There were rumors in Pakistan that some of the banks may collapse which resulted in panic withdrawals from some of the banks. It was also rumored that the government was considering to seize bank lockers because people have stashed large amount of dollars in their bank lockers.
The problem arose due to shortage of money in the banking system which resulted in bouncing of cheques of some of the large banks of the country at the State Bank. The governor State Bank of Pakistan came on television and assured that the banking system in the country was capable of absorbing shocks. The newly appointed Advisor on Finance also dispelled the impression that banks were going to collapse.
There were rumors in Pakistan that some of the banks may collapse which resulted in panic withdrawals from some of the banks. It was also rumored that the government was considering to seize bank lockers because people have stashed large amount of dollars in their bank lockers.
The problem arose due to shortage of money in the banking system which resulted in bouncing of cheques of some of the large banks of the country at the State Bank. The governor State Bank of Pakistan came on television and assured that the banking system in the country was capable of absorbing shocks. The newly appointed Advisor on Finance also dispelled the impression that banks were going to collapse.
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