The State Bank of Pakistan (SBP) has introduced new restrictions on foreign currency purchases, shifting most dollar transactions toward a cashless system.
Under the revised rules, resident Pakistanis who buy foreign currency for deposit into their foreign currency (FCY) accounts will no longer receive cash; instead, the amount must be transferred directly from the exchange company or bank to the buyer’s account.
Individuals who do not hold FCY accounts cannot purchase cash dollars for deposit purposes.
Buyers will receive a check when purchasing dollars from an exchange company, which generally requires at least five days for clearance unless the buyer’s FCY account is in the same bank, in which case transfers are immediate.
The SBP has also tightened documentation requirements: any purchase above $500 requires biometric verification, a stated purpose and supporting documents, particularly for travel, studies, Haj and Umrah.
The new rules are expected to benefit bank-owned exchange companies, which already operate within the banking system.
The policy may also slow transactions involving euros and pounds, as check-based transfers for these currencies can take up to 20–25 days. Independent money changers are restricted from holding cash dollars in bank accounts, limiting their flexibility in the market.
