NA passes amended banking companies bill

ISLAMABAD: On the first day of the February session, the National Assembly adopted a bill enabling the State Bank of Pakistan to strengthen bank regulations and supervision to safeguard against various risks as well to provide matching tools to bank regulators for corrective measures with a view to maintaining financial stability.

The bill, the Banking Companies (Amendment) Act 2009, was moved by Health Minister Makhdoom Shahabuddin in the absence of Finance Minister Shaukat Tarin. It was approved within minutes as no one objected to any of its clauses.

According to the statement of object and reasons of the bill, the amendments in the Banking Companies Ordinance 1962 would enable the State Bank of Pakistan to change management in banks, impose losses on shareholders by writing down their capital, intervene and take control of banks, appoint administrators to manage banks and restructure banks when symptoms of crises are determined.

During its previous session, the National Assembly approved a record 10 bills in 19 days.


Courtesy : The News