Pakistani Rupee is ready for another round of devaluation, according to Jon Scheiber, CEO, and partner at Tundra Fonder who said that Pakistani Rupee might fall prey to another round of devaluation, it would be interesting to see if any reforms have been planned for agriculture, financial sector and education in the long-run.
Tundra Fonder has invested in more than thirty companies in Pakistan focusing on environmental, social and governance sectors, he said in an interview with Business Recorder. He said the company has hired all locals in its Pakistan office and the total number of assets within in the country management are $72 million which is almost 20 percent of its overall investment.
While answering a question about Tundra Fonder’s investments in other markets and how they perform as compared to Pakistan he said, “We have invested in Kenya, Vietnam, Sri Lanka, and Nigeria other than Pakistan, but Pakistan Stock Exchange (PSX) is the most liquid among all emerging markets. He also said that Pakistani market is the cheapest for investors, we have successfully identified the companies with affordable prices and very strong domestic presence, the major obstacle in Pakistan is lack of information.
While commenting on his recent trip to Pakistan Scheiber said, the security situation is improved a lot, the Nordic group came into the country felt quite save while moving around without security protocols. He commented on the next six months in the stock market and said its quite volatile in the weeks ahead due to the general elections, after the elections the situation would be quite limpid. Even if there is a downside for a while, the cheap market has a limited downside which is bearable for investors.
He was questioned about Pakistan’s possible inclusion on FATF’s grey list in June and its impact on investments including Tundra Fonder’s investments in the country he replied, it would not affect much, the decision is politically driven and Pakistan has been listed before too, which didn’t impact the Tundra Fonder’s investments.