The State Bank of Pakistan (SBP) has announced the restructuring of its Banking Supervision Group, consolidating three existing departments into two—Banking Supervision Department-1 (BSD-1) and Banking Supervision Department-2 (BSD-2).Â
The reorganization was detailed in BSD-1 Circular No. 01 of 2024, issued on December 13. This move is part of a broader effort to enhance regulatory oversight and operational efficiency in the banking sector.
The SBP has also established a new Cyber Risk Management Department (CRMD) to oversee cybersecurity risks within regulated entities. The CRMD will perform both on-site and off-site supervision, reflecting the increasing importance of cybersecurity in the financial sector.
The circular confirmed that the directors of the newly restructured departments have assumed their roles. Syed Mansoor Ali will lead BSD-1, Fazal Mahmood will head BSD-2, and Ali Murtaza will oversee the CRMD.
The SBP emphasized that these changes aim to strengthen regulatory frameworks and safeguard the financial system against emerging risks, particularly in the digital space. Banks, development finance institutions, microfinance banks, and other entities have been advised to take note of the changes and ensure compliance with the updated supervisory structure.
The circular also enclosed a list of entities allocated to BSD-1 and BSD-2.Â
