SBP Proposes Policy to Simplify Remittances to Digital Service Providers

In order to facilitate ease of doing business and streamline the remittance process for VC’s, start-ups, tech-based companies in specific and others in general, State Bank of Pakistan (SBP) has proposed a draft policy on “Remittances to Global Digital Service Providers”.

The policy will allow businesses in Pakistan to acquire digital services from international companies with instant payments.

Authorized dealers will be able to release payments of up to $200,000 a year (or equivalent amount in other currencies) for any company registered in Pakistan.

The commercial payments can be to an approved list of globally recognized digital service providers (a list is at the end).

This initiative from the SBP will increase the ease of doing business in Pakistan and increase the income from exports by removing roadblocks to payments in the country.

The policy is set to be finalized by the 24th of February, 2020 and the SBP is seeking industry input till the 21st February, 2020.

You can check out the detailed policy document here.

The List of Globally Recognized Digital Service Providers: 

  • Adobe
  • Alibaba
  • Amazon
  • Apple
  • Calendly
  • Coursera
  • Dropbox
  • Facebook
  • Godaddy
  • Google
  • IBM
  • Instagram
  • Linkedin
  • Mailchimp
  • Mendix
  • Microsoft
  • Oracle
  • Quickbooks/Intuit
  • Red Hat Openshift
  • Salesforce
  • SAP/SE
  • Slack
  • Squarespace
  • Tencent
  • Twitter
  • Whatsapp
  • Youtube
  • Zoom

Image courtesy of Fast Company