The State Bank of Pakistan has officially adjusted the monthly rate of remuneration on the Special Cash Reserve Account held in United States dollars, setting it at two point sixty-two percent for the month of June 2026. This newly announced figure represents a marginal deceleration from the two point sixty-five percent rate implemented during May 2026, and the two point sixty-six percent yield applied during April 2026. The latest structural rate alignment follows the established monetary protocols outlined in the latest legal notification distributed by the central banking institution to all active primary market players.
According to the official communication issued by the domestic monetary authority, this specific variable rate applies directly to foreign currency deposits raised by commercial banking entities under the provisions of the historical FE-Circular twenty-five of 1998. Under the current operating rules of the country, conventional commercial banks and non-bank financial institutions are legally obligated to maintain fixed cash reserves equivalent to twenty-five percent of their total aggregate FE-25 deposit liabilities with the State Bank of Pakistan. This total reservation is split into two distinct tiers, with five percent channeled into a standard Cash Reserve Account and the remaining twenty percent safely locked within a Special Cash Reserve Account.
The statutory operational guidelines clarify that while the base cash reserve account remains entirely non-remunerative, the larger special cash reserve component receives a monthly financial return based on the fluctuating yields notified by the central bank. As per the detailed guidelines set forth under the DMMD Circular Letter Number three of 2023, the monthly remuneration rate is mathematically calculated by utilizing the CME one-month Term Secured Overnight Financing Rate published on the final working day of the immediate preceding month, minus a fixed deduction of one percent representing standard service charges. This periodic adjustment process reflects the ongoing commitment of the central bank to systematically align its foreign currency reserve payouts with prevailing international commercial benchmarks.
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