Category: Economy

Economy

PSX goes up by 1062 points in a day after dollar price cap removal

Currently Pakistan is in talks with International Monetary Fund (IMF) for continuation and revival of a previously on going bail out loan program. However, for this time IMF had about four conditions for Pakistan to meet, before the loan program go further. As the Pakistan’s economy is not doing well and foreign reserves are dropping, so Pakistani government had recently decided to accept the conditions of IMF. Along with increasing the gas & electricity prices and increasing taxes, one of IMF condition demanded Pakistan to not control the Rupee and US Dollar exchange rate artificially. As US Dollar was artificially being kept below 225 in interbank and open markets while in black market it was being sold as high as […]

Economy

Remittances down and imports curbed in Pakistan

In December 2022 total inflow of remittances through the official channels stood at $2 billion, which is 19 percent decline from last month. This is due to the disparity between the official price of US Dollar (the interbank rate) and the price in open market. As in open market you can trade your dollars in much more money, people are adopting to use the unofficial channels more to send in their remittances. This not only take away the government’s opportunity to charge tax on money sent in but also the inflow is not properly added to foreign exchange available to state bank and other government owned bodies. The disparity between the official interbank rate and the open market is due […]

Economy

Ishaq Dar lands back in Pakistan and Pakistani Rupee gains value

Yesterday, on Nur Khan air base Ishaq Dar landed back in country after five years. He came back in Pakistan after five years. He came back in plane of Prime Minister Shahbaz Sharif after it was decided in London by Sharifs that current finance minister Miftah Ismail will be replace with Ishaq Dar. As country passes through unprecedented circumstances, some created by unprecedented flood and some through the political instability created after alliance called Pakistan Democratic Movement (PDM) took over the government forcefully, with allegedly some foreign forces involved. Many people are hoping that Dar will be able to at least do better than our former finance minister. As, he was widely criticized by both senior leadership of Pakistan Muslim […]

Economy

Pakistani Rupee fell 66% in last 5 years of people’s party in government

In last few years Pakistani Rupee (PKR) lost its strength more than ever. Never before rupee fallen so much over such a short period of time. This all shows how much grip Pakistan Peoples Party (PPP) had over the economy. In simple words absolutely none. Rupee’s worth against US Dollar (USD) was 60 Rupees against one USD 5 years ago but now as PPP ruled and left, rupee fallen to 100 rupees against one USD. Not only this also over the last 5 years foreign investors only pulled out, Pakistan does not seen any new investment cumming in. Stock exchanges only seen downturn all the time making the lots of investors lose their faith in investing into the shares. Let […]

Economy

Pakistani Rupee hits record low against US dollar once again

From few days daily Rupee is in pressure again US dollar and other stable currencies of the world. Rupee today again traded at record all time low of  90.48 against US dollar. This is the true depiction of weakening economy of Pakistan. Pakistan have now few outstanding payments of Oil bills, also increasing loan pressures are making things worse. Deteriorating currency for people mean that they will now have to pay more for their oil and all other bills as everything is imported, so as money weakens the prices of fuel go up, so does the inflation. This is all due to the defective policies of current government as they have been able come up with circumstances and opportunities to […]