KARACHI: On Thursday, the State Bank announced that $7.7 million was earned by the Roshan Digital Account (RDA) on Dec 9-the highest sum in a single day since the initiative was taken.
Inward remittances from overseas Pakistanis to the Roshan Digital Account rose to $7.7 million yesterday, the State Bank tweeted on Thursday, their highest ever daily level. Complete inward remittances to RDA have hit $139.4 million to date, with $81 million invested in Naya Pakistan Certificates (NPCs),’ said the SBP in a tweet.
In September of this year, Prime Minister Imran Khan inaugurated the RDA, aiming to draw overseas Pakistanis.
Bankers were optimistic that RDA and NPC would draw a significant sum because the schemes provide account holders with a range of services and far better returns.
Three months on though, some bankers find the RDA to be disappointing.
The Roshan account provides millions of non-resident Pakistanis (NRPs) wanting to conduct transactions of money, bill payments, and investment activities in Pakistan with creative banking solutions. Through these digital accounts, the account holders will buy and sell assets and do business.
The key concern, however is that thousands of Pakistanis living abroad are still struggling to open accounts, bankers said. It is not that it is impossible to open, but most employees in Gulf countries are not adequately literate to open and run these accounts, they added. Pakistan receives over 65 per cent of the Gulf region’s remittances.
SBP Governor Reza Baqir recently visited the area to increase awareness of digital accounts and their advantages. Bankers assume that after a year, the true image would be more comprehensible. They said, however that Pakistani banks’ account holders have never lost money and have a very good track record. This trust could put more capital into the RDA and NPCs in Pakistani banks.
As well as both the client can choose from a foreign currency or rupee dominated account. The funds in these accounts, without the need for any regulatory permission, would be entirely repatriable.
The NPC is an initiative of the Ministry of Finance and managed by the SBP to give overseas Pakistanis and resident Pakistanis lucrative investment opportunities with assets held abroad. Both traditional and Sharia-compliant versions of these certificates are available. NPCs are sovereign instruments that can only be bought by RDAs, denominated in US dollars and Pak rupee.