ISLAMABAD: The Ministry of Finance has proposed to amend the Foreign Exchange Regulations Act (FERA) 1947 by introducing a bill ‘FER (Amendment) Act 2019’, in the National Assembly in order to prevent illegal foreign exchange transactions.
This purpose behind this proposal is to empower the State Bank of Pakistan (SBP) to regulate foreign exchange regime in the country more effectively.
The proposed amendment has been approved by the Federal Cabinet and transmitted to the parliament for enactment.
The amendments would substantially strengthen the SBP’s powers to issue necessary regulations/instructions regarding the inland movement of foreign currency and would enable the central bank to monitor such movements.
The measure is a part of the government’s efforts to enhance transparency in financial transactions.