The State Bank of Pakistan has reviewed the existing foreign currency cash-carrying limits for travel purposes and has reduced the limit for travelers older than 18 years to $5,000 per visit. While those below the age of 18 years (minors) can carry out foreign currency equivalent to $2,500 per visit.
This is applicable immediately.
In addition, the SBP has set the annual ceiling of FX for adults and minors to $30,000 and $15,000, respectively. The annual limits will be applicable from January 1, 2023.
“For taking out foreign currencies by persons traveling to Afghanistan, the existing limits prescribed earlier as per SBP Notification no. F.E 2/2021-SB dated October 06, 2021 shall remain unchanged,” read the circular.
In addition, the SBP has also expressed concern over FX transactions over credit and debit cards while traveling.
“The State Bank of Pakistan (SBP) has observed that debit/credit cards are being used for transactions, which are not aligned with the profile of the individual or are intended for commercial purposes. Therefore, SBP has advised banks to ensure that the use of debit/ credit cards for international transactions is aligned with the profile of card holders and for their personal needs only,” stated the circular.
The SBP emphasized that the purpose of debit and credit cards is to facilitate individuals in making payments for transactions that are of personal nature. The SBP says that the limits on these cards as well as payments through them, both domestic and international, should therefore be aligned with the profile of the cardholder and that it is the responsibility of a customer to ensure that his/ her annual limit of $30,000 is not breached at any time.
Is there any data available as to how much cash $$ these measures will save the SBP outflows?
Earning