KARACHI - The State Bank of Pakistan (SBP) has decided to increase the maximum cap on aggregate Foreign Exchange Exposure Limit (FEEL) of Authorised Dealers (ADs) by Rs 500 million to Rs 2,500 million with effect from 16th May 2011. This decision has been taken in accordance with the changed market conditions and trade volumes. Based on the review of the annual audited accounts, the Foreign Exchange Exposure Limit (FEEL) of each Authorized Dealer will be advised separately, according to a Circular (DMMD No.5) issued Thursday. It may be pointed out here that at present the FEEL of ADs is being calculated at 20 per cent of their Paid-up Capital (free of losses) with a maximum cap of Rs 2,000 million which has now been increased to Rs 2,500 million. Moreover, SBP reserves the right to assign the FEEL of any AD below 20 per cent of Paid-up Capital based on the trends observed in the utilization of FEEL.