Pakistan, Nepal central banks sign agreement

KARACHI: The central banks of Pakistan and Nepal on Thursday signed an agreement to cooperate in the field of supervision and exchange of supervisory information under Basel Core Principles for Effective Banking Supervision, a statement said.

A memorandum of understanding (MoU) was signed between the State Bank of Pakistan (SBP) and the Nepal Rastra Bank – the central bank of Nepal.

Syed Irfan Ali, executive director – Banking Policy & Regulations Group – SBP, and Maheshwor Lal Shrestha, executive director – Banking Supervision Department – NRB, signed the agreement on behalf of their respective countries, it added.

The SBP said Habib Bank Limited had an affiliate in Nepal, Himalayan Bank Ltd, with 20 percent shareholding. This MoU will enhance bilateral relationship and help share information to accomplish convergence towards common modalities and standards, in cross-border supervision of banks, operating in both the countries.