April 1, 2020 (MLN): Due to the continuous deterioration in economic conditions with the COVID-19 crisis across the globe, risk-averse investors fled with their hot money worth $1.77 billion net from government debt securities (T-bills and PIBs) during the month of March 2020.
Since the pandemic began, Pakistan witnessed a blow of hot money outflow. The extraction of injection further gathered pace when SBP slashed policy rate by 225 bps to 11%, as according to the SCRA data published by SBP, during the month, the country witnessed only $18.5 million investment in government securities, whereas, outflow stood at $1.789 billion. Comparing with the previous month, the situation was totally different as the country witnessed net inflows of $261 million in T-bills and PIBs.
Country-wise, $1.49 billion net from T-bills has been withdrawn by Investors from the UK, while $239.4 million net has been retracted by US investors during the month.
Cumulatively in 9MFY20, the country witnessed an injection of $3.49 billion hot money in T-bills and PIBs, out of which foreigners have pulled around $2.1 billion, indicating that $1.4 billion investment still parked in Pakistan’s debt securities.
Speaking of the last day of the month, foreign investors have pulled back $59.96 million from T-bills with Zero injection recorded.
The outflow of hot money is expected to continue further in coming days, as the fears of a global recession over COVID-19 spread likely to heighten risk aversion. In addition, the cut in policy rate has also made foreign investors reluctant to further inject their money in Pakistan’s debt market as they will now get low margins on their investment than before.
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April 01, 2020: State Bank of Pakistan in collaboration with National Institute of Banking & Finance (NIBAF) is implementing National Financial Literacy Program for Youth (NFLP-Y) to impart essential financial education to Pakistani youth and school going children for strengthening of their money management skills and enhance their understanding of financial matters.
National Financial Literacy Program for Youth (NFLP-Y) is launching Pakistan’s first online financial literacy course which is delivered through an engaging and interactive game. The game targets three age-groups – Children (9-12), Adolescents’ (13-17), and Youth (18-29) and can be accessed through your desktop browser or through a dedicated mobile phone application.
NFLP-Y’s easy-to-use eLearning portal and mobile app delivers its lessons in English and Urdu language through a story-based game format designed to help understand and apply principles of financial literacy. Users follow the story of two entrepreneurial families as they tackle personal, financial, and business decisions.
As the player of this game, the aim is to help the families create a successful business. In just a couple of hours, users can master the essentials of saving, budgeting, borrowing, and banking, among many other topics. Interactive questions follow each topic to assess the knowledge of the students. Those users who complete the course are awarded with a Certificate of Financial Literacy.
The game is called ‘POMPAK – Learn to Earn’. It’s free, ready to be used and available at the below addresses:
Apple App Store: https://apps.apple.com/us/app/pompak-learn-to-earn/id1503676474?ls=1
Laptop/Desktop (Web Version): https://nflpy.pk/elearning/
When closure of educational institutes in Pakistan is affecting studies of thousands of students, NFLP-Y is hoping to positively impact the youth of Pakistan with its eLearning portal. Anyone aged between 9-29 years old can download the game or use the web portal to gain the much-needed financial literacy training which will help them take control of their financial matters.
April 1, 2020 (MLN): Topline Securities Limited has submitted a Public Announcement of Intention to acquire up to 82,640 ordinary shares i.e. 16.53% share capital of the Hallmark Company Limited, on behalf of the acquirer, Mr. Azneem Bilwani.
In a notice issued to the PSX on Wednesday, Topline Securities informed that it had been appointed as the Manager to Offer by the Acquirer.
Copyright Mettis Link News
April 01, 2020: Following the bearish trend, PMEX Commodity Index lost 25 points to close at 3,500 on Tuesday. The traded value of Metals, Energy and COTS/FX was recorded at PKR 4.362 billion and the number of lots traded was 9,825.
The major business was contributed by Gold amounting to PKR 1.673 billion, followed by NSDQ 100 (PKR 715.666 million), Crude Oil (PKR 614.287 million), DJ (PKR 488.895 million), Currencies through COTS (PKR 441.458 million), Silver (PKR 228.468 million), Platinum (PKR 75.386 million), SP500 (PKR 67.320 million), Copper (PKR 39.764 million), Natural Gas (PKR 15.860 million) and Brent Crude Oil (PKR 2.025 million).
In agriculture commodities, one lot of Wheat amounting to PKR 4.715 million and one lots of Cotton amounting to PKR 0.422 million was traded.
Apr 01, 2020: President, Islamabad Chamber of Commerce and Industry (ICCI) Muhammad Ahmed Waheed on Wednesday emphasized to evolve a comprehensive strategy for mitigating the business loses, during the COVID-19 epidemic in the country.
Due to coronavirus, the business community all over the country has adopted all necessary measures as directed by the government to control the pandemic, he told APP here.
The president ICCI informed that due to coronavirus issue, businesses and industrial units had been closed, but they had to pay the monthly commercial bills of gas and electricity, which was adding to their difficulties.
He also appealed to the government that receipt of commercial bills of gas and electricity from business and industry should be deferred for few months so that business community could be able to cope with the current crisis.
Ahmed further said that if deferment of receipt of utility bills was not possible, business community should be allowed to pay monthly commercial bills in three installments till the time the COVID-19 epidemic issue was over.
He said that whole of the country including the federal capital was in lockdown situation due to which markets and industrial units were closed.
However, the business community had to pay wages of workers and meet day to day expenses as well, he added.
He said that all the industries under his chamber had retained their employees on jobs as per direction of ICCI adding “We will pay all their dues and salaries in this crisis.”
The president said that in these circumstances, deferring the receipt of commercial bills of gas and electricity for few months or allowing them to pay monthly bills in 3 installments would provide significant relief to the business community.
Replying to question, he said that despite closure of industrial activities, industrialists had to pay mark up of banks on daily basis, which was putting more pressure on them.
He urged the government to issue directions to commercial banks to immediately defer the receipt of mark up from industrialists for few months to save the industry from further troubles.
Ahmed Waheed said that in these difficult circumstances, instead of earning profits, banks should realize the problems of industry and freeze the receipt of their mark up for few months to save the industrial units from closure.
He said that all the commercial and public sector banks were earning huge profit during good days and in recent critical situation, the government must give directions to these banks to provide maximum relief to the local business community.