1. 1

2. University of Central Punjab Gujranwala
2

3. Novelty Group
3

4. Project
Rabbiyah
 Introduction & Primary Functions of SBP
Ayesha
 Secondary Functions of SBP & Sub-Groups of SBP
Madeeha
 Non-Traditional Functions
Jasia
 Development Finance & its Role
4

5. State Bank of Pakistan
5

6. 6

7. History
•
Reserve bank of India
•
Distribution of RBI’s reserve after
independence
•
Establishment of SBP in 1948
7

8. Facts and figures

Central Bank of: Pakistan

Established:1948

Headquarter s:Karachi & Islamabad

Offices : 16 office in whole pakistan

Governor: Mr. Yaseen Anwar
8

9. Functions of SBP
There are three main types of Functions of SBP



Core Functions
Traditional Functions
1. Primary Functions
2.Secondary Functions
Non-Traditional Functions
9

10. 10

11. Primary Functions






Issuance of Notes
Conduct of Monetary & Credit Policy
Regulation & Supervision of Financial
System
Banker’s Bank
Lender of Last Resort
Banker to Government
11

12. Issuance of Notes
•
Issuance of notes
o SBP has monopoly according to act
1956
o Two departments:
 Issue department
 banking department
12

13. o
o
Min. amount of reserve for issue of notes
is 1.2 billion (30%)
Issue offices: located in Karachi,
Peshawar, Lahore& a number of
currency chest all over the country
13

14. Conduct of Monetary & Credit
Policy
14

15. Main Instruments for Credit
Control
OMO
SLR
CRR
Repo Rate
15

16. Regulation & Supervision of
Financial System
Off-Site
Monitoring
On-Site
Monitoring
16

17. Banker’s Bank
Services to Schedule Banks



Deposits of Schedule Banks
Remittances Facilities
Clearing House
17

18. Lender of the Last Resort
18

19. Banker to the Government
19

20. Secondary Functions




Public Debt Management
Management of Foreign Exchange
Advisor to Government
Relations with IFI’S
20

21. Public Debt Management
21

22. Management of Foreign
Exchange
Exchange Rate
Regime
Forex
Market
22

23. Advisor to Government


MFPCB
Reports on the state of Economy
23

24. Relationship with IFI
24

25. Sub-Groups of State Bank of Pakistan
There are only two Sub-Groups of SBP


Banking Service Corporation (BSC)
National Institution of Banking & Finance (NIBF)
25

26. Non-Traditional Functions




Development of Financial Institutions
Training Facilities to Banker
Development of Specialized Financial
Institutions
Credit to Priority Sector
26

27. Development of Banking
System
27

28. Training Facilities to Bankers
NIBAF
IBP
SEANZA
Library
Services
For Rural
Finance
28

29. Development of Specialized
Financial Institutions
29

30. Credit to Priority Sector
Export Financing
Scheme
Credit To
Agriculture
30

31. Development Finance
31

32. Introduction



Development of an inclusive financial system
in the country.
The Divisions/Units in the field offices are the
local contact points for continuous interaction
with stakeholders.
The establishment of Development Finance
Group (DFG) in SBP and creating the
necessary institutional capacity in SBP to
achieve this strategic objective.

33. Cont’d



DFG is engaged in enhancing its capacity to
catalyze and facilitate expansion of financial
services in un-banked/under-banked
areas/sectors.
The group based in Karachi
Not continuously interact with grassroots level
stakeholders and monitor banks’ progress to
develop and expand their development finance
capacity.

34. Cont’d



The SBP-BSC however has presence in 16 key
areas/regions across the country with immense
potential for growth of development finance.
The DFSD though based in BSC Head Office
Karachi (HOK), it has gradually established
Units in 13 field offices.
Ensure access to financial services to all
segments/sectors of the economy.

35. Cont’d

The Development Finance Support
Department (DFSD) in the BSC is aimed
at using the BSC field offices across the
country to augment the DFG capacity
and its role for connecting the
unbanked/under-banked areas/sectors with
the country’s financial markets.

36. Development Finance Institutions
1.
2.
3.
4.
5.
6.
7.
8.
House Building Finance Company Limited
Pak Brunei investment Company Limited
Pak-China Investment Company Limited
PAIR Investment Company Limited
Pakistan Kuwait Investment Company
Limited
Pak Libya Holding Company Limited
Pak Oman Investment Company Limited
Saudi Pak Industrial & Agricultural
Investment.
36

37. Role Of Development Finance





Coordination and interaction with DFG and
banks.
Monitoring banks performance
Collect data for assessment of banks
Maintain province, district , and region
wise database.
Monitor banks progress towards
increasing retail capacity.

38. Cont’d



Facilitate linkage between banks and
technical and vocational institutions.
Develop links SMEDA, SMEs, MEs,
Chamber of commerce etc.
To facilitate the DFSUs in conducting the
meetings of Regional Focus Groups for
Agriculture, SME and Micro-finance.

39. Cont’d



To develop linkages with provincial and
District governments, agricultural research
and extension departments.
To organize programs/field
visits/workshops/seminars in consultation
with DFG to create awareness.
To develop linkages with universities and
colleges in the region.