Faysal Bank has Rs 200 Million investment in currency exchange firm. Faysal Bank Limited (PSX: FABL) has injected Rs. 200 million by way of Rights issue in its Subsidiary FICECL, the bank informed the main bourse today. FABL received approval from the Securities and Exchange Commission of Pakistan (SECP) in January 2024. To set up a currency exchange company as a subsidiary.
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The exchange specializes in forex trade with a focus on competitive rates and easy transactions. The Bank is mainly engage in Conventional and Islamic Corporate, Commercial and Consumer banking activities. FABL explained that the capital injection is to ensure compliance with the regulatory capital requirement of FICECL.
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According to the bank, the fresh capital injection is aim at enhancing the operational capacity of the exchange company. And ensuring it remains well-positioned to meet market demands. The move reflects Faysal Bank’s continued commitment to expanding. And stabilizing its non-banking financial services while maintaining strong oversight of its subsidiaries.
Industry observers note that the additional funding will help the exchange firm improve liquidity, streamline operations. And comply with evolving regulatory and capital requirements. It is also expected to support business expansion in a competitive foreign exchange market. Where adequate capitalization plays a critical role in managing volatility and customer confidence.
Faysal Bank, which operates as an Islamic banking institution, has been focusing on strengthening its core businesses and allied services. By reinforcing its currency exchange arm. The bank aims to provide seamless and reliable foreign exchange solutions to individuals and businesses. Particularly those involved in trade, travel, and remittances. The development comes at a time when Pakistan’s foreign exchange market continues to face fluctuations. Making strong institutional backing increasingly important for exchange companies. Analysts believe that parent-backed firms are better placed to navigate market pressures and regulatory challenges.