Governor State Bank of Pakistan Ashraf Wathra chaired a meeting here on Monday with the representatives of the exchange companies.

During the meeting, issues relating to prevailing exchange rate in the Kerb market, performance of exchange companies and the role of their association came under discussion.

The SBP Governor emphasized that there is adequate supply of foreign exchange in the market to meet the needs of the various stakeholders; hence the recent fluctuation of the exchange rate in the kerb market is not justified. He further stressed the need for curbing speculative trading which exerts undue pressure on the exchange rate. The gross reserves of SBP have touched the all time high of USD 21 billion.

He also emphasized the need to make the association of the exchange companies more effective in order to address related issues in a more coordinated manner.

Ashraf Wathra highlighted different regulatory measures recently taken for providing opportunities to exchange companies to expand their businesses. He, however, stressed the exchange companies to play their role in stabilizing the exchange rate in the Kerb market. The exchange companies were reminded that strict regulatory action will be taken against those exchange companies who do not ensure meticulous compliance of the applicable rules and regulations. While assuring the exchange companies to address their genuine grievances, the Governor SBP apprised the participants that work is already underway in requiring the importers to produce proof of payment at the time of Customs clearance of their goods.