FCA holders in turmoil due to withdrawal refusal by banks
The Union of Small and Medium Enterprises (UNISAME) has invited the attention of the State Bank of Pakistan (SBP) that commercial banks are not returning US Dollars (USD) deposited in foreign currency (FC) savings accounts causing hardships to depositors who had kept them in savings accounts for the purpose of travel to visit their relatives, pilgrimage, Haj, tuition fees and for emergency travel for medical treatment.
UNISAME president Zulfikar Thaver said it is reported that banks are saying that they do not have USD and are therefore unable to return the foreign currency and are offering to give Pak rupees instead of USD at the bank rate of exchange.
Since the bank rate is much lower than the open market rate it is causing a loss to the FC account holders.
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The bank rate is about Rs 228 to a dollar whereas the market rate is around Rs 268 or so depending on the daily demand and supply position.
In this case if a depositor who is in urgent need of his own currency deposited in the bank and refused withdrawal by the bank with whom it is kept as amanat (trust) would have to purchase it from the open market at the selling rate which is again higher than the buying rate and that too if available.
Unisame Council members have urged the SBP to direct the banks to honour the request of the FC account holders at all cost and not to damage the trust of the customers.
It is pertinent to note that the business community fully realizes the difficulties being faced by the banks and are prepared to abstain from withdrawing the dollars if not in real need but they have expressed concern only for those who have to withdraw it because of dire need for a bonafide purpose.
