The State Bank of Pakistan incorporates exchange companies into the Remittance Initiative Scheme.
The State Bank of Pakistan (SBP) has formally incorporated exchange companies into the Pakistan Remittance Initiative (PRI) Scheme, in addition to banks.
The central bank has released a circular to this effect.
Malik Bostan, Chairman of the Forex Association of Pakistan, endorsed the decision, asserting that the incorporation of exchange companies into the PRI is anticipated to double remittance volumes. He observed that the profit margins on dollar transactions for banks and exchange companies have now been standardised.
Malik Bostan emphasised that, in the previous year, exchange companies contributed approximately four billion dollars to the interbank market. He conveyed assurance that this measure will terminate the monopolistic and extortionate practices of certain international money transfer operators.
The updated PRI scheme has raised the minimum remittance threshold from 100 dollars to 200 dollars, and transactions of 200 dollars or more will incur no sending fee.
Exchange companies have established an ambitious objective to inject eight to ten billion dollars into the interbank market within the forthcoming year, thereby considerably enhancing Pakistan’s foreign exchange reserves.
