LAHORE Mirror — The State Bank of Pakistan (SBP) has recently announced the removal of restrictions on importing US dollars, allowing exchange companies to import cash if necessary, against the value of their export consignments.
According to a circular issued by the SBP, currency exchange companies now have the option to import cash in US dollars, based on their need, for export consignments denominated in permissible foreign currencies. To facilitate the process, such imports are to be conducted through reputable cargo or security companies within a period of five working days.
The newly implemented arrangement is initially set to be in place until December 31, 2023. However, the central bank has put a condition in place, stipulating that the total amount of cash US dollars imported by an exchange company during this period should not exceed 50% of the value of its export consignments.
To ensure compliance with all relevant laws and regulations, including those of the jurisdiction from where the US dollars are being imported, the central bank emphasized that exchange companies must adhere to proper financial practices. Specifically, they are required to accurately reflect all transactions related to the import of cash in their books of accounts.
The Exchange Companies Association of Pakistan (ECAP) has warmly welcomed the central bank’s decision, expressing optimism that it will help bridge the gap between open market and interbank rates.
Commenting on this development, ECAP General Secretary Zafar Paracha said that this move by the state bank will effectively address the country’s dollar shortage, a positive step towards economic stability.
