Regulatory Alerts2026-08-06 | CMD Circular No. 22 of 2026Added
Issuance of Premium Prize Bonds (Registered) through Commercial Bank Branches
Commercial banks must settle all Premium Prize Bond sale transactions with SBP BSC Karachi on the same day using the DAP reporting mechanism. Banks failing to settle proceeds on the same day are liable to pay use of funds calculated at the SBP Overnight Reverse Repo (Ceiling) rate for the delay period. Additionally, banks are liable for the gross amount of any erroneously paid profit or prize money resulting from non-reporting, delayed reporting, or misreporting of transactions.
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CMD Circular No. 22
Issuance of Premium Prize Bonds (Registered) through Commercial Bank Branches
August 06, 2026
44356
The Presidents / Chief Executives All Authorized Commercial Banks Issuance of Premium Prize Bonds (Registered) through Commercial Bank Branches Dear Sir/Madam, This is with reference to SOP for issuance of Premium Prize Bonds (PPBs) through commercial banks and other instructions on the subject issued from time to time. 2. In this connection, the prevailing mechanism for reporting PPB sale transactions has been reviewed and it has been decided that: a) Banks shall settle all PPBs sale transactions on the same day with SBP BSC Karachi. b) The settlement mechanism will involve reporting of Sale transactions of PPBs through DAP as per the prescribed timelines. c) SBP BSC Karachi office shall debit the account of the bank based on the amount of sale reported by the concerned bank on daily basis. d) Any bank failing to settle the proceeds of sale transactions on the same day shall be liable to pay use of funds for the period of delay, calculated at the SBP Overnight Reverse Repo (Ceiling) rate prevailing on each day during such period. e) SBP BSC Karachi office shall be responsible for calculation and recovery of use of funds from the concerned bank by debiting their account per contra credit to Central (Non-Food) Account No. I against Account Head C02247. 3. Additionally, in cases where profit or prize money is paid erroneously due to non reporting, delayed reporting, or misreporting of sale or encashment or transfer transactions by a commercial bank, the concerned bank shall be liable for the gross amount so wrongly paid subject to adjustment of income tax, if so possible. 4. All other instructions on the subject shall remain unchanged.
Yours sincerely,
Zain-ul-Abideen Joint Director
Home — Circulars — CMD Circular No. 22
Issuance of Premium Prize Bonds (Registered) through Commercial Bank Branches
August 06, 2026