KARACHI, April 14: The State Bank has extended up to June 30, 2003, the scheme designed for write-off of bank loans and communicated to banks in October last year. The scheme was to expire on April 14, 2003.

A letter issued by the central bank said the deadline had been extended on the requests and representations made by the business community. “Since the scheme is a one time opportunity a need has been felt to provide more time to borrowers, especially those who due to one reason or other have been unable to avail of the scheme,” says the SBP letter. “It has, therefore, been decided to extend the validity of the scheme up to June 30, 2003.”

“Banks/DFIs are encouraged to persuade their respective eligible borrowers to avail of this opportunity within the extend time.”

Under the loan write-off scheme announced in October last, the SBP had laid down a set of guidelines to be followed by the banks and DFIs as well as their clients seeking write-off of loans. The guidelines would help borrowers seek write-off of loans from banks/ DFIs after some payment according to a schedule.