The New state bank governor, Raza Bakir was the master mind to drop Egypt currency from 8.8 Egyptian pounds to 15 Egyptian pounds (almost 60% devaluation) to a 1 US$.
As per financial estimate, the Rp real value is almost 162 to a dollar. Today, Stock market crashed and many investor lost millions, including myself.
My advice, if you have some saving, convert it to Dollar.
USD or any currency pegged to it (SAR, AED etc.), will gain on PKR, unfortunately...
Tragedy is, when one suffers and express it even verbally, one is referred to as a Patwari. Much better to be called a Patwari or whatever the similar heck then a blind-folded bigot.
List is long, not a question of what has been inherited but current incompetency, corrupt lot, and govt. narrative and focus on bashing past rather then policy implementation is costing the nation a lot. Yes, whoever is chor hang them to death (if that works) but don't hang them with a Govt. Portfolio (current ministers & bureaucrats)
Forget about other, HEC budget cut is disaster while MNAs & MPAs are being given billion as funds. We have the Sci & IT Min. guy, running the Sci & Tech Min. of Pakistan, claiming on Media about NASA's Hubble Telescope is the one sent to Space by SUPARCO...
Enough said!!
It seems Pakistan had no other option but to place IMF guy on SBP in order for IMF to believe that their given money will not be used to pay China.
Either this or disclose China/Pakistan agreements which is not possible at all and Army will never allow it.
I say wait and see what will be the actions of this guy.
As far dollar. It is not going anywhere. Imports are declining fast and demand for dollar is not there at all. Plenty of dollars available in market and no one is there to buy. Exchange companies are cashing their stock back at inter-bank rates.
Interbank and Open Market can be two different ends (exchnage rate, types of transactions). At Max open market rate (that is normally 1 to 2 PKR more then Interbank) can fall back to inter bank (the real metric) if there is no one to buy from open market. Govt. will not go to money exchangers to borrow/buy USDs to run, it needs USDs (for debt payments, servicing, Petrol, Defense, Vehicle, Construction etc. etc.), so it needs dollars in banks, i.e., Interbank...
Open Market many a times falls back to Interbank, not an unusual. Interbank fall is not there and that is what matters.
It's not much about individuals' demand for USD, it's about national demand. Pakistan needs it, declining exports, rising debts are just two from long list of factors among others.
If Pakistan has enough USDs and no one needs it then why all the efforts and getting on knees to borrow from IMF on strict terms & conditions?
....
Because IMF is a like certification which we need to keep everyone's trust. Also IMF interest rates are lowest than any other lender. Thirdly, Pakistan don't want to be branded as an extension of China.
inter-bank is declining as well. But we all know your crow is almost always white.
https://tribune.com.pk/story/1967140/2-rupee-strengthens-dollar-32/
stop saying false things since you might have purchased some dollars at this point. I remember when I was telling you to invest in dollars last year, you were saying the opposite.
I am simply pointing out the facts and obvious ground realities and not the made up fairy tales:
** "Forex companies are not able to sale any dollars even there is plenty of supply in reach.
If anyone has any dollars, now is the time to cash them. After signing of IMF deal exchange companies are planning to drag the rate down by at least 10-15 Rupees."
"Also IMF interest rates are lowest than any other lender."
It's not the interest rate, it's the imposed policies and ensuring their implementation that is what IMF (International 'Monitoring' Fund) and that is how when if it gives at 0.1% interest rate their policies are the one that kills an economy like ours... If needed, they can install their men to monitor and execute the implementation to what an entity/states signups with them to get their funds.
** "Thirdly, Pakistan don't want to be branded as an extension of China."
So don't want to be branded as extension of China can only be guaranteed as getting Loan by IMF by getting on knees, handing our SBP & Fin. Min. to IMF guys. What's next? US/West is also not happy on CPEC and defense projects so to avoid 'being labeled as China's extension's' are they next to be compromised... ?
** " inter-bank is declining as well. But we all know your crow is almost always white.
https://tribune.com.pk/story/1967140/2-rupee-strengthens-dollar-32/"
Care to tell how much decline? 1+ Paisa, market fluctuates +/- 5 paisas daily and ET can make a news out of nothing to fill in their online contents. Copy pasted from same link to show Mega Decline
"The rupee strengthened against the dollar **at Rs141.1/Rs141.6 in the inter-bank market on Monday compared with Friday’s close of Rs141.2/Rs141.7"
Seriously, does that even count as a news, gain of 1 paisa when previous day that dropped by 1.3 Paisa??
Read full article to what that states:
"The IMF has asked Pakistan to end state control of the rupee and let the currency move freely to find its equilibrium against the US dollar and other major world currencies"
We all know what IMF is asking for, at least 145 ~ 150.
*"stop saying false things since you might have purchased some dollars at this point."
Even if I am swimming in dollars or lack of it is purely a personal thing and no one can do any thing about others' (might have* ) theories/perceptions/assumptions!! I would be interested to know where exactly 'false things' have been said? Is it false, to not buy at-least 10 to 15 PKR gain fairy tale hypothesis against USD?
** "I remember when I was telling you to invest in dollars last year, you were saying the opposite."
All posts/data is public, I myself am no body to tell anyone to do A or B, all here have collective maturity and understanding of what is valuable to them. I simply say, what is a personal view based on available info and leave the interpretation up to the reader. Never had I advocated to buy A or B but simply a narrative on a given topic/question. See my very first post on same thread and same topic - self-explanatory!!
By no means I am advocating to invest or don't in the USDs or Plots or whatever else for that matter, I am simply continuing the discussion on Currency Devaluation
-------------------
Re: White Crows.
They exist and when I see one, even with an iota of common Sense, I must say that as white, regardless of what others believe in...
http://www.birds.cornell.edu/crows/whitecrows.htm
"Most people think crows are black, and most are. A number of species in the genus Corvus, however, have extensive white in their plumage.
"Here is an example of a nearly completely white young American Crow photographed by Maxine and Jim Harwood of Piedmont, Ohio, June 1998."
IMF VS IMF
I am not going with the ground REALITIES AND FACTS from the FAKE NEWS......
I am going with the following quote from a kafir baba ji.......
SET A THIEF TO CATCH A THIEF......
....
Didn't mean to get you all mad and upset, ended up writing a book over my comment :)
For the last 5 years dollar was kept stable. How? IMF gave 14 waivers to PMLN government on dollar issue. Why? Was Noora more prettier than IK?
What proof do you have that IMF will not do the same for this government once the agreement has been signed?
So when you keep saying over and over that IMF will force us to free-float dollar rate and dollar will spike up, that is absolutely a false thing and non-sense. History tells us that IMF issued plenty of waivers of conditions on this issue.
Dollar is way above it's real value at this point. Letting dollar go any higher than this will be a suicide for not only Imran Khan but also for Army.
Both cannot risk such disaster where public outrage peaks and something bad like civil unrest happens in this country. So calm down, dollar is not going anywhere.
I trust Imran Khan backed by Army. They will do the right thing. inshallah.
-- "I am not going with the ground REALITIES AND FACTS from the FAKE NEWS....."
FACTS don't give a damn to whatever one thinks or wherever one goes ... they are there to be understood.
Care to tell where exactly FAKE NEWS, or just another keyboard warrior surviving in a fantasy bubble?
-- "Didn't mean to get you all mad and upset,"
Furnishing facts, doesn't mean being mad/upset, do factual correction implies one being mad? its just setting the record straight, my friend!
By no means, I say free fall but I am simply not buying +1 Paisa as any gain and Dollar falling back by at-least 10 - 15 PKR, simple! Once that happens, if such an economics miracle, world will see that - nothing more, nothing less.
Optimism is good thing but writing on the wall is that economy is going to tank in near future.
TRIBUNE and blah blah is a source of FACTS and GROUND REALITIES for you??? ohhhh Dear
Please do share your OWN EXPERIENCE and PAST PERFORMANCE on the subject topic and we would expect you to share your OWN EXPERIENCE described in a good faith and we would love that..... Please why do you do so much extensive search on google to find out your OWN DESIRED FACTS AND GROUND REALITIES?
We are here to learn from the PERSONAL AND PAST EXPERIENCE of the people and we are not here to see or share the links of TRIBUNE.......
@Ilyas very well said. Cut and paste from internet any one can read on his own. No one is interested to read an essay of him always.Usually forum members are here to get real opinion and suggestion .Nadeem sahab and abdul qayuum sahab have set the bar how to reply / comment.
Ilyas bhai, if you ever happen to read the comment you would have not raised the question and 'and blah blah' :)
'I DIDN'T REFEREED ET, it was referred by fellow forumer on PKR GAIN and I simply said to him to read the full article that he has cited'
https://tribune.com.pk/story/1967140/2-rupee-strengthens-dollar-32/
Go back and check before building whole plot against something!!
As I suggested earlier, furnish where exactly is FAKE NEWS? as per your previous claim? Still awaiting that...
Individual's comments are very valuable and reflect's PERSONAL VIEWS and EXPERIENCES that can add value to it. Discussion on buying selling plots requires experiences/personal views, economic issues not. I mean what should be personal experience here? Some fellow Forum member telling us how things were when he/she was Fin. Minister or SBP Governor? Another one sharing personal experience, how he/she controlled Devaluation when he was Fin. Secretary? not gonna happen on public forums
'Extensive Search' on google is worth, if crap is ignored and real stuff being presented. For copy-paste claimers, check how much is copy pasted and how much original. Its called making a claim and backing up with a publicly available evidence, not made up tales!
Ilyas bhai, still awaiting pinpoint of FAKE NEWS from you... so I can correct my self!
Probably Kafir Baba and quotes are god gifted Aamad and not Googled Cut-Paste :)
Dollar on the rise again. What an incompetent govt.
Apologies in advance, if the following shatters one's fantasy bubble or a blow to self-inflicted ego. In such case, friendly advise to skip the post...
Wish such doesn't happen but that's what our guys have signed up with the lender...
'Not from TRIBUNE' + 'Not one's PERSONAL VIEWS' + 'Not MUST happen but strong PREDICTION on Market RESEARCH'
Topline Security Research Paper:
“Pakistan’s Economy: IMF Programme and its Implications”
-- Expected PKR Depreciation 13-17% to USD to PKR parity Rs160-165 by December 2019.
-- Interest rate appreciation by 1.25 percentage reaching peak of 12% during 2019.
--------------
All above, no personal view and only as appeared in the Reserch Paper
" GROWING OLD IS MANDATORY BUT GROWING UP IS OPTIONAL"
Agreed! Time to go beyond the MANDATORY bit and try the OPTIONAL one, starting by providing the proof for the claims of accusations...
"I am not going with the ground REALITIES AND FACTS from the FAKE NEWS......"
Point FAKE NEWS pls. - still awaited!
...
PM rejects draft of Finance Ministry, IMF's staff-level agreement
Bad news for dollar hawks. Hope is still alive and well. Dollar is not going anywhere because demand is not there, imports are declining big time. Inter-bank rate stayed stable on Friday.
Last updated on 11 May, 2019 AM hours @Geo News
https://www.geo.tv/latest/236977-pm-rejects-draft-of-finance-ministry-imfs-staff-level-agreement-sources
"IMF expresses reservation over Pakistan's draft agreement"
https://dunyanews.tv/en/Pakistan/490938-Govt-three-year-loan-program-IMF
Last Updated On 10 May,2019 11:34 pm
50 B USD to be paid, over next 5 yrs as per Govt. claim, only as loans. Keeping aside Oil, Defense, Tech etc. imports with direct USD payments = Demand for USD not there
....
Man you have lost your mind for real. Are you even a Pakistani? Coz now I smell an Indian rat in you.
50 billions over 5 years don't mean shit. Overseas Pakistanis alone will send 100 billion over next 5 years. Exports will fetch another 125 billion in next 5 years. Imports has been consistently dropping since their peak at June 2018. (https://tradingeconomics.com/pakistan/imports)
It seems like ever since PMLN government left, all you see is everything collapsing, except few plots that YOU purchased. Your plots are going up, up and up and none has lost any value even when Pakistan's economy is collapsing.
"Prime Minister Imran Khan has turned down the draft of a staff-level agreement between the Ministry of Finance and International Monetary Fund (IMF), sources informed Geo News Friday." (Last updated on May 11, 2019 am hours)
But that is ok. you can put the cart in front of the horse to win your two cents.
May Allah help your miserable soul. Why don't you take your money and leave Pakistan if things are so bad??????????????????????????? At least there will be one less dollar-hawk trying to spread negativity.