RECORDER REPORT

KARACHI: The State Bank of Pakistan (SBP) has instructed Exchange Companies not to recover charges which are prohibited under any law, rule or regulation.

SBP through FE Circular No. 13 of 2018, has invited attention of Exchange Companies and Exchange Companies of ‘B’ category to Para 11, Chapter 3 and Para 14, Chapter 8 of the Exchange Companies Manual - 2017 in terms of which exchange rates applicable for sale/purchase of major foreign currencies are to be displayed through notice/display board at a prominent place in each of their outlets.

In order to ensure provision of efficient and transparent services to customers, SBP has decided that Exchange Companies and Exchange Companies of ‘B’ category besides displaying the exchange rates of major currencies shall also ensure that display updated and detailed Schedule of Charges through a notice/display board, both in English and Urdu, at a prominent place in each outlet for outward remittances and branchless banking etc., as per their authorized scope of business.

All Exchange Companies have been asked to display prominently through a notice board, both in English and Urdu, that no charges are levied/deducted for payment of inward remittances and collection of utility bills.

The notice board should also reflect admissible charges recovered against any service from customer on system generated receipt issued for the purpose.

SBP has also directed exchange companies for not recovering charges which are prohibited under any law, rule or regulation.

Failure to comply with the above instructions shall attract regulatory action under the relevant provisions of the Foreign Exchange Regulation Act, 1947, the circular said.