KARACHI, Aug 03 (APP): State Bank of Pakistan (SBP) increased monitoring of foreign exchange operations through inspection of exchange companies, banks and mystery shopping exercise.
According to a statement issued here on Wednesday the action has been taken in view of recent volatility in the exchange rate and the difference between the interbank rate and the rate offered by exchange companies (ECs) and banks to their customers.
The SBP spokesperson informed that the central bank started inspections of a number of exchange companies and banks since Monday while operations of four branches of two ECs were suspended on Tuesday for violation of SBP regulations.
A meeting of the Exchange Companies Association of Pakistan has been called on August 4, 2022 as well.
SBP has also started conducting mystery shopping exercise throughout Pakistan to investigate the apprehensions that some ECs were not selling foreign currency to their customers.
The spokesperson further informed that SBP would augment its enforcement actions on the Exchange Companies and the banks, if needed, in light of findings of the on-going inspections and mystery shopping.
SBP had also imposed monetary penalties on some ECs in the recent past. Besides, due to violations of SBP instructions, arrangements of 13 franchises have been terminated by six different ECs as well, the statement added.
