pakistan. Ufone’s onboarding as the official contact service provider is a testament to the company’s extraordinary track record as a dependable services provider for Pakistan’s business sector. We constantly innovate and modernize our products and services ecosystem to deliver a remarkable user experience to our individual and corporate customers. The latest state-of-the-art Contact Center facility will further enhance our capacity to respond to queries and complaints to bring a hassle-free banking experience to the low-cost housing beneficiaries.”
The Contact Center will provide an additional channel for Ufone to resolve queries and generate leads for the housing finance project and promote its nationwide uptake. The facilities are easily scalable to manage additional facilitation as the need arises.
The facilities feature robust centralized Complaints Management and Leads Management Systems to help the member banks track every step of the customer journey, besides expediting the processing of the loans. Ufone Contact Centers are strategically located for effective management of traffic for calls from across Pakistan.
KARACHI: The State Bank of Pakistan (SBP) on Monday reduced the retention period of foreign exchange in the shape of export receipts and remittances of export commission.
The central bank issued a circular related to retention of export proceeds with authorized dealers upon realization and remittance of export commission, brokerage and discount.
Through the circular the State Bank amended the Foreign Exchange Manual to implement the decision.
The SBP has taken yet another initiative to ensure availability of foreign currency within the commercial banks in order to support the local currency and balance of payment.
Prior to this the SBP had already imposed restriction a ban on bank financing for imported vehicles and certain conditions on financing for locally assembled motor vehicles. Furthermore, the SBP also imposed 100 per cent cash margin requirement for additional 114 imported items.
However, through the latest circular the SBP reduced the retention period to three days from five days of export proceeds with the banks upon realization and remittance of export commission, brokerage and discount.
The SBP made following changes in the Foreign Exchange Manual:
(i)Para 7, Chapter 12 – Retention period of Export Proceeds with Authorized Dealers upon Realization First sentence of Para 7 Chapter 12 has been replaced with the following:
“It is permissible for exporters to retain the export proceeds including ‘Advance Payments’ in foreign currency with an Authorized Dealer in Pakistan for three working days of receipt of funds by Authorized Dealer (value date of Nostro Account) and to sell the same within this period to any Authorized Dealer.”
(ii)Para 35 Chapter 12 – Remittance of Export Commission, Brokerage & Discount and Retention of Export Proceeds in Exporters Special Foreign Currency Account. Sub-para (ii) (c) of para 35 of Chapter 12 has been replaced with the following:
“By remittances from Pakistan, when the full export proceeds are received, within three working days of the receipt of funds by Authorized Dealer (value date of Nostro Account). The Authorized Dealers should report the full export proceeds of the bill as “Purchase” and the amount of commission remitted should be reported as “Sale”.”
