Pak rupee sinks on delay in China aid

dubai — The Pakistan rupee and equity market plunged after a financial support package expected from Beijing was delayed during the ongoing visit of Prime Minister Imran Khan to China.

The Pakistan Stock Exchange (PSX) index lost 1.2 per cent, or 510 points, on Monday to close the day at 41,494 points. The rupee fell from 36.26 on Friday to 36.46 on Monday. The rupee had gained against the dollar following financial support worth $6 billion from Saudi Arabia last month during Khan’s visit to attend a conference.

A senior diplomat reportedly said Beijing would provide Islamabad with economic aid but more talks need to take place to fix the details.

Muzzammil Aslam, former CEO, EFG-Hermes Pakistan, said prior to Khan’s Beijing visit, the hopes of getting Chinese funds was a key consideration and the media had already speculated $9 billion through deposits, soft loan and the China-Pakistan Economic Corridor-related funding. But a joint statement released by the two countries didn’t disclose any financial commitment.

“It’s not surprising. The Chinese helping hand is always invisible and unlike some other