All Banks,

Dear Sirs,

Lending to Public Sector Enterprises- Limits by SBP

Banks are aware that State Bank has imposed a limit on the maximum fund based facilities that a bank can provide to the individual Public Sector Enterprises and Autonomous Bodies (PSEs/ABs) as per list already forwarded to them

2. It is clarified that, henceforth investment made by banks in shares of these PSEs / ABs whether subscribed through Initial Public Offerings (IPOs) or through purchase from secondary market, shall not be counted towards the ceiling fixed by State Bank in respect of financing facilities to be provided by each bank to these PSEs/ABs.

3. Other instructions on the subject shall remain unchanged.