Guarantee amount for bank depositors doubled

KARACHI: Deposit Protection Corporation (DPC) has increased the guarantee amount for all eligible depositors of banks from Rs250,000 to Rs500,000, to safeguard their interests and bolster trust in banking system, central bank said on Friday.

The decision was made by the Board members of the Corporation in their meeting held on September 06, 2021. This enhanced guarantee amount now provides full protection up to 95 percent of the eligible depositors.

Deposit protection facility is applicable to all the eligible depositors and does not require any further subscription or registration of depositors.

The guarantee amount or protected deposit becomes payable to eligible depositors only if the State Bank of Pakistan declares a bank as a failed bank and is not payable under any other circumstances.