KARACHI: The State Bank of Pakistan (SBP) has directed all commercial banks to settle Premium Prize Bond (PPB) sale transactions on the same day.
The central bank said the decision follows a review of the existing mechanism for reporting PPB sale transactions. Under the revised framework, banks will report sale transactions through the Data Acquisition Portal (DAP) within prescribed timelines.
The SBP Banking Services Corporation (SBP BSC) will then debit the concerned bank account on a daily basis, based on the sale amount reported.
Banks that fail to settle sale proceeds on the same day will be required to pay a charge for the use of funds during the delay period. This charge will be calculated at the SBP overnight reverse repo ceiling rate applicable on each day of the delay.
The SBP Karachi office will handle the calculation and recovery of these charges, debiting the concerned bank account with a corresponding credit to the Central (Non-Food) Account.
The circular further stated that if profit or prize money is paid out incorrectly due to non-reporting, delayed reporting, or misreporting of sale, encashment, or transfer transactions, the responsible bank will bear liability for the full amount wrongly paid, subject to adjustment of income tax where applicable.
