The State Bank of Pakistan (SBP) has introduced a new regulatory framework titled “Business Conduct and Fair Treatment of Consumers Regulatory Framework (BC&FRF)”, aimed at strengthening consumer protection and ethical practices across Pakistan’s financial sector. This move aligns with SBP’s Vision 2028, which emphasizes creating a more inclusive, transparent, and resilient financial ecosystem.
The framework, developed after extensive consultations with both consumers and financial institutions, applies to banks, DFIs, EMIs, and payment service providers. It covers the entire product lifecycle from development and disclosures to service delivery and dispute resolution ensuring that consumers are treated fairly at every stage.
Divided into two parts, the BC&FRF outlines principles-based obligations and six key pillars, including governance and oversight, disclosure and transparency, fair treatment, data privacy, dispute resolution, and consumer awareness.
An SBP spokesperson stated,
“This framework sets a new benchmark for responsible financial conduct and reflects our commitment to protecting consumer rights and promoting ethical business practices.”
The BC&FRF is expected to serve as a cornerstone in transforming Pakistan’s financial landscape, fostering trust, accountability, and customer-centric innovation within the banking and fintech industries.