The Presidents/CEOs,

All Banks,

Dear Sirs / Madam,

PROCUREMENT OF WHEAT BY THE PRIVATE SECTOR-2007

Banks are aware that instructions have already been issued to ensure retirement of the loans granted by them for procurement of wheat during 2007, latest by 31st January 2008 as contained in SMED & MFD Circular No.01 dated 26-01-2007, read with MFD Circular Letter No.06 dated 11-12-2007.

2. Banks shall also ensure that private sector borrowers including flour mills are not accommodated to provide financing facilities for retirement of the loans availed by them from other banks for wheat procurement to avoid hoarding of wheat.
3. Any violation of SBP instructions would attract penal provisions under BCO, 1962.

Please acknowledge receipt.