Tag: Global Economy

  • 6th straight gain: Pakistani rupee closes at Rs281.13 against dollar

    6th straight gain: Pakistani rupee closes at Rs281.13 against dollar

    In a continued trend, the Pakistani rupee exhibited resilience against the US dollar, marking its sixth consecutive session of appreciation with a marginal uptick of 0.03 per cent in the inter-bank market on Wednesday. 

    The State Bank of Pakistan (SBP) reported a settlement at Rs281.13, reflecting an increase of Re0.09.

    This positive momentum follows Tuesday’s marginal gain when the rupee settled at Rs281.22 against the US dollar. 

    Against major currencies, the Pakistani rupee demonstrated notable strength, gaining 94.44 paisa against the Euro, closing at Rs307.16 compared to the previous value of Rs308.11.

    The British Pound observed a decrease of Rs1.38, closing at Rs356.98 in contrast to the previous day’s rate of Rs358.36. 

    Similarly, the Swiss franc experienced losses of Rs1.86, closing at Rs329.85 compared to Rs331.71 from the preceding session.

  • Overseas remittances to Pakistan soar to $2.4 billion

    Overseas remittances to Pakistan soar to $2.4 billion

    The State Bank of Pakistan (SBP) revealed that the inflow of overseas workers’ remittances reached $2.4 billion in December 2023, marking a notable 5.4 per cent increase from the previous month’s $2.25 billion, according to data released on Wednesday.

    On a yearly basis, December’s remittances exhibited a robust growth of 13.4 per cent, totaling $2.1 billion compared to the same period in the previous year.

    These remittances continue to play a pivotal role in sustaining Pakistan’s external account, fostering economic activity, and supporting the disposable incomes of remittance-dependent households.

    Despite the December upswing, the cumulative workers’ remittances for July-December FY24 recorded a decline of 6.8 per cent Year-on-Year (YoY), amounting to $13.43 billion.

    This decrease amounted to $982.8 million compared to the $14.42 billion reported in the corresponding period of FY23.

    Saudi Arabia

    Overseas Pakistanis in Saudi Arabia led the remittance surge in December, contributing $577.6 million. This figure marked a 6 per cent increase from the previous month and over 9 per cent higher than the same month in the previous year.

    United Arab Emirates (UAE)

    Remittances from the UAE witnessed a marginal monthly increase of nearly 2 per cent, rising from $411.8 million in November to $419.2 million in December. Year-on-year, these remittances surged by almost 27 per cent.

    United Kingdom (UK)

    December saw an uptick in remittances from the United Kingdom, totaling $368 million—a 7.5 per cent increase compared to November 2023.

    European Union (EU)

    Remittances from the European Union demonstrated substantial growth, rising by 19 per cent YoY and 6 per cent on a monthly basis, reaching $284.9 million in December 2023.

    United States (US)

    Overseas Pakistanis in the United States sent $263.9 million in December 2023, reflecting an 8.5 per cent YoY increase.

    This breakdown underscores the significance of remittances from various regions, contributing to Pakistan’s economic resilience amid global challenges. 

    The upward trajectory in December bodes well for the nation’s economic prospects as it navigates through the fiscal year.

  • Gold price increases Rs300 per tola to Rs216,400

    Gold price increases Rs300 per tola to Rs216,400

    Gold rates in Pakistan witnessed a notable upswing on Tuesday, aligning with the international market trend.

    The precious metal was quoted at Rs216,400 per tola in the local market, marking a substantial increase of Rs300 within the day.

    According to data released by the All Pakistan Gems and Jewellers Sarafa Association (APGJSA), the 10-gramme gold price reached Rs185,528 after experiencing a rise of Rs257 on the same day.

    This surge in gold prices follows a recent decline on Tuesday, where the yellow metal in Pakistan had seen a decrease of Rs1,900 per tola.

    The international gold rate, with a $20 premium, stood at $2,050 per ounce on Tuesday, marking an increase of $3 in the global market, as reported by the APGJSA.

    Meanwhile, silver rates maintained stability in the local market at Rs2,660 per tola on the same day, indicating a lack of significant fluctuations in silver prices.

    Market analysts are attributing the rise in gold rates in Pakistan to the positive movement in the global market, emphasising the impact of international factors on the local precious metals landscape.

    Investors and traders are closely monitoring these fluctuations as they evaluate their investment strategies in the backdrop of the dynamic economic environment.

  • Winning streak: Pakistani rupee appreciates 0.04% in fourth consecutive session

    Winning streak: Pakistani rupee appreciates 0.04% in fourth consecutive session

    In a resilient display, the Pakistani rupee continued its upward trajectory against the US dollar, marking gains for the fourth consecutive session in the interbank market on Monday. 

    The State Bank of Pakistan (SBP) reported a noteworthy appreciation of 0.04 per cent, with the rupee settling at Rs281.28 after a rise of Re0.12.

    This positive trend extends the rupee’s recent performance, as it achieved a 0.16 per cent appreciation during the preceding week, settling at Rs281.40 against the US dollar in the inter-bank market. 

    Impressively, this marks the eighth consecutive week of the local currency advancing against the greenback.

    The momentum driving the rupee’s strength can be attributed to the recent announcement of a staff-level agreement (SLA) between Pakistan and the International Monetary Fund (IMF). 

    This agreement pertains to the first review of the $3 billion standby arrangement (SBA), reinforcing investor confidence in Pakistan’s economic stability.

    A significant development contributing to this positive outlook is the notable increase in foreign exchange reserves held by the State Bank of Pakistan. 

    According to SBP data from the previous week, the central bank’s reserves surged by $464 million on a weekly basis, reaching $8.2 billion as of December 29.

    Internationally, the US dollar maintained stability on Monday, with investors eagerly awaiting a crucial US inflation report later in the week. This report is expected to provide clarity on the Federal Reserve’s monetary policy outlook. 

    The greenback’s recent rally was supported by a rebound in US Treasury yields as traders adjusted their expectations regarding the pace and scale of potential Fed cuts this year. 

    This cautious optimism globally has complemented Pakistan’s positive economic indicators, contributing to the sustained strength of the Pakistani rupee against the US dollar.

  • Local gold prices drop by Rs1,900 per tola

    Local gold prices drop by Rs1,900 per tola

    On Monday, gold prices in Pakistan experienced a decline in alignment with the global market trend. 

    The local market recorded the yellow metal at Rs216,100 per tola, marking a decrease of Rs1,900 throughout the day.

    The 10-gram gold was traded at Rs185,271, reflecting a reduction of Rs1,629, as reported by the All Pakistan Gems and Jewellers Sarafa Association (APGJSA).

    Contrastingly, on the preceding Saturday, gold prices had surged by Rs1,000 per tola in Pakistan.

    The international gold rate exhibited a $20 premium, reaching $2,047 per ounce on Monday, following an $18 dip in the global market, according to APGJSA.

    In parallel, silver rates remained steadfast at Rs 2,660 per tola during this period.

  • PKR ends week in green, settles at Rs281.4 vs USD

    PKR ends week in green, settles at Rs281.4 vs USD

    The Pakistani rupee demonstrated resilience, marking its third consecutive session of gains against the US dollar with a 0.1 per cent appreciation in the inter-bank market on Friday. 

    According to the State Bank of Pakistan (SBP), the rupee concluded at Rs281.4, reflecting an increase of Re0.27.

    In a noteworthy development, the SBP’s foreign exchange reserves experienced a significant boost of $1.3 billion over a two-week period, attributed to official inflows from international financial institutions facilitated by the government of Pakistan. 

    The upward trajectory in the SBP’s foreign exchange reserves was evident in the final weeks of December. Inflows totaling $852 million were reported for the week ending December 22, 2023, followed by an additional $464 million by December 29, 2023. 

    Cumulatively, an impressive $1.316 billion contributed to the SBP’s reserves during this fortnight.

  • Pakistani rupee strengthens by 5 paisa, closes at PKR 281.67 against US dollar

    Pakistani rupee strengthens by 5 paisa, closes at PKR 281.67 against US dollar

    The Pakistani rupee (PKR) demonstrated a 5.08 paisa appreciation against the US dollar during Thursday’s interbank session, concluding at PKR 281.67 per USD, compared to the previous closing at PKR 281.72 per US dollar (USD).

    Throughout the day, the currency reached an intraday high (bid) of Rs281.84 and a low (ask) of Ra281.8. In the open market, Exchange Companies quoted the dollar at Rs281 for buying and Rs283 for selling.

    It’s noteworthy that the local unit concluded its 13-day historic winning streak against the greenback in the first trading session of 2024, experiencing a modest depreciation of 3.37 paisa against the US dollar.

    In contrast to major currencies, PKR gained 56.27 paisa against the Euro, closing at Rs308.07 compared to the previous value of Rs308.63. 

    The British Pound saw an increase of Rs1.25, concluding at Rs357.49 compared to Rs356.24 from the previous day.

    The Swiss franc recorded gains of 75.99 paisa, closing at Ra332.01 compared to Rs331.25 from the previous session. 

    Against the Japanese Yen, PKR gained 1.18 paisa, closing at 1.964 versus 1.9758 a day ago. The Chinese Yuan lost 4.96 paisa, closing at 39.38 against 39.43 from the previous session. 

    The Saudi Riyal closed at 75.1 with a loss of 1.75 paisa from its values of 75.12 a day ago, and the U.A.E Dirham decreased by 1.28 paisa from 76.69 to 76.71.

    In the current financial year, PKR has appreciated against the Dollar by 4.32 rupees or 1.53 per cent, while the current calendar year has seen PKR appreciate by 18.73 paisa or 0.07 per cent. 

    In the money market, the benchmark 6 Month Karachi Interbank Bid and Offer rates decreased by 6 bps to 21.16 and 21.41 per cent.

  • Interbank closing: Pakistani rupee resumes winning streak against US dollar

    Interbank closing: Pakistani rupee resumes winning streak against US dollar

    The Pakistani rupee exhibited resilience against the US dollar in the inter-bank market, marking a 0.06 per cent gain on Wednesday, reaching a settlement of Rs281.72, reflecting an increase of Re0.17, as reported by the State Bank of Pakistan (SBP). 

    This positive momentum follows a slight dip on Tuesday, when the rupee settled at Rs281.89 against the US dollar.

    Meanwhile, on the international front, the US dollar experienced a broad ascent on Wednesday, hovering near a two-week high against major peers. 

    This surge is attributed to various factors, including elevated US Treasury yields and a cautious shift in risk sentiment that impacted Wall Street.

    In another significant development, the Federal Board of Revenue (FBR) is poised to implement stringent measures targeting non-filers during the current month. 

    The initial phase involves the blocking of mobile SIM cards and mobile phones for non-filers, with the issuance of the Income Tax General Order expected by January 15. 

    The FBR is also formulating a strategy to disconnect electricity and gas connections for non-filers, acknowledging a current lack of comprehensive data on the electricity connections of non-filers.

  • Gold prices in Pakistan follow global trend, decline by Rs1,300 per tola

    Gold prices in Pakistan follow global trend, decline by Rs1,300 per tola

    On Wednesday, gold prices in Pakistan experienced a reduction, mirroring the global downward trend. 

    The current valuation of the precious metal stands at Rs220,000 per tola, marking a decrease of Rs1,300 throughout the day.

    As reported by the All Pakistan Gems and Jewellers Sarafa Association (APGJSA), the 10-gramme gold rate now stands at Rs188,614, reflecting a decline of Rs1,115.

     In contrast, the previous day witnessed a surge of Rs 1,600 per tola in gold prices.

    The international gold rate, despite a $12 dip in the global market, settled at $2,082 per ounce on Wednesday, with a $20 premium, according to APGJSA.

    In contrast, silver rates remained unchanged at Rs2,680 per tola during this period.

  • Second consecutive decline: Gold price drops by Rs900 per tola in Pakistani markets

    Second consecutive decline: Gold price drops by Rs900 per tola in Pakistani markets

    Gold sustained its downward trend for the second consecutive session on Saturday, experiencing a decline of Rs900 per tola in the Pakistani gold market.

    The price of one tola gold was established at Rs220,000, and the 10-gramme gold recorded a sale at Rs188,615, reflecting a decrease of Rs771.

    These figures were provided by the All Pakistan Gems and Jewellers Sarafa Association (APGJSA).

    In comparison, Friday witnessed a decrease of Rs1,900 per tola in gold rates in Pakistan. This local downturn aligns with the global moderation observed in the price of gold.

    The international rate of gold, marked by a $20 premium, was set at $2,082 per ounce on Saturday, following an $8 dip in the international market, according to APGJSA.

    In contrast, silver rates in Pakistan remained stable at Rs2,680 per tola.

    Reflecting on the broader trend, the year 2023 saw a noteworthy 20 per cent increase in gold prices in Pakistan, with the price per tola reaching around Rs184,000 by the end of 2022.

    The pinnacle of gold rates in 2023 occurred on September 2, recording Rs242,700 per tola, while the lowest point in the year was noted on October 4 at Rs188,400 per tola, based on APGJSA data.