DFIs to keep Rs 1 billion minimum paid-up capital

The State Bank on Tuesday said that development finance institutions (DFIs) will also be required to meet minimum paid-up capital requirement of Rs 1 billion, free of losses, and maintain capital adequacy ratio not less than 8 percent of their risk weighted assets.
The banks operating in Pakistan are required to meet minimum paid-up capital requirement of Rs 1 billion, free of losses, and maintain a capital adequacy ratio (CAR) not less than 8 percent of their risk weighted assets.
The State Bank made the same mandatory for the DFIs also.
Furthermore, they (DFIs) are required to report their capital position on quarterly basis along with Quarterly Statement of Condition on the prescribed format, w.e.f Quarter ending September 30, 2004.
"All DFIs are advised to meet the Minimum Capital Requirement in accordance with the guidelines laid down in the said Circular," said the SBP circular.