State Bank of Pakistan (SBP) has automated the verification of refinance claims under the Export Finance Scheme (EFS) to improve exporters’ access to liquidity and enhance the efficiency of refinance operations.
The bank, in its statement, said that with the automation process, refinance claims can be verified through an online system by banks and can be made available for performance calculation and loan entitlement within minutes.
The statement further said that after a brief parallel run, this automated verification of refinancing claims will permanently replace the existing manual verification being performed by Foreign Exchange Operation Department (FEOD) and Development Finance Divisions (DFDs) in SBP Banking Services Corporation (BSC) offices.
SBP highlighted that the new automated system allows banks to generate provisional export performance of their exporters during the concluded financial year, review it with the exporter and submit the finalized performance to the system electronically. Subsequently, the system will verify the finalized performance and calculate loan entitlement, which will be granted by SBP-BSC upon the banks’ request.
SBP expected that the automation process would conserve resources and enhance efficiency by reducing turnaround time and change of hands. This will ensure swift processing of export refinance to exporters and provide them easier access to liquidity, ultimately benefiting the export earnings of the country.