Clear sense of direction

摘要

Pakistan's banks have been facing up to privatisation and anti-money laundering measures and there are more challenges ahead. Ishrat Husain, Pakistan's central bank governor, regards the year ahead as an essential make or break period for the country's smaller banks, which were given licences more than a decade ago. As part of a conscious policy, the central bank is encouraging smaller banks either to merge or expand to meet the requirements for a higher paid up capital. In the next 12 months, such banks are faced with the challenge of raising their paid-up capital to a record Rs2bn ($33.4m) - up from Rs1.5bn in December 2004. It is yet another step in the central bank's effort to see banks become larger with the passage of time. "There's nothing unusual about what is going on in Pakistan. Consolidation is the name of the game worldwide, where central banks are pressing banks to accept the reality that they have to grow and become robust players," says Dr Husain, a former world bank economist appointed five years ago to head Pakistan's central bank.