Latest news with #HBLPakistanManufacturingPurchasingManagers'Index
India Today
21-05-2025
- Business
- India Today
No growth, just loans: Pakistan seeks $4.9 billion from world after securing IMF deal
Pakistan's economy grew by just 2.68% in the fiscal year 2024-25, falling short of its target of 3.6%, according to a report by ARY News. The report came after a meeting of the National Accounts Committee, led by the Secretary of to ARY News, the report was revealed during a meeting of the National Accounts Committee, chaired by Pakistan's Secretary of Planning. The meeting revealed that the country's economic output reached USD 411 billion, with per capita income increasing to USD 1,824. Sector-wise performance varied, with agriculture growing by 1.8 per cent during the first three quarters, while the industrial sector declined by 1.14 per the services sector posted a strong growth of 39 per cent between July and March, as per ARY News. In parallel, Pakistan is preparing to raise USD 4.9 billion in external commercial financing for the next fiscal year (FY2025- 26), according to sources familiar with the matter. As part of its financing plan, the government intends to secure USD 2.64 billion in short-term loans from commercial banks at expected interest rates of 7-8 per cent, without strict conditions or performance benchmarks, as per ARY News. An additional USD 2.27 billion is also expected to come through long-term borrowing arrangements from commercial banks. Efforts are underway to tap four major international banks. This includes a proposal to obtain USD 1.1 billion from the Industrial and Commercial Bank of China (ICBC), along with USD 500 million each from Standard Chartered Bank and Dubai Islamic Bank. advertisementMeanwhile, the International Monetary Fund (IMF) has set a goal for Pakistan to increase its foreign reserves to USD 13.9 billion by the end of June. The State Bank of Pakistan currently holds around USD 14 billion, which is enough to cover three months of month, Pakistan's central bank cut its key policy rate by 100 basis points to 11%, citing an improved inflation outlook and resuming a series of cuts from a record high of 22%, following a brief pause in March, to support latest national accounts aggregates for fiscal 2024/25 showed the size of the economy at 114.7 trillion rupees ($410.96 billion) up from 105.1 trillion rupees ($ 371.66 billion), the committee manufacturing sector growth slowed to a seven-month low in April, with the HBL Pakistan Manufacturing Purchasing Managers' Index (PMI) easing to 51.9 from 52.7 in March, weighed by concerns over global inputs from ANI, ReutersTune InMust Watch
Kuwait Times
05-05-2025
- Business
- Kuwait Times
Pakistan CB lowers key policy rate to 11% amid economic crisis
KARACHI: A laborer works at a construction site in Karachi on the eve of International Labor Day on April 30, 2025. — AFP KARACHI: Pakistan's central bank reduced its key policy rate by 100 basis points to 11 percent on Monday, resuming a series of cuts that brought the rate down from a record high of 22 percent after a brief pause in March. Nine of 14 analysts surveyed by Reuters expected the central bank to cuts its key rate, with three expecting a 50 bps cut and two calling for a 100 bps cut. The decision came in the backdrop of soaring tensions with neighboring India following a deadly terror attack on tourists in Kashmir. The nuclear-armed neighbors have announced a raft of punitive steps that aim to hurt each other economically. It also comes ahead of an imminent International Monetary Fund (IMF) decision on releasing Islamabad's next tranche of $1 billion from its $7 billion bailout program. The bank had cut the rate by 1,000 basis points since June from an all-time high of 22 percent before a surprise decision to hold it in March, citing the risk of price rises including from increased US tariffs. The inflation rate fell to 0.3 percent in April, its lowest in roughly a decade and below finance ministry estimates of 1.5 percent to 2 percent. The central bank forecasts average inflation to be in the range of 5.5 percent to 7.5 percent for the fiscal year ending June. Pakistan's manufacturing sector growth slowed to a seven-month low in April, with the HBL Pakistan Manufacturing Purchasing Managers' Index (PMI) easing to 51.9 from 52.7 in March, as concerns over global trade weighed due to the impact of US President Donald Trump's tariff announcements. New orders slumped while export orders in particular plummeted. Employment fell for a second month as firms cut costs. — Reuters
Arab News
05-05-2025
- Business
- Arab News
Pakistan central bank lowers key policy rate to 11%
KARACHI: Pakistan's central bank reduced its key policy rate by 100 basis points to 11% on Monday, resuming a series of cuts that brought the rate down from a record high of 22% after a brief pause in March. Nine of 14 analysts surveyed by Reuters expected the central bank to cuts its key rate, with three expecting a 50 bps cut and two calling for a 100 bps cut. The decision came in the backdrop of soaring tensions with neighboring India following a deadly attack on tourists in Indian-administered Kashmir. The nuclear-armed neighbors have announced a raft of punitive steps that aim to hurt each other economically. It also comes ahead of an imminent International Monetary Fund (IMF) decision on releasing Islamabad's next tranche of $1 billion from its $7 billion bailout program. The bank had cut the rate by 1,000 basis points since June from an all-time high of 22% before a surprise decision to hold it in March, citing the risk of price rises including from increased US tariffs. The inflation rate fell to 0.3% in April, its lowest in roughly a decade and below finance ministry estimates of 1.5% to 2%. The central bank forecasts average inflation to be in the range of 5.5% to 7.5% for the fiscal year ending June. Pakistan's manufacturing sector growth slowed to a seven-month low in April, with the HBL Pakistan Manufacturing Purchasing Managers' Index (PMI) easing to 51.9 from 52.7 in March, as concerns over global trade weighed due to the impact of US President Donald Trump's tariff announcements. New orders slumped while export orders in particular plummeted. Employment fell for a second month as firms cut costs.
Arab News
03-05-2025
- Business
- Arab News
Pakistan's factory PMI dips in early sign of global tariff headwinds
KARACHI: Pakistan's manufacturing sector growth slowed to a seven-month low in April, with the HBL Pakistan Manufacturing Purchasing Managers' Index (PMI)easing to 51.9 from 52.7 in March, as concerns over global trade weighed, HBL said in a press release. The latest dip in the index hints at the impact of US President Donald Trump's trade tariffs, said Humaira Qamar, Head of Equities & Research at HBL. 'We believe that the latest PMI dips are early signs of the headwinds to the global economy from the introduction of US tariffs,' said Humaira Qamar — Head Equities & Research at HBL. New orders slumped while export orders in particular plummeted. Employment fell for a second month as firms cut costs, said Qamar. Qamar warned that any US stagflation would hurt Pakistan's exports, particularly to the US which accounts for 18 percent of its total, potentially prolonging the manufacturing downturn, though lower commodity prices could provide some relief, she added. Despite the slowdown, the PMI remains above 50, indicating expansion amid a favorable inflation outlook. Qamar said she expects an interest rate cut on Monday due to strong deflationary pressures. But a Reuters poll suggests Pakistan's State Bank will hold rates steady at 12 percent, following a surprise pause in its last meeting due to geopolitical tensions and inflation concerns. Pakistan's annual inflation rate fell to 0.3 percent in April, well below the Ministry of Finance estimate of 1.5 percent to 2 percent. The central bank forecasts average inflation to be in the range of 5.5 percent to 7.5 percent for the fiscal year ending June. Pakistan's largest bank, HBL, and global financial information and analytics firm S&P Global launched the index In February to track the country's manufacturing sector.
Business Recorder
02-05-2025
- Business
- Business Recorder
Pakistan's factory PMI dips in early sign of global tariff headwinds
KARACHI: Pakistan's manufacturing sector growth slowed to a seven-month low in April, with the HBL Pakistan Manufacturing Purchasing Managers' Index (PMI)easing to 51.9 from 52.7 in March, as concerns over global trade weighed, HBL said in a press release. The latest dip in the index hints at the impact of U.S. President Donald Trump's trade tariffs, said Humaira Qamar, Head of Equities & Research at HBL. 'We believe that the latest PMI dips are early signs of the headwinds to the global economy from the introduction of U.S. tariffs,' said Humaira Qamar - Head Equities & Research at HBL. New orders slumped while export orders in particular plummeted. Employment fell for a second month as firms cut costs, said Qamar. Qamar warned that any U.S. stagflation would hurt Pakistan's exports, particularly to the U.S. which accounts for 18% of its total, potentially prolonging the manufacturing downturn, though lower commodity prices could provide some relief, she added. Despite the slowdown, the PMI remains above 50, indicating expansion amid a favourable inflation outlook. Qamar said she expects an interest rate cut on Monday due to strong deflationary pressures. But a Reuters poll suggests Pakistan's State Bank will hold rates steady at 12%, following a surprise pause in its last meeting due to geopolitical tensions and inflation concerns. Pakistan's annual inflation rate fell to 0.3% in April, well below the Ministry of Finance estimate of 1.5% to 2%. The central bank forecasts average inflation to be in the range of 5.5% to 7.5% for the fiscal year ending June. Pakistan's largest bank, HBL, and global financial information and analytics firm S&P Global launched the index In February to track the country's manufacturing sector.
