KARACHI: The State Bank of Pakistan (SBP) has directed banks to install their information system for maintaining a comprehensive depositors’ database, which ensures smooth process of reimbursements.
To ensure that the payment of guarantee amount (reimbursement) to genuine protected depositors becomes a seamless process, the timely availability, integrity and reliability of depositors' information maintained with banks was of utmost importance, the central bank said in a circular posted on its website late Friday.
“The Deposit Protection Corporation (DPC) will pay the guarantee amount to the protected depositors of a member bank in accordance with stipulations under Section 21 of the Act, on a per-depositor per-bank basis,” said the circular.
“All member banks are advised to appropriately install or update their systems including software(s)/ database(s) for maintaining a comprehensive depositor-wise database,” it said.
Such database should have the ability to identify, on any given date, all the accounts of any single depositor and calculate the total liability of a bank towards that depositor (including any interest/ profit accrued on his/ her deposits), the central bank said.
This Management Information System (MIS) would be used by DPC in the event of reimbursement at any given cut-off date.
“The single depositor view will be achieved, preferably by using a unique identification number that, in case of individuals' accounts, should also be linked to their Computerized National Identity Cards (CNIC)/ Smart National Identity Cards (SNIC)/ National Identity Card for Oversees Pakistanis (NICOP).”
In addition to identifying all the protected deposit accounts on the required MIS, each member bank was expected to be able to provide information with at least some basic features.
For foreign currency deposits, the outstanding liability of the member bank towards each protected depositor should be convertible to local currency, according to the circular.
The picture shows a logo of Federation of Pakistan Chambers of Commerce & Industry . — APP/FileKARACHI: Atif Ikram...
The image shows the logo of the Securities and Exchange Commission of Pakistan . — APP/FileISLAMABAD: The Securities...
This image released on January 26, 2023, shows the logo of Archroma. — Facebook/ArchromaKARACHI: Archroma Pakistan...
The logo of the Trade Development Authority of Pakistan . — TDAP website. Mirpur: Kausar Taqadus Gilani, Minister...
This representational image shows Gold bars. — AFP/FileKARACHI: Gold prices in the local market dropped by Rs600 per...
Security personnel walk past the US Federal Reserve building in Washington, DC on Oct 22, 2021. —...