The Presidents/Chief Executive Officers,

All Banks/DFIs.

Dear Sirs/Madams,

REGULATORY RELIEF TO DAMPEN THE EFFECTS OF COVID-19 –

PRUDENTIAL REGULATIONS FOR CORPORATE / COMMERCIAL BANKING

Please refer to BPRD Circular Letter No. 13 of 2020, whereby, regulatory measures were announced to dampen the adverse effects of COVID-19 pandemic.

2. It has been decided to enhance the scope of the instructions, issued vide aforesaid Circular Letter [Para 2(iv-vii) and 3], to include the Term Finance Certificate and Sukuk, excluding such debt instruments which have been issued by regulated entities of State Bank of Pakistan, subject to condition prescribed below:

The deferment of principal and/or rescheduling/restructuring of the TFCs/Sukuk will be as per the agreement of investors and in accordance with the terms & conditions of the trust deed and /or Transaction Documents of the instrument.

3. All other instructions on the subject shall, however, remain unchanged. The Banks/DFIs are advised to follow the instructions in letter and spirit. Any deviation or non-compliance of the same shall attract punitive action under the relevant provisions of the Banking Companies Ordinance, 1962.
4. Please acknowledge receipt.