The State Bank of Pakistan (SBP) has introduced new reforms to support IT exporters and freelancers by simplifying procedures and improving transaction efficiency.
The reforms aim to ease export realization processes, standardize documentation, and set clear timelines for transactions. The central bank also plans to strengthen complaint resolution systems to improve overall service quality.
Under the updated rules, IT exporters and freelancers will no longer need to submit Form “R” for every transaction. Instead, they will provide a one-time declaration about their services when opening a bank account or when required for existing accounts.
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Banks will assign relevant service and purpose codes to ensure smooth processing and accurate reporting. This move is expected to reduce paperwork and speed up financial operations for exporters.
The SBP has also set a maximum processing time of one working day for inward export receipts and outward remittances from Exporters’ Special Foreign Currency Accounts (ESFCAs), ensuring faster fund transfers.
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To improve consistency, documentation requirements for outward remittances related to foreign services have been standardized across all banks. This step is aimed at reducing confusion and delays for businesses.
Additionally, banks have been directed to upgrade their internal systems to handle complaints from IT firms and freelancers more effectively, improving responsiveness and service delivery.
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The reforms also simplify reporting requirements by revising Form “R”, the Inward Remittance Voucher (IRV), and Form “M”. The threshold for submitting Form “R” has been raised to above $25,000, providing further ease.
Banks have also been advised to digitalize Forms “R” and “M” with auto-filled customer data to streamline processes and reduce manual effort.
These steps are expected to enhance efficiency and support the continued growth of Pakistan’s IT export sector, which remains a key contributor to the country’s economy.
The revised instructions are also available at the following links:
