Business

Dollar depreciates further against rupee, loses Rs2.19 in interbank

Published

2 years ago

Farwa

Dollar loses further in interbank market.
Market boosted after Ishaq Dar’s statement about dollar’s value.
SBP says action would be taken against banks involved in creating volatility.

The Pakistani rupee continued to gain ground against the dollar Thursday — the 10th consecutive session — and appreciated by 2.19 in the interbank market at the start of the intraday trade.

The greenback was being traded at Rs221.75 after losing 2.19 as the market opened today. It closed at 223.94 per dollar a day prior.

The market observers are of the view that the dollar declined on hopes of inflows, upbeat trade data, and bets that the new finance minister would be able to tame the US currency effectively.

“In my view, recent encouraging trade balance data, hopes from multilateral institutions of additional inflows supported the rupee,” said Samiullah Tariq, the head of research at Pak-Kuwait Investment Company.

“The 215-220 per dollar seems a good level,” he added.

Finance Minister Ishaq Dar’s statement “the actual value of the rupee was less than 200 and it would be brought down, as it was currently undervalued” further bolstered the currency as the dollar sales by the exporters continued to underpin sentiment and improve supplies in the market, according to a The News report.

Meanwhile, the governor State Bank of Pakistan (SBP) informed the National Assembly’s Standing Committee on Finance that action would be taken against banks and forex exchange companies involved in creating volatility in the exchange rate upon the finalisation of the inquiry.

The committee wanted to know the names of the eight banks that were allegedly involved in speculation for making money and there was a considerable difference in dollar rate in the interbank and exchange companies rate.

The committee directed the SBP to take appropriate action against all the banks and exchange companies allegedly firing up exchange rate volatility.

The committee also asked the SBP to take exemplary action against banks and exchange companies involved in speculations to make a profit so that no one could dare to play with the economy of the country in the future.

Business

Trade ties between Pak-Oman: Both nations decide to activate “Joint Business Council”.

Published

2 days ago

Farwa

Jam Kamal Khan, federal minister for commerce, visited Oman Chamber of Commerce and Industry in Muscat alongside chairman Faisal Abdullah Al Rawas.

To enable closer economic collaboration, both sides decided during the meeting to activate joint Business Council between OCCI and the federation of Pakistan Chambers of Commerce and industry.

Concurrent with the conference, the Embassy of Pakistan arranged a b2b networking event in association with OCCI to gather Omani Businessmen and Pakistani Business Delegates investigating trade prospects.

Speaking on the occasion, Jam Kamal Khan said, “Our present trade figures do not fairly represent the depth of our connection. We can quickly raise the current Trade volume to two or three times its present level by just eliminating logistical and communication barriers.

Business

Despite economic gains, PSX remains strong.

Published

2 days ago

Farwa

Amidst the ongoing negotiations with the International Monetary Fund (IMF) regarding a loan tranche, the Pakistan Stock Exchange (PSX) has resumed its upward trajectory in recent days.

The KSE-100 Index gained 600 points on Friday, the penultimate working day of the business week, and then increased to 115,730 points as traders showed confidence and engaged in trading.

After experiencing fluctuations, the PSX gained strength on Thursday, as the major index surpassed 115,000 points.

The KSE 100-Index closed at 115,094.23 points after gaining 1,009.70 points, or 0.89 percent. 115,247.39 was the intraday high, and 14,429.93 was the lowest.

According to experts, one important factor is Moody’s Ratings’ upgrade of Pakistani banks. Investor confidence has also increased due to the expectation of a positive conclusion from the negotiations with the International Monetary Fund (IMF).

In its assessment, Moody’s stated, “We have shifted our outlook on Pakistan’s banking system from stable to positive to reflect the banks’ resilient financial performance as well as improving macroeconomic conditions from very weak levels a year ago.”

The major index of the Pakistan Stock Exchange (PSX) surpassed 115,000 on Thursday, indicating a surge in the market.

Business

Pakistan resolves to meet benchmarks, and the IMF promises economic help.

Published

2 days ago

Farwa

In the midst of an ongoing economic review, the delegation from the International Monetary Fund (IMF) has promised Pakistan economic cooperation.

In order to assess the delivery of a $1 billion tranche under the $7 billion rescue deal, IMF officials are now in Pakistan.

Today, March 14, marks the completion of the two-week-long economic review and negotiations between the global lender’s representatives and Pakistani authorities.

The team met with Finance Minister Muhammad Aurangzeb at the Ministry of Finance for the last round of negotiations.

The nation’s economic team’s actions and performance were praised by the visiting officials.

Aurangzeb promised the IMF during the conference that all economic goals would be met. He said that as long as the loan program is in place, no goals would be broken.