Times of Pakistan - Latest Pakistan News, Pakistan News Online, Pakistani Newspaper, Pakistan News Today Times of Pakistan - Latest Pakistan News, Pakistan News Online, Pakistani Newspaper, Pakistan News Today
  • World
  • Pakistan
  • Politics
  • Business
  • Economy
  • Sports
  • Entertainment
  • Technology
  • Health
  • Travel
  • Science
  • Opinions
  • Blogs
  • Letters
Reading: Dollar-denominated Pakistani bonds experience extreme fluctuation
Share
Aa
Times of Pakistan
Search
  • World
  • Pakistan
  • Politics
  • Business
  • Economy
  • Sports
  • Entertainment
  • Technology
  • Health
  • Travel
  • Science
  • Opinions
  • Blogs
  • Letters
Follow US
  • About us
  • Privacy Policy
  • Terms of Service
  • Contact us
EconomyPakistan

Dollar-denominated Pakistani bonds experience extreme fluctuation

Pakistan's US dollar-denominated bonds, which are traded on international markets, have been extremely volatile, indicating that the nation may not be able to repay foreign investors $1 billion when their Sukuk matures in December 2022.

News Desk
By News Desk Published October 21, 2022
Share
pakistan stock
Image Credits: ProPakistani

However, during the past few months, investors have received numerous guarantees from Finance Minister Ishaq Dar and his predecessor Miftah Ismail that Islamabad will quickly return them.

The rapid depletion of Pakistan’s foreign exchange reserves and the rupee’s value decline versus the US dollar over the previous seven working days, however, caused investors to panic.

On Thursday, the Third Pakistan International Sukuk’s yield (rate of return on bonds) reached a new high of 145.1%, up 2.6% from the previous day. The $1 billion bond matures in December 2022, according to a local research firm.

The Pakistan Government International Bond’s yield increased by 4.4% to 84.8%. The bond worth $1 billion will expire on April 15, 2024.

Seven bonds with yields ranging from 19% to 56%. They mature between September 2025 and April 2051 and have a total value of $5.8 billion.

In the week that concluded on October 14, Pakistan’s central bank stated that foreign exchange reserves were steady at $7.6 billion. In the last 10 months, they have decreased together by almost $9 billion as the nation has continued to pay for imports and settle maturing foreign debt.

To pay off maturing foreign debt, finance the current account deficit, and increase foreign exchange reserves to roughly $15-16 billion by the end of the current fiscal year in June 2023, the government too has secured $36-40 billion from multilateral and bilateral creditors. According to officials, the fact that the government is now receiving a $6.5 billion IMF loan program indicates that it won’t skip payments on its debt.

The Pakistani rupee dropped 0.03% (Rs0.07) to settle at Rs220.95 versus the US dollar on Thursday, marking the sixth consecutive working day that it has fallen.

Over the last seven days, the value of the local currency has decreased by 1.45% (or Rs3.16).

It had previously recovered 9.14% (or Rs21.96) cumulatively over the course of 13 business days until it reached Rs217.79 on October 11.

TAGGED: Pakistan bonds, Pakistan reserves, pakistani bonds fluctuation
By News Desk
The author is the news desk team.
Previous Article Benefits of Applying 5G to Your Business The date for 5G technology release postponed until June 2023 due to political uncertainty
Next Article railway logo Invasion of Pakistan Railway land; properties worth billions discovered
Leave a comment Leave a comment

Leave a Reply Cancel reply

Your email address will not be published. Required fields are marked *

More Latest News

us
More than anticipated, US firms added 311000 jobs in February
World Economy
After nearly 7 years
After nearly 7 years of antagonism, Middle Eastern adversaries, Iran and Saudi Arabia decided to resume ties
World Politics
sardar
Sardar Khetran awarded bail in triple homicide case involving Barkhan
Pakistan
Imran khan arrest
In connection with comments made against state institutions, BHC suspends Imran’s arrest warrants
Pakistan Politics
president xi jin ping
Xi wins a third term as president despite numerous obstacles
World Politics
Times of Pakistan - Latest Pakistan News, Pakistan News Online, Pakistani Newspaper, Pakistan News Today Times of Pakistan - Latest Pakistan News, Pakistan News Online, Pakistani Newspaper, Pakistan News Today
  • About us
  • Privacy Policy
  • Terms of Service
  • Contact us
  • ٹائمز آف پاکستان اردو
  • About us
  • Privacy Policy
  • Terms of Service
  • Contact us

© 2002-2022 TIMES OF PAKISTAN (PRIVATE) LIMITED
This material may not be published, reproduced, broadcast, rewritten, or redistributed without permission.

Welcome Back!

Sign in to your account

Lost your password?