in Foreign Exchange,
refer to the instructions conveyed vide FE Circulars No.
34 and 37 dated the 8th July, 1998 and the 13th July, 1998
respectively regarding withdrawal of powers delegated to
them in the Foreign Exchange Manual. The position has since
has been reviewed and the powers withdrawn in terms of the
said circulars are restored with immediate effect in the
case of remittances of following nature :-
Remittance on account of principal, interest etc. on the
basis of repayment schedules registered with the SBP of
purely private sector excluding those organizations which
are 51% or more owned by the Government - paragraphs 51
and 53/of the FE Manual.
Remittances on account of Royalty and Technical Fee admissible
as per paragraphs 10 & 11 of Chapter XIV of the FE Manual.
Remittances of Divident to non-resident shareholders on
the basis of documentation prescribed by the SBP - paragraph
13 of Chapter XIV of FE Manual.
Remittance of instalments of principal and interest of foreign
currecy loans by Pakistani firms and companies on the bais
of repayment schedule registered with SBP and remittances
of principal and interest on account of foreign currency
loans obtained by foreign controlled companies for working
capital requirements in terms of repayment schedule communicated
to the SBP - paragraph 12(ii) and 12(iii) of Chapter XIX
of FE Manual.
In terms of para 28 of Chapter XIII of the Foreign Exchange
Manual the Authorized Dealers were permitted to registered
contracts.purchase orders/proforma invoices/indents etc.
for imports without letter of credit, provided the import
of the concerned goods was not subject to specific authorization
from the Export Promotion Bureau/Ministry of Commerce. This
facility was withdrawn vide FE Circular No 37 of 1998. It
has been decided to restore the said facility with immediate
effect, subject to the condition that such imports will
be made of only those commodities which do not require specific
authorizsation from the Export Promotion Bureau/Ministry
of Commerce and which are not subject to the margin restrictions
imposed by our Banking Policy & Regulations Department.
Other instructions will, however, remain unchanged.