Therefore, exporters were facing difficulties in depositing cash convertible currencies in their accounts. The State Bank has drawn attention of authorised dealers towards EPD Circular Letter No 03 dated March 12, 2002 on the subject containing therewith SRO No 137(1)/2002 dated March 7, 2002 issued by the Ministry of Commerce, Government of Pakistan.
According to EPD Circular Letter No 04 issued on Friday, as per FE Regulations, the export made against convertible currencies is subject to Form 'E' certification by the Authorised Dealers. Accordingly, the export proceeds received as per sales terms are required to be surrendered in the interbank market for which the concerned Authorised Dealer will issue Proceeds Realisation Certificate (PRC) at the prevailing buying exchange rate and credit the equivalent rupees in the PKR account of the concerned exporter.
"However, in view of peculiar nature of trade with Afghanistan, it is emphasised that the Authorised Dealers will accept the cash convertible currencies brought over their counter by the exporters and convert the same at the prevailing buying rate applicable for normal export proceeds for credit to the PKR account of the exporter," the circular said. Further, the banks will ensure that the said proceeds are backed by proper export documents as per prescribed procedure and terms & conditions issued from time to time, it added.