The Federal Bank for Cooperatives (FBC) was a specialized financial institution in Pakistan that catered to the needs of housing and agricultural cooperatives. Established in 1976, it played an important role in providing agricultural credit during the early decades after partition. It went defunct in April 2014.
History
The concept of cooperative banks was introduced during the British rule, and Punjab Provincial Cooperative Bank Limited (PPCBL), later called FBC, was established under this concept. The bank has faced several challenges over the years, including bureaucratic tangles and restrictions on doing business.
Legislative changes
In 2018, the legislative body of Pakistan approved two significant pieces of legislation: one that repealed the establishment and regulation of cooperative banking, and another that repealed the bill concerning the corporation responsible for financing house building. The cooperative banking entity, initiated in 2002 following the advice of Pakistan's central banking authority, ceased operations officially in April 2014.
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