The State Bank of Pakistan (SBP) on Monday announced to provide 6 percent research and development (R&D) support on export of processed food. However, the SBP has said that it would not directly receive R&D support claims, and cases duly approved by Trade Development Authority of Pakistan (TDAP) would be considered for payment.
In this regard, Exchange Policy Department of SBP on Monday issued EPD Circular Letter No/04/EPP.1 (51)-FS-2009 to the head and principal offices of all authorised dealers in foreign exchange. The SBP said that the government of Pakistan has allowed 6 percent R&D support on exports of processed food, subject to observance of certain terms & conditions as mentioned in the circular.
In this regard, it advised the authorised dealers to receive the R&D claims from exporters for onward submission to TDAP and, after scrutiny and approval, TDAP will forward the claims eligible for payments to SBP-BSC (Bank) Head Office, Karachi, against Ministry of Finance's proper allocation.
SBP-BSC bank would credit the concerned authorised dealers' accounts accordingly for onward credit the same to the exporter's account. SBP has instructed authorised dealers that claims so far received may be forwarded to TDAP for further necessary action.