Author: S. Kamal Hayder Kazmi

COPPER HITS THREE YEARS HIGH AS SPECULATORS PILE INTO MARKET Copper hit a three-year high and nickel touched its strongest in eight months on Tuesday as mostly technical signals prompted speculators and funds to pour more cash into base metals. Benchmark copper on the London Metal Exchange struck $6,642.50 a ton, the highest since November 2014, before paring gains to $6,620 in official open outcry trading, a gain of 0.5 percent. It rose 1.5 percent in the previous session. [divider style=”normal” top=”20″ bottom=”20″] SILVER, GOLD TRADE LOWER Silver and gold were trading lower on Thursday on account of subdued demand…

BALTIC MAIN INDEX SLIDES ON LOWER RATES FOR LARGER VESSELS The Baltic Exchange’s main sea freight index, tracking rates for ships carrying dry bulk commodities, slipped for the second straight session on Wednesday, hurt by falling rates for larger vessels. The overall index, which factors in rates for capesize, panamax, supramax and handysize shipping vessels, fell 27 points, or 2.16 percent, to 1,222 points. The capesize index shed 107 points, or 4.3 percent, at 2,382 points – its biggest one-day percentage fall since July 27. The index snapped a 17-day rally on Tuesday. Average daily earnings for capesizes, which typically…

[dropcap]H[/dropcap]ITTING THEM WHERE THEY AREN’T “HITTING THEM WHERE THEY AREN’T” OUTFLANKS THE BY CREATIVE IMITATION. Here, the innovator doesn’t create a major new product or service. Instead, it takes something just created by somebody else and improves upon it. This is imitation. But it is creative imitation because the innovator reworks the new product or service to better satisfy customers’ wants and needs. Once the innovator succeeds in creating what customers want, it can achieve leadership and take control of the market. The prefect example is how IBM became the leading producer of PCs in the 1970s. Apple invented the…

PAKISTAN MARKET INDICATORS EXCHANGE RATES CURRENCY ACTIVITY Friday 14-Jul Friday 21-Jul Friday 28-Jul Friday 4-Aug Friday 11-Aug Friday 18-Aug DOLLAR Buying 106.6 107.05 107.2 107.9 107.85 107.7 Selling 106.9 107.35 107.5 108.2 108.15 108 POUND Buying 137 138.25 139.25 140.25 138.5 136.25 Selling 138.75 140 141 142 140.25 138 EURO Buying 120.85 124 124.5 126 125 124.25 Selling 122.05 125.2 125.7 127.2 126.2 125.45 CANADIAN $ Buying 83 84.25 84.5 84.25 83.8 83.25 Selling 83.85 85.1 85.35 85.1 84.65 84.1 JAP YEN Buying 0.92 0.92 0.93 0.94 0.95 0.95 Selling 0.95 0.95 0.96 0.97 0.98 0.98 HK $ Buying 13.4…

PAKISTAN STOCK EXCHANGE Description 2012-13 2013-14 2014-15 2015-16 2016-17 (end March, 2017) Total Listed Companies 569 557 560 560 560 New Companies Listed 4 5 9 6 4 Funds Mobilized (Rs. billion) 29.5 47.6 79.6 111.2 21.9 Total Listed Capital (Rs. million) 1,116,005.0 1,100,340.9 1,189,518.9 1,289,081.0 1,297,159.0 Total Market Capitalization (Rs. million) 5,154,738.0 6,655,294.8 7,421,031.6 7,588,472.2 9,594,805.0 Total Shares Volume (million) 54,319.0 56,580.6 64,617.2 55,430.3 70,518.6 Average Daily Shares Volume (million) 221.0 229.1 261.0 220.8 379.1 [divider style=”normal” top=”20″ bottom=”20″] GLOBAL STOCK INDICES COUNTRY STOCK NAME DATE CHANGE JULY, 2016/MARCH2017 June 30, 2016 March 31, 2017 Points % 1 Pakistan…

[dropcap]T[/dropcap]he Securities & Exchange Commission of Pakistan is working well-organized to develop a modern and efficient corporate sector and the capital market in Pakistan. The Commission is making best measures to counter the issues in the fast growing capital market and presently it has developed a Capital Market Development Plan (CMDP) (2016-18) detailing the way forward for the Pakistan capital market. The plan is a roadmap for initiatives envisaged by SECP for development of the capital market in the near future. Mutual fund companies have been trying to achieve their targets but due to negative perception, which is rising day…

Mutual fund industry takes a rise of over 7pc in Q1 of 2017 [dropcap]T[/dropcap]he capital market of any state plays as an important role in the economic development and the progress of a country hence the accumulation and mobilization of a capital for development is mainly dependent on local savings and even inflows of overseas capital. Therefore, proper resource mobilization by the stock exchange is an effectual means for development in the entire world. In realization of this consideration, the Government of Pakistan has been trying utmost fairly to encourage more foreign investors to participate in the market, maintaining state-of-the-art…

WALL STREET ENDS DOWN US stocks lost ground late to end lower on Friday following a White House-focused week that raised more questions about the Trump administration’s ability to implement its pro-growth agenda. While the day’s losses were small, Friday marked the first time stocks haven’t risen the day after a more than 1 percent drop since Donald Trump was elected president on Nov. 8. The week’s losses further dented the post-election rally, which was built on Trump’s promises of tax cuts and higher infrastructure spending. Thursday’s 1.5-percent drop in the S&P 500 came a week after a similar fall,…

OIL EDGES UP ON FALL IN US CRUDE STOCKS Oil prices edged up on Thursday, clawing back some ground after losses in the previous session. It is said the market was range-bound as falling crude inventories provided price support while high output was capping gains. Brent crude futures were at $50.44 per barrel at 0543 GMT, up 17 cents, or 0.3 percent, from their last close. U.S. West Texas Intermediate (WTI) crude futures were at $46.84 a barrel, up 6 cents, or 0.1 percent. The slight gains followed a more than 1 percent fall in the [divider style=”normal” top=”20″ bottom=”20″]…

GLOBAL SHIPPING FIRMS GOING SUPER-SIZED The hulking container ships that transport sneakers, bananas and barbie dolls around the world keep getting bigger. So are the companies that own them. A massive consolidation is underway in the $500 billion global industry and the survivors now enjoy big economies of scale and increased demand, one year after excess capacity caused the sector’s worst-ever crisis — the bankruptcy of South Korea’s Hanjin Shipping. [divider style=”normal” top=”20″ bottom=”20″] CARGO HANDLED AT KARACHI PORT TRUST (in 000 tones) Period Exports Imports Total 2011-12 11,674 26,201 37,875 2012-13 12,150 26,700 38,850 2013-14 11,007 30,343 41,350 2014-15…

[dropcap]U[/dropcap]NREALIZED BUSINESS POTENTIAL “OPPORTUNITY IS WHERE YOU FIND IT,” NOT WHERE IT FINDS YOU. Luck, chance and catastrophe affect business as they do all human endeavors. But luck never built a business. Prosperity and growth come only to the business that systematically finds and exploits its potential. No matter how successfully a business organizes itself for the challenges and opportunities of the present, it will still be far below its optimum performance. Its potential is always greater than its realized actuality. Dangers and weaknesses indicate where to look for business potential. To convert them from problems into opportunities brings extraordinary…

PAKISTAN MARKET INDICATORS EXCHANGE RATES CURRENCY ACTIVITY Friday 7-Jul Friday 14-Jul Friday 21-Jul Friday 28-Jul Friday 4-Aug Friday 11-Aug DOLLAR Buying 106.5 106.6 107.05 107.2 107.9 107.85 Selling 106.8 106.9 107.35 107.5 108.2 108.15 POUND Buying 136.5 137 138.25 139.25 140.25 138.5 Selling 138.25 138.75 140 141 142 140.25 EURO Buying 120 120.85 124 124.5 126 125 Selling 121.2 122.05 125.2 125.7 127.2 126.2 CANADIAN $ Buying 81 83 84.25 84.5 84.25 83.8 Selling 81.85 83.85 85.1 85.35 85.1 84.65 JAP YEN Buying 0.91 0.92 0.92 0.93 0.94 0.95 Selling 0.94 0.95 0.95 0.96 0.97 0.98 HK $ Buying 13.4…

FDI INFLOWS IN PAKISTAN ($ Million) Country 2010-11 2011-12 2012-13 2013-14 2014-15 2015-16 2016-17 USA 238.1 227.7 227.1 212.1 223.9 13.2 71.1 UK 207.1 205.8 633 157 169.6 151.6 68.9 U.A.E 284.2 36.6 22.5 -47.1 213.6 109.7 55.8 Japan 3.2 29.7 30.1 30.1 71.1 35.4 45.2 Hong Kong 125.6 80.3 242.6 228.5 136.2 93.3 25 Switzerland 110.5 127.1 149 209.8 -6.5 58 16.9 Saudi Arabia 6.5 -79.9 3.2 -40.1 -64.8 24 1.9 Germany 21.2 27.2 5.5 -5.7 -18.2 -10.6 -5.2 Korea (South) 7.7 25.4 25.8 24.4 14.3 4 7.8 Norway -48 -275 -258.4 -21.6 2.7 172.5 -12.6 China 47.4 126.1 90.6…

[dropcap]T[/dropcap]he Foreign Direct Investment (FDI) is regarded as one of the most significant contributors of economic development of any state. I would also like to mention here that the positive character of population also attracts the FDI in any state if the population is dishonest nobody will come to invest in any state. No doubt, FDI is an integral part of an open and effective global economic system and a main catalyst to development. Yet, the advantages of FDI do not accrue automatically and evenly across states, sectors and local communities. National strategies and the foreign investment architecture also matter…

[dropcap]S[/dropcap]ince 1947 to present, various governments took charge of Pakistan and have been trying to achieve the economic targets but unluckily due to some major challenges the targets couldn’t achieve in the appropriate and complete manner. Some country’s economic experts are of the view that economic growth has historically remained volatile, lacking a steady growth path and adding to the economic unrest of Pakistan’s economic conditions. Historical statistics suggests that Pakistan reached a high of above 10 percent growth level during 1954, but the following year it fell to 2 percent and went up again to above 9 percent between…

US STOCKS EDGE HIGHER AFTER 3-DAY RETREAT Wall Street stocks edged higher early Friday, as investors waded back into the market following a 3-day sell-off sparked by US tensions with North Korea. The deepest declines this week came Thursday after President Donald doubled down on threats against North Korea over its nuclear program. In day’s early trade, the Dow Jones Industrial Average stood at 21,868.95, up 0.1 percent. The broad-based S&P 500 added 0.1 percent at 2,440.81, while the tech-rich Nasdaq Composite Index gained 0.2 percent to 6,228.19. [divider style=”normal” top=”20″ bottom=”20″] [divider style=”normal” top=”20″ bottom=”20″] KSE-100 INDEX DIPS FURTHER…

U.S. IS A NET EXPORTER OF NATURAL GAS FOR 1ST TIME IN 59-YEAR The U.S. has been a net exporter of natural gas for three of the first five months of 2017, according to a note released by the EIA. This is historically significant, as February, April and May are so far, the only months in which the U.S has been a net exporter of natural gas since 1958. The U.S. natural gas trade is dominated by pipelines, with pipelines from Canada supplying the vast majority of all imported gas. The TransCanada Pipeline was completed in 1958, transporting gas from…

INDIA TIGHTENS RULES FOR OVERSEAS SHIPS TO PLY ON LOCAL ROUTES State-runs firms have been vested with powers to scrap contracts awarded to fleet owners on the basis of Indian registered ships offered by them under a local rule if they convert their ships into foreign flag before the tenure ends. The so-called right of first refusal or RoFR allows fleet owners to take the benefit available to Indian registered ships for doing business along the Indian coast. In a public tender, an Indian flag ship or ships registered in India has the right of first refusal to match the…

[dropcap]M[/dropcap]ANAGING CASH IN THE NEW VENTURE THERE IS AN OLD BANKER’S RULE OF THUMB ACCORDING TO WHICH ONE ASSUMES THAT BILLS WILL HAVE TO BE PAID SIXTY DAYS EARLIER THAN EXPECTED AND RECEIVABLES WILL COME IN SIXTY DAYS LATER. Entrepreneurs starting new ventures are rarely unmindful of money; on the contrary, they tend to be greedy. They therefore focus on profits. But this is the wrong focus for a new venture, or rather, it comes last rather than first. Cash flow, capital, and controls come much earlier. Without them, the profit figures are fiction – good for twelve to eighteen…

PAKISTAN MARKET INDICATORS EXCHANGE RATES CURRENCY ACTIVITY Friday 23-Jun Friday 7-Jul Friday 14-Jul Friday 21-Jul Friday 28-Jul Friday 4-Aug DOLLAR Buying 106.15 106.5 106.6 107.05 107.2 107.9 Selling 106.45 106.8 106.9 107.35 107.5 108.2 POUND Buying 133.5 136.5 137 138.25 139.25 140.25 Selling 135.25 138.25 138.75 140 141 142 EURO Buying 117.75 120 120.85 124 124.5 126 Selling 118.95 121.2 122.05 125.2 125.7 127.2 CANADIAN $ Buying 79.5 81 83 84.25 84.5 84.25 Selling 80.35 81.85 83.85 85.1 85.35 85.1 JAP YEN Buying 0.92 0.91 0.92 0.92 0.93 0.94 Selling 0.95 0.94 0.95 0.95 0.96 0.97 HK $ Buying 13.35…

THE KEY INFORMATION OF LIFE INSURANCE COMPANIES (quarter ender 31 March 2017)div S.No. Name of company Total gross Premium Total net premium Claims Expenses Income Net claims Total Gross Acq. Cost Gross admin Expense Commission from Reinsurers Investments Others A B C D E F G H 1 Adamjee Life 2,668,583 2,571,947 1,156,503 377,951 211,921 0 378,909 0 2 East West Life 4,147 3,821 7,173 536 5,820 -16 3,400 0 3 EFU Life 7,010,979 6,818,321 4,437,155 1,123,187 319,280 -3,841 3,004,729 6,986 4 IGI Life 1,704,369 1,669,028 1,040,379 164,274 132,604 5,730 341,227 25,353 5 Jubilee Life 10,998,539 10,467,266 3,465,488 1,891,825 663,558…

[dropcap]P[/dropcap]akistan’s insurance industry is comparatively small compared to other regional and developing states despite the sector having huge potential for expansion and growth. During FY2016, the government statistics revealed that the industry’s total premium revenue reached almost Rs259 billion as against to Rs233 billion in FY2015. However, the insurance penetration and density have recorded as upward trend at 0.88 percent and 12.87 for FY 2016, as against to 0.84 percent and 12.04 in FY2015. The statistics also shows that the asset size of total insurance industry as of December 31, 2016 reached at Rs1159 billion as against to Rs982 billion…

[dropcap]E[/dropcap]conomists believe that a well-organized and professionally working insurance industry in any state can perform significantly in the social and economic development and help in declining uncertainty over the economy and pooling long-term financial resources. Taking the above consideration, I like to add that this industry also shares in the development of other financial markets and institutions, thus indirectly facilitating the economic growth of a country. Adamjee Insurance Company Limited (AICL) having presence in Pakistan in the region and including the United Arab Emirates (UAE) sustains its standing through an unwavering commitment to its corporate philosophy. The company’s competitive competency…

MALAYSIAN PALM OIL POSTS 3RD SESSION OF DECLINE Malaysian palm oil futures were headed for a third straight session of decline on Thursday as forecasts of rising output, and weaker performing related edible oils weighed on the market. The benchmark palm oil contract for October delivery on the Bursa Malaysia Derivatives Exchange was down 0.7 percent at 2,624 ringgit ($612.58) at the midday break. Palm oil has shed 1.2 percent so far this week and is in line for its first weekly decline in a month and a half. Traded volumes stood at 32,098 lots of 25 tons each at…

BALTIC INDEX INCREASES ON IMPROVED CAPESIZE RATES The Baltic Exchange’s main sea freight index, tracking rates for ships carrying dry bulk commodities, rose for the second straight day on Tuesday, supported by higher demand for capesize vessels. The overall index, which factors in rates for capesize, panamax, supramax and handysize shipping vessels, was up 19 points, or 2.01 percent, at 965 points. The capesize index gained 106 points, or 8.65 percent, to 1,331 points. Capesize rates are on the rise with average earnings increasing up to about $10,500/day as the market continues to gain some traction in the Pacific as…

[dropcap]S[/dropcap]OCIAL INNOVATION: THE LAB WITHOUT WALL STEINMETZ’S TECHNOLOGY-DRIVEN SCIENCE IS ANATHEMA TO MANY ACADEMIC SCIENTISTS. Steinmetz’s innovation also led to the “lab without walls,” which is America’s specific, and major, contribution to very large scientific and technological programs. The first of these, conceived and managed by President Franklin D. Roosevelt’s former law partner, Basil O’Connor, was the National Foundation for Infantile Paralysis (March of Dimes), which tackled polio in the early 1930s. This project continued for more than twenty-five years and brought together in a planned, step-by-step effort a large number of scientists from half a dozen disciplines, in a…

PAKISTAN EXCHANGE RATES CURRENCY ACTIVITY Friday 16-Jun Friday 23-Jun Friday 7-Jul Friday 14-Jul Friday 21-Jul Friday 28-Jul DOLLAR Buying 106.05 106.15 106.5 106.6 107.05 107.2 Selling 106.35 106.45 106.8 106.9 107.35 107.5 POUND Buying 135 133.5 136.5 137 138.25 139.25 Selling 136.75 135.25 138.25 138.75 140 141 EURO Buying 118.5 117.75 120 120.85 124 124.5 Selling 119.7 118.95 121.2 122.05 125.2 125.7 CANADIAN $ Buying 79.7 79.5 81 83 84.25 84.5 Selling 80.55 80.35 81.85 83.85 85.1 85.35 JAP YEN Buying 0.94 0.92 0.91 0.92 0.92 0.93 Selling 0.97 0.95 0.94 0.95 0.95 0.96 HK $ Buying 13.35 13.35 13.4…

PROVINCE WISE DISTRIBUTION OF FACULTY AND MANAGEMENT STAFF TRAINED (Nos.) Programs Federal Punjab Sindh KPK Balochistan AJ&K Gilgit/ Baltistan Total Professional Training Programmes for HEIs Teachers (MT-FPDP) 14 21 22 13 11 6 – 87 Professional Training Programmes for HEIs Management 7 21 14 14 2 3 – 61 Transforming English Language Skills (TELS) 33 196 50 35 29 – 24 343 Continuous Professional Development (CPD) 120 90 240 90 30 – – 47 Total 174 328 326 161 72 9 24 1,047 [divider style=”normal” top=”20″ bottom=”20″] [divider style=”normal” top=”20″ bottom=”20″] SCHOLARSHIPS UNDER HRD SCHEMES DURING FY 2016-17 (Nos.) Scholarship…

[dropcap]W[/dropcap]e all believe that education is central to economic growth and prosperity. And the Government of Pakistan proclaims it as a main concern. But still in the country educational quality and outcome, particularly in public sector schools, have not enhanced proportionate to resource transfer and improved awareness. When we look our surroundings, we find that Pakistani society is split into two segments the secular and religious curriculums both are totally dissimilar from each other. As a result, both curriculums have produced dissimilar mindsets in the students, while increasing challenges in the country. PRE-PRIMARY EDUCATION The government officials have revealed that…

[dropcap]T[/dropcap]he poor quality of public education sector in Pakistani society is often quoted as the main reason of growth in the private education sector. The country with population of 199.1 million; must attract the foreign investment in this sector. Pakistani universities can play an important role in the international market for education and studies with the help of Higher Education Commission (HEC) of Pakistan. Furthermore, many local universities have already started operations in some other states, but it is necessary to bring sizable foreign investments to build this sector more. For FY2017-18, the government has allocated Rs35,662.801 million for HEC…

PAKISTAN STOCKS BEAR BUMPY RIDE TO CLOSE FLAT Stocks seesawed on Friday as fears began to fade over ongoing political instability after the Supreme Court verdict on Panama Papers case that led to a flurry of volatility but no overall direction. The Pakistan Stock Exchange’s KSE-100 shares gained 0.01 percent or 6.27 points to close at 45,912.03 points. KSE-30 shares index shed 0.31 percent or 73.70 points to close at 23,854.00 points. As many as 364 scrips were active of which 218 advanced, 132 declined and 14 remained unchanged. The ready market volumes stood at 327.756 million shares as compared…

GOLD STEADY AHEAD OF US GDP DATA Gold steadied on Friday after retreating from a more than six-week high hit in the previous session, with investors looking for cues on the health of the US economy from second-quarter gross domestic product data due later in the session. A recovery in the world’s biggest economy would give the beleaguered dollar some respite from the recent sell-off, and also dent the likelihood for higher interest rates which benefits non-interest yielding and safe-haven gold. Spot gold were mostly unchanged at $1,259.10 per ounce at 0656 GMT, and was up slightly this week in…

BALTIC INDEX INCREASES ON HIGHER CAPESIZE RATES The Baltic Exchange’s main sea freight index, tracking rates for ships carrying dry bulk commodities, rose on Tuesday, supported by higher rates for capesize vessels. The overall index, which factors in rates for capesize, panamax, supramax and handysize shipping vessels, was up 3 points, or 0.31 percent, at 980 points. The capesize index jumped 50 points, or 4.27 percent, to 1,221 points. Average daily earnings for capesizes, which typically transport 150,000-tonne cargoes such as iron ore and coal, were up $332 to $9,547. The panamax index was down 23 points, or 1.84 percent,…

[dropcap]T[/dropcap]UNNEL-VISION INNOVATION OFTEN A PRESCRIPTION DRUG DESIGNED FOR A SPECIFIC AILMENT SOMETIMES ENDS UP BEING USED FOR SOME OTHER QUITE DIFFERENT AILMENT. When a new venture does succeed, more often than not it is in a market other than the one it was originally intended to serve, with products or services not quite those with which it had set out, bought in large part by customers it did not even think of when it started, and used for a host of purposes besides the ones for which the products were first designed. If a new venture does not anticipate this,…

PAKISTAN MARKET INDICATORS EXCHANGE RATES CURRENCY ACTIVITY Friday 9-Jun Friday 16-Jun Friday 23-Jun Friday 7-Jul Friday 14-Jul Friday 21-Jul DOLLAR Buying 106.05 106.05 106.15 106.5 106.6 107.05 Selling 106.35 106.35 106.45 106.8 106.9 107.35 POUND Buying 136.75 135 133.5 136.5 137 138.25 Selling 138.5 136.75 135.25 138.25 138.75 140 EURO Buying 118.75 118.5 117.75 120 120.85 124 Selling 119.95 119.7 118.95 121.2 122.05 125.2 CANADIAN $ Buying 78.5 79.7 79.5 81 83 84.25 Selling 79.35 80.55 80.35 81.85 83.85 85.1 JAP YEN Buying 0.94 0.94 0.92 0.91 0.92 0.92 Selling 0.97 0.97 0.95 0.94 0.95 0.95 HK $ Buying 13.35…

POWER PLANTS STARTED OPERATION SINCE 2015 2015 2016 2017 Plant Names Fuel Type Installed Capacity (MW) Plant Names Fuel Type Installed Capacity (MW) Plant Names Fuel Type Installed Capacity (MW) RYKML Bagasse 30 APOLO SOLAR Solar 100 Fatima Coal/Bagasse 120 FWEL-I Wind 50 Best Green Solar Solar 100 Hamza Bagasse 15 QUAID AZAM Solar 100 Crest Energy Solar Solar 100 Bhiki Gas 760 NANDIPUR Furnance Oil 425 Younus Wind 50 Dawood Wind Wind 50 SAPPHIRE Wind 50 Metro Wind 50 Sachal Wind Wind 50 CHINIOT Bagasse 62 Tapal Wind 30 TOTAL 995 TOTAL 717 Master Wind 50 Tenaga Wind 50…

[dropcap]P[/dropcap]resently, Pakistan’s electricity generation is recorded at 23,234MW and shortfall almost 4,000MW mainly due to growing population size. To overcome the energy crisis the present Government of Pakistan has been making all attempts to grow the energy supply with strategic vision of the energy sector to meet the country’s electricity demands in a proper manner. Experts have calculated that the power projects under China-Pakistan Economic Corridor (CPEC) will be helpful to remove the energy crisis by 2018 as $35 billion is expected to spend in this sector. Furthermore, the government has mandated AEDB (Alternative Energy Development Board) to act as…

[dropcap]A[/dropcap]ny state with intention to boost its economy and to enhance the standards of living must need to secure a robust energy supply. In this fast moving technology world, make availability of electricity is very first need and in this regard Pakistan government is doing its best to meet the supply and gap demand of energy though the sufferings continue but there are number of projects in the offing that will be the sigh of relief for the citizen of our country for the next coming years. The experts in the International Energy Agency expect electricity demand in Pakistan at…

FUND MANAGERS WEIGH IN ON PSX PERFORMANCE, ECONOMIC INDICATORS Concerns over Pakistan’s economic presentation existed before as well, but the current political pressure has created doubts over the government’s ability and power to be able to handle the situation. However, changing macroeconomic variables need to be understood in context, said Mustafa Pasha, head of investments at Lakson Investments Limited during a panel discussion recently. On Thursday too, the KSE-100 Index shed 358.78 points or 0.79 percent to end at 45,059.93, a significant retreat from the level seen at the end of May when it ended at a record high of…

GOLD, SILVER INCHES DOWN ON WORLDWIDE CUES Precious metals gold and silver were trading in red in the early trade on Thursday following global cues. MCX Gold was trading 0.24 percent, or Rs 68, down at Rs 28,182 per 10 gram around 10.40 am (IST), while MCX Silver was down 0.37 percent, or Rs 138, at Rs 37,619 per 1 kg at around the same time. Experts expect gold prices to trade sideways on Thursday as weaker dollar index and stronger physical demand are push factors. MARGINAL DECLINE IN EU MILK PRODUCTION Total EU milk production for May, the EU’s…

DISAPPEARING SHIPYARDS: NOT MUCH OF A MYSTERY? At the beginning of 2009, close to the peak of the current shipbuilding cycle, there were a total of 934 ‘active’ shipyards globally. This number has now dropped by 62 percent to stand at 358 yards as of start July 2017, the lowest number of active yards for many years. With a significant number of yards exiting the market, this month’s Shipbuilding Focus investigates the nature of these changes. [divider style=”normal” top=”20″ bottom=”20″] ORDERS FOR NEWBUILDINGS ACTIVITY SLOWS DOWN Orders for newbuildings appeared to be slowing down over the course of the past…

[dropcap]M[/dropcap]ANAGING THE NEW VENTURE EVERY NEW PROJECT IS AN INFANT AND INFANTS BELONG IN THE NURSERY. Innovative efforts, especially those aimed at developing new businesses, products, or services, should normally report directly to the “executive in charge of innovation.” They should never report to line managers charged with responsibility for ongoing operations. Unfortunately, this is a common error. The new project is an infant and will remain one for the foreseeable future, and infants belong in the nursery. The “adults,” that is, the executives in charge of existing businesses or products, will have neither time nor understanding for the infant…

[dropcap]W[/dropcap]ell-organized liquidity management must be the primary focus of any state’s banking sector; however, this has gained presently more importance in Pakistani banking sector. Pakistan’s economists have predicted that further Public Sector Development Program (PSDP) and China-Pakistan Economic Corridor (CPEC) related works would help continue to grow the sector’s performance in future. The State Bank of Pakistan (SBP) has been playing a crucial role in the over-all growth of banking sector and especially the promotion of Islamic finance has remained a significant component of strategic targets of the central bank while rightly playing dual role of regulator and also a…

CREDIT/LOANS CLASSIFIED BY BORROWERS *(Million Rupees) Description 15-Jun 16-May 16-Jun May-17P 1. Credit to Government Sector (A+B) 7265070.09 7885069.559 8109480.9 8882141.539 A. SBP Credit to Government Sector (Net) 1987950.397 1586876.265 1454172.5 2320920.118 B. Scheduled Banks Credit to Government Sector (Net) 5277119.693 6298193.294 6655308.3 6561221.421 2. Credit to Non Government Sector (A+B) 4409976.631 4735608.155 4953192.2 5791210.797 A. SBP Credit to Non Govt. Sector 29825.997 33288.196 32602.506 32520.265 B. Scheduled Banks Credit to Non Govt.Sector (I+II+III) 4380150.634 4702319.959 4920589.7 5758690.532 I. Credit to PSEs 611812.3327 668017.4916 749837.29 1000143.77 Investment in Non-financial PSEs 70365.826 83852.212 97821.933 210628.401 Loans to Non-financial PSEs 541446.5067 584165.2796…

PAKISTAN MARKET INDICATORS EXCHANGE RATES CURRENCY ACTIVITY Friday 2-Jun Friday 9-Jun Friday 16-Jun Friday 23-Jun Friday 7-Jul Friday 14-Jul DOLLAR Buying 106.25 106.05 106.05 106.15 106.5 106.6 Selling 106.55 106.35 106.35 106.45 106.8 106.9 POUND Buying 135.5 136.75 135 133.5 136.5 137 Selling 137.25 138.5 136.75 135.25 138.25 138.75 EURO Buying 118 118.75 118.5 117.75 120 120.85 Selling 119.2 119.95 119.7 118.95 121.2 122.05 CANADIAN $ Buying 79 78.5 79.7 79.5 81 83 Selling 79.85 79.35 80.55 80.35 81.85 83.85 JAP YEN Buying 0.92 0.94 0.94 0.92 0.91 0.92 Selling 0.95 0.97 0.97 0.95 0.94 0.95 HK $ Buying 13.35…

BALTIC INDEX INCREASES ON HIGHER RATES ACROSS ALL SEGMENTS The Baltic Exchange’s main sea freight index, tracking rates for ships carrying dry bulk commodities, rose on Wednesday, helped by higher rates across all vessel segments. The overall index, which factors in rates for capesize, panamax, supramax and handysize shipping vessels, was up 29 points, or 3.49 percent, at 859 points. The capesize index gained 91 points, or 12.05 percent, to 846 points. [divider style=”normal” top=”20″ bottom=”20″] LONG BEACH JUNE VOLUME SETS ANOTHER RECORD The port of Long Beach posted a 9.2 percent year-on-year increase in container throughput in June to…

WORLD OIL HEADS FOR 5PC WEEKLY GAIN Oil prices rose on Friday, as reports of supply issues in Nigeria and a higher forecast for crude demand helped to set prices on track for a fifth straight day of gains and the largest weekly advance in two weeks. August West Texas Intermediate crude CLQ7, +1.04 percent rose 24 cents, or 0.5 percent, to $46.32 a barrel on the New York Mercantile Exchange. It’s trading around 4.7 percent higher on the week. September Brent crude LCOU7, +1.12 percent on London’s ICE Futures exchange climbed 26 cents, or 0.5 percent, to $48.68 a…

[dropcap]D[/dropcap]IVERSIFICATION SHOEMAKER, STICK TO YOUR LAST!” The old cliché is still sound advice. The less diverse a business, the more manageable it is. Simplicity makes for clarity. People can understand their own job and see its relationship to results and to the performance of the whole. Efforts will tend to be concentrated. Expectations can be defined, and results can easily be appraised and measured. The less complex a business is, the fewer things can go wrong. And the more complex a business is, the more difficult it is to figure out what went wrong and to take the right remedial…

2017 TOP GLOBAL FRANCHISES COMPANY CATEGORY Initial Investment 1 7-Eleven Inc. Convenience Stores $37K – $1.6M 2 McDonald’s Hamburgers $1M – $2.2M 3 Dairy Queen Ice Cream $361K – $1.8M 4 Subway Sandwiches $117K – $263K 5 Dunkin’ Donuts Bakeries Initial $229K – $1.7M 6 Kumon Math & Reading Centers Education Programs $70K – $141K 7 Krispy Kreme Doughnut Corp. Donuts $275K – $1.9M 8 KFC US LLC Chicken $1.5M – $2.6M 9 Pizza Hut LLC Pizza $297K – $2.1M 10 H&R Block Accounting & Tax Services $32K – $149K 11 RE/MAX LLC Real Estate Services $38K – $224K 12…

[dropcap]I[/dropcap]n most of the states, the service sector has a significant share in the Gross Domestic Product (GDP), offering career opportunities to the citizens, and also offers inputs and public services for the economic growth and prosperity. Experts said that trade in services can enhance the economic situation and even provide a range of traditional and latest export opportunities. Many service sectors like education, health, water and sanitation sectors, are also directly relevant to attaining social development targets. In case of our country, the share of services is growing in all sectors of Pakistan’s economy over the period. If we…

[dropcap]I[/dropcap]n Pakistan, it is recorded that almost 70 global franchises are fruitfully functioning, with an almost equal number of domestic franchises to match them. In line with worldwide trends, a big contribution of the franchise market in the country is captured by the food business. Experts in Pakistan Food Association predicted that the yearly sales value of globally franchised food in the country reaches at a staggering Rs15 billion. Most of international food franchises in the country are American firms. If we talk about leading franchising country so we will find that US still leads the world in franchising; the…

US SHARES INCREASE AFTER SOLID JUNE JOBS REPORT Wall Street stocks rose early Friday after the Labor Department reported the US added a better-than-expected 222,000 jobs in June. Despite the solid headline figure, the report showed that wage growth remains weak. Average hourly earnings rose four cents to $26.25, up 0.2 percent over May and 2.5 percent higher than June of last year, the same annual gain reported in May. About 20 minutes into trading, the Dow Jones Industrial Average was at 21,386.47, up 0.3 percent. The broad-based S&P 500 rose 0.3 percent to 2,417.58, while the tech-rich Nasdaq Composite…

OIL PRICES SLUMP ON RISE IN US OUTPUT Oil prices fell by more than 1 percent on Friday, with US crude futures dipping below $45 per barrel as news of a rise in US production added to earlier reports that OPEC output was also on the rise. Brent crude futures, the international benchmark for oil prices, were trading down 61 cents, or 1.3 percent, at $47.50 per barrel by 0638 GMT on Friday. US West Texas Intermediate (WTI) crude futures were at $44.94 per barrel, down 58 cents, or 1.3 percent. News of the production rise outweighed positive sentiment from…

BALTIC INDEX DECLINES FOR FIFTH STRAIGHT SESSION The Baltic Exchange’s main sea freight index, tracking rates for ships carrying dry bulk commodities, slipped for the fifth straight session on Wednesday, hurt by lower rates for larger vessels and supramax. The overall index, which factors in rates for capesize, panamax, supramax and handysize shipping vessels, was down 24 points, or 2.76 percent, at 847 points. The capesize index lost 96 points, or 9.63 percent, at 901 points. [divider style=”normal” top=”20″ bottom=”20″] BLACK SEA BUNKER FUEL MARKET SEE HIGHER DEMAND FROM DRY BULK The bunker fuel market in the Black Sea is…

[dropcap]E[/dropcap]LIMINATING COST CENTERS WOULD THE ROOF CAVE IN IF WE STOPPED DOING THIS WORK ALTOGETHER? No matter how well a business prevents cost inflation, it will still have to cut costs. This is because businesses are like people, and people often get sick no matter how carefully they exercise, control their diet, and avoid substance abuse. There is thus always the need for cost cutting. To start cost cutting, management usually asks: “How can we make this operation more efficient?” it is the wrong question. The question should be: “Would the roof cave in if e stopped doing this work altogether?” And…

RESOURCE POSITION IN BUDGET OF PAKISTAN (Rs in Million) DETAILS BUDGET 2016-17 REVISED 2016-17 BUDGET2017-18 A. Internal Resources 3,759,263 3,230,492 3,913,909 I Net Revenue Receipts [(i) – (ii)] 2,779,695 2,616,007 2,926,074 (i) Gross Revenue Receipts 4,915,575 4,737,354 5,310,317 (ii) Less Provincial Share in Taxes 2,135,881 2,121,347 2,384,243 II Total Capital Receipts 640,547 324,896 640,567 III Estimated Provincial Surplus 339,022 289,589 347,269 B. External Resources 819,610 996,287 837,824 TOTAL RESOURCES ( A + B ) 4,578,874 4,226,779 4,751,733 [divider style=”normal” top=”20″ bottom=”20″] BUDGETARY POSITION OF PAKISTAN (Rs. in Million) CLASSIFICATION BUDGET 2015-16 REVISED BUDGET 2015-16 I) RESOURCES ( a + b)…

[dropcap]P[/dropcap]resent Economic Statistics revealed that during the previous years, the Government of Pakistan has successfully done well in enhancing the health care facilities and even rightly implementing the various major health programs, which sternly established the standard of good health care in Pakistan. Statistics also shows that the situation was very bad after the time of independence, when there is only 292 hospitals, only 48 doctors and 186 nurses serving the citizens while now the Finance Ministry recorded that the number of registered doctors are 195,896, dentist and registered nurses are 99,228 and total number of hospitals are 1,167 (2015).…

[dropcap]W[/dropcap]e accept that all humans have the right to get better education, but the quirk of fate of education in Pakistan remains dismal as last year spending in education sector as percentage of GDP, is 2.3 percent during 2015-16 which is very low. We believe that developing states are confronting with multiple challenges mainly high illiteracy rate. But I would also mention here that the allocation of resources is very important in any economy especially in this powerful sector. According to HIICS (household integrated income and consumption survey) FY2016 at national/provincial levels with rural/urban breakdown, the literacy rate in Pakistan…

PAKISTAN’S STOCK MARKET BOUNCES BACK Stocks bounced back on Thursday from the plunge seen in previous sessions and ended the week in the green zone for the second straight session before long Eidul Fitr holidays. The positive activity continued since the morning and the KSE 100-share Index touched an intra-day high of over 980 points. At close of trading, the benchmark KSE 100-share Index finished with a rise of 857.85 points or 1.89 percent to close at 46,332.31. Pakistan Stock Exchange will remain closed from June 23 to June 28. It will revert to normal trading hours from June 29.All…

OIL PRICES SPRING BACK World oil prices rose on Thursday, a day after hitting 10-month lows, but market sentiment remained negative because the global crude glut has persisted despite OPEC-led output cuts. Brent crude futures ended 40 cents higher to $45.22 a barrel, after falling as low as $44.53. Brent fell 2.6 percent the previous session to $44.35, lowest since November. US crude futures ended up 21 cents a barrel at $42.74 a barrel. On Wednesday, they hit a low of $42.05, their lowest intraday level since August 2016. Crude has dropped around 20 percent since late February, erasing gains…

SHIPPING CONFIDENCE HITS 3-YEAR HIGH Shipping confidence reached its equal highest rating in the past three years in the three months to end -May 2017. The average confidence level expressed by respondents to the survey was up to 6.1 out of 10.00 from the 5.6 recorded in the previous survey in February 2017. Increased confidence was recorded by all main categories of respondent to the survey, which launched in May 2008 with an overall confidence rating of 6.8. In the case of brokers, the confidence rating rose from 4.6 to 6.4, while for owners the increase was from 5.6 to…

[dropcap]R[/dropcap]ESPECT FOR THE BUSINESS AND ITS VALUES THE ACQUISITION MUST BE A “TEMPERAMENTAL FIT.” No acquisition works unless the people in the acquiring company have respect for the product, the markets, and the customers of the company they acquire. Though many large pharmaceutical companies have acquired cosmetic firms, none has made a great success of it. Pharmacologists and biochemists are “serious” people concerned with health and disease. By the same token, few of the big television networks and other entertainment companies have made a go of the book publishers they bought. Books are not “media,” and neither book buyers nor…

US STOCKS FALL AFTER AMAZON DEAL NEWS US stocks fell on Friday after Amazon.com’s announcement it would buy Whole Foods Market hit the shares of Wal-Mart and grocers, while disappointing US economic data hurt the dollar and US Treasury yields. Amazon.com Inc said on Friday it would buy Whole Foods Market Inc for $13.7 billion. The S&P 500 consumer staples index, down 1.6 percent, was the biggest drag on the benchmark S&P 500 stock index. Bucking broader declines on news of the deal, Amazon shares surged 3 percent while Whole Foods shot up 27.2 percent. Indeed, the deal sent shockwaves…

OIL PRICES EDGE UP FROM 2017 LOWS Oil prices edged up from 2017 lows on Friday but remained on track for a fourth consecutive week of losses because of excess supplies despite OPEC-led production cuts. Brent crude futures were up 43 cents at $47.35 per barrel by 1026 GMT. US West Texas Intermediate (WTI) crude futures were at $44.70 per barrel, up 24 cents. “The market took a breather yesterday and is trying to recover somewhat this morning. It is by no means bullish,” said Tamas Varga, analyst at brokerage PVM Oil Associates quoted as saying. Oil prices are roughly…

BALTIC MAIN INDEX EDGES DOWN ON WEAKER CAPESIZE RATES The Baltic Exchange’s main sea freight index, tracking rates for ships carrying dry bulk commodities, was marginally down on Wednesday, weighed by weaker rates for capesize vessels. The overall index, which factors in rates for capesize, panamax, supramax and handysize shipping vessels, was down 5 points, or 0.57 percent, at 865 points. The capesize index slipped 80 points, or 5.55 percent, to 1,362 points. Average daily earnings for capesizes, which typically transport 150,000-tone cargoes such as iron ore and coal, were down $724 to $10,541. [divider style=”normal” top=”20″ bottom=”20″] BANGLADESH WATERWAYS…

[dropcap]I[/dropcap]N INNOVATION, EMPHASIZE THE BIG IDEA INNOVATIVE IDEAS ARE LIKE FROGS’ EGGS: OF A THOUSAND HATCHED, ONLY ONE OR TWO SURVIVE TO MATURITY. The innovative organization understands that innovation starts with an idea. Ideas are somewhat like babies – they are born small, immature, and shapeless. They are promise rather than fulfillment. In the innovative organization executives do not say, “This is a damn-fool idea.” Instead they ask, “What would be needed to make this embryonic, half-baked, foolish idea into something that makes sense, that is feasible, that is an opportunity for us?” But an innovative organization also knows that…

REGION WISE BRANCHES (December 31, 2016) Province/Region Total Number Share (%) Punjab 1,092 47.0 Sindh 705 30.3 KPK 250 10.8 Baluchistan 99 4.3 Gilgit Baltistan 10 0.4 FATA 9 0.4 Federal Capital 121 5.2 AJK 36 1.6 Total 2,322 100.0 [divider style=”normal” top=”20″ bottom=”20″] PAKISTAN: STRUCTURE OF INTEREST RATES –I (%) w.e.f. SBP Reverse Repo Rate SBP Repo Rate SBP Policy (Target) Rate 26-Jan-15 8.5 6.0 – 24-Mar-15 8.0 5.5 – 25-May-15 7.0 5.0 6.5 14-Sep-15 6.5 4.5 6.0 23-May-16 till date 6.25 4.25 5.75 [divider style=”normal” top=”20″ bottom=”20″] FINANCING MIX (% Share) Details Dec-15 Sep-16 Dec-16 Murabaha 24.5 16.9…

[dropcap]D[/dropcap]espite worldwide financial unrests especially under the declining oil prices in 2016, Islamic Shariah-compliant banks continue to take strong position in the Islamic financial market. Between 2000 and 2016, Islamic banks’ capital rose from $200 billion to $3 trillion and with this statistics it is predicted that the Islamic banks capital will stand at $4 trillion by the early 2020s. Now growing at an annual rate of 19.7 percent, this market’s growth far outpaced the conventional banks. According to a recent survey, greater than half of Islamic banks are in the process of investing between $5 million and $20 million…

[dropcap]U[/dropcap]nder the framework of Shariah-compliant, Pakistan’s Islamic financial market has been trying its major role to regulate the full resources in a proper way and keep well-organized allocation on the basis of Islamic modes and intensifying the payments systems to contribute considerably to economic growth of Pakistan. Under growing role of Islamic financing in Pakistan, the State Bank of Pakistan (SBP) has implemented various Islamic financing measures to meet the requirements of banks conducting operations under Islamic modes and offering them best conducive environment. During October-December 2016, SBP recorded that the network of Islamic Banking Industry (IBI) comprised of 21…

NASDAQ DECLINES AS DOW HEADS TOWARD NEW RECORD Big tech shares including Apple, Amazon and Facebook declined abruptly Friday afternoon as the Nasdaq retreated from a record, while the Dow in contrast pushed towards a new high. In afternoon trading, Apple and Microsoft were each down 3.4 percent, Amazon declined 2.7 percent, Facebook dropped 3.1 percent and Google parent Alphabet 2.8 percent. The Nasdaq Composite Index had tumbled 1.6 percent to 6,220.17. But the Dow Jones Industrial Average gained 0.3 percent to 21,251.63, about 45 points above its all-time high, while the broad-based S&P 500 dipped 0.1 percent to 2,431.19.…

SCIENTISTS DISCOVER RARE EARTH METALS Japanese scientists have discovered a vast geological deposit rich in rare metals that can be used in many industrial products. The treasure trove was found on an underwater mountain in the Pacific Ocean, some 300 miles off the Japanese coast. [divider style=”normal” top=”20″ bottom=”20″] GOLD RATE UP BY RS200 A TOLA 11In Pakistan, price of gold continued upward trajectory in the international market as it gained $7 per ounce and settled at $1289. Likewise, price of gold soared by Rs200 per tola in local markets and settled at Rs50,500 whereas price of 10-gram gold settled…

BALTIC EXCHANGE SNAPS 16-SESSION LOSING STREAK The Baltic Exchange’s main sea freight index, tracking rates for ships carrying dry bulk commodities, rose on Wednesday, snapping a 16-session decline on better rates for capesize vessels. The overall index, which factors in rates for capesize, panamax, supramax and handysize shipping vessels, was up 3 points, or 0.37 percent, at 821 points. The capesize index gained 13 points, or 0.95 percent, to 1,379 points. Average daily earnings for capesizes, which typically transport 150,000-tonne cargoes such as iron ore and coal, were up $218 at $10,178. The panamax index was flat at 783 points.…

[dropcap]T[/dropcap]EST OF INNOVATION MEASURE INNOVATIONS BY WHAT THEY CONTRIBUTE TO MARKET AND CUSTOMER. The test of an innovation is whether it creates value. Innovation means the creation of new value and new satisfaction for the customer. A novelty only creates amusement. Yet, again and again, managements decide to innovate for no other reason than that they are bored with doing the same thing or making the same product day in and day out. The test of an innovation, as well as the test of “quality,” is not “Do we like it?” It is “Do customers want it and will they…

EXCHANGE COMPANIES IN PAKISTAN 1.AA Exchange Company (Pvt.) Ltd. 2.Al-Hameed International Money Exchange (Pvt.) Ltd. 3.Al-Rahim Exchange Company (Pvt.) Ltd. 4.Al-Sahara Exchange Company (Pvt.) Ltd. 5.D.D Exchange Company (Pvt.) Ltd. 6.Dollar East Exchange Company (Pvt.) Ltd. 7.Fairdeal Exchange Company (Pvt.) Ltd. 8.Glaxy Exchange Company (Pvt.) Ltd. 9.H & H Exchange Company (Pvt.) Ltd. 10.HBL Currency Exchange (Pvt.) Ltd. 11.Habib Qatar International Exchange Pakistan (Pvt.) Ltd. 12.Link International Exchange Company (Pvt.) Ltd. 13.Money Link Exchange Company (Pvt.) Ltd. 14.Muhammadi Exchange Company (Pvt.) Ltd. 15.NBP Exchange Company Ltd. 16.Noble Exchange International (Pvt.) Ltd. 17.PBS Exchange Company (Pvt.) Ltd. 18.Pakistan Currency Exchange Company…

[dropcap]P[/dropcap]akistan’s monetary policy objective is to maintain the price stability, stable BoP (balance of payments) equilibrium, reduction in unemployment rate, growth rate of GDP and sustainable economic progress and development. These objectives are necessary to the achievement of internal and external balance of the economy, also the promotion of long-run economic progress and stability. The State Bank of Pakistan (SBP) trying all good to implement the best monetary to achieve the above targets and control the circulation of money in the market in the future. For growing the macroeconomic stability in Pakistan, economic experts revealed that SBP has continued with…

[dropcap]M[/dropcap]any economists revealed that exchange rate instability has direct relations on macroeconomic indicators and thus on economic presentation of any state. Basically exchange rate is the price of one currency in relation to another currency. It is said that most of the states impose constraints on exchange rate instability to manage instability of the local currency. The grate fluctuation in the exchange rate may be created by unforeseen monetary shocks in any state. Attempts are made to attain economic progress and price stability, by the economic advisors, because the exchange rate instability is connected with the impulsive movements in comparative…

US SHARES FLAT AS MAY JOBS REPORT DISAPPOINTS Wall Street stocks were little changed early on Friday after the Labor Department reported the US economy added just 138,000 jobs in May, far fewer than predicted. It is said that wage growth remained tepid despite the drop in the unemployment rate to 4.3 percent, a 16-year low. The key takeaway from the employment report is that wage inflation continues to be dormant despite increased hiring activity. But some economists note that seasonal factors could make the May data appear weaker, and expect a rebound in coming months. About 15 minutes into…

IRON ORE FALLS AS FUTURES PLUNGE The spot price of iron ore dropped, extending last week’s selloff, paced by a plunge in Chinese iron and steel futures. Ore with 62 percent content shed 2.5 percent to $US57.02 a ton on Wednesday, extending its recent slide, as trading resumed in China after a four-day break. The losses came amid continuing concerns about the outlook for growth in China. While China released positive official manufacturing data for May, in line with April and slightly ahead of consensus, efforts to check financial risks are expected to damp the economy as the year progresses.…

BALTIC INDEX DOWN FOR TWELFTH STRAIGHT SESSION The Baltic Exchange’s main sea freight index, tracking rates for ships carrying dry bulk commodities, fell for a 12th straight session on Wednesday as rates fell across vessel segments. The overall index, which factors in rates for capesize, panamax, supramax and handysize shipping vessels, closed down 22 points, or 2.44 percent, at 878 points – its lowest level since March 1. The capesize index fell 53 points, or 3.39 percent, to 1,511 points. Average daily earnings for capesizes, which typically transport 150,000-tonne cargoes such as iron ore and coal, were down $431 at…

[dropcap]D[/dropcap]EFINING BUSINESS PURPOSE AND MISSION: THE CUSTOMER WHO IS THE CUSTOMER? “Who is the customer?” is the first and the crucial question in defining business purpose and business mission. It is not an easy, let alone an obvious question. How it is being answered determines, in large measure, how the business defines itself. The consumer – that is, the ultimate user of a product or a service – is always a customer. Most business has at least two customers. Both have to buy if there is to be a sale. The manufactures of branded consumer goods always have two customers…

CPEC PROJECTS PROGRESS UPDATE 1. 2×660MW Coal-fired Power Plants at Port Qasim Karachi: Financial Closed (FC) achieved. Civil works on site started in May 2015. Approx 65% Power Plant & 70% Jetty completed Energization in October 2017. Expected COD June 2018. 2. Sahiwal 2x660MW Coal-fired Power Plant, Punjab: FC achieved. Civil works on site 95% completed. Planned energization in Oct 2017. COD 25 Dec, 2017. 3. Engro Thar Block II 2×330MW Coal fired Power Plant 1×330MW Mine Mouth Lignite Fired Power Project at Thar Block-II, Sindh, Pakistan, ThalNova 1×330MW Mine Mouth Lignite Fired Power Project at Thar Block-II, Sindh, Pakistan:…

[dropcap]S[/dropcap]pecial Economic Zones (SEZs) has been the growth engine of many developing states around the world for the last few eras. The SEZ scheme was launched to offer a special area to expertise in foreign trade by offering an attractive fiscal package both in central and state government level with little regulations. Now everyone seems to be an admirer of SEZs that offer a combination of tax-and-tariff incentives, streamlined customs procedures and less regulation. Presently, three out of every four states have at least one. The world now counts about 4,300 SEZs, and more are being added all the time.…

[dropcap]P[/dropcap]resently, economic advisors have revealed that the China-Pakistan Economic Corridor (CPEC) projects will grow economic activities in the whole region. In order to ensure timely completion of CPEC projects, the Government of Pakistan should work together with all stakeholders and should also remove all concerns of the all provinces in the country. It is also said that federal as well as provincial governments are working on CPEC projects together like one team mindset and approach. The timely completion of CPEC projects would be a success for the citizens of Pakistan. New technologies were being introduced in infrastructure, transportation and engineering…

FTSE GETS STERLING RISE AS EUROPE DRAGGED LOWER BY BANKS European shares slipped on Friday, dragged down by weaker banks, but British stocks managed to hit new records as sterling slid on a poll showing a narrower lead for the ruling party less than two weeks before a general election. The pan-European STOXX 600 index declined 0.5 percent and euro zone blue chips declined 0.7 percent by 0922 GMT, while in London both the main FTSE 100 benchmark and mid caps nudged higher to hit fresh record highs. In Europe banks were the biggest sectoral faller with their index down…

EDIBLE OIL PRODUCERS WORRIED OVER 5PC GST Oilseeds will attract 5 percent tax under goods and services tax, unlike most other agricultural produce such as grains and pulses that have been exempted under the new regime that is set to be rolled out from July. This has led to worry among edible oil manufacturers over locking up large funds as they will be able to only partially recover the tax they pay on inputs from the output, edible oil and de-oiled cake or DOC, a byproduct of edible oil manufacturing used as animal feed. As per the indication given earlier,…

NEWBUILDING PRICES GROWING TREND CONTINUES The slumping days of the newbuilding ordering market seem to be over. Prices have been on the climb over the past few weeks, a trend which has continued unabated during the course of the past week as well. It is said that the fact that prices are moving upwards has also led to disruptions on buying interest as well, as many are waiting to see what best deals are on offer still. According to the source, one of the major factors that has influenced the pricing front has been the increases being noted in terms…

[dropcap]B[/dropcap]ALANCING THREE CORPORATE DIMENSIONS SHAREHOLDER SOVEREIGNTY IS BOUND TO FLOUNDER. IT IS A FAIR-WEATHER MODEL. An important task for top management in the next society’s corporation will be to balance the three dimensions of the corporation: as an economic organization, as a human organization, and as an increasingly important social organization. Each of the three models of the corporation developed in the past half-century stressed one of these dimensions and subordinated the other two. The German model of the “social market economy” put the emphasis on the social dimension; the Japanese one, on the human dimension; and the American one,…

3G/4G SUBSCRIBERS Operator CMPak (Zong) PMCL (Jazz) Telenor PTML (Ufone) Warid Total Technology 3G 4G 3G 4G 3G 4G 3G LTE 2013-14 417,814 – 425,992 – 895 – 539,376 1,384,077 2014-15 2,898,094 105,128 3,656,345 – 4,162,616 – 2,570,283 106,211 13,498,677 2015-16 5,988,197 680,620 8,919,218 – 8,371,991 – 5,223,096 347,132 29,530,254 Jul-16 6,512,982 789,824 10,200,672 – 8,639,030 – 5,269,266 367,775 31,779,549 Aug-16 6,755,323 921,526 10,412,410 – 8,795,937 – 5,258,699 555,167 32,699,062 Sep-16 6,663,710 1,713,900 10,955,525 – 9,110,397 – 5,297,543 577,275 34,318,350 Oct-16 6,680,819 1,903,285 11,779,923 – 9,237,732 – 5,245,299 599,785 35,446,843 Nov-16 6,824,012 2,080,720 12,148,195 – 9,504,314 – 5,219,952 635,054 36,412,247 Dec-16…

[dropcap]H[/dropcap]andy but smart taxi services are important nowadays likewise to other transport means. One cannot deny the convenience of these taxi services, which play a significant role as a transportation alternative in all parts of the world. The service is been available at the airports, cities and almost every nook and corner of country with just a SMS and call it is making comfort for commuters. Although sometimes explained as a semi-public transport mode, the taxi service is, in fact, the first public transport in small towns when the distances between common origins and final destinations become too large to…

[dropcap]W[/dropcap]orld is soon going to be a global village after the introduction of latest and advanced technologies while new innovations in technology making it more possible day by day. The widely spread economic activities both in real and also in credit market is possible when they use advance technology to communicate. This is a reality that the world is rapidly moving towards an economic system based on the continuous and ubiquitous availability of information. Developing states try to sustain and develop their technology in such a way that they can become a part of this global village. During 21st century…