The Presidents / Chief Executives
All Authorized Commercial Banks

Issuance of Premium Prize Bonds (Registered) through Commercial Bank Branches

Dear Sir/Madam,
This is with reference to SOP for issuance of Premium Prize Bonds (PPBs) through
commercial banks and other instructions on the subject issued from time to time.
2. In this connection, the prevailing mechanism for reporting PPB sale transactions
has been reviewed and it has been decided that:
a) Banks shall settle all PPBs sale transactions on the same day with SBP BSC
Karachi.
b) The settlement mechanism will involve reporting of Sale transactions of PPBs
through DAP as per the prescribed timelines.
c) SBP BSC Karachi office shall debit the account of the bank based on the amount
of sale reported by the concerned bank on daily basis.
d) Any bank failing to settle the proceeds of sale transactions on the same day shall
be liable to pay use of funds for the period of delay, calculated at the SBP
Overnight Reverse Repo (Ceiling) rate prevailing on each day during such period.
e) SBP BSC Karachi office shall be responsible for calculation and recovery of use of
funds from the concerned bank by debiting their account per contra credit to
Central (Non-Food) Account No. I against Account Head C02247.
3. Additionally, in cases where profit or prize money is paid erroneously due to non reporting, delayed reporting, or misreporting of sale or encashment or transfer
transactions by a commercial bank, the concerned bank shall be liable for the gross
amount so wrongly paid subject to adjustment of income tax, if so possible.
4. All other instructions on the subject shall remain unchanged.