Net foreign selling from Pakistan debt market loses momentum

June 5, 2020 (MLN): The pace of foreign selling from Pakistan’s debt market slowed down by Rs 5.92 billion during the week ended May 29, 2020. The overseas investors pulled out Rs 1.18 billion from the local markets via SCRA, marking the 14th straight week of net selling.

According to a weekly report on Specially Convertible Rupee Accounts (SCRA) released by the State Bank of Pakistan, the gross sale of securities during the week was recorded at Rs.2.7 billion, which is around 86.3 percent lower than the figures recorded last week. Similarly, the total purchase of securities stood at Rs.1.5 billion, which is 88 percent lower than the prior week.

Consequently, the net sale of securities for the week ended May 29, 2020 clocked in at Rs.1.19 billion, i.e. around Rs.5.93 billion higher than last week's numbers.

Over the week, the overall purchase of securities declined by Rs.11.3 billion while the net sale of securities tumbled by Rs.17.23 billion.

Apart from this, the inflow of remittance into these accounts stood at Rs.407.91 million, while its outflow has been reported at Rs.1.93 billion.

The closing balance of SCRA was recorded at Rs.30.21 billion, which marks a decline of Rs.79.7 million over the week.

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Posted on: 2020-06-05T15:06:00+05:00