Financial Times

Pramuka opens for partial business

Ten months after it was shut down, the Pramuka Savings and Development Bank (PSDB) is opening for partial business this week on every Wednesday commencing from August 20, the Central Bank said in a public announcement.

The Monetary Board of the Central Bank ordered the suspension of the operations of Pramuka on October 25 last year after a crisis at the bank.

The Central Bank said while the PSDB remains suspended and there are restrictions on carrying on business during the period of suspension, the Bank would be kept open every Wednesday "for the sole purpose of the PSDB customers to repay their loans and advances which are in arrears or when they become due for repayment, and to discharge collaterals in respect of fully repaid loans and advances."

The banking regulator in a separate announcement also said none of the commercial banks has shown interest in restructuring the PSBD.

Representatives of the depositors of PSDB who have undertaken to submit a restructuring proposal said they were awaiting a response from the Central Bank for a request made on July 25 for more information and data on Pramuka. (QP)