Banks electronically submit 59,176 forex cases via RAS

KARACHI: The State Bank of Pakistan on Monday said banks submitted a total of 59,176 foreign exchange cases digitally through its FX Regulatory Approval System (RAS) till July 31, 2021.

The SBP has completed digitisation of the regulatory approval system for FX cases to support ease of doing business, the central bank said in a statement. “The SBP initiated the project of ‘End-to-End Digitalisation of FX Cases’ with an objective to enhance ease of doing business in the country by providing a fully digitalised platform to the business community and individuals approaching banks for their foreign exchange related requests to SBP,” it added.

The project was divided into two phases. In the first phase, banks were linked with RAS on March 24, 2020; which enabled banks to submit FX related cases electronically for regulatory approval of SBP and SBP-Banking Services Corporation (BSC).

The system has embedded features of providing transparent case tracking mechanisms through emails to customers and case status information option on the SBP website. This initiative significantly enhanced operational efficiency and resulted in cost reduction, improved transparency and led to faster decision-making at SBP and banks.

In the second phase of the project, SBP further extended the facilitation to the business community, whereby the banks developed portals to digitally receive FX cases from their clients for processing.

The project was formally launched by SBP Governor Reza Baqir in a ceremony held on October 16, 2020, wherein SBP FX RAS and FX portals of eight banks were showcased to the business fraternity.

The project was completed on June 30, 2021 when 27 banks, constituting 99.6 percent of the industry’s FX business, launched their portals for digital submission of FX cases by their clients. The remaining one bank is also shifting its core banking system and is expected to fully launch the portal for its customers by the end of September 2021.

The banks, on their part, have ensured that FX portals developed by them are secure, easy to use, and cover all FX-related requests. Efforts have been put in to create awareness among business customers through emails, SMS, print, electronic and social media.

Moreover, to facilitate businesses and the general public in the adoption of FX portals, banks have also established dedicated FX helpdesks in their respective branches.

Further, SBP, in coordination with Pakistan Business Council and Overseas Investors Chambers of Commerce, conducted two rounds of surveys to gauge the feedback of businesses regarding the banks’ FX portals.

The business community appreciated SBP’s initiative of digitalizing FX cases and largely expressed satisfaction over the ease being provided through the usage of FX Portals. “Business community and individuals are expected to benefit greatly from this initiative in terms of reduced time and enhanced efficiency. This initiative will also help reducing paper usage, thereby protecting the environment,” said the SBP.