Pakistan gets $371m CSF

[farhan_9909]

SBP has received the fund which would help improve the declining foreign exchange reserves of the country.— File photo

KARACHI: Pakistan has received $371 million as Coalition Support Fund which is the first dollar inflow in the new fiscal year.

A spokesman for the State Bank confirmed on Thursday that the bank has received the fund which would help improve the declining foreign exchange reserves of the country.

The dollar holdings of the State Bank have been declining since the first week of the month, and the bank lost $723m during 22 days to stay around $8.554 billion on Aug 22.

Also read: US Congress links aid to military operations

The falling reserves, with political uncertainty, hit the exchange rate which weakened the local currency, and within 10 days rupee lost 4 per cent against the US dollar. Since Monday, the currency market witnessed massive fluctuation as it fell below Rs101, but again moved over Rs102 per dollar. On Thursday, the dollar remained almost stable hovering around Rs102.15 to 102.30.

Currency dealers said the State Bank’s efforts brought the dollar down at Rs101, but high demand and lesser supply pushed the dollar prices.

“The bullish market sentiment has neutralised the State Bank’s intervention in the inter-bank market and it seems that Friday could see another hike in the dollar rate,” said Atif Ahmed, a currency dealer in inter-bank market.

“The inflows to CSF fund may temporarily improve the sentiment, but deepening political uncertainty is more dominating for the depressed exchange market,” he said.

Banking sources said that the next month could be more crucial for the dollar-rupee parity as the country would have to pay some large payments to IMF.

Since the beginning of long march and sit-in at Islamabad, exporters have stopped bringing their proceeds in to the market and they may hold the proceeds for another month.

Bankers said there is a need to pursue them to bring the export proceeds with immediate effect that could stabilise the exchange rate.

Published in Dawn, August 29th, 2014

Pakistan gets $371m CSF - Newspaper - DAWN.COM

 

[pursuit of happiness]

SBP has received the fund which would help improve the declining foreign exchange reserves of the country.— File photo

KARACHI: Pakistan has received $371 million as Coalition Support Fund which is the first dollar inflow in the new fiscal year.

A spokesman for the State Bank confirmed on Thursday that the bank has received the fund which would help improve the declining foreign exchange reserves of the country.

The dollar holdings of the State Bank have been declining since the first week of the month, and the bank lost $723m during 22 days to stay around $8.554 billion on Aug 22.

Also read: US Congress links aid to military operations

The falling reserves, with political uncertainty, hit the exchange rate which weakened the local currency, and within 10 days rupee lost 4 per cent against the US dollar. Since Monday, the currency market witnessed massive fluctuation as it fell below Rs101, but again moved over Rs102 per dollar. On Thursday, the dollar remained almost stable hovering around Rs102.15 to 102.30.

Currency dealers said the State Bank’s efforts brought the dollar down at Rs101, but high demand and lesser supply pushed the dollar prices.

“The bullish market sentiment has neutralised the State Bank’s intervention in the inter-bank market and it seems that Friday could see another hike in the dollar rate,” said Atif Ahmed, a currency dealer in inter-bank market.

“The inflows to CSF fund may temporarily improve the sentiment, but deepening political uncertainty is more dominating for the depressed exchange market,” he said.

Banking sources said that the next month could be more crucial for the dollar-rupee parity as the country would have to pay some large payments to IMF.

Since the beginning of long march and sit-in at Islamabad, exporters have stopped bringing their proceeds in to the market and they may hold the proceeds for another month.

Bankers said there is a need to pursue them to bring the export proceeds with immediate effect that could stabilise the exchange rate.

Published in Dawn, August 29th, 2014

Pakistan gets $371m CSF - Newspaper - DAWN.COM

--
good or bad for pak?

 

[Pulsar]

So, Pakistan still depends on US crutches. Tough standing on ones own feet, eh? For how long is Pakistan going to depend on such doles from the Yanks and Saudi Arabia to prop up its economy?

Pakistan is one of the richest countries in the world in terms of natural resources! But poor in their management!

The country is abundant in the vital resources including that of energy, agriculture, minerals, population, and geography, but unlike the developed countries, these have not been properly exploited due to poor management.

This dismayed situation is caused due to several, both chronic and acute, flaws which have led to poor governance of country since its inception except some brief spells of economic prosperity. Prevalent political rivalry and instability, worsening law and order and rampant corruption have catalyzed the situation to resource development impasse.

Contrary to economic potential of its natural resources, Pakistan is dependent on foreign aid and facing deficit in trade, acute energy crisis to run industry, and water stress for agriculture, to name a few challenges.

http://jworldtimes.com/Article/92011_Pakistan_Rich_in_Natural_Resources_But_Poor_in_their_Management

Pakistan needs a paradigm shift in its governance model to stand on its own feet.

 

[ejaz007]

Thank U ....... US..... arre bhai itna to bol sakte hai........

Shame aani chahiye yaar..still depends on US..... JISKO roj gaali dete ho aur ussi money lete ho

Why not trying to improve your economic condition n says , hell THANKS BUT NO THANKS TO US

I wish people would use brains before posting. This is CSF and not aid. This is the amount paid by US for using or air, sea ad land routes for their military use plus our support for WOT. This was stuck because of US demand of operation in Waziristan. Has now been released.

 

[Cheetah786]

I wish people would use brains before posting. This is CSF and not aid. This is the amount paid by US for using or air, sea ad land routes for their military use plus our support for WOT. This was stuck because of US demand of operation in Waziristan. Has now been released.

It's coalition Support(AIDS) fund and not reimbursement of expense.Please stop making excuses

Country the size of pakistan needs lousy 300 million to survive really? Our politicians are billionaires and have billions in overseas banks.

 

[VCheng]

KARACHI: Pakistan has received $371 million as Coalition Support Fund which is the first dollar inflow in the new fiscal year.

The transactional relationship is alive and well.

 

[acid rain]

Congratulations!!! Pakistan,

A few more billion is lined up, I hear that a former ambassador requested one more tranch of the 7.5 billion that came under kerry luger.

 

[Hurter]

Thank U ....... US..... arre bhai itna to bol sakte hai........

Shame aani chahiye yaar..still depends on US..... JISKO roj gaali dete ho aur ussi money lete ho

Why not trying to improve your economic condition n says , hell THANKS BUT NO THANKS TO US

As an ordinary Pakistani, We don't need US's money & we don't need to thank them because neither its giving any benefit to any Pakistani nor helping in the development of this country. Pakistan is not a beggar country.. Our POLITICIANS are beggars & thats a fact. They take the loan from IMF, increase taxes, bills & everything and earn from it and invest our money all over the world to build their business empires. Only Nawaz Sharif's son lives in Rs.8 Billion residence in London. Not only that, he has got $ 2 billion company as well as other mansions as well and its all from our money. We don't want US's money neither these politicians my friend.

 

[Kompromat]

CSF is the money the US owes Pakistan for using our infrastructure and help in the war in Afghanistan. Its NOT aid!

 

[VCheng]

CSF is the money the US owes Pakistan for using our infrastructure and help in the war in Afghanistan. Its NOT aid!

You mean Rent Money? Please clarify. Thanks.

 

[Dodo Bobo]

Every penny helps but this is to low, should have been $3.7 billion at one go.

 

[joekrish]

So is money the reason for operation in Waziristan?

 

[Dodo Bobo]

So is money the reason for operation in Waziristan?

Pakistan already have spent over $100 million on IDPs alone. $370m are not enough for even IDPs in coming months let alone operation.

 

[nomi007]

--
good or bad for pak?

after some years we will ask u this question

 

[Kompromat]

Its better admit it as an aid.. Otherwise it is a big shame to Pakistan,getting paid for helping means what??
Friends or allies helps each other.. Aid in distress is an example of that..
But owing money for helping means master and servant..

We have a transactional relationship with the US. For an Indian it is what it is due to their blind hatred for Pakistan.
US uses our infrastructure and services for which they need to pay us. Its nothing more than a transaction between two states.