Year: 2019

Rupee gains two paisas amid import payment demand

KARACHI: The Pak Rupee gained two paisas on Friday despite higher demand for import and corporate payments.

The rupee ended at Rs155.65 to the dollar from previous day’s closing of Rs155.67 in interbank foreign exchange market.

Currency dealers said that the rupee was under pressure earlier in the day due to higher demand for import and corporate payments due to two weekly holidays. However, the sufficient inflows helped the rupee to gain two paisas at the market close.

The foreign currency market was initiated in the range of Rs155.77 and Rs155.80. The market recorded day high of Rs155.77 and low of Rs155.65 and close at Rs155.65.

The exchange rate in open market witnessed stable rupee value. The buying and selling of dollar was recorded at Rs155.50/Rs155.80, the same previous day’s level, in cash ready market.

November 1, 2019
PTA warns three-year jail for tampering communication devices

KARACHI: Pakistan Telecommunication Authority (PTA) has warned harsh punishment including three years jail terms for persons tempering communication devices.

The regulator on Friday warned that under prevailing law persons engaged in any unlawful activity such as tempering or altering communication equipment would be liable to harsh penalties.

Section 18 of Prevention of Electronic Crimes Act, 2016 explains penalties for tempering or altering communication devices.

18. Tampering, etc. of communication equipment.- Whoever unlawfully or without authorization changes, alters, tampers with or re-programs unique devices identifier of any communication equipment including a cellular or wireless handset and starts using or marketing such device for transmitting and receiving information shall be punished with imprisonment which may extend to three years or with fine which may extend to one million rupees or with both.

The Act explains that a unique device identifier is an electronic equipment identifier which is unique to a communication device.

November 1, 2019
FBR needs around Rs4,267 billion in eight months to achieve FY20 target

ISLAMABAD: The revenue collection target for fiscal year 2019/2020 appears to be more difficult as Federal Board of Revenue (FBR) requires Rs4,267 billion more in remaining eight months to achieve Rs5,550 billion tax collection target for current fiscal year.

The FBR provisionally collected Rs1,283 billion during first four months (July – October) of fiscal year 2019/2020, which is only 23 percent of the total target of Rs5,550 billion set for the current fiscal year.

The FBR is now required to collect Rs533 billion as average monthly collection in the remaining eight months of the current fiscal year, which appears to be tough ask.

In a tweet message, Chairman FBR Shabbar Zaidi on Thursday, “FBR has collected Rs 320 billion during the month October 2019 and has maintained overall increase over last year of 16 percent and domestic tax over 25 percent. This is after taking into account negative aspect of import contraction of around Rs 50 billion.”

Reportedly, the FBR collected Rs566 billion as sales tax during first four months, followed by about Rs468 billion through income and about Rs109 billion in customs.

The remaining Rs137 billion came were collected via other taxes including Rs71 billion in federal excise duty.

November 1, 2019
Imran Khan appreciates World Bank’s financial, technical support to Pakistan

ISLAMABAD: Prime Minister Imran Khan has appreciated the World Bank’s financial and technical support to Pakistan.

He said this while welcoming World Bank Group President David R. Malpass here on Thursday.
The prime minister reiterated the government’s resolve towards strengthening of economy, ensuring transparency and good governance, institutional reforms, tax reforms and socio-economic development of the marginalized sections of society.

He said that ease-of-doing business, enhancing tax base, domestic resource mobilization, attracting foreign investment and financial reforms agenda s the foremost priority of the government.

Prime Minister Khan apprised that the government has launched various initiatives aimed at welfare of the youth, poverty alleviation and housing sectors that will ultimately result in economic development.

President World Bank was accompanied by Regional VP South Asia Hartwig Schafer, Ms. Ceyla Pazarbasioglu-Dutz, Regional Vice President IFC Ms. Snezana Stolijkovic and Country Director World Bank Pakistan Patchamuthu Illangovan.

The Pakistani side comprised of Minister for Economic Affairs Muhammad Hammad Azhar, Minister Planning Makhdoom Khusro Bakhtiar, Minister Water Resources Faisal Vawda, Advisor on Finance Dr. Abdul Hafeez Sheikh, Advisor on Institutional Reforms Dr. Ishrat Hussain, SAPM Dr. Firdous Ashiq Awan, SAPM Dr. Sania Nishtar, Governor State Bank Raza Baqir, Chairman FBR Syed Shabbar Zaidi and senior officers.

President World Bank Group, David Malpass appreciated Prime Minister Imran Khan for personally spearheading various flagship programs of the government. He also recognized the efforts of the government towards economic turn-around, reducing expenditures, practicing austerity and initiating reforms in critical sectors of the economy.

He said that there was substantial progress in economic indicators despite Global and internal fiscal challenges.

Later, a round-table conference was also held wherein detailed discussions were held on issues related to energy sector and reforming tax regime of the country. Minister for Economic Affairs Hammad Azhar, in his opening remarks, highlighted overall reform agenda of the government and the efforts being made for economic turn-around.

Advisor Finance Dr. Abdul Hafeez Sheikh gave an overview of the achievements made by the Government during last one year. He also underlined the efforts made by the government to stabilize the economy and to put it onto the path of growth.

He said that there was a considerable progress this year on exports, containing fiscal and current account deficits, revenue collection, restricting expenditures and exchange rate stabilization.

Minister for Power Omar Ayub Khan and SAPM on Energy Nadeem Babar shared the strategy of the Government to overcome the issues related to energy sector including circular debt and efforts being made to diversify energy-mix with greater reliance on alternate and renewable energy resources.

The World Bank President David R. Malpass also visited Tarbela Dam Project on Thursday and had a round of the Main Dam and the Power House of Tarbela 4th Extension Hydropower Project.

Water Resources Federal Minister Muhammad Faisal Vawda, Water Resources Federal Secretary Muhammad Ashraf, WAPDA Chairman Lt Gen Muzammil Hussain (Retd) and World Bank senior officials accompanied him during the visit.

Speaking on the occasion, World Bank President David R. Malpass expressed his pleasure over completion of Tarbela 4th Extension Hydropower Project within time and less than estimated cost, adding that the work on the project is impressive.

The efforts of Government of Pakistan particularly Ministry of Water Resources and the Minister Faisal Vawda for improvement of water resources in Pakistan are applauded.

President World Bank appreciated the efforts of Ministry of Water Resources especially the Minister for resolving the issues in relation to completion of Dassu Hydral Power Project, construction of Dams and other related projects.

The team of World Bank especially recognized the untiring efforts of Faisal Wadda, Minister for water Resources for effectively coping with the challenges related to water issues in Pakistan.

Earlier, Water Resources Federal Minister Muhammad Faisal Vawda thanked the World Bank for the cooperation it has been providing to Pakistan for harnessing water and hydropower resources since 1960.He expressed the hope that this cooperation will further enhance for implementation of various projects in the days to come.

Vawda said we are taking comprehensive and effective measures for improvement of water resources and construction of dams in Pakistan.

Pakistan will witness more progress in hydropower and water sectors with cooperation of Water Bank in future. Faisal Vawda, Federal Minister for Water Resources further added.

He said 523 billion units of electricity have been contributed by Tarbela Hydel Power Station to the National Grid. Welcoming the World Bank President at Tarbela, WAPDA Chairman Lt Gen Muzammil Hussain (Retd) commended that the World Bank not only helped broker Indus Water Treaty between Pakistan and India but also administered the entire financial arrangements with assistance of the friendly countries to complete Indus Basin Replacement Works, which included two mega dams namely Mangla and Tarbela, five barrages and nine inter-river link canals to divert water from the Western Rivers to the Eastern Rivers.

He also appreciated the World Bank for financial support for Tarbela 4th Extension Hydropower Project, Dasu Hydropower Project and upcoming Tarbela 5th Extension Hydropower Project. WAPDA is looking forward to World Bank’s support for other projects, located on Indus Cascade.

The projects on Indus Cascade have the great potential to store water and generate phenomenal hydel electricity, he further said. Briefing the World Bank President about the benefits of Tarbela Dam Project, the Chairman said that as many as 378 MAF water has been released from Tarbela Reservoir to meet irrigation needs of the country.

In addition, Tarbela 4th Extension Hydropower Project, commissioned last year, has also generated 5.6 billion units – more than the generation envisaged in PC-I of the project.

November 1, 2019
Petrol, high speed diesel prices increased for November

ISLAMABAD: The government on Thursday increased the prices of petrol and high speed diesel on sales to end consumers.

The price of motor spirit (petrol) has been increased by Re 1 to Rs114.24 with effective from November 01, 2019 as compared with Rs113.24 applicable during October 2019.

Similarly prices of high speed diesel increased by 27 paisas to Rs127.41 from Rs127.14.

However, prices of light diesel oil and kerosene oil have been reduced for the month of November 2019.

The price of light diesel oil has been reduced by Rs6.56 to Rs85.33 from Rs91.89. Similarly price of kerosene oil has been reduced by Rs2.39 to Rs97.18 from Rs99.57.

The government has decreased the prices of Kerosene and light diesel oil and slightly readjusted the prices of other petroleum products for the month of November 2019 as per recommendation of the Oil & Gas Regulatory Authority (OGRA), says a statement by the Ministry of Finance.

October 31, 2019
Monthly ST return filing date extended to November 08

ISLAMABAD: Federal Board of Revenue (FBR) on Thursday extended the last date for filing monthly sales tax and federal excise tax return for the month of September 2019 up to November 08, 2019.

A notification issued by the FBR stated that it had further extended the date of submission of sales tax and federal excise return up to November 11, 2019 for the tax period of September 2019, which was due on October 18, 2019 and extended up to October 25, 2019.

October 31, 2019
Pakistan’s forex weekly reserves decrease

KARACHI: Pakistan’s total liquid foreign exchange reserves decrease by $96 million to $15.089 billion by week ended October 25, 2019 as compared with $15.186 billion a week ago, State Bank of Pakistan (SBP) said on Thursday.

The reserves held by the SBP increased by $22 million to $7.914 billion by week ended October 25, 2019 as compared with $7.892 billion a week ago.

The reserves held by commercial banks, however, fell by 118 million to $7.175 billion by week ended October 25, 2019 as compared with $7.293 billion a week ago.

October 31, 2019
Stock market gains 442 points amid political uncertainty

KARACHI: The stock market gained 442 points on Thursday despite political uncertainty due to Azadi March (protest relly) launched by JUI-F.

The benchmark KSE-100 index of Pakistan Stock Exchange (PSX) closed at 34,204 points as against 33,761 points showing an increase of 442 points.

Analysts at Arif Habib Limited said that despite the political uncertainty imbued by JUI (F)’s Azadi March (protest rally), market took rather positive cue from yesterday’s PIB auction.

The yields dropped further, especially in 10-year bond that cemented the view of rate cut in the coming monetary policy.

Announcement of next PIB’s auction before the next monetary policy also helped professional money managers take a view that the yields will drop further or at least maintain, which becomes the reason for reconversion of funds deployed in fixed income back to equities.

Buying activity was observed across the board, especially in E&P, Cement and Banking sectors, which kept the stock prices at high level.

The index moved uni-directional and made a high of 545 points, closing the session at +442 points. Technology sector realized trading volume of 31.4 million shares, followed by Cement (25.1 million) and Banks (20.2 million).

Among scrips, WTL again led the volumes with 24.2 million followed by BOP (9.1 million) and MLCF (8.5 million).

Sectors contributing to the performance include Banks (+113 points), E&P (+71 points), Fertilizer (+57 points), Cement (54 points) and Inv Banks (+47 points).

Volumes increased from 129.9 million shares to 183.9 million shares (+42 percent DoD). Average traded value also increased by 37 percent to reach US$ 44.1 million as against US$ 32.2 million.

Stocks that contributed significantly to the volumes include WTL, BOP, MLCF, PPL and STPL, which formed 30 percent of total volumes.

Stocks that contributed positively include ENGRO (+55 points), MCB (+51 points), DAWH (+45 points), PPL (+37 points) and PSO (+34 points). Stocks that contributed negatively include PAKT (-32 points), NESTLE (-12 points), FFC (-11 points), MUREB (-5 points), and HASCOL (-3 points).

October 31, 2019
Rupee gains six paisas on inflows

KARACHI: The Pak Rupee gained another six paisas against dollar on Thursday owing to improved supply of the foreign currency in the market.

The rupee ended Rs155.67 to the dollar from previous day’s closing of Rs155.73 in interbank foreign exchange market.

Currency dealers said that the supply of the foreign currency helped the rupee to gain value at Rs155.60 to the dollar during the day. However, the demand from importers restricted the rupee to end at Rs155.67 to the dollar.

The foreign currency market was initiated in the range between Rs155.69 and Rs155.73. The market recorded day high of Rs155.75 and low of Rs155.60 and closed at Rs155.67 in interbank foreign exchange market.

The exchange rate in open market also witnessed appreciation in the rupee value. The buying and selling of the dollar was recorded at Rs155.50/Rs155.80 from previous day’s closing of Rs155.60/Rs155.90 in cash ready market.

October 31, 2019
FBR extends date for filing income tax returns up to November 30

ISLAMABAD: Federal Board of Revenue (FBR) has extended the last date for filing income tax returns and wealth statements for tax year 2019 up to November 30, 2019, according to a notification issued on Thursday.

The FBR issued Circular No. 15/2019 to extend the last date for filing income tax returns from October 31, 2019 to November 30, 2019.

The FBR said that the individuals and association of persons who were required to file their income tax returns and statements of final taxation for the tax year 2019, which were earlier due on September 30, 2019, which was extended to October 31, 2019 but failed to file their income tax returns / statements, are hereby allowed to file their returns/statements by November 30, 2019.

The FBR further said that the companies which were required to file returns of total income/statements of final taxation for the tax year 2019, which were due on September 30, 2019 and further extended up to October 31, 2019 but failed to file their income tax returns/statements, though have paid 90 percent of the admitted tax liability, are hereby allowed to file their returns/statements by November 30, 2019.

October 31, 2019