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June 18, 2019
Business Latest Pakistan

Govt launching ‘Pakistan Banao Certificate’ bond for expat Pakistanis

ISLAMABAD: The government is going to launch a dollar-denominated diaspora bond – Pakistan Banao Certificate (PBC) – on Jan 31.

The move is aimed at taping into the international savings of overseas Pakistanis for building foreign exchange reserves.

According to Finance Minister Asad Umar the certificates would be of two maturities – one of three years at about 6.25pc return and another with five-year maturity carrying 6.75pc return. He said that four banks had been selected to complete the transactions, he added.

The PBC would be launched worldwide jointly by the government and the State Bank of Pakistan. The federal cabinet on Thursday approved launching of the bond.

The bond can be purchased individually or jointly by the Pakistanis having banks account abroad. However, the fund for the purchase of the bond must originate from the foreign account and remitted through banking channel to Pakistan .

The bond will be marketed on multiple platforms including digital, electronic and print media, starting from Monday to ensure maximum outreach to potential investors. Further, road-shows, awareness sessions, etc will also be held for the overseas Pakistanis in the target countries.