 SBP suspended the operations of four branches of two ECs for violation of SBP regulations.){kind=link}
On Tuesday (August 2, 2022) SBP suspended the operations of four branches of two ECs (Galaxy Exchange Co and Al-Hameed International Money Exchange Co) for violation of SBP regulations.
In opinion of current volatility in the exchange rate and the difference amongst the interbank rate and the rate offered by Exchange Companies (ECs) and banks to their customers, State Bank of Pakistan (SBP) has amplified the monitoring of the foreign exchange operations of ECs and banks.
In this respect, SBP underway inspections of a number of exchange companies and banks since Monday (August 1, 2022)
SBP has also obligatory monetary penalties on some ECs in the fresh past. Moreover, due to violations of SBP instructions, arrangements of 13 franchises have been dismissed by six different ECs in the recent past.
1/2 #SBP increased monitoring of foreign exchange operations of Exchange Companies & Banks in view of recent volatility in exchange rate & started inspections and mystery shopping exercise to investigate customer's apprehensions. See PR: https://t.co/qIFXZe24co pic.twitter.com/Q0x2hAOSBP
— SBP (@StateBank_Pak) August 3, 2022
SBP has also ongoing conducting mystery shopping exercise during Pakistan to investigate the apprehensions that some ECs are not selling foreign currency to their customers.
A meeting of the Exchange Companies Association of Pakistan has also been called on August 4, 2022.
If desirable, SBP would expand its enforcement actions on the ECs and the banks in light of results of the on-going inspections and mystery shopping