The central bank on Wednesday hinted at easing import restrictions imposed by the government to keep foreign exchange reserves under tight control.
This was suggested by State Bank Governor Jameel Ahmed during a banking conference on Wednesday. While responding to media questions about the government’s stringent import policy of the past few months, he said that commercial banks have been told to clear letters of credit (LCs) of up to $100,000.
Speaking at the ‘Sustainable Banking Conference’ held in collaboration with International Finance Corporation, Ahmed said that commercial banks must facilitate priority sectors when clearing LCs, particularly importing the remaining parts and machineries of projects which are near completion.
Earlier, at the Sustainable Banking Conference, Governor State Bank Jameel Ahmed highlighted Pakistan’s vulnerabilities to the impacts of climate change. He went on to add that the SBP had launched an Environmental and Social Risk Management manual as part of the central bank’s ongoing efforts to promote green banking in Pakistan.
Addressing the audience, IFC Regional Director for the Middle East, Pakistan and Afghanistan Khawaja Aftab Ahmed stated that the launch of the Environmental and Social Risk Management (ESRM) Implementation Manual marked a significant step towards promoting sustainable banking practices in Pakistan.