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Assignment
Submitted by:
Shahraz Mushadi
Roll NO: 31466
Subject: FRM
Submitted to: Sir Nadeem Baig
Class: MBA (3.5)4th Evening
Date: 20-04-2020
Pick a financial intermediary with which are you familiar and explain
its economic role. What financial risks are faced by the organization
due to COVID-19.
Financial Intermediary
An institution, such as a bank, building society, or unit-trust company, that holds
funds from lenders in order to make loans to borrowers.
State Bank of Pakistan
Central bank of Pakistan is the “State Bank of Pakistan”. State bank of Pakistan
was established on 1st July 1948. Now, it is working under the State Bank of
Pakistan Act 1956.
It plays an important role in the process of economic development, which is clear
from the following points:
1. Issue of Notes
State bank of Pakistan has monopoly in issuing currency notes. 5, 10, 50, 100
rupee notes are issued by the bank on 12 July 1976. The state bank has three
offices of issue, situated at Karachi, Lahore and Peshawar.
COVID-19 Impacts
These are some major impacts of COVID-19
1. Workforce
2. Operations and supply chain
1. Workforce
On location activity is particularly important for some industry roles, as with
traders who need robust, real-time communication and sales teams that are
subject to specific compliance monitoring. This creates a variety of workforce
challenges that have been largely untested at scale until now.
Many of the largest banks have already invoked plans that would split teams into
different locations on alternating schedules to diffuse the infection risk. Some
firms are going further, restricting even banning contractors and other visitors.
2. Operations and supply chain
Physical supply chains are far less significant for banking and capital markets
firms than for companies in other sectors. Banks themselves rely heavily on a
network of interlocking vendors, and this has increased with the advent of
Fintech.