Dear Sir/Madam,

Amendment in Instructions regarding NRP Rupee Value Account (NRVA) – Inward Remittances through International Money Transfer Operators / Exchange Companies

          Attention of Authorized Dealers (ADs) is invited to FE Circular No. 1 dated August 5, 2020.

2.       In terms of Para 2 Sub-Para (III) (iii-a)) of the above circular remittances received from abroad through banking channels can be credited into NRP Rupee Value Account (NRVA).

3.         In order to further facilitate the non-resident Pakistanis in sending remittances from abroad into their NRVA, it has been decided that Authorized Dealers may allow credit into NRVA on account of remittances received from abroad through the foreign correspondent entities under their home remittance agency agreements, both on ‘Free Send Model’ and ‘Fee Based Model, subject to compliance with the following conditions:

1. Authorized Dealers shall not claim ‘Reimbursement of TT Charges’ for remittances received under ‘Free Send Model’ for credit into NRVA. While ‘Reimbursement of TT charges scheme is already not applicable on ‘Fee Based Model’.
   
   
2. Authorized Dealers shall ensure that no customer including NRVA customer is charged any fee at the time of sending remittances through foreign correspondent under ‘Free Send Model’.
   
   
3. Authorized Dealer may, however, either provide this service free of cost or charge a fee, not more than the amount otherwise reimbursable to them under ‘Reimbursement of TT Charges scheme’, in Pakistan from beneficiary’s account for remittances received in NRVA under ‘Free Send Model’.
   
   
4. In case of remittances received through the intermediary bank in Pakistan, the intermediary bank will transfer the remittances along with complete detail of underlying transactions to the beneficiary bank. The beneficiary bank will identify the number of transactions received from the intermediary bank for credit to NRVA and share the details with intermediary bank, latest by 5thday of the subsequent month. The intermediary bank will not claim TT reimbursement charges for these transactions from SBP. The beneficiary bank will pay the applicable charges to intermediary bank, either on its own or recover from the account holder as per sub-para iii above.
   
   
5. In case of remittances received under ‘Free Send Model’ for credit to accounts other than NRVA, Authorized Dealers shall comply with all applicable regulations to claim ‘Reimbursement of TT charges’ as given in EPD Circular Letter No. 08 dated May 24, 2016, as amended from time to time.
   
   
6. Authorized Dealer shall inform NRVA holders about the applicable fees to be deducted in Pakistan from their NRVA under the above arrangement.
   

Accordingly, the Para 2 Sub-Para (III) (iii-a)) of the FE Circular No. 01 dated August 05, 2020 shall be replaced with the following:

“Remittances received from abroad through banks and foreign correspondent entities under their home remittance agency agreements with Authorized Dealers in Pakistan.”

4.        All other instructions on the subject matter shall remain unchanged. ADs are advised to bring the above instructions to the knowledge of all their constituents for meticulous compliance.