Pakistan’s $3 billion Standby Arrangement (SBA) with the International Monetary Fund (IMF) has increased the country’s foreign reserves and fixed short-term concerns affecting the economy’s external sector, State Bank of Pakistan (SBP) Governor Jameel Ahmad said Monday, according to JEE News.
Ahmed’s remarks came during a flag hoisting ceremony to commemorate Pakistan’s 77th Independence Day at the Central Bank premises in Karachi on Monday.
In a solemn flag hoisting ceremony held at #SBP headquarters in Karachi, Governor SBP Mr. Jameel Ahmad raised the flag of Pakistan to celebrate country’s Independence Day.#14August2023 #IndependenceDay2023 pic.twitter.com/XwLnaSlenN
— SBP (@StateBank_Pak) August 14, 2023
“The nine-month standby arrangement with the IMF has improved the country’s foreign reserves and largely addressed the near-term problems related to the external sector of the economy,” Ahmed said.
The country’s foreign exchange reserves with the State Bank currently stand at $8.04 billion. Addressing the gathering, Ahmed recounted the extraordinary achievements of the central bank over the past 76 years. Foremost among them was gaining the trust of Pakistanis.
In line with international best practices, SBP’s Monetary Policy Committee (MPC) is now an independent forum that decides on monetary policy, keeping in mind the medium-term inflation target and the economic conditions of the country.
The State Bank informs the Parliament of its goals and activities through annual and bi-annual reports as it is accountable to the People’s Parliament and the public.
In addition, it also issues a Financial Stability Review (FSR) which highlights key risks facing the financial system and assesses the resilience of the financial system to these risks.
Governor #SBP, Mr. Jameel Ahmad during his address in flag hoisting ceremony, paid rich tributes to Quaid-e-Azam Muhammad Ali Jinnah & his companions who despite adversities led freedom struggle & won an independent state for Muslims of subcontinent.https://t.co/wbosmP869V pic.twitter.com/GOseRNZlhP
— SBP (@StateBank_Pak) August 14, 2023
Ahmed highlighted that in the recent past, the global economy was under pressure, which resulted in an increase in inflation in Pakistan. The situation was aggravated by the floods and the delay in the IMF program review.
The Governor observed that State Bank is making significant progress towards digital banking, green banking and Islamic banking.
He specifically mentioned issuing a licensing and regulatory framework for digital banks in line with international best practices, FinTech development, and practical efforts to transform the banking system into Shariah-compliant banking.
Ahmed also described the development of the next strategic plan under the third five-year strategic plan of the Islamic banking industry, improvement in liquidity management and Shariah governance framework.
He paid great tribute to Quaid-e-Azam Muhammad Ali Jinnah and his colleagues who led the freedom struggle despite difficulties and achieved an independent state for the Muslims of the subcontinent.
He recalled how the nascent state of Pakistan faced hostile conditions during its early days and how it had to depend on others to carry out its financial and banking activities.
These adverse conditions eventually led to the establishment of the State Bank for the economic independence of the country.
The function, which was attended by the bank’s top management and a large number of State Bank officials along with their families, began with the unfurling of the national flag by the Governor State Bank accompanied by a Pakistan Navy band. The national anthem was played.
A well armed contingent of the Internal Bank Security Department (IBSD) presented a guard of honor to the Governor.
A choir of students from Karachi’s Garage School presented heart-warming national songs which were well received by the audience. The Governor also planted a tree to commemorate the Independence Day of the country.
A choir consisting of students from the Garage School of Karachi presented heartwarming national songs which were highly appreciated by the audience and filled the event with patriotism.#14August2023 #IndependenceDay2023 pic.twitter.com/fVslI9xu4k
— SBP (@StateBank_Pak) August 14, 2023
On this occasion, a special exhibition of Pakistani postage stamps was organized at the SBP Museum under the title of the famous artist Saeed Akhtar’s series ‘Azadi Ke Alambardar’.
The exhibition depicts the freedom fighters who stood up against foreign rule and bravely led the freedom movement. Ahmed also inaugurated an exhibition of small-scale cultural dioramas (3D models with sound and motion) created by renowned artist Abdul Karim Solangi (Pride of Performance), representing various cultural aspects of Pakistan.
