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  • Pakistan’s sensitive price inflation jumps up 18%

    Pakistan’s sensitive price inflation jumps up 18%

    ISLAMABAD: The inflation based on Sensitive Price Indicator (SPI) jumped up by 18 per cent by week ended February 17, 2022 as compared with the same week a year ago.

    According to data released by Pakistan Bureau of Statistics (PBS) on Friday, the year on year trend depicts an increase of 18.09 per cent, in Tomatoes (322.87 per cent), Electricity for Q1 (65.79 per cent), Garlic (60.98 per cent), LPG (55.11 per cent), Mustard Oil (48.44 per cent), Petrol (42.28 per cent), Cooking Oil 5 litre (41.81 per cent), Vegetable Ghee 1 Kg (39.13 per cent), Vegetable Ghee 2.5 Kg (38.97 per cent), Washing Soap (38.40 per cent), Pulse Masoor (37.19 per cent) and Diesel (32.26 per cent).

    READ MORE: Pakistan’s inflation climbs up 24-month high in January

    While major decrease observed in the prices of Chillies Powdered (36.30 per cent), Pulse Moong (28.43 per cent), Chicken (9.77 per cent), Sugar (5.72 per cent), Onions (3.84 per cent) and Potatoes (0.38 per cent).

    The SPI is computed on weekly basis to assess the price movements of essential commodities at shorter interval of time so as to review the price situation in the country. SPI comprises of 51 essential items collected from 50 markets in 17 cities of the country.

    READ MORE: January headline inflation may clock near 13%

    The SPI for the current week ended on February 17, 2022 recorded an increase of 0.22 per cent. Increase in the prices of food items Garlic (10.53 per cent), Tomatoes (4.35 per cent), Bananas (4.28 per cent), Chicken (2.89 per cent), Cooked Daal (1.94 per cent) and Vegetable Ghee 2.5kg (1.08 per cent) and non-food items Petrol (8.12 per cent), Diesel (6.52 per cent), Match Box (2.17 per cent) and Long Cloth (1.50 per cent) was observed with joint impact of (1.21 per cent) into the overall SPI for combined group of (0.22 per cent).

    READ MORE: Mini-budget likely to push up inflation: SBP

    On the other hand, decrease is observed in the prices of Chillies Powdered (5.41 per cent), Eggs (5.31 per cent), Electricity for Q1 (5.20 per cent), Onions (1.39 per cent), Potatoes (0.89 per cent), Gur (0.82 per cent), Sugar (0.59 per cent), Wheat Flour (0.27 per cent), LPG (0.17 per cent), Pulse Moong (0.11 per cent), and Pulse Mash (0.08 per cent).

    During the week, out of 51 items, prices of 28 (54.90 per cent) items increased, 11 (21.57 per cent) items decreased and 12 (23.53 per cent) items remained stable.

    READ MORE: Headline inflation rises by 12.3% in December 2021

  • Pakistan’s foreign exchange reserves slip to $23.49 bn

    Pakistan’s foreign exchange reserves slip to $23.49 bn

    KARACHI: The total liquid foreign exchange reserves of Pakistan have declined by $231 million to $23.49 billion by week ended February 11, 2022, State Bank of Pakistan (SBP) said on Thursday.

    The foreign exchange reserves of the country were $23.721 billion by week ended February 04, 2022.

    The official reserves of the central bank fell by $241 million to $17.096 billion by week ended February 11, 2022 as compared with $17.337 billion a week ago.

    However, the foreign exchange reserves held by commercial banks slightly increased by $10 million to $6.394 billion by week ended February 11, 2022 as compared with $6.384 billion a week ago.

    Pakistan foreign exchange reserves rise to $23.72 billion
  • Foreign investment surges by 176% during July – January

    Foreign investment surges by 176% during July – January

    KARACHI: The overall inflow of foreign investment in the country recorded 176 per cent during first seven months (July – January) 2021/2022 due to the inflows of debt securities to the tune of $1.057 billion received in January 2022, according to data released by the State Bank of Pakistan (SBP) on Thursday.

    The total foreign investment increased to $1.817 billion during the first seven months of the current fiscal year as compared with $659 million in the corresponding months of the last fiscal year.

    READ MORE: Pakistan’s foreign investment surges by 73% in 5 months

    The net foreign private investment is showing increase of 5.7 per cent to $859 million during July – January 2021/2022 as compared with $812.4 million.

    The net inflow of foreign direct investment (FDI), a major component of foreign private investment, into Pakistan has recorded 11.3 per cent during first seven months (July – January) of 2021/2022.

    READ MORE: Carrefour enhances Pakistan investment to Rs10.5 billion

    The net inflow of the foreign direct investment increased to $1.17 billion during first seven months of the current fiscal year as compared with $1.05 billion in the corresponding period of the last fiscal year.

    The increase in net inflow of FDI can be attributed to significant contraction in outflow during the period. The outflow fell by 40 per cent to $468.7 million during the period under review as compared with the outflow of $786 million in the same period of the last fiscal year.

    READ MORE: Jazz’s investment in Pakistan crosses $10 billion

    However, the portfolio investment, the other component of foreign private investment, recorded a 31 per cent decline during first seven months of the current fiscal year. The outflow under foreign portfolio investment recorded at $308 million during July – January 2021/2022 as compared with outflow of $236 million in the corresponding period of the last fiscal year.

    READ MORE: Focus on increasing investment in export industry: PM

  • Remittances increase to record $18 billion in 7 months

    Remittances increase to record $18 billion in 7 months

    KARACHI: The inflows of workers’ remittances have increased to record $18 billion during the first seven months (July – January) 2021/2022, the State Bank of Pakistan (SBP) said on Friday.

    The remittances registered an increase of 9.35 per cent during the period under review when compared with $16.46 billion received during first seven months of the last fiscal year.

    READ MORE: Exchange companies get incentive for dollar surrender

    The SBP said that during the first seven months of 2021/2022, remittances have risen to a record $18 billion.

    At $2.14 billion in January 2022, workers’ remittances remained above $2 billion for the 20th consecutive month.

    READ MORE: Incentives approved for exchange companies on dollar surrender

    Remittances declined by 5 per cent compared to January 2021, partly reflecting an easing of travel restrictions. Compared to the previous month, they fell by 14.9 per cent due to seasonality.

    READ MORE: Pakistan’s remittances fall by 6.6% in November 2021

    Remittance inflows during January 2022 were mainly sourced from Saudi Arabia ($540 million), United Arab Emirates ($374 million), United Kingdom ($320 million) and United States of America ($208 million).

    READ MORE: ECC approves loyalty program for home remittances

  • Pakistan foreign exchange reserves rise to $23.72 billion

    Pakistan foreign exchange reserves rise to $23.72 billion

    KARACHI: Pakistan’s foreign exchange reserves increased significantly to $23.72 billion owing to inflows from International Monetary Fund (IMF) and Sukuk proceeds.

    The total liquid foreign exchange reserves of the country rose by $1.637 billion to $23.721 billion by week ended February 04, 2022.

    The foreign exchange reserves of the country were $22.084 billion by week ended January 28, 2022, the State Bank of Pakistan (SBP) said on Thursday.

    The official reserves of the State Bank increased by $1.61 billion to $17.337 billion by week ended February 04, 2022 as compared with $15.727 billion a week ago.

    The SBP said that the rise in foreign exchange reserves due to inflows of $ 1,053 million received from IMF under EFF program and proceeds against Pakistan International Sukuk Bond issuance of $1,000 million.

    The foreign exchange held by commercial banks also increased by $25 million to $6.384 billion by week ended February 04, 2022 as compared with $6.357 billion a week ago.

    Pakistan’s forex reserves decline to $22.085 billion
  • Federal government announces 15% increase in salaries

    Federal government announces 15% increase in salaries

    ISLAMABAD: The federal government on Wednesday announced an increase of 15 per cent in salaries of employees from BS-1 to BS-19.

    A statement issued by the Finance Division, an arm of the Finance Ministry, said that the government had decided to give 15 per cent disparity allowance on running basic pay to less privileged employees from BS-1 to BS-19 with effect from March 01, 2022. The above package is also recommended to the provinces for adoption from their own funds.

    READ MORE: Withholding tax rates on salary income for 2021-2022

    Further, a summary for timescale promotion has been initiated by the Finance Division to mitigate the hardship being faced by employees stuck in the same grade for a long time.

    READ MORE: Pakistan’s fiscal deficit contracts at 2.1% in 1HFY22

    The matter of upgradation of posts on the analogy of Khyber Pakhtunkhwa will be decided based on the findings of the study being conducted by MS Wing of the Establishment Division by end April 2022.

    READ MORE: Employers to deduct tax on salary income

    Further, the merger of Adhoc Relief/Allowances into pay will be decided on report of pay and pension commission and will be merged in basic pay as per agreement.

    READ MORE: Tax on salary income of earlier year

  • List of goods export to Afghanistan in PKR, no E-form

    List of goods export to Afghanistan in PKR, no E-form

    ISLAMABAD: The federal government has expanded the list of goods for export to Afghanistan and through Afghanistan to Central Asian Republics without requirement of E-form and against Pakistan Rupee (PKR).

    In this regard the ministry of commerce issued SRO176(I)/2022 dated February 04, 2022 to amend Export Policy Order 2020.

    READ MORE: Pakistan establishes Afghanistan relief fund

    As per the export policy order, export goods to Afghanistan and through Afghanistan to Central Asian Republics are allowed against Pakistan currency on filing of regular shipping bills without the requirement of E-form.

    READ MORE: Pakistan donates 50,000MT wheat to Afghanistan

    Prior to the amendment, the allowed goods are included: fruits; vegetables; dairy products; and meat. However, after the amendment more number of goods have been added to the list, which included: rice; fish and fish products; poultry, meat and products; sugar confectionary and bakery products; fruits, nuts and other edible parts of plants; oilcake and other solid residues; vegetable materials and vegetable waste; salt; cement; pharmaceuticals; matches; textile and textile articles; building stone; and surgical instruments.

    READ MORE: FBR rebuts currency smuggling to Afghanistan

    As per the Export Policy Order, 2021, the goods are not entitled to: zero rating of sales tax on taxable goods; rebate of central excise duty; and payment of drawback of customs duty.

    READ MORE: Index gains 346 points on better Afghanistan situation

  • Pakistan’s fiscal deficit contracts at 2.1% in 1HFY22

    Pakistan’s fiscal deficit contracts at 2.1% in 1HFY22

    ISLAMABAD: Pakistan’s fiscal deficit during the first half (July – December) of 2021/2022 has contracted at 2.1 per cent as compared with 2.5 per cent in the same half of the last fiscal year, the finance ministry said on Wednesday.

    The reduction in deficit mainly contraction in expenditure during the half.

    READ MORE: Pakistan, China discuss bilateral economic, trade ties

    The revenue to the GDP ratio fell to 6.2 per cent during the first half of the current fiscal year as compared with 7.4 per cent in the same half of the last fiscal year.

    The expenditure to the GDP ratio also declined to 8.2 per cent during the first half of the current fiscal year as compared with 9.9 per cent in the same half of the last fiscal year.

    READ MORE: PM Imran invites Chinese companies to invest in Pakistan

    The GDP size during the first half of the current fiscal year has been measured at Rs63.978 trillion as compared with Rs45.567 trillion in the same half of the last fiscal year.

    According to the fiscal operation for first half (July – December) 2021/2022 released by the finance ministry, the total revenue was recorded at Rs3.95 trillion, out of which, the tax revenue was at Rs3.19 trillion and non-tax revenue was Rs764.93 billion.

    READ MORE: Prime Minister Imran kicks off visit to China

    Total expenditure during the first half of the current fiscal year has been recorded at Rs5.32 trillion. The current expenditure has been recorded at Rs4.67 trillion, out of which Rs520 billion was spend on defence. An amount of Rs571 billion was spent for development expenditure and net lending.

    To meet the budget deficit of Rs1.372 trillion, the government borrowed Rs 1.025 trillion from external sources and remaining Rs346 billion arranged from domestic sources.

    READ MORE: PM Imran terms exports, tax collection must for growth

  • Pakistan, China discuss bilateral economic, trade ties

    Pakistan, China discuss bilateral economic, trade ties

    BEIJING: Pakistan Prime Minister Imran Khan held wide-ranging talks with Li Keqiang, Premier of the State Council of the People’s Republic of China on Saturday.

    (more…)
  • PM Imran invites Chinese companies to invest in Pakistan

    PM Imran invites Chinese companies to invest in Pakistan

    BEIJING (China): Prime Minister Imran Khan on Friday invited Chinese companies to invest in Pakistan and take benefit from the business-friendly policies of the government.

    The prime minister, who held a series of meetings with the executives of Chinese State-owned and private corporate sectors, said Pakistan was offering conducive environment for investment in Special Economic Zones (SEZs) under the China Pakistan Economic Corridor (CPEC).

    READ MORE: Prime Minister Imran kicks off visit to China

    In his remarks, the prime minister appreciated the keen interest of the Chinese companies to invest in Pakistan.

    The executives who met the prime minister included leadership of China Communication Construction Company (CCCC), Huazhong Technology, Zhejiang Seaport Group, Challenge Apparel, Hunan Sunwalk Group, Royal Group, China Road and Bridge Corporation (CRBC), Zhengbang Group and China Machinery Engineering Corporation (CMEC).

    READ MORE: PM Imran terms exports, tax collection must for growth

    The corporate leaders briefed the prime minister on the progress of their on-going projects in Pakistan.

    They evinced keen interest in expanding investments in Pakistan in projects related to recycling of metals and paper, energy, textile, fibre-optics networks, housing, dairy and water management.

    READ MORE: Timelines for CPEC projects should be adhered to: PM

    The CCCC is a leading global construction and infrastructure development company; Huazhong Technology, specialises in integrated papermaking equipment; Zhejiang Seaport Group is one of China’s largest port operator; Challenge Fashions is a leading textile company; Hunan Sunwalk’s core business is in communications, 3D printing and construction; Royal Group is China’s largest buffalo milk producer; CRBC focuses in civil engineering and construction projects; Zhengbang Group is Jiangxi Province’s largest agricultural enterprise; and CMEC is one of Chinese top agro-industrial machinery company.

    The prime minister was joined in the meetings by federal ministers, advisers and senior officials.

    READ MORE: Work on CPEC projects in full swing: Asad Umar