Pkrevenue.com

Author: Mrs. Anjum Shahnawaz

  • CCP initiates probe against Foodpanda for discriminatory practices

    CCP initiates probe against Foodpanda for discriminatory practices

    ISLAMABAD: The Competition Commission of Pakistan (CCP) on Wednesday said it initiated a probe against the online food delivery service platform/aggregator, Foodpanda, to investigate its alleged abuse of dominant position and possible violation of prevailing laws, in the market of online food delivery platforms.

    The CCP said that the enquiry committee will also review and place before the commission, its findings, whether the exemption granted (for loyalty agreements) to Foodpanda in April 2019 for the period of three years is impeding competition in any manner in light of concerns highlighted by various market players.

    The CCP launched the investigation on the formal complaints filed by Foodpanda’s competitor M/s. Cheetay Logistics Pakistan Limited on May 04, 2021, and the All Pakistan Restaurant Association (APRA) on June 10, 2021. Formerly, a complaint was also filed by another online food aggregator, Careem Networks Pakistan (Private) Limited, pertaining to the exemption granted to same aggregator in 2019.

    The CCP’s Cartel and Trade Abuse Department conducted a preliminary fact-finding exercise and found that Foodpanda seems to have a dominant position in the market of online food delivery platforms with a considerable amount of admitted volume of 100,000 per day food orders from different restaurants/outlets/food chains across the country. Regarding the alleged abuse of dominant position, the concerns include: charging exorbitant commissions; offering fidelity rebates; discriminatory practices; setting out various discounts to exploit participants; and entering into exclusivity with parties through loyalty agreements.

    These concerns stretch the scope of abuse to being a barrier for the new entrants in the market of online food delivery platforms.

    The enquiry committee has already been working on the case, consulting all the concerned parties and seeking relevant information for deliberating the matter objectively, the CCP said.

    Findings of the enquiry upon conclusion will be placed before the commission for its decision.

  • Rupee weakens by 55 paisas against dollar

    Rupee weakens by 55 paisas against dollar

    KARACHI: The Pak Rupee ended down by 55 paisas against the dollar on Wednesday owing to demand for oil and other import payments.

    The rupee ended at Rs158.92 to the dollar from the previous day’s closing of Rs158.37 in the interbank foreign exchange market.

    Currency experts said that the rupee depreciated due to higher demand from importers and oil payments.

    The rupee lost around Rs1.38 against the dollar since July 01, 2021

  • KIBOR rates on July 07, 2021

    KIBOR rates on July 07, 2021

    KARACHI: State Bank of Pakistan (SBP) on Wednesday issued following Karachi Interbank Offered Rates (KIBOR) on July 07, 2021.

     TenorBIDOFFER
    1 – Week6.927.42
    2 – Week6.967.46
    1 – Month7.017.51
    3 – Month7.187.43
    6 – Month7.407.65
    9 – Month7.518.01
    1 – Year7.568.06

  • SBP issues customers exchange rates on July 07, 2021

    SBP issues customers exchange rates on July 07, 2021

    KARACHI: The State Bank of Pakistan (SBP) on Wednesday issued customers’ exchange rates on the basis of weighted average rates of commercial banks.

    The SBP said that the data is compiled and disseminated for information only. These Exchange Rates are an estimate of the Exchange Rates quoted by various Commercial Banks to their clients.

    They are compiled from the Exchange Rate sheets issued daily by various Commercial Banks providing their indicative Exchange Rates for commercial transactions with customers.

     CURRENCYBUYINGSELLING
    AED43.162843.2570
    AUD118.8366119.0905
    CAD127.1442127.4146
    CHF171.5195171.8837
    CNY24.524924.5755
    EUR187.3745187.7952
    GBP218.7445219.2294
    JPY1.43151.4347
    SAR42.247042.3386
    USD158.4023158.7656
  • Regulatory duty on exports reduced

    Regulatory duty on exports reduced

    KARACHI: The Federal Board of Revenue (FBR) has slashed regulatory duty up to half on export of goods.

    The FBR issued SRO 843(I)/2021 dated June 30, 2021 to amend the SRO 645(I)/2018 dated May 24, 2018, which is related to regulatory duty on export of goods.

    According to the latest SRO the regulatory duty on export of hides and skins has been reduced to 10 per cent from 20 per cent.

    Similarly, the regulatory duty on export of molasses has been reduced to 10 per cent from 15 per cent.

  • Additional customs duty at 7% slapped on imports under tariff slab of 30% and above

    Additional customs duty at 7% slapped on imports under tariff slab of 30% and above

    The Federal Board of Revenue (FBR) has announced the imposition of additional customs duty (ACD) ranging from 2% to 7% on specific imports falling under various tariff slabs, with the new rates taking effect from July 1, 2021.

    (more…)
  • Sales tax rate on petrol slashed

    Sales tax rate on petrol slashed

    ISLAMABAD: The Federal Board of Revenue (FBR) on Tuesday reduced sales tax to 16.40 per cent ad valorem on supply of petrol.

    The FBR issued SRO 860(I)/2021 to reduce the sales tax on petrol.

    Through the SRO the sales tax rate on petrol has been reduced to 16.40 per cent ad valorem from 17 per cent.

    The sales tax rates on kerosene oil and light diesel are 6.7 per cent and 0.20 per cent, respectively.

    The FBR kept the sales tax rate at 17 per cent unchanged for high speed diesel oil.

    The rates of sales tax on petroleum products have been reduced so the government absorbs the high prices in the international markets and pass on the lesser effect to the consumers.

  • SBP decides to impose penalty on banks for missing housing loan disbursement target

    SBP decides to impose penalty on banks for missing housing loan disbursement target

    KARACHI: The State Bank of Pakistan (SBP) on Tuesday decided to impose penalty of banks for falling disbursement of housing loans below given targets.

    The SBP said that through Circular No. 03 of 2021, whereby Government’s Mark-up Subsidy Scheme (G-MSS) for Housing Finance was issued.

    Banks are expected to make all-out efforts to harness full potential of Scheme.

    Accordingly, in April 2021, SBP assigned monthly mandatory targets of number of housing units and amount of disbursements (G-MSS targets) to banks in proportion to share in total banking assets.

    In view of foregoing, it has been decided that penalty will be imposed on banks falling short of their G-MSS targets w.e.f July 31, 2021 on both targets of number of housing units and amount of disbursements.

    A baseline penalty will be charged on shortfall from cumulative targets till July 31, 2021 while higher penalty will be charged on shortfall from targets of subsequent months.

    The penalty charged on a bank will be adjusted after review of bank’s efforts in terms of logins of applications, approvals of housing finance, results of SBP’s latest mystery shopping surveys, involvement of bank’s management, evidence of board information and support, sale and marketing efforts, innovation in delivery channels, capacity building of staff and human resource (headcount) involved in G-MSS.

    To assess efforts, State Bank will, if required, collect information from banks which fail to meet their targets.

  • SBP announces timeline for implementing IFRS 9

    SBP announces timeline for implementing IFRS 9

    KARACHI: State Bank of Pakistan (SBP) on Tuesday announced timeline for implementing International Financial Reporting Standards 9 (IFRS 9). The central bank said that it has been decided to implement the IFRS 9 from January 01, 2022.

    The SBP said that through Circular No. 04 dated October 23, 2019 wherein the effective date of IFRS 9 implementation and its transition requirements were advised.

    However, keeping in view of COVID-19 impact and banking industry representations, it has been decided to implement the IFRS 9 from January 01, 2022 instead of its earlier implementation date of January 01, 2021.

    Meanwhile, the banks/DFIs/MFBs (hereinafter referred as Financial Institutions) are required to perform the following tasks:

    #ParticularsTimeline
    1 Submission of IFRS 9 compatible pro forma Financial Statements for
     year-ending 2020 and 2021 (as per the requirements given in para 2(a) and Annex-I of BPRD Circular No. 04 dated October 23, 2019)    		  Jul 15, 2021 Mar 31, 2022  
    2 Parallel Run Implementation of IFRS 9   Submission of Parallel Run Results for period ending Mar 31, 2021   Submission of Parallel Run Results for period ending Jun 30, 2021   Submission of Parallel Run Results for period ending Sep 30, 2021  Jul 30, 2021 Aug 31, 2021 Oct 31, 2021  

    The central bank said that it is aware of the fact that IFRS 9 implementation involves considerable judgment on part of the Financial Institutions (FIs) particularly on the Expected Credit Loss (ECL) Methodology.

    In this regard, the SBP, in line with best international practices, has developed “IFRS 9 application instructions” for ensuring smooth, robust and consistent implementation of IFRS 9 in the banking industry.

    The aim of these instructions is to achieve standardized practices with respect to the expected credit loss accounting and to draw out the SBP’s expectations from the FIs, where they are expected to exercise considerable judgment and/or elect to use simplifications and other practical expedients permitted under the Standard. Notwithstanding, the FIs are advised to develop their own Credit Conversion Factor and Loss Given Default models till Dec 31, 2021.

    The instructions enclosed herewith will be used by the FIs for their parallel reporting purposes only and these shall not be considered as final instructions, which will be issued by SBP subsequently based on the parallel run results.

    Further, for ECL to be recognized in 2022, SBP will provide timeline by Dec 2021 for absorption of ECL, for CAR purposes, after evaluation / assessment of individual FIs.

    During the parallel reporting period, FIs non-compliance will not attract punitive action; however, any non-compliance of specific provisions of these instructions will be disclosed by the FI in its pro forma financial statements and parallel run results along with reasons thereof.

  • Stocks ease amid range bound trading

    Stocks ease amid range bound trading

    KARACHI: The stock market ended down by 83 points on Tuesday in a range bound trading activity during the day. The benchmark KSE-100 index of Pakistan Stock Exchange (PSX) closed at 47,346 points as against previous day’s closing of 47,429 points, showing a decline of 83 points.

    Analysts at Arif Habib Limited said that the market traded range bound today, oscillating between -187 points and +236 points, closing the session with decline of 83 points.

    The index went up earlier in the session that saw across the board buying activity, however, selling pressure took over later on that drove stock prices down, particularly in Power, Technology, Steel and Refinery sectors.

    Banking sector remained muted with limited price uptick in HBL, whereas E&P sector saw continued selling pressure in OGDC and PPL to close below respective LDCPs.

    Cement sector performed well today on the back of an increase in cement price / bag in South region. Among scrips, HASCOL led the table with 49.8 million shares, followed by WTL (48.8 million) and BYCO (29.9 million).

    Sectors contributing to the performance include Power (-54 points), Technology (-35 points), Refinery (-32 points), Textile (-25 points), Vanaspati (-17 points), Banks (+49 points) and Fertilizer (+28 points).

    Volumes increased from 494.5 million shares to 541.3 million shares (+9 per cent DoD). Average traded value also increased by14 per cent to reach US$ 111.2 million as against US$ 97 million.

    Stocks that contributed significantly to the volumes include HASCOL, WTL, BYCO, PIAA and GGL, which formed 32 per cent of total volumes.

    Stocks that contributed positively to the index include HBL (+50 points), AGP (+20 points), KOHC (+17 points), ENGRO (+17 points) and PSO (+15 points). Stocks that contributed negatively include HUBC (-48 points), TRG (-30 points), NRL (-21 points), UNITY (-17 points) and SNGP (-14 points).