KARACHI: Depositors will require submitting a declaration to their financial service providers for taking responsibility for any security lapse and subsequent monetary losses related to their accounts.
New account holders will give this declaration to banks from April 01, 2021. Under this declaration customers will be responsible for sharing their personal information which resulted in fraudulent activity and monetary losses.
The State Bank of Pakistan (SBP) on December 14, 2020 issued regulations for further strengthening depositors’ protection. The regulations namely ‘Key Fact Statement for Deposit Products’ are aimed at increasing consumer comprehension about a banking product’s affordability and risks, leading to better decision-making.
However, the regulations provide a sigh of relief to banking institutions as an annexure related to this clearly explain: “Safe custody of access tools to your [prospective account holder] account like ATM cards, PINs, Cheques, e-banking usernames, passwords; other personal information, etc. is your responsibility. Bank cannot be held responsible in case of a security lapse at the customer’s end.”
At present a large number of people having bank accounts are receiving calls from fraudsters pretending themselves as bankers or officials from the SBP. Such fraudsters ask people to update their account details and demand secret information related to their accounts including identity, password, pin code etc. They further pressurize people that in case requirements are not provided then their bank account will be suspended. Having such serious calls many people compromise their information and lose a handsome amount within a short span of time.
The central bank and commercial banks for a long time are running an awareness campaign that financial institutions never ask account holders to share any information on phone calls.
“SBP never asks for any personal details regarding legal status, CNIC or any bank account details,” the central bank clearly mentioned on its website. Furthermore, banks have also displayed such messages on their official websites and aware people through the media.
Despite these clear instructions of the SBP and commercial banks, people are sharing their information to such fake calls and losing money on a regular basis. On the other hand, banks were held responsible for the losses when customers made appeals before Banking Mohtasib.
A customer declaration under ‘Key Fact Statement for Deposit Products’ will help banks to make strong defence in cases of security lapse and money losses.
KARACHI: Association of Builders and Developers (ABAD) on Tuesday expressed concerns over sudden rise in prices of steel and cement, the basic raw material for construction industry, and termed it as a conspiracy against provision of affordable housing scheme launched by the government.
Fayyaz Ilyas, Chairman, ABAD in a statement expressed deep concern over sudden increase in steel and cement prices.
The ABAD chairman demanded the federal government to take stern action against these unscrupulous elements, who are trying to sabotage steps of the government for reviving the national economy.
He said that despite the fact that most of raw materials are local, cement and steel manufacturers have raised exorbitant prices of cement and steel to a level of Rs625 per 50 kg bag of cement and Rs126500 of steel per ton, which is no way justifiable and it looks that cement and steel manufacturers cartels are hell bent upon to crush the construction industry.
He said that cement and steel are main ingredients of construction but manufacturers of these two materials are busy minting money without any justification and the Competition Commission of Pakistan looks helpless to take any stringent steps against these cartels, he added.
Fayyaz Ilyas said that the construction industry is the second largest job providing sector after agriculture that is the reason why Prime Minister Imran Khan is giving due importance to this industry and has started Naya Pakistan Housing scheme for those people who otherwise are unable to own their dream home.
But, he lamented that steel and cement cartels are trying to sabotage a noble cause of the Prime Minister and dent the national economy.
He appealed the government to take stern action against the steel and cement cartel to save the construction industry and the national economy.
KARACHI: The stock market fell by 445 points on Tuesday due to selling pressure observed during the day.
The benchmark KSE-100 index of Pakistan Stock Exchange (PSX) closed at 42,889 points as against the previous day’s close of 43,334 points showing a decline of 445 points.
Analysts at Arif Habib Limited said that the market opened on a positive note today and added 145 points on the board, before collapsing under the selling pressure from E&P, Banks and Cement sector stocks.
International crude oil prices remained subdued after yesterday’s blow and caused selling pressure in E&P stocks.
Similarly, foreign investors have been spring cleaning their holdings in the banking sector, before the close of the Calendar year, which has played a significant role in bringing the index as compared to the general ‘ill-founded’ notion of rollover week pressure. WTL snatched the top slot in trading volumes by posting 70.7 million, followed by ICIBL (30.8 million) and TRG (23.6 million).
Sectors contributing to the performance include Banks (-102 points), E&P (-54 points), Cement (-38 points), Technology (-35 points) and Autos (-31 points).
Volumes increased from 516.4 million shares to 561.9 million shares (+9 percent DoD). Average traded value maintained the level at US$ 140.9 million as against US$ 140.3 million (+0.4 percent DoD).
Stocks that contributed significantly to the volumes include WTL, ICIBL, TRG, TELE and PRL, which formed 30 percent of total volumes.
Stocks that contributed positively to the index include GHGL (+12 points), FFC (+10 points), SHEL (+9 points), ILP (+7 points) and KTML (+6 points). Stocks that contributed negatively include TRG (-40 points), PPL (-32 points), UBL (-25 points), MCB (-23 points) and ENGRO (-23 points).
ISLAMABAD: Federal Board of Revenue (FBR) has directed field offices to conduct desk audit of returns filed for tax year 2020 to cross match turnover for avoiding misuse/mis-declaration.
The FBR on Tuesday said that it had clarified on December 03, 2020 on ‘technical issue in filing of tax return 2020 dated December 03, 2020’ on a communication sent by Lahore Chamber of Commerce and Industry (LCCI).
The LCCI had requested for clarification regarding the treatment of closing stock at the time of change of taxation regime from final to minimum tax.
The FBR said that the chamber had pointed out in case of importers, the tax collected at import stage during tax year 2019 had come final tax at the time of collection, therefore, the turnover or income arising from the disposal of such closing stock should not be included in taxable income for tax year 2020 as this would result in double taxation.
The FBR said that it had examined the matter. “The turnover resulting from disposal of closing stock already declared under Final Tax Regime (FTR) in previous tax year should not make part of next year’s turnover as it would be tantamount to double taxation. Therefore, such turnover should not be declared in the column of ‘subject to NTR [Normal Tax Rate] for tax year 2020.”
The FBR further said: “In order to void misuse/mis-declaration, field formation, are required to conduct desk audit/audit of all such cases for tax year 2020 and cross match turnover with relevant sales tax declarations.”
KARACHI: The State Bank of Pakistan (SBP) on Tuesday announced that the central bank would remain closed on December 25, 2020 (Friday) due to Quaid-e-Azam Day and Christmas.
The SBP said that it will remain closed on December 25, 2020 (Friday) being a public holiday on the occasions of Quaid-e-Azam Day and Christmas, as declared by the Government of Pakistan.
The commercial banks shall also observe the public holiday.
KARACHI: The Pak Rupee gained three paisas against the dollar on Tuesday owing to improved sentiments after reports of current account surplus during the first five months.
The rupee ended Rs160.68 to the dollar from the previous day’s closing of Rs160.71 in the interbank foreign exchange market.
Currency dealers said that the market remained positive due to reports of current account surplus as shown in Balance of Payment for the period July – November of fiscal year 2020/2021.
The current account posted $1.64 billion surplus for the first five months of the current fiscal year as compared with a current account deficit of $1.74 billion in the corresponding period of the last fiscal year.
The dealer said that the new type of coronavirus detected in the UK also spread fears across the globe. The importers are also cautious in making new orders amid the discovery of new type of the COVID.
The currency experts hoped that the local unit would make gains in coming days despite year ending owing to improved economic indicators.
ISLAMABAD: Dr. Faiz Illahi Memon, a senior officer of Inland Revenue Service (IRS) has been posted as Executive Director of State Life Insurance Corporation of Pakistan on deputation basis for three years.
A notification issued on Tuesday, the Federal Board of Revenue (FBR) said that Dr. Faiz Illahi Memon, BS-21 officer of IRS presently posted as Member (FATE) FBR, Islamabad has been placed at the disposal of State Life Insurance Corporation of Pakistan for posting as Executive Director, State Life Insurance Corporation of Pakistan, on deputation basis for a period of three years or till the date of his superannuation, whichever is earlier, on standard terms and conditions of deputation.
Grant of performance allowance of the officer has been discontinued during his deputation period, the FBR added.
According to another notification, Dr. Faiz Illahi Memon has relinquished the charge of the post of Member (FATE) FBR Islamabad with effect from December 22, 2020.
KARACHI: State Bank of Pakistan (SBP) has issued updated list of panel of audit firms, which are allowed to conduct audit of banking companies.
The central bank updated the list up to December 21, 2020.
State Bank of Pakistan’s Panel of Auditors Maintained Under Section 35 (1) of Banking Companies Ordinance, 1962
Following is the list of chartered accountant firms with their categories to conduct audit:
Category Description Category ‘A’ Audit Firms in Category “A” are eligible to conduct audit of all Banks and DFIs Category ‘B’ Audit Firms in Category “B” are eligible to conduct audit of Banks and DFIs having assets up to Rupees 100 billion or branches up to 160. Category ‘C’ Audit Firms in Category “C” are eligible to conduct audit of banks and DFIs having assets up to Rupees 15 billion or branches up to 30.
Category ‘A’
A1. A.F. Ferguson & Co. State Life Building No. 1/C, I.I. Chundrigar Road, Karachi. Tel: +92 (021) 32426711-15 Fax: +92 (021) 32415007 Web: www.affco.com.pk
A13. Riaz Ahmad & Co. 10-B, Saint Mary Park, Main Boulevard, Gulberg III, Lahore. Tel: +92 (042) 35718137-39 Fax: +92 (042) 35718136 Email: [email protected] Web: www.racopk.com
KARACHI: The Balance of Payment (BOP) of the country has posted $1.64 billion as current account surplus during the first five months of the current fiscal year, according to data released by State Bank of Pakistan (SBP) on Tuesday.
The BOP of the country posted a current account deficit of $1.74 billion in the same months of the last fiscal year.
The surplus in current account is mainly attributed to strong growth in inflows of workers remittances and export receipts.
During the first five months of FY21, workers’ remittances have reached an unprecedented level of US$ 11.77 billion, 26.9 percent higher than the same period last year. On average, workers’ remittances have been about half a billion (US$ 499 million) higher in each month of FY21 as compared to the same period last year.
On the other hand the exports registered 2.21 percent growth to $9.74 billion during July – November of the current fiscal year as compared with $9.535 billion in the corresponding period of the last fiscal year.
The current account posted a surplus of $447 million in November 2020 as compared with a surplus of $415 million October 2020 and a deficit of $326 million in November 2019.
