SBP to introduce Shariah-compliant versions of Naya Pakistan Certificates

(Karachi) The State Bank of Pakistan (SBP) will soon launch Shariah-compliant versions of the Naya Pakistan Certificates, an update on central bank's website stated. The SBP had introduced the scheme to enable Non-Resident Pakistanis (NRPs) to invest in Naya Pakistan Certificates with their Roshan Digital Accounts.

To make the process hassle-free, the State Bank has directed participating banks to provide best user experience and convenience to prospective and existing customers. The SBP stated that all partner banks will continue to provide an exceptional digital experience to their customers via their web portals, mobile apps and other digital channels.

Seamless digital banking

The Roshan Digital Accounts help NRPs to avail digital banking facilities, including access to online banking, domestic funds transfer, utility bills and tuition fee payment in Pakistan. It also gives them an opportunity to invest in government bills, stock exchange, and real estate sector with option of full repatriation.

Privacy, security of data ensured

The central bank has also instructed other banks to ensure that security and privacy of customer data should be ensured at all costs and all the information and documents provided by customers is secured.

It also said that banks will not indulge or display displayed customer information to ensure privacy in this regard.

The SBP mentioned that banks shall ensure that their web portals clearly provide an overview of the RDA scheme, and also display eligibility criteria and documentary requirements, as specified by SBP in the Framework for Remote/ Digital Onboarding of NRPs.

SBP said that banks shall offer both Islamic and conventional accounts, where applicable/allowed and in various eligible currencies (and not just USD) as per the relevant rules and regulations of SBP.

The State Bank also stated that participating banks should provide services like online banking, online fund transfers in Pakistan, payments of utility and other bill, mobile and wallet tops ups in Pakistan, investment in government securities such as Naya Pakistan Certificates (NPC), round the clock currency conversion services, and immediate repatriation of funds to their customers.

The backdrop

The Roshan Digital Account is a major initiative by the State Bank of Pakistan, together with eight other commercial banks operating in the country. The step aims to facilitate Non-Resident Pakistanis and boost remittances and encourage remitters to use official channels for transactions.

The scheme aims to cater NRPs by integrating it with the banking and payment system to serve expatriate Pakistanis.

For the first time in the country’s history, NRPs will be able to remotely open an account through an entirely digital and online process without any need to visit a bank branch, embassy, or consulate. The customer are free to choose either foreign currency or rupee dominated account, or both. Funds in these accounts will be fully repatriable, without the need for any regulatory approval.