Now small denomination prize bonds to be banned in phases

Lahore: After the cancellation of big denomination prize bonds, the government is all set to discontinue small denomination prize bonds of Rs 1500, Rs 750, Rs 200 and Rs 100 in phases.
Earlier, the government had banned Rs40000, Rs25000, Rs15000, Rs7500 one after the other.
However, the government has also decided to discontinue the small denomination prize bonds including Rs1500, Rs750, Rs200, Rs 100.
“We will definitely discontinue the small denomination prize in phases as it has been decided principally “, a senior officer of the State Bank of Pakistan (SBP) told this scribe.
The source said that the government has issued the premier prize bonds in place of the traditional bonds which can be bought from the SBP only for the time being. However, the premier prize bonds will be available in all the commercial banks very soon.

As to why the bonds are being discontinued, an other source said that the basic purpose behind whole of the exercise is to register the undocumented economy.
0ver the years the bonds had been used to make the black money white, the source said, adding that black money holder often purchased winers’ bonds to legitimise their black money due to the non-registration of the bonds.
The misuse of the bonds have escalated by the time damaging the economy, the source said further adding that the Federal Board of Revenue FBR and SBP were also demanding cancellation of the bonds to meet the FATF conditions.
The FATF had showed deep concerns to minimise any chance of Terror Financing, i the source concluded.