Day: October 28, 2021

The Pakistan Rupee appreciated against the US Dollar (USD) for the second consecutive day today. It gained 52 paisas against the dollar and closed at 172.26.

Yesterday, the local currency registered its largest increase in value since April 2020. It added Rs. 2.49 against the dollar and closed at 172.78 in the interbank market.

On Tuesday, it lost 84 paisas against the US Dollar to hit an all-time low at 175.27.

The Rupee has appreciated Rs. 3.01 in the past two sessions. The gains came after Saudi Arabia announced a support package of $3 billion as deposits in the State Bank of Pakistan. It will also provide $1.2 billion worth of financing on deferred payments for refined petroleum products.

In the past few months, the local unit depreciated by about 12 percent amid high international commodity prices and a widening current account deficit.

The former Treasury Head of Chase Manhattan Bank, Asad Rizvi, said he expects markets to remain volatile in the near future.

A forex dealer said that the sentiments on the domestic currency turned positive in anticipation of the narrowing gap between the inflow and the outflow of dollars.”

“The Saudi $3 billion cash deposits with the State Bank of Pakistan will shore up the country’s foreign exchange reserves and the deferred oil payment facility will reduce pressure on the import bill, especially given the higher global commodity prices,” he added.

Moreover, Shaukat Tarin, Adviser to Prime Minister on Finance, said on Wednesday that Pakistan is close to concluding talks with the International Monetary Fund (IMF).

“Going forward, with the likely resumption of the IMF programme, the currency is expected to strengthen further in the short-term,” Tahir Abbas, the head of research at Arif Habib Limited, told The News.

The PKR appreciated against other major currencies too. It gained 58 paisas against the Euro, 75 paisas against the Pound Sterling (GBP), 41 paisas against the Australian Dollar (AUD), and 16 paisas against the Canadian Dollar (CAD).

It also added 14 paisas against both Saudi Riyal (SAR) and the United Arab Emirates Dirham (AED) today.

Source: Pro Pakistani

President Dr. Arif Alvi has asked the Overseas Pakistanis to benefit from the country’s business-friendly environment and invest in various sectors of the economy.

He stated that Pakistan had adopted a very liberal investment policy to ensure a favorable business climate and attract foreign investment. He made these remarks at a meeting with the visiting delegation of Overseas Pakistanis from Australia, led by Muhammad Nawaz Malik, at Aiwan-e-Sadr, today.

Talking to the delegation, the President highlighted that Pakistan’s ranking in the Ease of Doing Business Index had improved to 108th position from 136th position, and it provided enabling environment to foreign investors. He stated that the government was encouraging investment in information technology, cattle farming, and other important sectors of the economy and Overseas Pakistanis needed to take advantage of investment opportunities in these sectors.

The President said that the IT sector of the country had great potential and the government had taken steps to strengthen and improve this sector by establishing the Special Technology Zones Authority (STZA) that encouraged and facilitated foreign investors through its one-window facility. He appreciated the role of Overseas Pakistanis in promoting the economy of the country by sending remittances and making investments in various fields.

The delegation informed the meeting that it was interested to invest in cattle farming and wanted to establish a model cattle farm in Pakistan. The delegation said that it would continue its efforts for promoting a positive image of the country and encourage Australian businessmen and Overseas Pakistanis to invest in Pakistan.

Source: Pro Pakistani

Qatar, the world’s largest exporter of liquefied natural gas (LNG), will invest in Pakistan’s next import terminal to serve one of the fastest-growing markets for supercooled fuel.

According to persons acquainted with the situation, Qasim Terminal Holding Co., a subsidiary of Qatar Energy, has approached the government of Pakistan for permission to acquire stakes in Energas Terminal Pvt, reported BloombergNEF.

Qatar Energy and Energas have yet to comment with reference to this development, while the Competition Commission of Pakistan has also declined to make an official statement in this regard.

The report says that the development has taken place as Qatar expects to significantly boost production over the next 10 years while hunting for new fuel buyers. With its latest long-term arrangement set to begin this year, Qatar is currently Pakistan’s largest gas supplier.

With a capacity to import 1 billion cubic feet of gas per year, the Energas terminal will be the country’s largest. Pakistan has two LNG terminals, and Energas and Mitsubishi Corp. of Japan are competing to build the country’s first two private plants.

It has been determined that over the next five years, Pakistan, Bangladesh, and Thailand will dominate LNG expansion in upcoming Asia markets. According to BloombergNEF, the LNG imports of these countries will nearly quadruple between 2021 and 2025.

Source: Pro Pakistani