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The National Bank of Pakistan has launched a Margin Financing facility for brokers, said a statement issued here, on Thursday. The product is for providing Margin Financing facility to brokers listed with the Stock Exchanges of Pakistan. Initially, the facility would be made available in Karachi for the Karachi Stock Exchange, the statement added.
The facility had been designed according to the State Bank of Pakistan's directives, which would be given to brokers for use of their brokerage clients, it said.
The statement said that the NBP had already launched Margin Financing facility for retail investors directly with the brand name of the "NBP Investor Advantage".
The efforts of the NBP are in line with the government's efforts to promote Pakistan's capital markets and replace the Badla (COT) system with a more modern and dynamic financing system in line with international financial markets where both individual investors and stock brokers have access to reliable, convenient and affordable financing.
The regulatory steps taken by the State Bank of Pakistan played a key role in facilitating the banking sector to launch this facility.
The NBP is the largest and most profitable financial institution of Pakistan. It has the largest number of customers, depositors and borrowers. The bank's accomplishments have been acknowledged both locally and internationally.-PR

Copyright Business Recorder, 2005

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