Business

Gold reaches historic high of Rs169,650 per tola

Published

2 years ago

Farwa

Silver price surpasses key level of Rs1,900 per tola.
Gold price jumps Rs2,350 per tola.
Expert cites shortage of dollars major reason behind rising prices.

Gold price in Pakistan reached a historic high of Rs169,650 per tola on Monday as investors continued to take refuge in the safe-haven metal on mounting concerns that the country’s economic conditions will deteriorate further.

According to All Pakistan Sarafa Gems and Jewellers Association (APSGJA), the prices of gold surged by Rs2,350 per tola and Rs2,016 per 10 grams to settle at an all-time high of Rs169,650 and Rs145,448, respectively, data released by All Pakistan Sarafa Gems and Jewellers Association (APSGJA) showed.

Gold, which has been continuously touching new peaks for the last few days, closed at Rs167,300 per tola after registering a gain of Rs4,000, or 2.49% during the week ended December 10.

Meanwhile, silver prices surpassed the key level of Rs1,900 per tola. The price surged by Rs80 per tola and Rs68.58 per 10 grams to settle at an all-time high level of Rs1,970 and Rs1,688.95.

Speaking to Geo.tv, AA Gold Commodities Director Adnan Agar cited a shortage of dollars as major reason behind rising gold prices in the local market.

“Investors want to invest in the dollar because of the rising difference between the open market and the interbank market rate, which is around Rs20-30; however, despite the significant difference dollar isn’t available and people are concerned about the financial situation in Pakistan and chances of default,” he explained the reason behind sudden shift in investors focus.

He added that because of the speculations that the dollar can reach 350-400 against the rupee; investors are trying to invest in the precious commodity.

“However, due to its [dollar] shortage they have shifted their focus toward gold as the price of the yellow metal is also rising in the international market,” Agar maintained.

Elaborating on the main driving points, he said that amid the current situation people are looking for investment options which are very limited because small investors cannot invest in real estate at the moment because of its high prices.

“Therefore, small and medium investors are investing in gold so that their money is secured as the rupee is continuously depreciating against the dollar,” he stated.

Gold dealers, however, lament that since gold prices were touching new peaks in the country, it had seized to exist as a lucrative business.

Only investors are investing in gold here. Otherwise, artificial jewellery is being used in marriages and other ceremonies.

It should also be noted that gold demand in Pakistan jumped 34% to 13 tonnes during the period of July and September 2022 from a year earlier, Bloomberg reported Wednesday citing data compiled by the World Gold Council.

The data revealed that this was the most amount of gold purchased during a quarter in at least about three years.

In the international market, gold price fell registered a decline of $3 per ounce settling at $1,794.

Business

Pakistan suffers a loss of millions due to inoperable airports.

Published

1 day ago

Farwa

The Pakistani economy is strengthening and trending in the right direction, according to Federal Minister of Finance and Revenue Senator Muhammad Aurangzeb on Thursday.

Speaking at the Pakistan Saudi Arabia Business Forum, Aurangzeb stated that the goal of the government was to support the private sector rather than engage in commerce. His goal was to encourage business-to-business (B2B) trade and investment, thus he welcomed the delegation from Saudi Arabia.

Within the last 12 to 14 months, the minister saw a considerable improvement in macroeconomic stability. With the help of foreign exchange reserves sufficient to cover two months’ worth of imports, Pakistan steadied its currency, decreased its current account deficit to less than $1 billion, and produced a primary surplus.

Strong remittances, expanding exports, and a drop in inflation from 38% to 6.9% have all contributed to the consolidation of these benefits, according to Muhammad Aurangzeb. Companies have also profited from the insurance rate reduction.

Even if Pakistan’s credit rating has improved, more work needs to be done to bring it up to at least a B-. Both on the debt and equity sectors, he claimed, institutional flows were returning to the nation.

As the International Monetary Fund (IMF) board approved an extended program for the nation, the Islamabad Stock Exchange set a record high.

He stated that the IMF program will implement structural reforms in addition to ensuring macroeconomic stability for the long run.

The government of Pakistan remains committed to structural changes, sustainable growth, and tax reform, as stated by Muhammad Aurangzeb.

Business

Pakistan’s economy is getting better, according to Muhammad Aurangzeb

Published

1 day ago

Farwa

The Pakistani economy is strengthening and trending in the right direction, according to Federal Minister of Finance and Revenue Senator Muhammad Aurangzeb on Thursday.

thus,Speaking at the Pakistan Saudi Arabia Business Forum, Aurangzeb stated that the goal of the government was to support the private sector rather than engage in commerce. His goal was to encourage business-to-business (B2B) trade and investment, thus he welcomed the delegation from Saudi Arabia.

As the International Monetary Fund (IMF) board approved an extended program for the nation, the Islamabad Stock Exchange set a record high.

He stated that the IMF program will implement structural reforms in addition to ensuring macroeconomic stability for the long run.

The government of Pakistan remains committed to structural changes, sustainable growth, and tax reform, as stated by Muhammad Aurangzeb.

Business

Remittances from Workers

Published

2 days ago

Farwa

In September of this year, the State Bank of Pakistan reported that remittances from overseas Pakistanis amounted to 2.8 billion dollars, reflecting a 29% increase compared to the remittances received in September of the previous year.

The SBP reports that, with a cumulative inflow of 8.8 billion US dollars in the first quarter of the financial year, workers’ remittances increased by 38.8 percent compared to the first quarter of the previous year.

Remittance inflows in September 2024 were primarily derived from Saudi Arabia at $681.3 million, the United Arab Emirates at $560.3 million, the United Kingdom at $423.6 million, and the United States of America at $274.9 million.