The Deposit Protection Corporation (DPC) has been established under the Deposit Protection Corporation Act, 2016 as a subsidiary of the State Bank of Pakistan (SBP). The primary objective of FPC is to protect small depositors for the losses incurred by them to the extent of protected amount, in the event of failure of a bank.
Under the provisions of Section 7(1) of the Deposit Protection Corporation Act, 2016, an amount up to Rs. 1,000,000 (Rupees One Million) per depositor per bank has been determined by the Corporation to be the guaranteed amount. The guaranteed amount may also be referred to as the protected amount or protected deposit.
All scheduled banks operating in Pakistan are mandatory member institutions of deposit protection scheme.
