The Bill for Autonomy of State Bank of Pakistan

January 12, 2022

The key features of the SBP Autonomy Independent Bill 2021 are: (1) policy and institutional autonomy, which implies that the Bank will determine and implement monetary and exchange rate policies, manage currency and international reserves of Pakistan, and carry out these functions free from the influence of the Ministry of Finance yet under the overall target set by the federal government; (2) primary objective of SBP is to maintain inflation and achieve government’s set target; (3) it will be prohibited to lend money to the government for budgetary needs and or invest in government securities rolled out in primary markets; (4) SBP will submit performance report to the parliament and; (5) Bank’s employees are protected against any action in a court of law.