KARACHI: State Bank of Pakistan (SBP) has imposed 100% cash margin requirement on import of certain consumer items including mobile phones and motor vehicles.
This regulatory measure would, interalia, discourage the import of these items and would have nominal impact on the general public, a SBP release said.
SBP imposed the cash margin in exercise of powers entrusted to it under Banking Companies Ordinance, 1962.
The SBP statement said the requirement of 100% cash margin has been prescribed on items such as motor vehicles (both CKDs and CBUs), mobile phones, cigarettes, jewelry, cosmetics, personal care, electrical & home appliances, arms & ammunitions etc.
State Bank expects that this regulatory measure would help accommodate incremental import of growth-inducing capital goods.
On the other hand, importers have expressed concern over this decision saying that would make business difficult for them.
An importer, Ahmed Shamsi said 100 percent cash margin would have trickle down effect on consumers as this would add up to amount of the product.