All
Authorized Dealers
In Foreign Exchange,
Dear
Sirs,
ISSUE
AND TRANSFER OF SECURITIES IN FAVOUR OF NON-RESIDENTS
Attention
of Authorized Dealers is invited to F.E.
Circular No.53 of 1994 in terms of which persons resident
outside Pakistan (including overseas Pakistanis) are allowed
to invest in the 6th issue of registered WAPDA
Bonds on reportable basis.
2.
It has now been decided to allow investment by persons resident
outside Pakistan (including overseas Pakistanis) in the
7th issue of registered WAPDA Energy Bonds covered
under the WAPDA Energy Bonds (Seventh Issue) Regulations
1997 notified by the Government vide SRO No.121/(1)/97 dated
the 23rd February, 1997 on payment of the purchase
price in foreign exchange. Accordingly, the existing sub-para
(g) of Para
6, Chapter
XX of the Foreign Exchange Manual (inserted vide F.E.
Circular No.8 of 1994 read with F.E.
Circular 37 of 1996) is amended to read as under:-
"Issue/transfer
of rupee denominated registered Corporate Debt Instruments
(viz. PTCs, TFCs etc); and Registered WAPDA Bonds which
non-residents are eligible to purchase under the WAPDA
Bonds Regulations for the respective issue as notified
by the Government, in favour of non-residents (including
overseas Pakistanis) on the basis of repatriation of capital
& profits/interest subject to the condition that the
issue/purchase price is paid in foreign exchange either
as a remittance through banking channels or out of foreign
currency/Special Convertible Rupee Account maintained
with a bank in Pakistan. Remittance of profit/interest
and sale/maturity proceeds will be allowed by the State
Bank on submission of evidence of inward remittance or
of payment out of Foreign Currency Account."
3.
It has also been decided to allow Non-residents to trade
freely in the registered Corporate Debt Instruments and
WAPDA’s registered bonds listed in the Stock Exchanges
of the country in the secondary market through Special Convertible
Rupee Accounts alongwith FIDs / TBS subject to same conditions
as are laid down in Para-8
Chapter
XX of the Manual ibid.