Habib Metropolitan Bank to establish Exchange Company with an initial capital of Rs1 billion
The Board of Directors of Habib Metropolitan Bank Limited
(PSX: HMB) has granted approval for the establishment of an Exchange Company,
as disclosed in the bank's submission to the Pakistan Stock Exchange (PSX) on
Tuesday.
This exchange company will operate as a wholly-owned
subsidiary of the bank, subject to pending approval from the State Bank of
Pakistan (SBP) and fulfillment of regulatory prerequisites.
Meezan
Bank to establish exchange company with Rs. 1 billion capital
This initiative is part of a broader campaign to counter
illegal activities within the black market. The SBP is actively introducing
structural reforms in the exchange company sector to enhance supervision,
governance structures, internal controls, and compliance procedures.
Furthermore, the SBP has raised the minimum capital
requirement for exchange companies from Rs 200 million to Rs 500 million, with
the additional stipulation that the capital must be free of any losses.
Faysal
Bank to establish wholly-owned exchange company
Habib Metropolitan Bank joins a consortium of major banks,
including United Bank Limited (UBL), Meezan Bank, MCB Bank Limited (MCB), Bank
AL Habib (BAHL), Allied Bank Limited (ABL), Faysal Bank Limited (FABL), and
Bank Alfalah (BAFL), in their endeavors to establish their own foreign exchange
companies.
It is worth noting that Habib Bank Limited (HBL) and the
National Bank of Pakistan (NPB) had ventured into exchange companies prior to
the implementation of these new regulatory measures by the SBP.
Source: Profit Pakistan