KARACHI, Pakistan: The State Bank of Pakistan (SBP) has allowed the settlement of Credit Cards issued by various banks through the Interbank Exchange Rate with immediate effect till July 31, 2023.
The banking regulator allowed banks and financial institutions to purchase US Dollars (USD) from Interbank Markets for settlement of card-based cross-border transactions with International Payment Schemes (IPS) such as Visa and Mastercard.
“It has been decided to allow authorized dealers to purchase USD from Interbank for settlement of card-based cross border transactions with IPS,” read a circular issued by the central bank on Wednesday.
The gap between the Open Market and Interbank widen to Rs 29 against the US dollar due to surge in demand from pilgrims and Credit Card Payments.
Earlier, the Commercial Banks were allowed to purchase from any exchange company for settlement of card based cross border transaction with IPS such as Visa, Mastercard etc.