The State Bank of Pakistan (SBP) has introduced a new measure to combat dollar hoarding by making biometric verification mandatory for foreign currency purchases exceeding $500 at exchange companies. This announcement was made during a meeting of the SIFC Apec Committee on January 3, 2024, according to reports.
In addition to the biometric requirement, the SBP has lowered the US dollar purchase limit for travel purposes from $10,000 to $5,000, and the annual restriction from $60,000 to $30,000. Individuals making purchases of $2,000 or more from exchange companies must use their PKR account for the transaction.
The central bank has set a daily limit of $10,000 for US dollar purchases and an annual cap of $100,000. To curb illegal foreign exchange operations, the Federal Investigation Agency will collaborate with the SBP and other relevant authorities.
It is noteworthy that the SBP had initially attempted to implement a similar plan in 2021, requiring biometric verification for all transactions of $500 and above. The circular issued on October 6, 2021, mandated exchange companies to conduct biometric verification for such transactions amid the PKR/$ interbank rate trading in the 170-172 range.
