The Finance Ministry is encountering resistance from some Cabinet members regarding the proposed appointment of dual nationals to senior positions at the State Bank of Pakistan (SBP), Business Recorder reported citing sources.
On February 18, 2025, the Federal Cabinet was briefed that SBP, established under the State Bank of Pakistan Act, 1956, had proposed amendments to the Act. These amendments aim to enable the bank to issue digital currency, establish subsidiaries, and allow more flexibility in nominating Directors, Monetary Policy Committee (MPC) members, and Deputy Governors.
The SBP (Amendment) Bill 2024 was referred to the Law and Justice Division for legal vetting, and the vetted draft was subsequently shared with the Cabinet. As per Rule 27 of the Rules of Business, 1973, the Cabinet was required to give in-principle approval before submitting any law amendments to the Cabinet Committee for Disposal of Legislative Cases (CCLC).
A Cabinet Committee was formed to review the proposed amendments, including the issue of allowing dual nationals to hold sensitive positions at SBP. On January 2, 2025, the committee agreed to remove the clause “having dual nationality” in Section 13(a) of the SBP Act, 1956, as amended in 2022, subject to disclosure of dual nationality.
The Finance Ministry sought Cabinet approval to present the SBP (Amendment) Bill 2024 to the CCLC. However, during discussions, some Cabinet members supported the recommendations of the committee, while others opposed the inclusion of dual nationals on SBP’s board.
A proposal to defer the decision was raised due to the absence of key ministers, including the Deputy Prime Minister/Foreign Minister, Minister for Defence, and Minister for Planning, Development, and Special Initiatives. Ultimately, the Cabinet decided to defer the decision on the proposal until the relevant ministers were present.
