Please
refer to SMEFD Circular No. 01 dated March 19, 2010 whereby
State Bank of Pakistan has launched Credit Guarantee Scheme
for Small and Rural Enterprises.
In
this regard, it is clarified that the Credit Guarantee
issued by SBP under the scheme is recognized (to the
extent of risk coverage by SBP) for capital adequacy
purpose as per BSD Circular No. 8 dated June 27, 2006
and will carry 0% risk weight under Credit Risk Mitigation
(CRM).
Please
acknowledge receipt.