Day: July 25, 2021

Pakistan’s real effective exchange rate (REER) – the country’s cost of international trade – improved to 99.85 points on the index in June, making exports viable and imports expensive mainly due to depreciation in rupee against the basket of major trading partners’ currencies. The real effective exchange rate below 100 means the country’s exports remain competitive and import expensive. The situation reverses when REER stands above 100 on the index, it was learnt. “The improvement in real effective exchange rate would encourage exports from Pakistan and discourage unnecessary imports into…

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The current account deficit (CAD) may pose a challenge to rupee stability in the coming days, despite record inflows of export receipts and workers’ remittances. The current account posted an unexpected $1.64 billion in June 2021. The monthly current account deficit deteriorated the full-year balance of payment. Analysts at Topline Research said the current account deterioration in June 2021 was largely due to an increase in the imports of goods, which recorded a rise of 27 percent MoM, or $1.363 billion, to clock-in at $6.322 billion. After the higher deficit…

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Vice President of Pakistan Businesses Forum (PBF) Ahmad Jawad has called upon the economic managers to intervene as once again the cost of one dollar is now equal to Rs162 despite remittances being good, the Current Account has been in surplus or close to it, and foreign exchange reserves are also at a record high. “With devaluation, there is inflation. When there is inflation, your disposable income vanishes, which affects consumption behaviour and purchasing power.” Talking at a presser, Jawad said we must understand that depreciation of rupee means a…

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Korangi Association of Trade and Industry (KATI) President Saleem-uz-Zaman has termed the increase in the price of Liquefied Petroleum Gas (LPG) as unacceptable. He said that industries could not afford the frequent increase in LPG price. A further hike will also increase the cost of production. He said that the government is increasing the prices for industrial units frequently. Saleem said that natural gas was already becoming extinct in the country. At the affirmation of the government, the industrialists shifted to expensive alternative sources including LPG and RLNG but the…

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Electric cars — key to reducing emissions and meeting climate change goals — have boosted their market share in Europe, data showed on Friday, as the region prepares to abandon petrol and diesel. Battery electric vehicles more than doubled their share of new car sales in Europe in the second quarter, according to the European Automobile Manufacturers’ Association (ACEA) which groups together major car firms. All-electric vehicles accounted for 7.5 per cent of new car sales in Europe in the three months from April through June, against 3.5pc during that…

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