Overview
The shattering economic situation has a cause of troubling and create hyperinflation across the country. Import restriction, non-approval LCs, and many issues made the situation worst day by day. Its dev the economy and industry into repercussion situation. All these complications just destroyed the business in Pakistan recent Shell announced a statement regarding leaving Pakistan. Shell International planning to sell its investment in Pakistan.
Earlier, the first vessel carrying Russian oil reached Pakistan and bring hope for reducing petrol prices. We expect some reduction in current petrol prices because Russian oil is cheaper to Pakistan than the international market. the first trade with Russia also makes the possibility that if this oil suits Pakistan, more shipments will come.
Shell Pakistan Statement
In a notification issued to Pakistan Stock Exchange (PSX), Shell Pakistan stated during today’s meeting, the Board of Directors of Shell Pakistan Limited (SPL) has been notified by Shell Petroleum Company Limited (SPCo) of its intent to sell its shareholding in SPL. Under the statement, it is stated that “Any sale will be subject to the targeted sales process, the execution of binding documentation, and receipt of applicable regulatory approvals,”.
However, they added that it’s clear that this announcement doesn’t concern SPL’s current business operations. The SPL remains committed to continuing its operations and delivering safely to its partners and customers.
Here is the official statement letter issued by SPL:
Conclusion
The conclusion of this statement is Shell is still exiting in Pakistan but very soon it will start selling its shares in Pakistan. Meanwhile, this is not confirmed when it will start. But this is one of the sad sides as international investors planning to stop investing in Pakistan. The cause is clear the unrest economic situation and the dwindling economy are not secure the future or guarantee anything change. Even though the automotive industry also shivering with tough times. The State Bank of Pakistan not allowing LCs approval which cause of low production and low stock availability.
