Page 5 - Forex

Faced with forex crunch, Pakistan looks up to Iran for life-saving drugs

Banking on what Pakistan described as longstanding and time-tested close fraternal relations with Iran, cash-strapped Pakistan is looking forward to Tehran's help to tide over the unprecedented medicine shortage, including that of life-saving drugs. For more than six months now, Pakistan has faced a severe shortage of life-saving drugs amid a crippled healthcare system due to a lack of Forex reserves, which in turn, has hampered the country's capacity to import both the medicines and the raw material used for local drug manufacturing. It was decided at a meeting between Pakistan's Minister for National Health Services (NHS) Dr Nadeem Jan and Iranian Ambassador to Pakistan Reza Amiri-Moghaddam here on Tuesday that Pakistan's drug regulatory authority will work out a comprehensive strategy on a fast-track basis with its Iranian counterpart to ensure uninterrupted supply of life-saving drugs. Pakistan's leading daily Dawn reported that the Iranian Ambassador had called on the Pakistani

India's forex reserves post steepest weekly decline in over 6 months

They fell by $7.27 billion from the prior week, the sharpest decline since the week ended Feb 10

Foreign exchange reserves up $700 mn to $602 bn, snap 3-week losing streak

The changes in foreign currency assets, expressed in dollar terms, include the effects of appreciation or depreciation of other currencies held in the Reserve Bank of India's (RBI) reserves

Rupee recovers from its all-time low to 83.02 against US dollar on Friday

The rupee recovered from its all-time low levels and appreciated by 7 paise to 83.02 against the US dollar in early trade on Friday as the American currency retracted from its elevated levels. However, a muted trend in domestic equities, foreign fund outflows and rising crude oil prices weighed on the domestic unit, forex traders said. At the interbank foreign exchange, the domestic unit opened at 83.03, then touched a high of 83.02 against the American currency, registering a rise of 7 paise over its last close. In initial trade the rupee also touched a low of 83.09 against the American currency. On Thursday, the rupee settled for the day lower by 1 paisa at a fresh all-time low of 83.09 against the US dollar. Forex traders said rupee is likely to trade with a negative bias on risk aversion in global markets and firm US dollar. The dollar index, which gauges the greenback's strength against a basket of six currencies, fell 0.26 per cent to 103.30. Brent crude futures, the globa

Forex reserves drop by $3 bn to $603.8 bn in 2nd consecutive weekly decline

India's forex reserves dropped by USD 3.165 billion to USD 603.87 billion for the week ended July 28, the RBI said on Friday. This is the second consecutive weekly drop in the reserves after the USD 1.987 billion decline to USD 607.035 billion in the previous reporting week, In October 2021, the country's forex kitty reached an all-time high of USD 645 billion. The reserves took a hit as the central bank deployed the kitty to defend the rupee amid pressures caused majorly by global developments since last year. For the week ended July 28, the foreign currency assets, a major component of the reserves, decreased by USD 2.416 billion to USD 535.337 billion, according to the Weekly Statistical Supplement released by the RBI. Expressed in dollar terms, the foreign currency assets include the effect of appreciation or depreciation of non-US units like the euro, pound and yen held in the foreign exchange reserves. Gold reserves were down by USD 710 million to USD 44.904 billion, the RBI

Tata Communications net profit falls by 30% to Rs 382 crore in June quarter

Tata Communications on Wednesday posted a 29.8 per cent fall in consolidated net profit at Rs 382 crore in the June quarter, hit by higher interest costs and lower forex gains. The consolidated revenue rose 10.7 per cent year-on-year to Rs 4,711 crore. The data business revenue stood at Rs 3,912 crore, an increase of 17.1 per cent over the same period previous year. In the first quarter of the current fiscal, EBITDA (Earnings Before Interest, Taxes, Depreciation, and Amortisation) from data business stood at Rs 929 crore, down 4.2 per cent year on year largely "due to inorganic costs coming in this quarter", the company said in a statement. "We have had a pivotal first quarter in FY24 delivering a very strong revenue growth in our data business and the digital portfolio, closing The Switch deal and announcing the Kaleyra acquisition," Tata Communications MD and CEO A S Lakshminarayanan said. He also said the company is on track with the execution of its strategy and the strengthe

Pak gets another $600 mn loan from China to help shore up forex: PM Shehbaz

Cash-strapped Pakistan has received a rollover of an additional USD 600 million loan from its all-weather ally China to help shore up the country's foreign exchange reserves on the back of an IMF deal, Prime Minister Shehbaz Sharif said on Tuesday. It is in addition to the over USD 5 billion in loans that Beijing has rolled over for Pakistan in the last three months, helping the debt-ridden nation avert a default as negotiations to secure the IMF bailout dragged on, the Dawn newspaper reported. Pakistan secured a last-gasp USD 3 billion bailout from the International Monetary Fund on June 30, which later disbursed an initial upfront instalment of about USD 1.2 billion. Sharif said the Exim Bank of China has provided the rollover, increasing the country's foreign exchange reserves by USD 600 million. Our foreign exchange reserves are increasing but we want to do it not through loans but generating our income, he said at an event here. Apart from the IMF bailout and the Chinese loan

India's forex reserves rise $1.23 billion to $596.28 billion: RBI data

India's foreign exchange reserves jumped USD 1.229 billion to USD 596.28 billion in the week ended July 7, the Reserve Bank of India said on Friday. In the previous reporting week, the overall forex reserves increased USD 1.85 billion to USD 595.05 billion. In October 2021, the country's forex kitty had reached an all-time high of USD 645 billion. The reserves have been declining as the central bank deploys the kitty to defend the rupee amid pressures caused majorly by global developments. For the week ended July 7, the foreign currency assets, a major component of the reserves, increased USD 989 million to USD 528.968 billion, according to the Weekly Statistical Supplement released by the RBI. Expressed in dollar terms, the foreign currency assets include the effect of appreciation or depreciation of non-US units like the euro, pound and yen held in the foreign exchange reserves. Gold reserves were up USD 228 million to USD 44.06 billion, the RBI said. The Special Drawing Rights

India's forex reserves rise by $1.85 billion to $595.05 billion: RBI

India's foreign exchange reserves rose by USD 1.853 billion to USD 595.051 billion in the week ended on June 30, the Reserve Bank of India said on Friday. The overall reserve had dropped by USD 2.901 billion to USD 593.198 billion in the previous reporting week. In October 2021, the country's forex reserve had reached an all-time high of USD 645 billion. The reserves have been declining as the central bank deploys the kitty to defend the rupee amid pressures caused majorly by global developments. For the week ended on June 30, the foreign currency assets, a major component of the reserves, increased by USD 2.539 billion to USD 527.979 billion, according to the Weekly Statistical Supplement released by the RBI on Friday. Expressed in dollar terms, the foreign currency assets include the effect of appreciation or depreciation of non-US units like the euro, pound and yen held in the foreign exchange reserves. Gold reserves dropped by USD 472 million to USD 43.832 billion, the RBI ...

TCS: Forex dealers, tour package sellers to collect remittance undertakings

The government on Friday said foreign exchange dealers and sellers of overseas tour packages will have to take an "undertaking" from their customers about their past remittances and overseas visits made in a fiscal for the purpose of deducting TCS. The Income Tax department issued a set of FAQs on the applicability of changes relating to Tax Collection at Source (TCS) on Liberalised Remittance Scheme (LRS) and on the purchase of an overseas tour programme package. The differential rate of the TCS levy would kick in from October 1. The FAQ also defined what would constitute an 'overseas tour program package', on which from October 1, 5 per cent TCS would be levied on expenditures up to Rs 7 lakh. Beyond that, a 20 per cent rate would apply. Currently, these packages attract 5 per cent TCS. "It is clarified that the purchase of only an international travel ticket or purchase of only hotel accommodation, by in itself is not covered within the definition of 'overseas tour program ...

India's forex reserves drop $2.9 bn to $593.19 billion, shows RBI data

The overall reserves increased by USD 2.35 billion to USD 596 in the previous reporting week

Importers must hedge near-term exposures on dollar rally risk, say analysts

The greenback is projected to strengthen against most Asian currencies in the July-September quarter, with a rate hike by the Fed at its July meeting now a near certainty

India's forex reserves rise to $596.10 billion in week to June 16

The rupee had risen 0.6% in the week ending June 16, logging its best week in over three months. It traded in a range of 81.8575 to 82.4750 during that week

India's forex reserves jump $2.35 billion to $596 billion, shows RBI data

The overall reserves had dropped by USD 1.318 billion to USD 593.749 billion in the previous reporting week

Pakistan receives $1 bn from China to support its critically low forex

Cash-strapped Pakistan has received USD 1 billion from its close ally China to support its critically low foreign reserves amidst the uncertainty to revive a stalled International Monetary Fund loan. The State Bank of Pakistan (SBP) on Friday night confirmed having received the amount from China without sharing any other details about it. It would add to the reserves which had fallen to almost USD 3.9 billion in recent weeks. Earlier, finance minister Ishaq Dar said Pakistan had paid back USD 1 billion to China last Monday against a due amount of USD 1.3 billion and it was hoped that the amount would be returned. Pakistan's economy is tethering on the verge of default as the IMF is pushing the county to its limits to fulfil demands - which Islamabad insists had been already met - to provide the remaining USD 2.5 billion out of a bailout package of USD 6.5 billion agreed in 2019. The entire amount is unlikely to be paid as the programme is ending on June 30 but Pakistan is pushing

India's forex kitty declines by $1.32 bn to $593.75 bn, shows RBI data

The overall reserves had jumped by $5.93 billion to $595.067 billion for the previous reporting week

Dollar down on soft inflation data as traders price in Fed rate hike skip

The dollar index - which measures the performance of the U.S. currency against six others - dipped 0.2% to 103.14, after touching its lowest since May 22 overnight at 103.04

Rupee hits one-month high against dollar on corporate dollar inflows

Indian rupee hit a one-month high against the U.S. currency on Wednesday led by likely corporate dollar inflows, five traders said

Steel industry saved Rs 34,800 cr forex by reducing imports: Scindia

The government policies for steel sector helped the country save Rs 34,800 crore in foreign exchange by reducing imports and added around 60 million tonnes (MT) of crude steel capacity, Union minister Jyotiraditya Scindia said. India pushed Japan to third place to become the world's second largest steel producing nation, the minister for steel said while addressing a press conference titled 'The 9-years of government's seva, sushasan and gareeb kalyan focusing on steel sector'. From an installed capacity of 109.85 MT in 2014-15, India's steel capacity increased by a sharp 46 per cent to 160.30 MT in 2022-23, he said, adding the total production rose 42 per cent from 88.98 MT to 126.26 MT. The per capita steel consumption also rose from 60.8 kilogramme to 86.7 kg during the said period, registering a rise of 43 per cent. As per the National Steel Policy 2017, the country aims to scale up the capacity to 300 MT by 2030-31 and production to 250 MT. While the target is to increase the

India's forex reserves snap 3-week rise, ease from near 1-year high

Forex reserves decreased $6.05 billion from the previous week, after rising by a total of $15.3 billion in the prior three weeks