The deposits coming through international donor agencies/welfare organisations may be excluded by the banks/DFIs from the calculation of limit on FE-25 Deposits prescribed in Para 6 of Regulation O-5 of the Prudential Regulations for Corporate/ Commercial Banking.
The central bank has taken this step to promote the FDI and facilitate social and economic uplift through donor agencies/welfare organisations. This will, however, be subject to the condition that the banks/DFIs will obtain an undertaking from the account-holder that such funds are remitted from abroad and would be used for poverty alleviation and socio-economic uplift.
The SBP inspectors during the subsequent inspections will verify the genuineness of all such exclusions.
All such FE-25 deposits excluded from the calculation of limit under Prudential Regulation O-5 will be reported in the footnote to FE-25 Deposits (Note No 10) in the weekly statement of position.