China eases terms for Pak banks to open branches

ISLAMABAD: Beijing has agreed to slash down requirement from $50 billion to $15 billion for opening up of Pakistani bank branches in China under revised Free Trade Agreement (FTA) with Pakistan.“Yes, China has reduced its requirement for opening up Pakistani bank branches from $50 billion assets to $15 billion and

By Mehtab Haider
August 19, 2015
ISLAMABAD: Beijing has agreed to slash down requirement from $50 billion to $15 billion for opening up of Pakistani bank branches in China under revised Free Trade Agreement (FTA) with Pakistan.
“Yes, China has reduced its requirement for opening up Pakistani bank branches from $50 billion assets to $15 billion and now Habib Bank Limited becomes eligible to open its branch after this relaxation,” the State Bank of Pakistan (SBP) high-ups informed the Senate standing committee on finance here on Tuesday.
They said that it was expected that National Bank of Pakistan (NBP) would be able to meet this requirement paving the way for opening up its branches in China as well.The NBP had opened up 21 international branches in 19 different countries but its international operation had been facing losses because of Bangladeshi scam of Rs18.5 billion and $80 million bad debt to Al Tuwairqi Group that could not succeed in running its business because of lack of availability of gas.