Economic and Business Updates From June 28 to July 04, 2010

  • Pakistan receives foreign inflows worth $710 million $470 million from the Asian Development Bank, $65 million from the USAID and $175 million from the World Bank.
  • The government increases power tariff of all power companies across the board by 7.6 per cent from July 1, under an agreement with the IMF, while the National Electric Power Regulatory Authority has already enhanced the tariff by 14 paisa per unit under the fuel adjustment surcharge.
  • The country has achieved the IMF’s three primary targets – zero budgetary borrowings, Net Domestic Assets and Net Foreign Assets set for the quarter ending June 30.
  • The World Bank supports introduction of ‘reformed general sales tax’ as it will contain all features of the value added tax. 
  • The State Bank increases the rate of finance under the Export Finance Scheme, and from November 2009 the rate is increased by 1.5 per cent diluting the effectiveness of cheaper money for higher exports.
  • The Economic Coordination Committee of the cabinet rejects the proposal to export two million tons of wheat at reduced rate, saying the government was not interested in benefiting foreign consumers. 
  • A record 4,607 million tons of rice is exported during the fiscal year 2009-10 earning $2.265 billion foreign exchange. 
  • Almost 46 per cent of government revenue is used for interest and principal payments on public debt during first nine months of fiscal year 2009-10 aggregating Rs640.2 billion. 
  • The Oil and Gas Regulatory Authority reduces prices of petroleum products by up to three per cent with effect from July 1. 
  • The Economic Coordination Committee of the cabinet defers the proposals for deregulation of petroleum products’ prices and approval of LNG import contracts as well as import of used vehicles on commercial basis. 
  • The State Bank withdraws restrictions on banks and Development Finance Institutions to invest in commercial papers. 
  • The Pakistan Steel Mills receives Rs3 billion from the government for import of iron ore and clear out standing utility bills. 
  • The ship-breaking yard at Gaddani broke all previous records where 107 ships having total light displacement tonnage of 852,022 tons were beached for scrap during the current fiscal year. 
  • Federal Finance Minister Hafeez Shaikh directs the tax collecting authorities not to harass taxpayer investors during filing their returns of newly imposed capital gains tax on share trading. 
  • The country’s total liquid foreign exchange reserve position to $15.83 billion during the week ended on June 25 from $15.777 billion a week ago.


Post a Comment