In conclusion, the proposed legal and regulatory changes, discussed above, to strengthen the oversight of the financial sector, are an integral element of the Ten Year Strategy and blueprint of financial sector reforms prepared by the central bank. Concurrently, SBP has also launched wide ranging reforms including capital augmentation of banks, shift to riskbased supervisory approaches, and proper implementation of Basel II.
The private sector has responded well to SBP’s initiatives and a number of banks are launching work to take benefit of the emerging legal and regulatory changes to position their financial institutions better to compete in a more aggressive regional and global environment. 4  BIS Review 133/2008