Production halts continue.

KARACHI -- Another two publicly traded companies announced on Friday they're shutting down operations temporarily while a third one said it's extending its ongoing production suspension for another week.

The three firms have joined a steadily growing number of firms that've shut their production plants because the country has run out of dollars to pay for the import of industrial raw materials.

Beco Steel Ltd said it's halting production until further notice owing to delays in the approval of letters of credit (LCs). Its inventory levels have seen 'significant reductions' with a negative impact on the supply chain, it said.

Similarly, Sitara PeroAxiAde Ltd informed shareholders it's no longer possible for it to operate the production facility due to many reasons, including the non-clearance of LCs for necessary raw materials.

Pak Suzuki Motor Company Ltd said the ongoing shortage of inventory, which is partly imported from abroad, has led it to extend the shutdown of its automobile plant for another week.

Speaking to Dawn, Pak-Kuwait Investment ComApany Ltd Head of Research Samiullah Tariq said it's going to be a while before banks start opening LCs for industrial raw materials.

'The liquidity crunch is at its peak. I expect the situation to start improving in two to three months,' he said while referring to the revival of the International Monetary Fund (IMF) programme as the...