SBP imposes Rs290 million in fines on six banks

KARACHI – Pakistan’s central bank has imposed fines amounting to over Rs290 million on six banks for violating several regulatory laws.

The action comes as several irregularities were found in major banks amid an unprecedented increase in the US dollar rate.

The highest fine of Rs140.03 million was imposed on Bank Al Habib for violating regulatory instructions pertaining. Meezan Bank Limited was fined more than Rs80 million. National Bank of Pakistan was also fined over Rs25 million for violating rules related to asset quality.

Another private bank MCB has also been slapped with a fine of Rs19.223 million while JS Bank Limited and Faysal Bank Limited have been penalised Rs13.490 million and Rs10.025 million, respectively.

Earlier this month, the State Bank of Pakistan found the involvement of eight Pakistani banks in an unprecedented increase in the US dollar rate while authorities also sent the names of these banks to the National Assembly Standing Committee for further action.

Reports suggest that these banks along with some money exchange added fuel to fire when the US dollar started flying out of Pakistan soon after a successful regime change operation in the country.

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