Search

Coca-Cola Icecek AS experienced a decline in sales in Turkey and Pakistan due to calls to boycott brands with perceived links to Israel amid conflict in the Middle East and an economic slowdown. The company reported a 12.2% drop in sales volume in Turkey and a 22.9% decrease in Pakistan. Despite challenges in some markets, the company saw growth in other international markets, such as Iraq and Azerbaijan. [Extracted from the article]

Pakistan has reduced its benchmark interest rate to a two-year low of 15% in an effort to support its struggling economy. The State Bank of Pakistan made this decision to maintain inflation within the 5%-7% target range and promote economic growth. The country's economy has stabilized in recent months with the help of a $7 billion loan from the International Monetary Fund, easing import and currency restrictions, and increasing foreign exchange reserves. The government anticipates a growth rate of 3.6% in the fiscal year ending June 2025, up from 2.5% the previous year. [Extracted from the article]

Pakistan's finance minister has reported promising progress in talks with China to extend maturities for Belt and Road Initiative loans, potentially easing financial pressures on the nation. The discussions aim to increase debt maturities for power plant projects to lower electricity prices, as some citizens have seen tripled costs in recent years. Pakistan is also focusing on structural reforms in energy, tax collection, and state-owned enterprises to address its cycle of indebtedness, with plans to boost tax revenue and support the private sector. The country's stability has led to improvements in consumer prices, foreign investment, and stock market performance, with the central bank cutting interest rates to stimulate economic growth. [Extracted from the article]

Pakistan's finance minister has stated that China's response to Pakistan's request to extend maturities for debt related to the Belt and Road Initiative has been positive, providing relief for the nation burdened by past costly borrowing. Pakistan aims to increase debt maturities for power plants to lower electricity prices, with discussions ongoing. The country's stability has improved with a new IMF loan program and debt rollovers, while efforts to increase tax revenue and seek additional IMF financing are underway. Pakistan's economy has shown signs of improvement, with decreasing consumer price increases, foreign investment in local bonds, and a rising stock market index. [Extracted from the article]

Pakistan's local debt is experiencing its first annual inflow in five years, with net overseas inflows into treasury bills reaching $875 million in 2024. This is a significant turnaround from four consecutive years of outflows totaling $1.4 billion. The country's success in stabilizing its economy, supported by the International Monetary Fund, has increased investor confidence in its ability to pay debt. Pakistan's high yields, with treasury bills yielding about 16% to 17%, are attracting investors, leading to a visit by foreign investors, including JPMorgan Chase & Co. The nation's foreign reserves have also increased, and its other assets, such as the stock index and dollar bonds, have performed well. [Extracted from the article]

Protests have erupted in Pakistan as taxes increase by 40% under an IMF bailout program. The deal, which aimed to address economic shocks and prevent default, has caused panic among Pakistanis. The cost of living has risen significantly, with electricity prices tripling and essential items becoming unaffordable for the shrinking middle class. While the IMF defends the terms of the deal, there are concerns about social tensions and the ability to implement reforms. The government hopes to widen the tax base, but the budget has faced backlash from the middle class and private companies. Multinational companies have resorted to "shrinkflation" to cope with the situation. The economic slowdown is expected to continue, causing hardship for salaried workers. [Extracted from the article]

The International Monetary Fund (IMF) will review Pakistan's new $7 billion loan program on September 25th, following a delay that raised concerns among investors. Pakistan has secured over $2 billion in financing and assurances from lenders other than the IMF, which were seen as the final requirement for the loan. The country has also increased tax revenue goals by 40% and raised energy prices to meet demands set by the IMF. The IMF program provides certainty to Pakistan's sources of financing for the next two to three years. [Extracted from the article]

Stocks in Pakistan reached a record high due to increased foreign investment and positive macro-economic indicators. The Pakistan Stock Exchange's benchmark index, the KSE-100, rose by 1.8% to reach an all-time high of 82,003.59. Foreign portfolio investors have purchased $87 million in local shares so far in 2024, the highest amount since 2014. Pakistan's stock market has been performing well this year, driven by an improved economic outlook and a loan deal with the International Monetary Fund. The country's current account balance has improved, and the central bank has reduced interest rates as inflation decreases. Foreign investors find Pakistan to be an attractive investment opportunity, and this trend is expected to continue, especially after the Federal Reserve's interest rate cut. [Extracted from the article]

Pakistan's stock market closed near its record high, with the benchmark KSE-100 index gaining 1.1%. This increase is attributed to robust foreign inflows and improving macro-economic indicators. The stock market has seen a rise of over 30% this year, with foreign investors making their highest net purchases since 2014. Despite being downgraded to a frontier market status by FTSE Russell, some market watchers believe there is still potential for growth, particularly in fertilizer and energy shares. [Extracted from the article]

The International Monetary Fund (IMF) will review Pakistan's new $7 billion loan program on September 25th after a delay that raised concerns among investors. Pakistan has secured over $2 billion in financing and assurances from lenders other than the IMF, which were seen as the final requirement for the loan. The country has also increased tax revenue goals by 40% and raised energy prices to meet demands set by the IMF. The IMF program brings certainty to Pakistan's financing sources for the next two to three years. [Extracted from the article]

Pakistan has cut its benchmark interest rate for the third time in a row in an effort to revive economic growth. The State Bank of Pakistan lowered the target rate by 200 basis points to 17.5% due to slowing inflation. The central bank believes that the real interest rate is still positive enough to bring inflation down to the medium-term target of 5%–7% and ensure macroeconomic stability. The government expects the economy to expand by 3.6% in the year through June 2025, compared to 2.4% growth last year. [Extracted from the article]

Pakistan has cut its benchmark interest rate for the third time in a row in an effort to boost economic growth. The State Bank of Pakistan lowered the target rate by 200 basis points to 17.5% due to slowing inflation. The central bank believes that the real interest rate is still positive enough to bring inflation down to the medium-term target of 5%–7% and ensure macroeconomic stability. Pakistan's government expects the economy to expand by 3.6% in the year through June 2025, compared to 2.4% growth last year. The government has implemented unpopular measures, such as high taxes and energy prices, to secure a new loan from the International Monetary Fund and manage mounting debts. [Extracted from the article]

Pakistan expects the International Monetary Fund (IMF) to review its new $7 billion loan program this month, following a delay that raised concerns among investors. The country has secured over $2 billion in financing and assurances from lenders other than the IMF, which was seen as the final hurdle for the loan. Pakistan had anticipated securing a deal with the IMF in August, after the lender approved a 37-month program. The completion of the loan program will provide certainty to Pakistan's sources of financing for the next two to three years. [Extracted from the article]

Bank Alfalah, Pakistan's fourth largest lender, is considering further acquisitions to support its growth as the country tries to recover from an ongoing economic crisis. The bank is currently in the final stages of acquiring Saudi National Bank's majority stake in Samba Bank, which would position Bank Alfalah as a contender for future asset purchases. Pakistan has been relying on loans from the International Monetary Fund (IMF) to manage its debt payments, and the approval of a new $7 billion loan program from the IMF is crucial for the country's confidence and stability. The central bank's efforts to reduce interest rates have been beneficial for Pakistan's equity markets, with the benchmark KSE-100 Index performing strongly. [Extracted from the article]

Karachi's main power utility, K-Electric Ltd., plans to double Pakistan's solar capacity by adding 640 megawatts of clean energy in the next two years. The bidding process for the first projects will open on August 19 and close next month. Pakistan has historically faced high power prices due to its reliance on costly fossil fuel imports, but increasing the share of solar energy could help lower the nation's overall import bill. K-Electric aims to add about 1,200 megawatts of renewable energy projects over the next five years while reducing the use of expensive sources like liquefied natural gas and fuel oil. [Extracted from the article]

Chinese electric carmaker BYD Co. plans to build a factory in Karachi, Pakistan, in partnership with Mega Conglomerate Pvt., to enter the country's growing EV market. BYD will reveal three models, including an SUV and a sedan, at its brand launch, with plans to introduce additional models in the future. The factory will be located near Karachi's Port Qasim area and is expected to be completed in the first half of 2026. BYD will also set up showrooms in Karachi, Lahore, and Islamabad to start selling in the fourth quarter of this year. [Extracted from the article]

Electricity bills in Pakistan have risen more than home rental rates, leading to nationwide protests. The government has increased electricity prices by 155% since 2021 to secure loans from the International Monetary Fund, causing financial strain for many citizens. Inflation and a decrease in electricity consumption have further exacerbated the situation. Protests have prompted the Prime Minister to announce a subsidy for the poorest electricity users, and Pakistan and the IMF have agreed to restore the energy sector's viability through cost cuts and privatization. [Extracted from the article]

Pakistan's solar power market is experiencing significant growth, largely due to an increase in imports from China. In the first half of the year, Pakistan imported 13 gigawatts of solar modules, making it the third-largest destination for Chinese exporters. This surge in solar imports is driven by higher power prices in Pakistan, which have led to a decrease in grid electricity consumption and an increase in independent solar usage. BloombergNEF predicts that Pakistan will add between 10 and 15 gigawatts of solar this year, making it the sixth-largest market in the world. However, there are challenges in accurately assessing the market, including discrepancies in data and concerns about money laundering. [Extracted from the article]

Gunvor Group Ltd. has agreed to purchase TotalEnergies SE's 50% stake in Pakistan's second-largest filling-station network, known as the Total Parco network. This acquisition is part of Gunvor's strategy to invest in downstream assets and secure fuel-purchase contracts in emerging markets. The network consists of over 800 gas stations and lubricant distribution units. Gunvor's purchase of these retail sites will provide them with physical assets and valuable insights into fuel consumption trends. The terms of the deal were not disclosed, and the stations will continue to use the Total Parco branding for the next five years. [Extracted from the article]

Pakistan has cut its benchmark interest rate for the second time in a row as policymakers focus on boosting the country's struggling economy. The State Bank of Pakistan reduced the target policy rate by 100 basis points to 19.50%. The central bank expects growth between 2.5% and 3.5% and has signed a staff-level agreement with the International Monetary Fund for a $7 billion loan. Pakistan's inflation, although still the fastest in Asia, has been slowing, and the central bank expects average inflation to remain between 11.5% and 13.5% in the current fiscal year. [Extracted from the article]

Pakistan has cut its benchmark interest rate for the second time in a row as policymakers focus on boosting the country's struggling economy. The State Bank of Pakistan reduced the target policy rate by 100 basis points to 19.50%. The central bank expects growth between 2.5% and 3.5% and inflation to remain in the range of 11.5%–13.5% in the current fiscal year. Pakistan recently signed a staff-level agreement with the International Monetary Fund for a $7 billion loan, and Fitch Ratings raised Pakistan's credit rating. [Extracted from the article]

Pakistan has decided to delay the final auction for state-owned Pakistan International Airlines by two months until the end of September. Potential bidders have requested more information, including the airline's latest audited accounts, clarity on banned flights to Europe, and aircraft lease agreements. The stake sale in the airline is part of the government's commitment to economic reforms in exchange for a bailout from the International Monetary Fund. Pakistan had initially planned to announce the deal on its independence day, but that date will not be met now. [Extracted from the article]

Pakistan has secured a new $7 billion loan program from the International Monetary Fund (IMF), which will provide support for the country's faltering economy and mounting debts. In order to secure the loan, the government of Prime Minister Shehbaz Sharif implemented a series of unpopular reforms, including high taxes and increased energy prices. The loan program aims to stabilize the macroeconomy and promote inclusive and resilient growth. Pakistan faces loan repayments of about $24 billion this fiscal year and will aim to raise tax revenues by 1.5% of GDP in the current fiscal year and by 3% of GDP over the course of the program. The loan agreement is expected to be approved by the IMF's executive board. [Extracted from the article]

Pakistan has reached a new $7 billion loan deal with the International Monetary Fund (IMF), providing some relief for Prime Minister Shehbaz Sharif's government as it works to stabilize the country's struggling economy and manage its growing debts. This 37-month agreement, Pakistan's 25th with the IMF since gaining independence, comes at a time when the country is facing approximately $24 billion in loan repayments for the current fiscal year. In order to secure the loan, the government implemented unpopular reforms, including higher taxes and energy prices, which have historically sparked public backlash. The loan package is also seen as crucial for attracting foreign investments and expanding economic partnerships with Gulf states and China. [Extracted from the article]

Foreign funds are expected to sell between $40 million to $150 million of Pakistani stocks after the country was downgraded to frontier-market status by FTSE Russell. This downgrade may mark the end of passive ownership in Pakistan until it meets the criteria for emerging market status again. The resulting outflows from funds that track emerging-market indexes will test the strength of one of Asia's best 2024 rallies. However, attractive valuations and expected interest rate decreases may help Pakistani stocks withstand the slump from these outflows. [Extracted from the article]

Milk prices in Pakistan have increased by over 20% after a new tax was implemented, resulting in the dairy staple being more expensive in Karachi than in developed nations like France and Australia. Previously, milk prices in Pakistan were comparable to those in developing countries. The rise in milk prices will contribute to inflation in the country and may negatively impact child health, as a significant portion of the population already suffers from malnutrition. The tax increase was part of the national budget approved to meet conditions set by the International Monetary Fund for a new bailout. [Extracted from the article]

Pakistan plans to retain a stake in state-owned Pakistan International Airlines (PIA) in order to benefit from any increase in value after the sale. The government aims to schedule the final bidding for PIA in 10 days and intends to offer at least a 51% stake to the six shortlisted groups. This sale is part of the government's efforts to undertake economic reforms agreed upon with the International Monetary Fund. Pakistan also plans to sell ten other companies, including power distributors, within a year. [Extracted from the article]

(Bloomberg) -- Pakistan's government is making efforts to build a nationwide "consensus" before it launches a new military operation against militants, the defense minister said, a move that comes after China showed concerns following attacks on its projects in the South Asian country.Prime Minister Shehbaz Sharif's cabinet is discussing the modalities of the operation on Tuesday before the plan is announced to Parliament, Khawaja Asif said at a news conference in Islamabad.A few political parties have opposed the planned on-ground operation.©2024 Bloomberg L.P.By Faseeh MangiReported by Author [Extracted from the article]

Pakistan is increasing power prices by an average of 20% in order to improve its chances of obtaining a new loan from the International Monetary Fund (IMF). The National Electric Power Regulatory Authority will raise the power tariff by an average of 5.72 rupees to 35.50 rupees per kilowatt-hour for Pakistan's 10 power distribution companies for the next fiscal year starting from July 1. This move is seen as critical for securing the IMF program and addressing the rising debt in the energy sector. Pakistan expects to secure a staff-level deal with the IMF by July. [Extracted from the article]

Pakistan's stock market has reached a record high after the government raised taxes in an effort to secure a new loan program with the International Monetary Fund (IMF). The KSE-100 Index saw its biggest jump since July 2023, increasing by 4.76%. The government kept the capital gains tax rate unchanged, easing concerns for investors. Pakistan's stock market has nearly doubled in the past year, making it the top performer in dollar terms. The nation aims to secure a staff-level deal with the IMF for a minimum three-year program by July. [Extracted from the article]

Pakistan's stock market experienced a significant rally, reaching a record high, after the government decided to maintain the capital gains tax rate in the budget while increasing other levies to generate more revenue. Investors had been concerned about a potential increase in the capital gains tax, but it remained unchanged at 15% for tax filers. Pakistan's stock market has nearly doubled in value over the past year, making it the top performer in dollar terms. The government's decision to raise taxes is aimed at improving the chances of securing a new loan from the International Monetary Fund. [Extracted from the article]

Pakistan's central bank has cut its benchmark interest rate for the first time in four years, reducing it by 150 basis points to 20.50%. This decision comes after consumer prices eased in the country, with inflation slowing more than expected in May. Lower interest rates are expected to boost demand, support economic recovery, and make debt obligations cheaper. Economists predict that the key rate will drop to 17.25% by the end of the year. Pakistan is also negotiating a new loan program with the International Monetary Fund to shore up foreign exchange reserves and meet debt payments. [Extracted from the article]

A bidder for Pakistan International Airlines (PIA) has proposed that the government seek a partner instead of selling a stake in the carrier. Businessman Arif Habib, part of one of the six shortlisted groups, suggested that the government dilute its stake and attract a partner who can invest in the company. This would allow the government to sell its share at a higher price once the airline is revived. Habib also recommended creating a payment schedule for the 200 billion rupees owed to creditors. The sale of a majority stake in PIA is part of Pakistan's economic reform efforts and agreement with the International Monetary Fund. [Extracted from the article]

Former Pakistani prime minister Imran Khan has had his ten-year jail sentence suspended by a Pakistani court for violating the nation's secrecy laws. However, he will not be released. Khan's conviction was set aside by the court on Monday, but he still faces over 170 legal cases, which he claims are politically motivated. Khan has been in jail since August on charges of graft and violating secrecy laws. His party-backed candidates won the most parliamentary seats in the national elections, but were unable to form a government. [Extracted from the article]

The race to become Pakistan's next leader has narrowed down to two main candidates. Shehbaz Sharif, the nominee of the Pakistan Muslim League-Nawaz, is seen as the favorite and is backed by the powerful military. He is known for his efficiency in overseeing infrastructure projects but has been criticized for not addressing key issues in Punjab, such as low literacy and unemployment. The other candidate is Omar Ayub Khan, who was picked by Imran Khan and served as a minister in his government. Ayub Khan has a history of joining different parties and has faced criticism for his handling of the country's power blackouts and failure to secure an IMF bailout. A third candidate, Bilawal Bhutto Zardari, has dropped out of the race and endorsed Sharif. [Extracted from the article]

Pakistan's Oil and Gas Development Co. plans to increase its oil and gas production in the next four to five years. The company aims to raise oil production from 33,000 barrels per day to 50,000 barrels per day and increase natural gas production from 720 million cubic feet per day to over 900 million cubic feet per day. Pakistan relies heavily on energy imports and has experienced a decline in production due to aging fields. The company is implementing a production optimization program to improve its production numbers. Additionally, the state-owned company has a stake in a gold and copper project that may involve Saudi Arabia. [Extracted from the article]

Pakistan's new government is aiming to revive projects under China's Belt and Road Initiative in an effort to boost the country's struggling economy. The government is exploring joint ventures for renewable energy and agriculture projects, as well as potentially attracting Chinese companies to relocate to Pakistan. The progress on these projects had stalled due to the COVID-19 pandemic and Pakistan's economic difficulties. The government hopes to restore China's confidence in Pakistan's commitment to the initiative and is also considering encouraging Chinese firms to relocate from China to Pakistan. [Extracted from the article]

Pakistan and the International Monetary Fund (IMF) have concluded two weeks of talks for a new loan. The focus of the discussions was on the government's proposals for the upcoming budget, which will be presented to parliament next month. Pakistan is seeking a bigger and longer loan from the IMF to bolster its foreign reserves and revive its struggling economy. The government plans to reduce energy costs for industries and cut spending by reducing the number of ministries. The new IMF program is expected to be challenging and will require the government to make unpopular decisions, such as broadening the tax base and improving debt sustainability. [Extracted from the article]

Pakistan and the International Monetary Fund (IMF) are concluding two weeks of initial talks for a new loan, with discussions focusing on proposals for the upcoming budget. Pakistan aims to reach a staff-level agreement with the IMF for a larger and longer loan by the end of June or early July. The loan is needed to bolster foreign reserves and provide room for economic growth in the face of high inflation. The budget has historically been used to implement IMF conditions, and the current program is expected to involve difficult decisions such as broadening the tax base and improving debt sustainability. [Extracted from the article]

A consortium led by Pak Ethanol Pvt. is bidding to buy a majority stake in Pakistan International Airlines (PIA), and it includes several global aviation firms such as Swiss Aviation Group AG, Airport Competence GmbH, Pearl Asset Management, Serene Air, and Air Sial Ltd. The sale of the stake is part of Pakistan's economic reforms and its efforts to secure a new loan from the International Monetary Fund. The government aims to restore PIA's profitability and national pride through this collaboration. The Privatisation Commission has received eight expressions of interest for the stake sale, including from the Pak Ethanol-led consortium. [Extracted from the article]

Engro Corp, Pakistan's top business group, is planning to expand its investment deals in developing countries over the next five years. The group, which has experience in various industries such as fertilizer, food, electricity, and gas, aims to have a presence in a couple of overseas operations. The investments will follow a Berkshire Hathaway-style approach and may involve taking control of some companies. Engro is one of Pakistan's largest business groups and has foreign partners such as FrieslandCampina and Royal Vopak. The group's investment arm, Dawood Hercules Corp, has seen a significant increase in its share value this year. [Extracted from the article]

Pakistan's largest cable maker, Fast Cables Ltd., is planning to raise at least 3 billion rupees ($11 million) through a share sale this month. The company aims to boost production and become one of Pakistan's top 10 initial public offerings. This move comes as Pakistan's stock market has experienced a significant rally, making it the best-performing market in the world in dollar terms. Fast Cables plans to issue 128 million shares and use the funds to increase capacity and triple revenue by 2030. The company has a history of dividend payouts and is Shariah-compliant. [Extracted from the article]

Arif Habib and Gerry's Group are among the ten bidders seeking to purchase a majority stake in Pakistan International Airlines (PIA), according to messages sent to Bloomberg. The privatization of PIA is part of the government's economic reform efforts in exchange for a bailout from the International Monetary Fund. The sale has become more attractive after the government announced that it would not transfer three-quarters of the carrier's debt to the buyer. The deadline for submitting letters of intent has been extended until May 18 to allow for due diligence and coordination with international companies. [Extracted from the article]

Pakistan's central bank has decided to maintain its interest rate at a record high of 22% ahead of an upcoming visit by the International Monetary Fund (IMF). The decision to hold the rate was influenced by ongoing talks with the IMF and the upcoming budget. Pakistan is seeking a new loan program of at least $6 billion from the IMF, and the government is committed to implementing structural reforms suggested by the IMF. Economists have revised their forecasts for rate cuts, with the key rate expected to drop to 17.25% by the end of the year. Inflation in Pakistan has been decreasing, with consumer price growth dropping to 20.7% in March. The central bank expects moderate economic recovery in the current fiscal year, with GDP growth projected to be between 2% and 3%. [Extracted from the article]

Pakistan's central bank is expected to delay its plans to lower interest rates due to concerns about inflation, despite a recent drop in consumer prices. Analysts predict that the State Bank of Pakistan will keep interest rates unchanged, with some even predicting a rate cut. Pakistan currently has the highest inflation rate in Asia, but consumer price growth has fallen below the interest rate for the first time in three years. The country is in discussions with the International Monetary Fund for a new bailout program, which could influence economic decisions, including interest rate adjustments. [Extracted from the article]

Pakistan's central bank is expected to delay its easing cycle and keep interest rates at a record high due to concerns about inflation. Despite a drop in consumer prices, analysts predict that the State Bank of Pakistan will not start easing policy. The country has the highest inflation rate in Asia, but consumer price growth has fallen below the interest rate for the first time in three years. Pakistan is currently in discussions with the International Monetary Fund for a new bailout program, which could influence economic decisions, including interest rate setting. [Extracted from the article]

Samsung Electronics is experiencing a shortage of its S24 smartphones in Pakistan due to high demand. The locally assembled handsets, which are more expensive than other Samsung models, are popular among affluent Pakistani consumers. The country's smartphone industry has shifted from importing overseas-made products to domestic assembly, with mobile companies producing about 21 million units last year. Samsung is working to meet the demand and regain its position as the world's largest smartphone maker, competing with Apple. In Pakistan, Samsung has an advantage over Apple due to better pricing and distribution. [Extracted from the article]