Pakistan has increased the limit of deposit insurance coverage for bank customers, aiming to strengthen public confidence in the financial system. The new limit, effective immediately, provides greater protection for depositors’ funds in case of bank failures. While the specific amount of the increase wasn’t detailed in the initial announcement, officials stated it represents a significant boost from the previous cap. This move comes amid ongoing economic challenges and aims to prevent potential bank runs and maintain financial stability. The State Bank of Pakistan (SBP) initiated the change, citing a need to align with international best practices and evolving economic conditions. Analysts suggest the increase will particularly benefit small and medium-sized depositors. The SBP has assured the public that the financial system remains robust and well-capitalized.