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Rupee continues falling spree; dollar at Rs183.48

KARACHI: The Pakistan Rupee (PKR) witnessed major fall of 84 paisas against the dollar on Thursday to continue its spree of making new historic lows.

The rupee ended Rs183.48 to the dollar from the last day’s closing of Rs182.64 in the interbank foreign exchange market.

READ MORE: Rupee falls to new historic low to dollar at 182.64

The rupee has fallen non-stop against the dollar for the last 13 trading sessions. The local currency recorded Rs178.51 at interbank closing on March 11, 2022 and since then the dollar run was unabated.

Currency experts said that the dollar demand remained high during the day due to falling foreign exchange reserves, volatiles commodity prices in international markets and political uncertainty.

READ MORE: Rupee deteriorates record low to dollar at 182.34

Large external payments against foreign debts depressed the rupee value. Pakistan’s foreign exchange reserves fell by $2.28 billion to $21.44 billion by March 18, 2022 as compared with $23.72 billion as of February 4, 2022.

READ MORE: Dollar jumps to new record high at PKR 182.19

The foreign exchange reserves of the country hit record high at $27.23 billion on August 27, 2021.

The ballooning current account deficit escalated the dollar value. Pakistan’s current account deficit ballooned to $12 billion during first eight months (July – February) 2021/2022 against a surplus of $994 million in the corresponding months of the last fiscal year.

READ MORE: Dollar continues historic journey; tops at PKR 181.78

Although the current account deficit narrowed to $545 million in February 2022 as compared with the deficit of $2.53 billion in January 2022, scheduled external repayments are still a threat to balance of payment.

March 31, 2022
Rupee falls to new historic low to dollar at 182.64

KARACHI: The Pakistan Rupee (PKR) made new record low against dollar at Rs182.64 on Wednesday.

The rupee fell by 30 paisas against the dollar from previous day’s closing of Rs182.34 in the interbank foreign exchange market.

READ MORE: Rupee deteriorates record low to dollar at 182.34

Currency experts said that the dollar demand remained high during the day due to falling foreign exchange reserves, volatiles commodity prices in international markets and political uncertainty.

READ MORE: Dollar jumps to new record high at PKR 182.19

Large external payments against foreign debts depressed the rupee value. Pakistan’s foreign exchange reserves fell by $2.28 billion to $21.44 billion by March 18, 2022 as compared with $23.72 billion as of February 4, 2022. The foreign exchange reserves of the country hit record high at $27.23 billion on August 27, 2021.

READ MORE: Dollar continues historic journey; tops at PKR 181.78

The ballooning current account deficit escalated the dollar value. Pakistan’s current account deficit ballooned to $12 billion during first eight months (July – February) 2021/2022 against a surplus of $994 million in the corresponding months of the last fiscal year. Although the current account deficit narrowed to $545 million in February 2022 as compared with the deficit of $2.53 billion in January 2022, scheduled external repayments are still a threat to balance of payment.

READ MORE: Dollar maintains record high against PKR at Rs181.73

March 30, 2022
Date extended for encashment of bearer prize bonds

KARACHI: The federal government has extended the last date for converting or exchanging the bearer prize bonds up to June 30, 2022.

The last date for encashment of the bearer prize bonds was March 31, 2022, the State Bank of Pakistan (SBP) said on Wednesday.

Through a circular, the SBP announced the extension in last date for Encashment/Conversion/Redemption of Rs.40,000/-, Rs.25,000/-, Rs.15,000/- and Rs.7500/- Denomination National Prize Bonds Withdrawn from Circulation.

Earlier, the last date for exchanging the bearer prize bonds was March 31, 2022.

READ MORE: SBP directs banks to accept bearer prize bonds

The SBP instructed the banks to accept requests for encashment / conversion / redemption of cited denominations from general public till June 30, 2022.

“Further, the banks shall submit branch / region wise consolidated data of cited denomination national prize bonds held by them on last date i.e.June 30, 2022 latest by July 04, 2022, as per the instructions stipulated in aforementioned CMD Circulars.

READ MORE: Prize bond (bearer) holders given 3 months to document

The finance ministry launched the withdrawal of the unregistered prize bonds in a phased manner. The federal government on June 24, 2019, announced to discontinue the circulation of Rs40,000 denomination national prize bonds. Similarly, on December 10, 2020, the government announced to discontinue the circulation of Rs25,000 denomination prize bonds. In April 2021, the finance ministry announced that national prize bonds of denominations Rs7,500 and Rs15,000 shall not be sold.

Since June 2019 the government repeatedly extended the date for exchanging the bearer bonds. Previously, the last date for exchanging the unregistered bonds was December 31, 2021.

READ MORE: History of Prize Bonds in Pakistan

The government is aiming to document the bearer bonds so the exchanging the unregistered bond with cash has been prohibited. The ministry of finance issued various procedure to convert the bond without exchanging with the cash.

The bonds can be converted to premium prize bonds (registered) of denomination of Rs25,000 and Rs40,000 (subject to the adjustment of differential amount) through 16 field offices of State Bank of Pakistan (SBP) Banking Services Corporation (BSC), and branches of six commercial banks i.e. National Bank of Pakistan, Habib Bank Limited, United Bank Limited, MCB Bank Limited, Allied Bank Limited, and Bank Alfalah Limited.

READ MORE: Income tax on prize bonds, lottery winning

The bonds can be replaced with Special Saving Certificates/Defence Saving Certificates through the 16 field offices of SBP Banking Services Corporation, authorized commercial banks, and the National Savings Center.

The bonds will only be encashed by transferring the proceeds to the bonds holder’s bank account through the 16 field offices of SBP BSC as well as the authorized commercial bank branches and to the Saving Accounts at National Savings Centers.

March 30, 2022
Rupee deteriorates record low to dollar at 182.34

KARACHI: The Pakistan Rupee (PKR) deteriorated to another record low against dollar at Rs182.34 on Tuesday.

The rupee fell by 34 paisas against the dollar from previous day’s closing of Rs182.19 in the interbank foreign exchange market.

READ MORE: Dollar jumps to new record high at PKR 182.19

Currency experts said that the dollar demand remained high during the day due to falling foreign exchange reserves, volatiles commodity prices in international markets and political uncertainty.

READ MORE: Dollar continues historic journey; tops at PKR 181.78

Large external payments against foreign debts depressed the rupee value. Pakistan’s foreign exchange reserves fell by $2.28 billion to $21.44 billion by March 18, 2022 as compared with $23.72 billion as of February 4, 2022. The foreign exchange reserves of the country hit record high at $27.23 billion on August 27, 2021.

READ MORE: Dollar maintains record high against PKR at Rs181.73

The ballooning current account deficit escalated the dollar value. Pakistan’s current account deficit ballooned to $12 billion during first eight months (July – February) 2021/2022 against a surplus of $994 million in the corresponding months of the last fiscal year. Although the current account deficit narrowed to $545 million in February 2022 as compared with the deficit of $2.53 billion in January 2022, scheduled external repayments are still a threat to balance of payment.

READ MORE: Rupee’s losing streak continues as dollar tops Rs181.73

March 29, 2022
Ukraine crisis, political unrest major threats to economy

ISLAMABAD: The ministry of finance on Tuesday warned aggravating Pakistan’s macroeconomic imbalances due to political unrest in the country and geopolitical uncertainty on Ukraine crisis.

The finance ministry in monthly report stated Pakistan’s economic performance continues to be strong and is still on a trajectory compatible with an economic growth target of around 5 percent in the current fiscal year. “Its cyclical position has returned to a more neutral stance. If this trend continues in the next months, economic growth will be driven primarily by the expansion of manufacturing capacity. However, the intensity of internal and external risks has still not been exactly realized which may adversely affect domestic economic activities.”

READ MORE: Pakistan’s foreign exchange reserves fall to $21.44 billion

The finance ministry said that inflation and the current account deficit are still under pressure. The government is taking measures to limit as much as possible further increases in the cost of living in the coming months. Moreover, the government measures designed to stimulate exports and discourage unnecessary imports are expected to contribute to constrain current account deficit.

“The recent geopolitical tensions, in particular the Ukraine crisis, is the most important external risk factor. Likewise, domestic political conditions are building domestic risks,” it said.

“A further escalation of these risks could hamper the positive outlook for Pakistan’s economy and may also aggravate the macroeconomic imbalances,” it added.

READ MORE: IMF to agree on Pakistan’s industrial promotion package

The report said that the first seven months of the current fiscal year have witnessed significant pressure on fiscal accounts due to rising expenditures under grants and subsidies. In addition, the PSDP spending has also witnessed a significant rise of 37 per cent.

On the revenue side, FBR tax collection has been able to achieve more than 65.2 per cent of its annual target during the first eight months of the ongoing fiscal year.

However, the government has announced a relief package for the masses to offset the impact of increasing oil prices. “These are collectively adding risks to the fiscal sector.”

READ MORE: Pakistan signs deal to explore largest gold reserves

Notwithstanding measures to improve tax collection and expenditure management will help in containing the fiscal deficit at a manageable level and keeping the primary balance at a sustainable level.

According to Balance of Payment (BOP) data, the trade deficit in goods and services declined considerably; from $ 4.3 billion in Jan 2022 to $ 2.6 billion in February 2022. Exports of goods and services that unexpectedly declined in January have resumed their upward trend in February.

Imports of goods and services were at all-time highs in December and January, but declined substantially in February, helped by negative seasonal effects.

In March 2022, exports are expected to continue their upward trend, backed by the export-oriented policies that have been implemented in the recent past.

READ MORE: Pakistan’s CAD mounts to $12 billion in eight months

The stabilizing of the Real Effective Exchange will also help exports in keeping the rising trend. Imports will probably return to a level that is more in line with domestic economic activity and the levels of international commodity prices. As a result, the trade balance may less deteriorate in March 2022 as well. However, geopolitical risks still persist.

In January and February, remittance inflows declined to lower levels mainly due to negative seasonality. In March they are expected to revert to normal levels. Taking these factors into account, as well as its other components, the current account deficit is expected to stay well below the unsustainable levels observed during the period from August 2021 up to January 2022.

March 29, 2022
PSX announces top 25 companies for year 2020

KARACHI: Pakistan Stock Exchange (PSX) on Monday announced top 25 companies for the year 2020.

Every year, the Exchange acknowledges the performance of the top companies shortlisted on the basis of comprehensive criteria, which includes:

READ MORE: Equities gain 382 points amid easing political tensions

(i) Capital Efficiency,

(ii) Total Shareholder Return,

(iii) Growth in Operating Revenue,

(iv) Change in EBITDA Margin,

(v) Free-Float of Shares,

(vi) Turnover of Shares,

(vii) Reporting on Sustainability Development Goals,

READ MORE: Weekly Review: political unrest may impact market

(viii) Diversity and Inclusion,

(ix) Corporate Governance & Investor Relations and

(x) Compliance with Listing of Companies & Securities Regulations.

The awards given by the Exchange to the top companies recognizes their excellent financial and managerial performance, and provides the top companies with a powerful marketing tool.

READ MORE: Pakistan stocks gain 29 points amid dull trading

The PSX announced the names of the top 25 companies for the year 2020 that have been selected on the basis of the highest score obtained as per the Criteria for Selection of Top Companies:

01. Fauji Fertilizer Company Limited

02. Meezan Bank Limited

03. Systems Limited

04. Security Papers Limited

05. Archroma Pakistan Limited

06. Fauji Fertilizer Bin Qasim Limited

07. Mari Petroleum Company Limited

READ MORE: Pakistan stocks gain 319 points amid volatile trading

08. Askari Bank Limited

09. Abbott Laboratories (Pakistan) Limited

10. Century Paper & Board Mills Limited

11. Cherat Packaging Limited

12. Cherat Cement Company Limited

13. ICI Pakistan Limited

14. Ghani Global Glass Limited

15. Engro Polymer & Chemicals Limited

16. International Industries Limited

17. Redco Textiles Limited

18. Hum Network Limited

19. Mehran Sugar Mills Limited

20. Tri-Pack Films Limited

21. Al-Abbas Sugar Mills Limited

22. International Steels Limited

23. Synthetic Products Enterprises Limited

24. Attock Cement Pakistan Limited

25. OLP Modaraba (Formerly: Orix Modaraba)

March 29, 2022
Dollar jumps to new record high at PKR 182.19

KARACHI: The US dollar jumped to make new record high against the Pak Rupee (PKR) at Rs182.19 in the interbank foreign exchange market on Monday.

The rupee declined by 41 paisas to close at Rs182.19 against the dollar from last Friday’s closing of Rs181.78 in the interbank foreign exchange market. The previous closing was already the record low of the local currency.

READ MORE: Dollar continues historic journey; tops at PKR 181.78

Currency experts said that the dollar demand remained high during the day as market was opened after two weekly holidays. Further, falling foreign exchange reserves, volatiles commodity prices in international markets and political uncertainty further depressed the rupee value.

READ MORE: Dollar maintains record high against PKR at Rs181.73

Large external payments against foreign debts depressed the rupee value. Pakistan’s foreign exchange reserves fell by $2.28 billion to $21.44 billion by March 18, 2022 as compared with $23.72 billion as of February 4, 2022. The foreign exchange reserves of the country hit record high at $27.23 billion on August 27, 2021.

READ MORE: Rupee’s losing streak continues as dollar tops Rs181.73

The ballooning current account deficit escalated the dollar value. Pakistan’s current account deficit ballooned to $12 billion during first eight months (July – February) 2021/2022 against a surplus of $994 million in the corresponding months of the last fiscal year. Although the current account deficit narrowed to $545 million in February 2022 as compared with the deficit of $2.53 billion in January 2022, scheduled external repayments are still a threat to balance of payment.

READ MORE: Rupee collapses to dollar at record low Rs181.25

March 28, 2022
IR offices to work till midnight on March 31

ISLAMABAD: The offices of Inland Revenue (IR) will observe extended working hours on last two days of the current month and facilitate tax payment till midnight on March 31, 2022.

According to a notification issued by the Federal Board of Revenue (FBR) on Monday, the offices of Inland Revenue including Large Tax Offices (LTOs), Medium Tax Offices (MTOs), Corporate Tax Offices (CTOs) and Regional Tax Offices (RTOs) will remain open and observe extended working hours till 8:00 PM on Wednesday March 30, 2022 and till 12:00 midnight on Thursday March 31, 2022 to facilitate the taxpayers in payment of duty and taxes.

READ MORE: Banks to observe extended hours for tax collection

The FBR directed Chief Commissioners Inland Revenue to establish liaison with the State Bank of Pakistan (SBP) and authorized branches of National Bank of Pakistan (SBP) to ensure transfer of tax collection by these branches to the respective branches of SBP on the same date to account for the same towards the collection for the month of March 2022.

READ MORE: Tax collection from property purchase climbs up 24%

Earlier on March 24, 2022 the SBP issued instructions in this regard.

The SBP in a statement said that in order to facilitate the collection of government receipts/duties / taxes, it has been decided that the field offices of SBP Banking Services Corporation (SBP-BSC) and authorized branches of National Bank of Pakistan (NBP) will observe extended banking hours till 8:00 P.M. and 10:00 P.M. on 30th and 31 March, 2022, respectively.

READ MORE: FBR registration made mandatory for housing projects

Accordingly, NIFT has been advised to arrange a special clearing at 8:00 P.M. on 31st March, 2022 (Thursday) for same day clearing of payment instruments.

All banks are advised to keep their concerned branches open on 31″ March, 2022 (Thursday) till such time that is necessary to facilitate the special clearing for Government transactions by the NIFT.

READ MORE: Advance tax on purchase of immovable property

March 28, 2022
Dollar hits PKR 182.15 in midday trading

KARACHI: The US dollar touched a new peak against Pakistan Rupee (PKR) at Rs182.15 at midday trading in interbank foreign exchange market.

The rupee was ended Rs181.78 against the dollar at closing on March 25, 2022. It was previous record high of the dollar against the rupee.

READ MORE: Dollar continues historic journey; tops at PKR 181.78

Currency experts said that the rupee was under immense pressure due to external payments, political unrest and Russia-Ukraine war.

READ MORE: Dollar maintains record high against PKR at Rs181.73

The massive outflow of foreign exchange for repayment of external debt kept pressure on the exchange rate.

READ MORE: Dollar maintains record high against PKR at Rs181.73

Pakistan’s foreign exchange reserves fell by $2.28 billion to $21.44 billion by March 18, 2022 as compared with $23.72 billion as of February 4, 2022. The foreign exchange reserves of the country hit record high at $27.23 billion on August 27, 2021.

READ MORE: Rupee’s losing streak continues as dollar tops Rs181.73

The rupee was under pressure due to political uncertainty, external payment demand and volatile international oil prices. A no-confidence motion moved against the prime minister by the opposition parties had resulted in negative sentiments in the market.

The dollar demand was also rising due to import of commodities related to the holy month of Ramzan. The local forex market is also uncertain due to volatile oil prices in the international markets. The oil prices have seen continuous fluctuation since the Russia-Ukraine war began on February 24, 2022.

Dollar continues historic journey; tops at PKR 181.78

March 28, 2022
Dollar continues historic journey; tops at PKR 181.78

KARACHI: The US dollar continued its historic journey against the Pakistan Rupee (PKR) on Friday to reach new high of Rs181.78 at closing of interbank foreign exchange market.

The rupee witnessed five paisas decline to the dollar from previous day’s closing of Rs181.73, which was previous historic low of the local unit at interbank closing of March 22, 2022.

READ MORE: Dollar maintains record high against PKR at Rs181.73

The dollar took breath yesterday to maintain the historic low as exchange ended unchanged at Rs181.73. Prior to this, the local currency fell continuously against the greenback for seven consecutive trading sessions till March 22, 2022.

The massive outflow of foreign exchange for repayment of external debt kept pressure on the exchange rate.

READ MORE: Rupee’s losing streak continues as dollar tops Rs181.73

Pakistan’s foreign exchange reserves fell by $2.28 billion to $21.44 billion by March 18, 2022 as compared with $23.72 billion as of February 4, 2022. The foreign exchange reserves of the country hit record high at $27.23 billion on August 27, 2021.

READ MORE: Rupee collapses to dollar at record low Rs181.25

The rupee was under pressure due to political uncertainty, external payment demand and volatile international oil prices. A no-confidence motion moved against the prime minister by the opposition parties had resulted in negative sentiments in the market.

The dollar demand was also rising due to import of commodities related to the holy month of Ramzan. The local forex market is also uncertain due to volatile oil prices in the international markets. The oil prices have seen continuous fluctuation since the Russia-Ukraine war began on February 24, 2022.

READ MORE: Dollar continues to make historic high; hits Rs180.57

March 25, 2022