General

With the advent of the era of high inflation and high prices, the unemployment rate in various countries is rising and people's life is difficult. The economies of many countries have been affected to varying degrees, and many enterprises will even face bankruptcy.

Pakistan faces bankruptcy

Recently, Pakistan is seeking US $6billion in the International Monetary Fund's rescue package to deal with problems such as declining foreign exchange reserves, widening current account deficit, rising inflation and currency collapse.

At present, Pakistan's foreign exchange reserves have plummeted to US $10.3 billion, which is only enough to pay for imports in less than two months. The country will face an imminent crisis of international default and bankruptcy.

It is understood that the Ministry of finance of Pakistan has sent a finance team to Doha for consultations with the IMF.

At the same time, the country's foreign exchange reserves fell sharply, food inflation rose spirally, and the Pakistani rupee was in a state of collapse, with a sharp decline of 21.72% in this fiscal year.

Farrukh Saleem, a Pakistani political scientist, economist and financial analyst in Islamabad, said: "the rupee is under increasing pressure due to the decrease in US dollar inflows and the lack of support from friendly countries such as China, Saudi Arabia and the United Arab Emirates.

The International Monetary Fund's $6 billion rescue fund has not been restored, which has also led to a sharp decline in the country's foreign exchange reserves. "

Sri Lanka is in a serious economic crisis

Affected by the COVID-19 and high fuel prices, Sri Lanka is currently experiencing the most serious economic crisis since independence in 1948.

Sri Lanka's debt grace period of US $12.6 billion has expired for the first time since independence on May 19, 1948, according to the microblog.

Due to the serious economic crisis, Sri Lanka has a serious shortage of fuel, food and medicine. Power is cut off for hours every day, and gasoline and diesel need to be purchased in line. This has had an extremely serious impact on the lives of local people. Many factories and enterprises can not start at all, and the country's economy has also suffered huge losses.

The Lebanese government went bankrupt and the economic crisis continued

Lebanese Deputy Prime Minister Saad Shami announced on April 4 that the central bank and government of Lebanon were in a state of bankruptcy.

At the beginning of 2022, the economic situation of Lebanon once improved. However, due to the fact that the country's economy is very dependent on imports, since the outbreak of the Russian Ukrainian conflict, Lebanon's transportation lines used to purchase all kinds of materials cannot continue to pass through the Black Sea. After being forced to bypass, resulting in the rise of transportation costs, Lebanon's domestic prices have risen sharply.

In February, the country's annual inflation rate soared to 215%.

Myanmar strengthens foreign exchange control

According to the Myanmar Golden Phoenix Chinese news, the Central Bank of Myanmar issued Circular No. 12 of 2022 on April 3 in accordance with Article 49 (b) of the foreign exchange management law.

In accordance with the provisions of Articles 11, 12 and 13 of the foreign exchange management law, the foreign exchange income obtained by local people from abroad shall be remitted back to Myanmar, and a foreign exchange account shall be opened at the bank (AD bank) that has obtained the foreign exchange operation license. The foreign exchange must be converted into kyat within one working day after the foreign exchange arrives.

Mongolia's foreign exchange reserves are in short supply and has entered a state of economy

Recently, there was a shortage of foreign exchange reserves in Mongolia, and Tugrik continued to depreciate. The country's commercial banks successively suspended the cash withdrawal business of major international circulating foreign currencies such as US dollar, euro and RMB for customers, and only allowed customers to handle small foreign exchange transfer business.

Local public opinion believes that the reduction of Mongolia's export revenue has led to a cash shortage in the foreign exchange market for some time, coupled with the surge in foreign exchange demand of enterprises and individuals, which is the main reason why Mongolia's commercial banks have taken measures to suspend foreign currency cash withdrawal business one after another.

The Mongolian authorities announced on April 10 that they plan to fully enter the state of economy, and are currently stepping up the formulation or implementation of corresponding countermeasures.

As the epidemic and conflict continue, it is expected that more countries with high debt and relying heavily on imports of food and energy will fall into economic crisis. Please pay more attention to foreign trade friends before shipment.