KARACHI: The State Bank of Pakistan (SBP) has strongly rebutted placing any restriction on Letters of Credit (LCs) for import of oil, LNG and petroleum products.

The SBP on Thursday issued a clarification on some misinformation being spread in the media that the import of oil and petroleum products has been restricted by the central bank. “It is clarified that the SBP has not placed any restriction (verbal or otherwise) on opening of LCs or contracts for import of crude oil, LNG and petroleum products. Such misinformation is being spread with ulterior motives to create uncertainty in the market, the SBP said.

In fact, the SBP ensures timely processing of FX payments through banks related to import of oil and gas products (including LNG) and in accordance with the contractual maturity of the trade documents.

All the LCs/contracts for oil import are being retired on their due dates through interbank foreign exchange market without any delay. The same is also evident from the trade data released by the State Bank in terms of which the country’s oil import stood at $1.48 billion and $1.47 billion for Sept-22 and Oct-22, respectively.