General Economic Updates

[SoulSpokesman]

It is concerning if age old consumer goods companies like P&G decide to leave a country.

Or is it that other FMCG giants like Unilever are too strong in Pakistan?

Regards

 

[Watandar]

It is concerning if age old consumer goods companies like P&G decide to leave a country.

Or is it that other FMCG giants like Unilever are too strong in Pakistan?

Regards

The sector P&G competes in, like household goods, is one that has actually grown in Pakistan like shampoo, soap, razor blades, dishwashing detergent etc. There are domestic and foreign brands. So maybe it just wasn't worth it for P&G anymore. Having said that this follows other multinationals quitting Pakistan and so the real reasons need to be found.

 

[mythbuster]

It is concerning if age old consumer goods companies like P&G decide to leave a country.

Or is it that other FMCG giants like Unilever are too strong in Pakistan?

Regards

They are getting tough competition from local brands and their products are expensive.... it's good for local brands and Pakistan will save dollars from non repatriation of profit by these companies.

 

[Dual Wielder]

Its never good news when an established multinational like P&G which has been in Pakistan since 1950s leaves the country

That's a little harsh when at least half of the country wants to do the same, it would seem though the gentlemen's club is causing a ruckus again. I fear at this rate all the foreign stalls will be gone.

 

[brazensword]

Idhr dettol nai mil raha Lahore me . Small 100ml bottle for 500 rupees, wo bi shops pr bs 6 piece hote. There was a Carrefour alternative named Falcon but it has gone extinct too.

 

[Mighty_Dragon_Strike]

That's a little harsh when at least half of the country wants to do the same, it would seem though the gentlemen's club is causing a ruckus again. I fear at this rate all the foreign stalls will be gone.

what other options they had?

bribe corrupt politicians and FBR officials to:

1. incentivize business operations
2. favorable tax treatments


it seems, they never wanted to give us something in return!

j

 

[SoulSpokesman]

@mythbuster

von Blumfeld Pai,

That makes sense. A country with 250 million people with even a modest increase in GDP will make an attractive market for consumer products. It doesn't seem appropriate to exit unless you had a poor strategy which was unsuited for the market.

I can understand the exit of companies in telecom and IT space cos of repeated internet shutdowns etc but this seems a voluntary withdrawl.

Regards

 

[F.O.X]

There is no need to make it sound like end of days , the reason for their exit is simply Cost & benefit analysis. P&G was facing one of the toughest competition from local brands, what ever they were selling for 100 local brands were selling it for 50. it was simply not profitable for them.

 

[mythbuster]

@mythbuster

von Blumfeld Pai,

That makes sense. A country with 250 million people with even a modest increase in GDP will make an attractive market for consumer products. It doesn't seem appropriate to exit unless you had a poor strategy which was unsuited for the market.

I can understand the exit of companies in telecom and IT space cos of repeated internet shutdowns etc but this seems a voluntary withdrawl.

Regards

It's stupid to give away your market to such companies that don't bring anything high tech nor do they help in exports....... soaps and shampoos , wth ?

 

[Watandar]

It's stupid to give away your market to such companies that don't bring anything high tech nor do they help in exports....... soaps and shampoos , wth ?

Back in the day when P&G entered Pakistan, there were no domestic soap or shampoo makers. The entire Consumer Packaged Goods industry, including domestic makers, developed slowly in the subsequent decades. Even now the quality of the domestic makers isnt necessarily at the same level as P&G goods, I had used some domestic deodrants while there and they were burning my sensitive skin. Had to stop using them after a few days.

 

[mythbuster]

Back in the day when P&G entered Pakistan, there were no domestic soap or shampoo makers. The entire Consumer Packaged Goods industry, including domestic makers, developed slowly in the subsequent decades.

Thanks for the news that no one have.

 

[Fatman17]

Duplicate thread

 

[Mighty_Dragon_Strike]

Duplicate thread

you are the one, who has merged these thread!

 

[hydrabadi_arab]

The State Bank of Pakistan (SBP) bought $7.7 billion from the currency market during the fiscal year ending in June 2025 to strengthen foreign exchange reserves and facilitate foreign debt repayments.


According to a brokerage report, the central bank acquired $502 million in foreign currency in June, contributing to the total purchases of $7.7 billion for FY25. This intervention helped increase the country’s forex reserves from $9.4 billion in June 2024 to $14.5 billion, alongside the repayment of external debt.

The SBP’s foreign currency purchases come as Pakistan successfully repaid a $500 million Eurobond, which matured on September 30.


Advisor to Finance Minister Khurram Schehzad highlighted that the bond repayment, coupled with improved investor confidence and stronger reserves, marks a positive development for Pakistan’s financial standing.

The bond, issued in 2015 with a 10-year tenor, was repaid on schedule. Schehzad noted that Pakistan’s sovereign ratings have improved, and the country’s bonds are now trading at a premium. Additionally, the debt-to-GDP ratio has decreased from 77% in FY20 to 70% in FY25.

Pakistan’s external debt servicing for FY26 is projected at $26 billion, with $16 billion expected to be rolled over or refinanced. The net repayment amount is estimated to be between $10 and $11 billion, according to the central bank governor’s briefing after the monetary policy meeting on September 15.

 

[Mighty_Dragon_Strike]

The State Bank of Pakistan (SBP) bought $7.7 billion from the currency market during the fiscal year ending in June 2025 to strengthen foreign exchange reserves and facilitate foreign debt repayments.


According to a brokerage report, the central bank acquired $502 million in foreign currency in June, contributing to the total purchases of $7.7 billion for FY25. This intervention helped increase the country’s forex reserves from $9.4 billion in June 2024 to $14.5 billion, alongside the repayment of external debt.

The SBP’s foreign currency purchases come as Pakistan successfully repaid a $500 million Eurobond, which matured on September 30.


Advisor to Finance Minister Khurram Schehzad highlighted that the bond repayment, coupled with improved investor confidence and stronger reserves, marks a positive development for Pakistan’s financial standing.

The bond, issued in 2015 with a 10-year tenor, was repaid on schedule. Schehzad noted that Pakistan’s sovereign ratings have improved, and the country’s bonds are now trading at a premium. Additionally, the debt-to-GDP ratio has decreased from 77% in FY20 to 70% in FY25.

Pakistan’s external debt servicing for FY26 is projected at $26 billion, with $16 billion expected to be rolled over or refinanced. The net repayment amount is estimated to be between $10 and $11 billion, according to the central bank governor’s briefing after the monetary policy meeting on September 15.

good job, indeed