SBP imposes Rs 58m fine on top five banks

Aftab Ahmed

Islamabad: Pakistan’s banking regulator—SBP—has cumulatively fined Rs 58 million for violating regulatory instructions pertaining to general banking operations, said an official order of the SBP on Tuesday.

The top regulator on banking through its enforcement actions has penalized the top five banks in Pakistan that included Bank Alhabib Limited, The Bank of Punjab, Standard Chartered Bank (Pakistan) Limited, Askari Bank Limited, and National Bank of Pakistan, the order added.

SBP tighten regulations for Auto Financing

According to the details of the monitory penalty on the said banks in Pakistan, the SBP has imposed a fine of Rs 13.68 for violating regulatory instructions pertaining to general banking operations. The Bank Alhabib Limited is also directed to strengthen its processes in other identified areas as well.

The Bank of Punjab has been penalized Rs 12.55 million for violating regulatory instructions pertaining to general banking operations. Besides this, the BoP is also advised to strengthen its processes in identified areas.

The SBP has fined Standard Chartered Bank (Pakistan) Limited Rs 11.05 million for violating regulatory instructions whereas the SCB is also directed to take further action to strengthen already identified areas.

Askari Bank Limited (ABL) under the administration of Army Welfare Trust (AWT) has been fined Rs 10.30 million on violation of regulatory instruction from the SBP whereas the SBP further directed ABL to strengthen its processes as well.

National Bank of Pakistan (NBP)—the only Public Bank of the country—has been penalized Rs 10.26 million for violating regulatory instructions from the SBP and the NBP has been advised to strengthen its processes in identified areas as well, the order concludes.