KARACHI : Pakistanâs foreign exchange reserves decline below the level of 8 billion dollars as the country faces one of the worst economic crisis. The foreign exchange reserves of the country now stand at 7.74 billion dollars, SBP said on Thursday.
According to the spokesman of State Bank of Pakistan (SBP), the countryâs foreign exchange reserves have witnessed a further decrease of 570 million dollars.
<!--QuoteBegin-->QUOTE<!--QuoteEBegin-->KARACHI : Rupee extended its losses in the interbank market as well as open currency market on Thursday. The US dollar rose by 100 paisas in the interbank market to close at Rs 82, said a bank treasurer. <b>The greenback was trading near Rs 87 in the open market, said a dealer.</b><!--QuoteEnd--><!--QuoteEEnd-->
OMG !!! Another gloden oppurtunity for Shame of India to give India's wealth to Pakistan "First" people.
Watch now, he will not disappoint me, it is coming.
<b>KARACHI, Oct 16 : The countryâs total liquid foreign reserves fell to $7,749.7 million in the week ended on October 11, 2008, the State Bank of Pakistan announced on Thursday.</b>
Of the total reserves $4,335.3 million were held by the SBP and $3,414.4 million by other banks.âAPP
<b><i>* Negotiations a contingency plan if Pakistan fails to get lending from other financial institutions
* Pakistan seeking $6 billion</i></b>
<b>ISLAMABAD : Pakistan and the International Monetary Fund (IMF) will conclude negotiations on the Economic Stabilisation Programme this week in Abu Dhabi, a senior official in the Finance Ministry told Daily Times on Sunday.
The official said negotiations on the micro-economic programme would enable Pakistan to seek lending from the IMF without further negotiations if Pakistan failed to get lending from other financial institutions, donors and the Friends of Pakistan forum within 30 days.</b>
The Pakistani team would present the economic stabilisation plan the country has developed, which got initial endorsement from international financial institutions (IFIs) during the recently concluded World Bank-IMF annual general meeting at Washington, he disclosed.
Under the plan, the government believes it has shown improvement in macro-economic indicators, reduction in fiscal deficit, elimination of non-productive expenditures, shifting of development projects from the Public Sector Development Programme to public-private partnership and major enhancement in revenue generation. The official said the plan would bring around 7 million poor people under the social safety net, train one member each of poor households to enable him to earn a living, and would provide health insurance.
About overcoming Pakistanâs immediate economic worries, he said a $3 billion financial resource gap was estimated. The IFIs felt the resource gap was around $4.2 billion.
Six-billion dollars: However, the official said the government wanted to ensure the availability of $6 billion through various initiatives so that the financial resource gap could be overcome and foreign exchange reserves were increased. For this purpose, Pakistan was required to increase its tax-to-GDP ratio from the existing 10.5 percent to 15 percent over the next five to seven years.
He said Pakistan would not face difficulty in getting a loan from the IMF as the government had withdrawn subsidy on oil and power sector after oil prices fell in the international market.
<b>Pakistan May Seek Bailout From IMF to Avoid Defaulting on Debt </b><!--QuoteBegin-->QUOTE<!--QuoteEBegin-->South Asia's second-largest economy, which has seen its foreign reserves plunge more than 74 percent to about $4.3 billion in the past year, is also seeking financial support from the World Bank and the Asian Development Bank, said Shaukat Tarin, financial adviser to the prime minister. <b>The country has $3 billion in debt servicing costs in the coming year. </b>
``They are going to have to bite the bullet and sign for the IMF,'' said David Fernandez, the Singapore-based head of emerging markets research at JPMorgan Chase & Co. ``It has to come now.''
Pakistan's first civilian government since 1999 is facing economic turmoil after the rupee plunged to an all-time low, the current account deficit widened to a record, and inflation jumped to a 30-year high. The nation, which only came off its last IMF program in December 2004, may need as much as $4.5 billion in loans to tide over the crisis, Tarin said.
``If I don't feel the comfort level with the multilateral agencies and our bilateral friends in three to four weeks, then I'll have to write to the IMF,'' Tarin said in an interview in Islamabad yesterday. A default is ``out of the question.''
<b>Standard & Poor's, doubting Pakistan's ability to repay debt, cut the long-term foreign-currency rating on Oct. 6 to seven levels below investment grade, and said it may lower it again. Moody's Investors Service lowered its credit outlook to negative on Sept. 23, citing a risk of ``missed repayments.'</b>'
<!--QuoteBegin-thayilv+Oct 20 2008, 04:35 AM-->QUOTE(thayilv @ Oct 20 2008, 04:35 AM)<!--QuoteEBegin-->I bet this IMF loan is gonna come with tighter conditions from the US to do more than just pay lipservice to the war on terror.
The Americans are looking for tangibles from the pakis and it will be interesting to see them try to balance the double game they have been playing.
The foxes and hounds have realized they have a turncoat in their ranks...hehehe
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I think it will come with less condition and some countries will write-off debts, because they want to help new democracy. We have to see how much India will contribute, because this is coming. Pakistan is not a simple street begger. Pakistan belongs to category who stand at the corner smoking cigratte and on red light just slam hands inside car, if you don't pay they will break your car.
Zardari will collect as much as possible before coup within 12 months.
Be that as it may, I am sure you are awre that India has lost over U S Dollars Seventeen Billion in Foreign Exchange Reserves in the past two weeks.
India might agree to Pakistan's "Begging" for Sir Creek, Siachin, Visa Free Entry etc. etc., but, I don't think "Monetary especially Foreign Exchange Donation" is on the cards.
<!--QuoteBegin-->QUOTE<!--QuoteEBegin--><b>Since the announcement of the actual budgetary figures for the 2007-08 financial year many stories have appeared in the press about the governmentâs economic inefficiency.</b> Most of these stories related to the federal governmentâs inability to make use of the full allocation for the Public Sector Development Programme (PSDP) and to ensure fiscal transfers to the provinces, as announced under the National Finance Commission (NFC) Award. But the real point has been missed somewhere.
<b>There has been an increasing trend in Pakistan to project the revised budgetary figures of the current fiscal year included in the budget document of the subsequent financial year, in a manner that they hide the governmentâs inefficiency which becomes evident only after the actual budgetary figures are released by the Finance Division in end August.</b> As the focus of attention has drifted from the budget by then, the government normally does not have to face much criticism from the opposition parties, civil society or the media. <b>(Unfortunately, the financial acumen of most parliamentarians, the one who actually pass the budget and enact it as law, is something about which the least said the better.)</b><!--QuoteEnd--><!--QuoteEEnd-->
<!--QuoteBegin-Naresh+Oct 20 2008, 02:45 PM-->QUOTE(Naresh @ Oct 20 2008, 02:45 PM)<!--QuoteEBegin--><b>Mudy Ji :</b>
Be that as it may, I am sure you are awre that India has lost over U S Dollars Seventeen Billion in Foreign Exchange Reserves in the past two weeks.
India might agree to Pakistan's "Begging" for Sir Creek, Siachin, Visa Free Entry etc. etc., but, I don't think "Monetary especially Foreign Exchange Donation" is on the cards.
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Nareshji,
Don't underestimate Shame of India, to appease Indian Muslim, he can do anything. Plus if master in US and UK give light whip to him, he will be happy champion. We have to monitor. There are couple of ways he can help his India resource first brothers, send some trucks of peas, onions or wheat. Contribute to IMF for Pakistan Muslim brother rescue fund.
Just watch Shame of India and babus who will get benefits in "TRADE".
<b>22 civilians die in air strike on Swat village</b><!--QuoteBegin-->QUOTE<!--QuoteEBegin-->MINGORA, Oct 19: Fighter jets bombed a village in Swatâs Matta tehsil on Sunday morning, killing at least 47 people, including 22 non-combatants and damaging a dozen houses.
Locals feared that the death toll might rise because most of the injured could not be taken to hospitals owing to curfew and a number of people were believed to have been trapped under the debris.<!--QuoteEnd--><!--QuoteEEnd-->
Pakistan is busy in ethenic cleansing. Now we have to see how fast Punjabis are moved to FATA region.
<b>Pakistan indispensable: Italian FM</b><!--QuoteBegin-->QUOTE<!--QuoteEBegin-->âAt the same time, he said, âwe believe that an internally stable Pakistan, with sound institutions and an economy on the rebound, is an essential asset to the stability of the regionâ.
....
âObviously a stabilised country and the creation of a climate favourable to investments would increase the attraction to Italian businesses. Bilaterally we intend to move quickly to implement the conversion of an approximately 80 million-euro bilateral debt, which could be used for projects in sectors and areas ranging from healthcare to education, and that are crucial to Pakistanâs internal development.
....
particular, <span style='font-size:14pt;line-height:100%'>we foresee the organisation next year of a regional outreach project involving Afghanistan, Pakistan and other neighbouring nations interested in contributing to regional stability</span>
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Nareshji,
Not Italian who lives in India, this Italian lives in Italy is saying. <!--emo&--><img src='style_emoticons/<#EMO_DIR#>/biggrin.gif' border='0' style='vertical-align:middle' alt='biggrin.gif' /><!--endemo-->
Now they will rope in Queen and Shame of india in this scheme.
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<b>Illegal flight of foreign currency</b>
APROPOS of a news report in Dawn (Sept 27), an estimated amount of $150 million a month is being illegally transferred out of the country right under the nose of the State Bank of Pakistan. What an irony bigger than this can be for a country like ours which has now gone on its knees, and whose foreign reserves have crashed to $8bn from $16bn within a period of six to seven months?
In view of the law and order situation deteriorating day by day, foreign investment is a far cry and whatever is left is being mercilessly and illegally transferred out of the country.
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Fauji are moving money but where?
<!--QuoteBegin-->QUOTE<!--QuoteEBegin-->Islamabad, Oct 17 : The detained nuclear scientist, Dr AQ Khan, has in a dramatic move made public a long charge-sheet against the outgoing chairman of the Higher Education Commission (HEC) Dr Attaur Rehman, saying he was the blue-eyed boy of Gen Pervez Musharraf because both hailed from Delhi.<!--QuoteEnd--><!--QuoteEEnd-->
<!--QuoteBegin-->QUOTE<!--QuoteEBegin-->Lahore : Outgoing Chairman of the Higher Education Commission, Dr Attaur Rehman, has issued a long rejoinder to nuclear scientist Dr AQ Khan who had recently <b>criticized the performance of the HEC and Dr Atta</b> for not using billions of taxpayers' funds properly.<!--QuoteEnd--><!--QuoteEEnd-->
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