Governor State Bank of Pakistan (SBP) Ashraf Wathra on Monday urged the exchange companies to play their role in stabilising the exchange rate in the kerb market. Presiding over a meeting of representatives of exchange companies at Karachi, the SBP governor highlighted different regulatory measures taken recently by the central bank for providing opportunities to exchange companies for the expansion of their business.
The meeting was held to discuss issues relating to prevailing exchange rate in the kerb market, performance of exchange companies and the role of their association. Reiterating that strict regulatory action will be taken against those exchange companies which failed to comply with the applicable rules and regulations, he assured that all genuine grievances of exchange companies would be redressed. The SBP governor apprised the participants of the meeting that work is under way for requiring importers to produce proof of payment at the time of customs clearance of their goods.
The SBP chief said that since there is adequate supply of foreign exchange in the market for meeting the needs of various stakeholders, the exchange rate''s recent fluctuation in the kerb market was not justified. Emphasising the need for curbing speculative trading, Wathra informed the meeting that gross reserves of SBP have touched US $21 billion which is all-time high. He also underscored the need for making the exchange companies'' association more effective for addressing related issues in a coordinated manner.