Pakistani Economic Stress Watch

sanjaykumar · Post by **sanjaykumar** » 15 Jul 2023 21:15

I have noticed it is always positive news. The dollar rises. Never the Pakistani rupee fell again.

g.sarkar · Post by **g.sarkar** » 16 Jul 2023 00:08

Sanjay Kumarji,
If you want to know about negative news, read Pakistani Newspapers, they are full of the latest negative news about India. They are often the first to report these.
Gautam

sanjaykumar · Post by **sanjaykumar** » 16 Jul 2023 00:47

Their press is hugely entertaining. As the Indian moon lander mission blasts off, the pakis announce a 400 ft flagpole to reassure the awam that Islam is safe in Pakistan and Pakistan is attaining glory under Islam.

And their public is proud.

It’s like going to the monkey house at the zoo. You disapprove but somehow you are in the uncanny value of human similitude.

g.sarkar · Post by **g.sarkar** » 16 Jul 2023 08:57

Sanjayji,
When I get bored and have nothing to do, I go to the Dawn, there is always something there. There is nothing in Indian newspapers that can beat its entertainment value, Alhamdulillah.
Gautam

RajaRudra · Post by **RajaRudra** » 16 Jul 2023 10:35

Yeah, the latest cry article is by a paki and some alleged Indian joirnalist called Battachraya.
In which reference of JK as held and POK as azad kashmir. Article is about difficulties faced by women whem married across the border in great length. But not a word about extermination of hindus in Pakistan and few remaining hindus are hounded for conversion through rape.

Manish_P · Post by **Manish_P** » 20 Jul 2023 08:44

sanjaykumar wrote: ↑15 Jul 2023 21:15 I have noticed it is always positive news. The dollar rises. Never the Pakistani rupee fell again.

And nowadays they mention the percentage as it is a smaller number than the actual value

Yawn - Dollar rises by 1.34 pc vs rupee

Contrary to the general perception that higher inflows would ease pressure on the rupee, the dollar on Tuesday appreciated by a significant margin in both interbank and open markets.

The State Bank of Pakistan (SBP) reported that the dollar surged by Rs 3.78 or 1.34 per cent, to settle at Rs 283.04 from Rs 279.26 a day earlier, the biggest jump in the FY24 so far.

The rising dollar price is against the expectations of both the government and currency experts. With inflows from IMF, Saudi Arabia and UAE, the forex reserves of the SBP went up to $ 8.7bn but the exchange rate reacted opposite to the expected stability.

The currency dealers in the open market quoted the rate at Rs 290 from Rs 286 a day earlier. The Rs 4 increase indicates a bullish grey market offering a Rs 305 rate.

Manish_P · Post by **Manish_P** » 25 Jul 2023 10:01

Moonir is busy with visiting US jernail.. hence this insulting headline made it through

Yawn - Rupee suffers seventh straight loss against dollar

The rupee suffered its seventh consecutive loss against the dollar, depreciating by Rs1.11 in the interbank market on Monday, despite claims of stability and high hopes with the IMF inflow.

Currency dealers said the local currency is now set to decline further without any resistance. The dollar settled at Rs287.92 in the interbank market while it gained Re1 to reach Rs293 in the open market.

During the last seven trading sessions the dollar appreciated by 3.98 per cent, or Rs 11.46.

Currency experts said the dollarisation of the economy has started at a general level, as domestic savers are buying dollars to protect their savings.

I think daallar is now the unofficial currency of al bakistan

disha · Post by **disha** » 27 Jul 2023 04:41

Lot of meme material for Jingoes to nail Bakis...

Manish_P · Post by **Manish_P** » 27 Jul 2023 10:44

disha wrote: ↑27 Jul 2023 04:41 Lot of meme material for Jingoes to nail Bakis...

^ I wonder ...

Pratyush · Post by **Pratyush** » 27 Jul 2023 15:32

Is it lost in anyone that the actor is a BJP MP

Manish_P · Post by **Manish_P** » 27 Jul 2023 15:49

A politician is an actor who doesn't even need a script...

disha · Post by **disha** » 28 Jul 2023 03:33

^ BRFites, if Sunny Deol smooth talks Bakis into coming to the movie (remember it will be released in ME) and laughs all the way to the bank with their money while beating their vaunted army with a hand pump, why do we care!

The movie is set in 1971 and it has couple of dialogues that are meme material:

1. ... If India opens up to the bhikaris, the whole pakistan will empty up now ...
2. ... we are the only ones looking at you with some empathy while you go around the world with a begging bowl ...

The trailer already garnered 20+M views... so yes, the movie will make enough money for the bakis to pop their eyes out ...

vimal · Post by **vimal** » 28 Jul 2023 04:27

Park should use toilet paper as currency. It has more value.

A_Gupta · Post by **A_Gupta** » 31 Jul 2023 05:21

Pakistan is a low-tax paradise.

> As IGC research has shown, with a population of over 100 million, all of the state of Punjab in Pakistan collects less urban property tax than the city of Chennai in India, which is home to about 10 million people.

https://www.theigc.org/blogs/taxing-eff ... -so-little

Manish_P · Post by **Manish_P** » 02 Aug 2023 18:45

A-o-A now to make it 12 out of 12

Yawn - Exports dip 9 pc in July, record 11th straight fall

Merchandise exports fell for the 11th month in a row in July, plunging by 8.6 per cent year-on-year to $2.05 billion, showed data released by the Pakistan Bureau of Statistics on Tuesday.

The export proceeds are declining because of internal and external factors stoking up fears about the closure of industrial units, especially textile and clothing.

On a month-on-month basis, the export proceeds declined 12.68 pc in July.

In FY23, the merchandise exports dipped by 12.71 pc to $27.54 bn from $31.78 bn in FY22, missing the $32 bn target by a wide margin of $4.46 bn.

Manish_P · Post by **Manish_P** » 02 Aug 2023 18:52

A_Gupta wrote: ↑31 Jul 2023 05:21 Pakistan is a low-tax paradise.

> As IGC research has shown, with a population of over 100 million, all of the state of Punjab in Pakistan collects less urban property tax than the city of Chennai in India, which is home to about 10 million people.

https://www.theigc.org/blogs/taxing-eff ... -so-little

^ This...

Yawn - Why Pakistan is failing

WHAT the former FBR chief revealed in a TV interview last week only reinforces the perception of a failing oligarchic state. It provides an insight into the vested interests that control the country’s power structure. Irrespective of their political affiliation they unite when it comes to safeguarding their corporate interests.

One such example, as narrated by Shabbar Zaidi, is how some 40 MNAs from the PTI, PPP and PML-N, led by the then foreign minister Shah Mahmood Qureshi, visited his office when the FBR issued a tax notice to a politically influential landowner in Multan, and asked him to withdraw the case. Did he have any choice in the face of such blatant political interference? Obviously not.

It has certainly not been the only such case where the authorities have succumbed under pressure from powerful lobbies seeking exemption from the tax net.

Shabbar Zaidi claims that he faced a similar situation when he tried to bring the tobacco industry in KP into the tax net. He was advised to back off as many of the tobacco barons were members of parliament belonging to the then ruling party, so that some of the richest people could be let out of the tax net because of political compulsions, thus shifting the financial burden onto the populace

It was revealing how the then army chief intervened to block adjustment of property valuation in Defence Housing Authority by the FBR as it affected the property business in the vicinity controlled by military authorities. It was apparently meant to protect the security establishment’s expanding corporate interests. Trading in property allotted to military officers has become a lucrative business. Perks come with the power that the establishment wields. There is certainly no check on its power.

These disclosures by the former FBR chief shows the power of a rent-seeking ruling elite. It shows that the country’s entire power structure is built to serve the corporate interests of powerful ruling classes, both civil and military. The failure to broaden the tax base is a manifestation of the continued stranglehold of a small narrow elite which has left the state with few resources for the development of economic infrastructure. It also makes the country more dependent on foreign aid. For too long, the country has traded on the back of its strategic resources and geopolitical importance, making its rulers totally dependent on international financial aid.

Manish_P · Post by **Manish_P** » 16 Aug 2023 09:54

A_Gupta wrote: ↑31 Jul 2023 05:21 Pakistan is a low-tax paradise.

> As IGC research has shown, with a population of over 100 million, all of the state of Punjab in Pakistan collects less urban property tax than the city of Chennai in India, which is home to about 10 million people.

https://www.theigc.org/blogs/taxing-eff ... -so-little

Following on... pesh hai

Tax reforms commission unceremoniously sent packing

The much-trumpeted Reforms and Resource Mobilisation Commission (RRMC) was unceremoniously sent packing by the last government without giving it time to complete a final report, adding another name to a long list of failed attempts to reform the outdated and shallow taxation system.

The RRMC could not make its impact in the absence of political backing and its recommendations, some of them having potential of generating huge revenue, were simply thrown in the bin by the Pakistan Democratic Movement (PDM) government.

Former finance minister Ishaq Dar had set up the commission in December last year to review budget proposals, reduce size of the informal economy and consider the possibility of making the Federal Board of Revenue (FBR) an autonomous entity. However, a day before leaving office, Dar gave the go-ahead to de-notify the commission, headed by Ashfaq Tola, who had been given the status of minister of state.

The RRMC had given some robust proposals, which if accepted would have saved the salaried class from additional taxation. The salaried class paid over Rs 264 billion in income tax in the last fiscal year compared to Rs 74 billion paid by the country’s richest exporting class that earned $ 27.7 billion in the year.

“When compared to India, the situation seems to be drastically different. In India, 90% of tax was paid by 22% of total filers, whereas in Pakistan, only 3.5% of filers contributed 90% of income tax collection,” said the report. (# if the miniscule elite are not paying then shouldnt this be even better than india? Maybe the formal salaried class in bakistan is also a very minuscule entity... vast awaam of bakistan is informal labour )

chetak · Post by **chetak** » 16 Aug 2023 10:58

Pratyush wrote: ↑27 Jul 2023 15:32 Is it lost in anyone that the actor is a BJP MP

Pratyush ji,

the success of the movie gaddar 2 has left the usual jihadi cabal of paki pasand bollywoodiyas gob smacked. not one of these gaddars have even commented, tweeted or said anything appreciating the movie, whereas, for pathan, these very same paki pasand bollywoodiyas went hyper orgasmic, weeks before the actual release, proclaiming it would be a sooooper success, and yet, the very opposite happened, leaving the jihadi star scrambling to fake bookings to save his tattered butt and destroyed ego

unlike the fake "corporate bookings" of pathaan, Gaddar 2 is ruling the box office with all true bookings and organic collections.......It's no wonder that the bollywoodiyas are apprehensive, and resentful...

A movie with a 60cr budget earns 135cr in 3 days, and another, with a 150cr budget earns 40cr net.

135cr weekend, and that too in a 4 way clash at Indian Box Office.

watch the best impromptu review of gaddar 2

WATCH VIDEO

https://www.youtube.com/watch?v=iFMPSEabEcY

OMG-2, Jailer, Gadar-2:Mega Box-Office Weekend Collection

Manish_P · Post by **Manish_P** » 16 Aug 2023 18:14

A-o-A PKR scaling new heights

yawn - https://www.dawn.com/news/1770442/rupee ... -interbank

The Pakistani rupee fell by Rs3.42 against the US dollar during interbank trade on Wednesday, extending its losses from the previous day.

The local currency dropped 1.16 per cent in the interbank market to close at Rs 294.93 against the greenback, according to the State Bank of Pakistan data.

In the open market, the dollar was being traded for Rs 303.50 around 12:24pm.

Dubai and Kabul market rates should be around the Rs 310-320 mark....

jash_p · Post by **jash_p** » 16 Aug 2023 21:43

A-o-A PKR scaling new heights

yawn - https://www.dawn.com/news/1770442/rupee ... -interbank
The Pakistani rupee fell by Rs3.42 against the US dollar during interbank trade on Wednesday, extending its losses from the previous day.

The local currency dropped 1.16 per cent in the interbank market to close at Rs 294.93 against the greenback, according to the State Bank of Pakistan data.

In the open market, the dollar was being traded for Rs 303.50 around 12:24pm.
Dubai and Kabul market rates should be around the Rs 310-320 mark....

In Kabul it is in the range of 312 - 318

Manish_P · Post by **Manish_P** » 17 Aug 2023 10:16

50% closed, now onwards to a very halal 72%..

Yawn - Hike in fuel prices to trigger joblessness

Reacting to a major increase in petroleum prices by the interim government, business leaders on Wednesday warned that the decision will cause the closure of 50 per cent of industrial units and trigger mass unemployment.

The increase will fuel the existing inflationary pressures and raise the costs of living and manufacturing, they said.

Karachi Chamber of Commerce and Industry (KCCI) President Mohammed Tariq Yousuf said the fresh hike in fuel prices will further intensify the hardships of consumers.

He claimed that 50 pc of industrial units have already closed down operations while the remaining are battling for their survival.

“We fear that the rest of 50 pc industries will also shut down due to the exorbitant energy tariffs,” he said, urging the government to bring down petroleum and electricity prices to lower production costs.

Deans · Post by **Deans** » 18 Aug 2023 15:49

My take on the Pakistan economic crisis and its implications for Kashmir in my blog rpdeans.blogspot.com
I don't think its an angle examined earlier, so I wanted to put it my in blog.

Please visit and follow the blog to get updated on new posts. I am not posting here as I'd like to get enough traction for the blog to be read by those influencing policy.

fanne · Post by **fanne** » 18 Aug 2023 21:16

Deans Sir, great post on JK (sorry did not read the others, it will be interesting to see your take on Rus/UKR conflict, given your background). The fact that it is lack of money on TSP part forced them to pull back, even when China may have prompted them to open a second front.
In my view, it cost more for Chinese to put a soldier and ammunation than say Indian side. Chinese hinterland is at least 2500 KM away (compared to some 200-500 km for India. The cost of transportation is 5-10 times. PPP wise india being 1/3rd of China (and salary, cost of fuel etc) one should use PPP measure, we maybe coming tops on cost basis. For China, hospitable climate and terrain is at least 1000 km away, plus mostly they are in high plateau desert, except near LAC (where you have snow and river), it is costlier for them.
If your hypothesis is right, that lack of money is stopping TSP, the situation only gets bad for them. I am not complaining.
Sir, there are some obvious typos. Only because you may want to reach out to wider audience.

Atmavik · Post by **Atmavik** » 22 Aug 2023 07:05

PKR has reached 297as per google. Our prediction of Virender sehwag like innings is coming true. Hope the Pindi boys bring back Dar so that the Kabul rate reaches Brian Lara territory

Manish_P · Post by **Manish_P** » 22 Aug 2023 09:34

Atmavik wrote: ↑22 Aug 2023 07:05 PKR has reached 297as per google. Our prediction of Virender sehwag like innings is coming true. Hope the Pindi boys bring back Dar so that the Kabul rate reaches Brian Lara territory

Dar used to manipulate the inter-bank rate to keep it artificially down (hence the galloping kabul rate). Without him the interbank rate will reach Brian Lara territory steadily...

At the moment the Pindi boys are busy raking in the american moolah due to Amir Khan orders for artillery shells and rockets to Pakraine.

Tanaji · Post by **Tanaji** » 23 Aug 2023 02:35

Deans sir, great post on your blog, keep it up

chetak · Post by **chetak** » 23 Aug 2023 11:11

Manish_P wrote: ↑22 Aug 2023 09:34
Atmavik wrote: ↑22 Aug 2023 07:05 PKR has reached 297as per google. Our prediction of Virender sehwag like innings is coming true. Hope the Pindi boys bring back Dar so that the Kabul rate reaches Brian Lara territory
Dar used to manipulate the inter-bank rate to keep it artificially down (hence the galloping kabul rate). Without him the interbank rate will reach Brian Lara territory steadily...

At the moment the Pindi boys are busy raking in the american moolah due to Amir Khan orders for artillery shells and rockets to Pakraine.

Manish ji,

WA

1 dollar = 299.01 Pakistani rupees

It seems they will achieve ‘Abki 300 Paar’ before BJP & Modi.

Citing State Bank of Pakistan data, Bloomberg reported that Pakistan rupee dropped 0.6% to 299.01 per dollar on Tuesday, according to State Bank of Pakistan data. The previous record close was 298.9 per dollar, central bank data showed.

https://economictimes.indiatimes.com/ne ... s?from=mdr

Ashokk · Post by **Ashokk** » 23 Aug 2023 16:43

Atmavik · Post by **Atmavik** » 23 Aug 2023 21:37

What a day

saip · Post by **saip** » 24 Aug 2023 00:21

Maybe Paki Rupee too trying to reach the moon?

sanjaykumar · Post by **sanjaykumar** » 24 Aug 2023 02:37

Jay · Post by **Jay** » 24 Aug 2023 22:41

It took the pious Pakis 20 years to do what kufr Sehwag did back in 2004...On this joyous occasion, please enjoy the rampage again...

https://www.youtube.com/watch?v=uK6KHDP6oYc

neeraj · Post by **neeraj** » 24 Aug 2023 23:09

Dilbu wrote: ↑11 May 2023 15:02 AK Phyrr!!
PKR crosses mark of 300 per USD in open market
May 11, 2023 (MLN): The Pakistani rupee (PKR) has surpassed the psychological barrier of 300 per USD as the local unit is being traded at PKR 301 per USD in the open market.

The karmic chakra - after IMF Loans and Chinese Loans - back to where they started in May.

fanne · Post by **fanne** » 24 Aug 2023 23:20

VS made 309 and was out. What will happen once pkr REACHES 309? TSP out?

RCase · Post by **RCase** » 25 Aug 2023 05:44

^^^
TFTA TSP will always do better than SDRE VS. The rate at which the Pakirats are fleeing the ship, it will be 'ALL OUT'!

Jay · Post by **Jay** » 25 Aug 2023 09:53

fanne wrote: ↑24 Aug 2023 23:20 VS made 309 and was out. What will happen once pkr REACHES 309? TSP out?

Oh boy...Brian Lara and his 400 record will be in the crosshairs. Inshallah, when pindi boys play well, nothing in unachievable. You kuffrs just watch.

Manish_P · Post by **Manish_P** » 25 Aug 2023 13:35

RCase wrote: ↑25 Aug 2023 05:44 ^^^
TFTA TSP will always do better than SDRE VS. The rate at which the Pakirats are fleeing the ship, it will be 'ALL OUT'!

I just hope the 'ALL OUT' rush doesn't result in even some of the pakis getting in (India)

Leonard · Post by **Leonard** » 25 Aug 2023 23:03

2023 WCC will be held soon ..

BCCI --

1. should ASK -- all teams to PAY for their OWN 5* lodging & Security & Food & Drinks

2. BCCI will ASK all teams to SUBMIT -- due Financial Recpts for ALL expenses

3. BCCI will Compensate ALL teams in $$$ for Exchange Rate as per National Currency on Day of Final or Earlier depending on Exit point.
So if Ozzie's spend $50 Mil Ozzie Currency = 32 Million US Dollars

if Pakis spend $300 Mil Pak Rupee = $ 1 Million US Dollars

4. Every Team is Set a Fixed Budget -- TBD.

So Two issues

1. Pakis Need to BRING $$$ to pay -- which if they Can't due to Solvency Issues

2. All Vendors (hotel, rest, security, & more ) need to be FULLY compensated in $$

No freebies AT all -- Even the LIMO's / Luxury Buses - should be fully paid UPFRONT ..

That should put a CRIMP in the Paki Plans ??

VKumar · Post by **VKumar** » 25 Aug 2023 23:35

They will select only those players who can pay their way.

g.sarkar · Post by **g.sarkar** » 26 Aug 2023 10:06

Are we going to see a team of retired jernails? They can pay their way.
Gautam