Panic in market. As Pakistan effectively nears default

Imran Khan · Nov 22, 2022

Valar. said:
Why do common Pakistanis need dollars for?

Because rupee loss value very quickly so keeping dollars means no loss .if you have 5 lakh to 5 crore or 100 crore will you keep them in pkr ?

ziaulislam · Nov 22, 2022

epebble said:
With a bit of Google translation, I read the title. Looks like the guy is startled by the lack of availability of dollars in open market. Well, this is what Exchange Control looks like. Scarce dollars will be used for essential imports. That is not the end of the world. As long as you get food and fuel, no need to panic.

Exactly
Nothing happened in Lebanon or other bankrupt countries.

It's not the end of the world

A meteor isn't striking you.

It's just default.
No big deal.

I mean the world didn't ended when ukriane was attacked or we had floods or when Taliban took over

Valar. said:
Why do common Pakistanis need dollars for?

Because that's what smart people do

Valar. · Nov 22, 2022

Imran Khan said:
Because rupee loss value very quickly so keeping dollars means no loss .if you have 5 lakh to 5 crore or 100 crore will you keep them in pkr ?

5 Lakhs, sure.

5 crore to 100 crore, why would I even have that much amount in cash?

ziaulislam said:
Mean while patwari and Paksitanis are happy

The only ones I see happy are PTI fanboys, strangely.

ziaulislam said:
Because that's what smart people do

Or that's what you want people to do because of your love for one particular political party?

Imran Khan · Nov 22, 2022

Valar. said:
5 Lakhs, sure.

5 crore to 100 crore, why would I even have that much amount in cash?

Why not sir ? For example a builder is msking tower of 20 floors he will have to recieve installments of 5 crore every month .what he should do ? He has to finish this project and launch next project after 3 years .?? Please advice what he do with 100 crores ?

Valar. · Nov 22, 2022

Imran Khan said:
Why not sir ? For example a builder is msking tower of 20 floors he will have to recieve installments of 5 crore every month .what he should do ? He has to finish this project and launch next project after 3 years .?? Please advice what he do with 100 crores ?

Buy dollars in open market?

epebble · Nov 23, 2022

Imran Khan said:
But this will dent remmettence if dollar is 250 in open market hundi hawala will give this rates then who will send money to pakistan via bank ? Fyi 32bn$ remmettences are the one pakistan survive on .

Not knowing enough about Hundi Hawala system, I don't have a good answer. However, in the rest of the world when they introduced Exchange Control, how did they manage? I am guessing Hundi Hawala is an informal money exchange network where people give foreign currency to an agent and get Rupees from an informal network. That may promote importation of items in violation of Exchange Control regulation. i.e., some sort of smuggling/black market. Government can exercise various kind of enforcement (civil/criminal) to make it uncomfortable. In the end, it will act as a leak on foreign currency inflow. However, most of the organized exporters will be using proper banking channels.

Imran Khan · Nov 23, 2022

Valar. said:
Buy dollars in open market?

Yes otherwise he will loss his hard earned money 8% yearly and 24%in 3 years

Valar. · Nov 23, 2022

Imran Khan said:
Yes otherwise he will loss his hard earned money 8% yearly and 24%in 3 years

And what should he do with dollars?

Imran Khan · Nov 23, 2022

epebble said:
Not knowing enough about Hundi Hawala system, I don't have a good answer. However, in the rest of the world when they introduced Exchange Control, how did they manage? I am guessing Hundi Hawala is an informal money exchange network where people give foreign currency to an agent and get Rupees from an informal network. That may promote importation of items in violation of Exchange Control regulation. i.e., some sort of smuggling/black market. Government can exercise various kind of enforcement (civil/criminal) to make it uncomfortable. In the end, it will act as a leak on foreign currency inflow. However, most of the organized exporters will be using proper banking channels.

Sir lets talk about s.asia .bd have interbank tikka rate artifically less then open market and people started sending via open market now bd have less interbank remmettences .its just a markey costumer will go where he get benifit.in first world no one buy dollars as they have stable currency

Valar. said:
And what should he do with dollars?

Keep them in bank or bank locker until his next project or investment or may be for long time .

epebble · Nov 23, 2022

ziaulislam said:
Nothing happened in Lebanon or other bankrupt countries.

Lebanon's problems are a very long civil war that makes any kind of economic activity impossible. It is a bit like Afghanistan, Somalia, Sudan, Haiti etc., Pakistan does not have that problem. Pakistan's internal disputes are still mostly civil.

Pakistan's example is similar to Argentina, Brazil etc., that went through multiple defaults. Sri Lanka seemed worse, but they seem to have stabilized somewhat.

ziaulislam said:
I mean the world didn't ended when ukriane was attacked or we had floods or when Taliban took over

All different issues causing severe disruption. Can't compare political disputes to wars or natural disasters.

Imran Khan · Nov 23, 2022

The gov have only one way to stop this madness reform the economy and country .stablize pkr and no one will buy dollar .in fact if rupee gains people will start selling dollars and dollar will fall further its chain re action .but it seems no gov care here.

Zibago · Nov 23, 2022

Tameem said:
https://twitter.com/x/status/1595100600726949897

لعنت تیرے پر۔ کسی گندی نسل کے کیڑے

چپ کر حرامی

Haan ji a gaya c###la production
To bata muna reserves kitney hein is time?

ziaulislam · Nov 23, 2022

Imran Khan said:
Yes otherwise he will loss his hard earned money 8% yearly and 24%in 3 years

Rupee is falling 30% yearly not 8%
I

Tameem said:
https://twitter.com/x/status/1595100600726949897

لعنت تیرے پر۔ کسی گندی نسل کے کیڑے

چپ کر حرامی

Mashallah Hamid mir is going to shit money

We don't need anything

ziaulislam · Nov 23, 2022

epebble said:
Lebanon's problems are a very long civil war that makes any kind of economic activity impossible. It is a bit like Afghanistan, Somalia, Sudan, Haiti etc., Pakistan does not have that problem. Pakistan's internal disputes are still mostly civil.

Pakistan's example is similar to Argentina, Brazil etc., that went through multiple defaults. Sri Lanka seemed worse, but they seem to have stabilized somewhat.

All different issues causing severe disruption. Can't compare political disputes to wars or natural disasters.

There has been no recent civil war in Lebanon

Don't know where you make up stuff..

Brazil lol? When did it bankrupted