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 Introduction

The State Bank of Pakistan (SBP) is incorporated under the State Bank of Pakistan Act, 1956, which gives the Bank the authority to function as the central bank of the country. The SBP Act mandates the Bank to regulate the monetary and credit system of Pakistan and to foster its growth in the best national interest with a view to securing monetary stability and fuller utilization of the country’s productive resources.

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 Legal Framework

SBP’s Functions are mainly governed by:
  1. SBP Act, 1956 (as amended up to 28-01-2022)
  2. Banking Companies Ordinance, 1962

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 Functions of SBP

Like a Central Bank in any developing country, State Bank of Pakistan performs both the traditional and developmental functions to achieve macro-economic goals.

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 Governance

Section 9:
The general superintendence and direction of the affairs and business of the Bank, except the monetary policy decision, is vested...

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