Foreign reserves fall to 3.1bil$

[Norphisor]

Pakistan’s foreign exchange reserves have been under pressure because of continuously dwindling reserves held by the SBP. PHOTO: FILE

KARACHI:
Foreign exchange reserves held by the State Bank of Pakistan (SBP) decreased to $3.1 billion on December 20 as opposed to $3.4 billion a week earlier, showed data released by the SBP on Thursday.

The decline of 7.9% in the foreign exchange reserves came as a result of payments amounting to $185 million, according to a spokesman for the central bank.

Out of the payments of $185 million, external debt servicing was $162 million including $58 million repayment to the International Monetary Fund (IMF), and other official payments amounting to $23 million.

There was no major inflow from multilateral and bilateral sources during the week, which caused the drop of $275 million in the period under review.

However, the second tranche of the Extended Fund Facility of $554 million, which was cleared after the successful completion of the first review by the IMF, was received on December 23, and hence will be reported in the next week’s reserve position.

Total liquid foreign reserves in Pakistan amounted to $8 billion on December 20, which was 5.1% less than the preceding week’s figure. Similarly, net foreign reserves held by banks other than the SBP stood at $4.8 billion, which was 3.1% less than the corresponding figure on December 13.

Pakistan’s foreign exchange reserves have been under pressure because of continuously dwindling reserves held by the SBP. They amounted to a little over $6 billion at the end of June, which reflects a decline of almost 47% in roughly six months.

The rupee has appreciated against the dollar in only two of the last 30 years (2002 and 2003) while average annual depreciation of the rupee over the same period has stood at 6.5%. However, the rupee has undergone a sharp 6% depreciation since July this year when it traded around Rs99.

Most analysts believe the recently received IMF tranche of $554 million will stabilise the foreign reserves position, but only in the short term.

Most brokerage houses expect the rupee-dollar parity to hover in the range of Rs108-112 mainly because of few major inflows in the second half of fiscal year 2013-14, despite recent statements by the finance minister claiming a reversal of trends which will see the rupee appreciate in value.

Published in The Express Tribune, December 27th, 2013.

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Read more: Karachi
Foreign currency: With heavy debt repayment, reserves fall to $3.1b – The Express Tribune

 

[Kompromat]

Wait for Sher's rule for six more months, they'd be at $500 million, just like Oct 1999.

 

[OrionHunter]

How many billions of dollars is Pakistan spending on its new nuclear reactors for producing weapons grade plutonium (as a byproduct) to feed its nuke program? The electricity to be produced would just be a bonus. These two large nuclear reactors from China are going to cost a whopping $9.1 billion! Or PKR 95,000 crores!!

Bhutto did say that Pakistanis will eat grass to get the bomb. You guys have enough. Why waste money on more? But then, Pakistan's priority is to spend billions to obtain military hardware, come what may, and keep producing nukes (Which will never be used) 'to counter the so called Indian bogey and its hegemonic designs of invading Pakistan'. Never mind if it's economy can't afford it. And never mind if the IMF ain't lending Pakistan any more dosh until it repays its debts. And needless to say, China ain't bailing out Pakistan either!

So why bellyache if Pakistan has got its priorities wrong?

 

[Star Wars]

How many billions of dollars is Pakistan spending on its new nuclear reactors for producing weapons grade plutonium (as a byproduct) to feed its nuke program? The electricity to be produced would just be a bonus. These two large nuclear reactors from China are going to cost a whopping $9.1 billion! Or PKR 95,000 crores!!

Bhutto did say that Pakistanis will eat grass to get the bomb. You guys have enough. Why waste money on more? But then, Pakistan's priority is to spend billions to obtain military hardware, come what may, and keep producing nukes (Which will never be used) 'to counter the so called Indian bogey and its hegemonic designs of invading Pakistan'. Never mind if it's economy can't afford it. And never mind if the IMF ain't lending Pakistan any more dosh until it repays its debts. And needless to say, China ain't bailing out Pakistan either!

So why bellyache if Pakistan has got its priorities wrong?

Its easy to say "we will eat grass but have nuclear weapons"
Fact is these moronic politicians on both sides of the border who make similar jingoistic statements will be eating lavishly its us poor folks who will be eating grass ...

 

[Bilal.]

How many billions of dollars is Pakistan spending on its new nuclear reactors for producing weapons grade plutonium (as a byproduct) to feed its nuke program? The electricity to be produced would just be a bonus. These two large nuclear reactors from China are going to cost a whopping $9.1 billion! Or PKR 95,000 crores!!

Bhutto did say that Pakistanis will eat grass to get the bomb. You guys have enough. Why waste money on more? But then, Pakistan's priority is to spend billions to obtain military hardware, come what may, and keep producing nukes (Which will never be used) 'to counter the so called Indian bogey and its hegemonic designs of invading Pakistan'. Never mind if it's economy can't afford it. And never mind if the IMF ain't lending Pakistan any more dosh until it repays its debts. And needless to say, China ain't bailing out Pakistan either!

So why bellyache if Pakistan has got its priorities wrong?

Don't talk nonsense, all civilian reactors of Pakistan are under IAEA safeguards and have nothing to do with nuclear weapons program.

@mods, every thread is turned into baseless propaganda by these people.

 

[sree45]

Don't talk nonsense, all civilian reactors of Pakistan are under IAEA safeguards and have nothing to do with nuclear weapons program.

@mods, every thread is turned into baseless propaganda by these people.

You do know that @mods is a user like you. If you want to call moderators, tag them by their names.

 

[OrionHunter]

Don't talk nonsense, all civilian reactors of Pakistan are under IAEA safeguards and have nothing to do with nuclear weapons program.

Do you even know what you're talking about? All of Pakistan’s un-safeguarded nuclear facilities are military in nature and are unlikely to be placed under IAEA safeguards. It cannot, therefore offer to place under safeguards any nuclear facility unlike India which placed 8 of its un-safeguarded nuclear power reactors to be placed under IAEA safeguards.

 

[Bilal.]

You do know that @mods is a user like you. If you want to call moderators, tag them by their names.

It's an expression, like addressing them...

Do you even know what you're talking about?

Pretty much... But do you know what is the main culprit of our balance of payment issue?

 

[Bilal.]

Do you even know what you're talking about? All of Pakistan’s un-safeguarded nuclear facilities are military in nature and are unlikely to be placed under IAEA safeguards. It cannot, therefore offer to place under safeguards any nuclear facility unlike India which placed 8 of its un-safeguarded nuclear power reactors to be placed under IAEA safeguards.

Oh boy... First you lump the kanupp 2 and 3 project in your first post with our nuclear weapons program and now you shift to our weapons facility. And what more, you are blaming them to be the cause of our balance of payment issue while it's due to some genius in the 90s turning our energy mix to ~60% imported oil based.

All our civil NPPs are under IAEA safeguards, be it kanupp, chashnupp or upcoming kanupp 2 and 3.

 

[rockstar08]

Democracy is the best revenge ................ my foot
mushi should have hang all these politicians when he starts his terms ...

 

[AZADPAKISTAN2009]

Wait for Sher's rule for six more months, they'd be at $500 million, just like Oct 1999.

Sher comes , and eats every thing , its a hungry Sher

 

[PoKeMon]

Busssssss

 

[BATMAN]

Sher is busy with treason case, while politicians are generally inept people.
What sharif is facing is the backlog of Zardari regime.

 

[qamar1990]

@Azlan
this is what democracy gets you.

 

[BATMAN]

Democracy is the best revenge ................ my foot
mushi should have hang all these politicians when he starts his terms ...

Media and Imran Khan thugs are responsible for every thing, otherwise Nawaz Sharif was not even allowed to contest elections and there was a law that he could not be 3rd time PM which was allowed by cheap justice.