KARACHI: Pakistan’s exchange companies would continue to play their role in the country’s economy, clarified the State Bank of Pakistan on Monday, noting that there was no change in the instruction on purchase of foreign currency notes by banks who were already allowed to deal in international currencies through authorized branches.
The confusion was caused when some local and foreign media outlets misinterpreted the updated version of the central bank’s instructions in its Foreign Exchange Manual, thinking that the country’s currency exchange companies were being drive out of business and commercial banks were going to assume their role.
“SBP is in process of revision of Foreign Exchange (FE) Manual in phased manner. In this respect, seven chapters (1, 2, 3, 4, 5, 7 & 20) of FE Manual have been revised and circulated through FE Circular dated November 29, 2018, in the first phase. In phase II, three chapters 8, 9 & 11 have been revised through FE Circular No. 03 of 2019 dated July 16, 2019,” a statement issued by the central bank said.
One of these revised chapters, 11, includes regulations on “Dealings in Foreign Currency Notes and Coins etc. by the Authorized Dealers (banks).”
“With respect to revised Chapter 11, it has come to our notice that there are some confusions/misinterpretations regarding Para 2 suggesting that SBP has allowed the banks to sell/purchase foreign currencies to/from public by amending the existing regulations,” the SBP said while clarifying that no such amendment had been made.
Currency dealers also said they were playing a vital role for the country’s economy "that cannot be downplayed."
“Banks were already authorized to undertake foreign exchange currency business through authorized branches, but they did not take interest in currency dealing which is evident from the fact that only a few of them established such branches,” Malik Bostan, president of the Forex Association of Pakistan, told Arab News on Monday.
Bostan added that “we are operating on meager profit that commercial banks can’t afford to make.”
No change in Banks' policy to purchase foreign currency – SBP
No change in Banks' policy to purchase foreign currency – SBP
- Some media outlets misinterpreted the updated version of Foreign Exchange Manual, causing confusion
- Commercial banks cannot replace exchange companies, says Malik Bostan
Pakistan says four militants killed in Balochistan operation near Iran border
- Military says those killed belonged to the Pakistani Taliban, a group mainly active in northwestern Khyber Pakhtunkhwa
- Operation comes after October border clashes with Afghanistan that led Pakistan to shut crossings and tighten security
ISLAMABAD: Pakistan’s military said on Saturday it killed four militants during an intelligence-based operation in Panjgur district in southwestern Balochistan, near the border with Iran, accusing them of belonging to the Pakistani Taliban.
The group, also known as the Tehreek-e-Taliban Pakistan (TTP) and described as Fitna al Khwarij by Islamabad, has largely operated in northwestern Khyber Pakhtunkhwa along Pakistan’s border with Afghanistan. Pakistan has frequently accused Afghanistan’s Taliban-led government of sheltering TTP leaders and fighters, allegations Afghan officials deny.
Islamabad has also accused India of supporting militant activity in Pakistan’s western provinces of Khyber Pakhtunkhwa and Balochistan, though New Delhi has rejected the charge in the past.
“On 26 December 2025, security forces conducted an intelligence based operation in Panjgur District of Balochistan, on reported presence of Khwarij belonging to Indian proxy, Fitna al Khwarij,” the military’s media wing, Inter-Services Public Relations (ISPR), said in a statement.
“During the conduct of operation, own forces effectively engaged the Khwarij location, and after an intense fire exchange, four Indian sponsored Khwarij were sent to hell,” it added.
ISPR said weapons, ammunition and explosives were recovered from the militants, whom it said had been involved in multiple attacks in the area. It added that follow-up search operations were under way to clear the area of any remaining fighters.
The operation comes amid heightened tensions along Pakistan’s northwestern frontier following fierce border clashes with Afghan forces in October, as a spike in violence in Khyber Pakhtunkhwa prompted Pakistani officials to suspect cross-border militant activity originating from Afghanistan.
Dozens of people were killed on both sides during the clashes, with Pakistan shutting down major border crossings and stepping up security along its porous frontier.
Balochistan, Pakistan’s largest but least populated province, has for years faced a separatist insurgency led by groups such as the Balochistan Liberation Army, while TTP-linked attacks in the province have been less frequent but have occurred in the past.
Prime Minister Shehbaz Sharif praised the security forces for the operation in Panjgur, his office said in a statement.
“The prime minister paid tribute to the security forces for eliminating four Indian-backed terrorists,” it said, adding that Sharif vowed to “crush the nefarious designs of the enemies of humanity” and said the entire nation stood with the armed forces in the fight against militancy.
Sharif said Pakistan remained fully committed to the complete eradication of all forms of terrorism from the country, the statement added.
