KARACHI: Resident Pakistanis have been allowed to deposit dollars in their accounts provided they are income tax filers, said a State Bank circular issued on Thursday.

“A foreign currency account of a citizen of Pakistan resident in Pakistan can also be fed with cash foreign currency only if the account holder is a filer as defined in Income Tax Ordinance, 2001,” the circular said.

Earlier, resident Pakistani foreign account holders were not required to be a filer. The step was apparently taken to document the dollar holdings while keeping a check on illegal money from whitening in the form of dollars.

“Foreign currency accounts can be fed by remittances received from abroad, travellers cheques issued outside Pakistan (whether in the name of account holder or in the name of any other person) and foreign exchange generated by encashment of securities issued by the Government of Pakistan,” said the circular.

Published in Dawn, April 13th, 2018