Tag Archives: State Bank of Pakistan

Pakistan’s shrinking foreign reserves

Pakistan's shrinking foreign reserves

The current drop in remittances is clearly a reflection of the economic slowdown in the oil-rich Middle Eastern countries — a direct consequence of a long-drawn declining trend in world oil prices. This region has remained our main source of remittances for decades, as millions of Pakistanis are gainfully employed there. The significant decline in remittances follows reports of thousands …

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The sudden and unexplained US$ – PKR shock

The sudden and unexplained US$ - PKR shock

The Pakistani rupee sank to its three-and-a-half-year low on Wednesday, trading at 108.25 to the US dollar, as concerns over foreign exchange reserves and political stability took their toll on the currency. However, the rupee depreciation was all the more dramatic as it exposed policy differences between the Ministry of Finance and the country’s central bank. While Finance Minister Ishaq …

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Economic indicators suggest growing middle class in Pakistan

Economic indicators suggest growing middle class in Pakistan

The country’s middle class is experiencing a rapid growth, which is evident from the rising demand for consumer durables, education and health, according to the State Bank of Pakistan (SBP). The central bank, in its latest report on the state of economy, said that the growth in the consumption pattern in the country is indicative of a budding economy. “Several …

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Pakistan – India trade expands despite tensions

Despite mounting tension along the border, the trade between Pakistan and India has remained intact since the beginning of the current fiscal year, a media report said on Friday. A report by the State Bank of Pakistan (SBP) revealed that Pakistan grew its exports to India during the first eight months of 2016-17 while curtailing imports by 23 per cent, …

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Mystery of the “fake” bank accounts

National Assembly Speaker Ayaz Sadiq, Senate Chairman Raza Rabbani and Leader of the Opposition in the National Assembly Syed Khurshid Shah claimed on Wednesday that fake bank accounts had been opened in their names and that transactions worth tens of millions of rupees had been made from those accounts. Leader of the Opposition in the Senate Aitzaz Ahsan, Kashmir Com­mittee …

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Widening account deficit crosses 136%

Widening account deficit crosses 136%

Pakistan’s current account deficit widened by 136% in the first quarter (Jul-Sep) of 2016-17, increasing to $1.37 billion on a year-on-year basis, according to data released by the State Bank of Pakistan (SBP) on Thursday. With the difference of exports and imports being the biggest determinant of the current account balance, a deficit/surplus reflects whether a country is a net …

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Pak Finance Minister powers cut by Supreme Court

The wings of Finance Minister Ishaq Dar have been clipped in the wake of a Supreme Court (SC) ruling which implies that decisions of the Economic Coordination Committee (ECC) should not be implemented without ratification from the cabinet. To comply with the court order, the ECC – the economic decision-making body with Dar as chairman – agreed in its meeting …

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Reality bites

Pakistan’s foreign reserves have been on a sharp ascent and are often quoted by the ruling party as a manifestation of sound economic policy work. The total foreign exchange reserves of the country have climbed to 19.828 billion dollars according to the State Bank of Pakistan. According to an article published in Bloomberg, “at least half of the country’s $20 …

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All that glitters is not gold: Analyzing the earnings of the banking sector in Pakistan

Banks are enjoying bumper profits this year as evidenced by the recently released quarterly financial reports for the first nine months of FY15. Earnings are up by 26% when compared to the same time last year and the sector has posted a combined post tax profit of a staggering Rs 148 billion from Jan-Sept. However, question marks remain on whether …

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