November 25, 2024 (MLN): Foreign investors poured a net $14 million into Pakistani T-bills in the week ending November 15, 2024, the State Bank of Pakistan (SBP) reported on Monday.
This follows a substantial withdrawal worth $35.46m from the respective government securities in the first eight days of the month due to a continuous fall in yields.
After this investment, the net outflow for the first half of November has reduced to $21.46m, highlighting a decline in investment attractiveness.
The government has slashed T-bill cut off yields to 13.70% for three-month, 13.50% for six-month, and 13.20% for 12-month papers.
It is worth noting that foreigners have piled a net $320.05m in the current fiscal year to date through Special Convertible Rupee Accounts (SCRA) as the country continues to experience growing confidence amidst improved economic conditions and a stable exchange rate.
SCRA allows foreign persons, institutions, and non-resident Pakistanis to invest into various instruments such as equities, government bonds, and TFCs.
Under this scheme, the funds are converted into Pakistani rupees and credited to the depositor's "Special Convertible Rupee" account.
