Islamabad: The government has decided to issue certificates for local and overseas Pakistanis in its bid to address the balance-of-payments crisis and build the depleting foreign exchange reserves, a news source reported. The USD-denominated Pakistan Banao Certificate (PBC) will have a maturity duration of three and five years, bearing an estimate coupon rate of 5% and 5.5%, respectively.
The certificate will be payable in USD on semi-annual basis in the investors’ nominated dollar account maintained overseas. Holders of CNICs, NICOP or POC will be eligible to invest either individually or jointly. To this effect, the government has already promulgated PCB Rules 2018.
The said certificate will be issued through a web portal in scriptless format, registered in subsidiary general ledger account of government securities, overseen by the State Bank of Pakistan.
The central bank has invited financial institutions operating in Pakistan, as well as conducting operations abroad, to submit their expression of interest by December 31, 2018.