ANNOUNCEMENT 25 Mar 2020

Pakistan has liberalized the foreign exchange regulations to facilitate imports of medical devices and medicines through banks as measure against the COVID-19 pandemic.

NUMBER OF INTERVENTIONS

1

  • 0 harmful
  • 0 neutral
  • 1 liberalising

SOURCE

State Bank of Pakistan Press Release
http://www.sbp.org.pk/press/2020/Pr-25-Mar-20.pdf

State Bank of Pakistan - EPD Circular Letter No. 09 of 2020
http://www.sbp.org.pk/epd/2020/FECL9.htm

Inception date: 25 Mar 2020 | Removal date: open ended

Controls on credit operations

On 25 March 2020, the State Bank of Pakistan amended the foreign exchange regulations to facilitate imports of medical equipment, medicines, and other ancillary items for the treatment of the COVID-19. Specifically, the Bank has allowed authorized banks to make 100% Advance Payment for import of medical equipment, medicines, and other ancillary items and the banks are also allowed to make a payment without any limits on the imports of these products on an Open Account basis.

This facility is only available it the payments have been made for imports made by all government departments, public and private hospitals, charitable organizations, manufacturers, and commercial importers.

Before this amendment authorized banks could make an Advance Payment or payment on Open Account basis only up to USD 10,000 for imports of essential medicines and devices and up to USD 50,000 for imports of life-saving medicines and devices.

AFFECTED SECTORS

 
N/A