[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…
Author: S. Kamal Hayder Kazmi
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…
US SHARES RISE ON EARNINGS, HIGHER OIL PRICES Wall Street stocks rose early Friday on solid earnings from Salesforce and others, winning back more of the losses suffered earlier in the week due to worries about President Donald Trump’s agenda. Investors bid up a number of stocks following earnings reports, including Salesforce, up 1.5 percent, Deere & Co., up 7.8 percent and Applied Materials, up 0.7 percent. Energy shares rose on higher oil prices, with Halliburton and Devon Energy both gaining 1.5 percent. About 15 minutes into trading, the Dow Jones Industrial Average stood at 20,718.63, up 0.3 percent. The…
OIL SLIPS AFTER TURMOIL SURROUNDING DONALD TRUMP Oil is getting ensnared in the turmoil surrounding Donald Trump just as signs emerge that US crude production which has undercut OPEC’s output curbs is finally easing. Oil prices slipped on Thursday as the market remained well supplied with crude despite efforts by OPEC and other big exporters to curb production and support prices. Brent crude was down 17 cents at $52.04 a barrel. US crude oil was 16 cents lower at $48.91 on Thursday. Both benchmarks rose on Wednesday after news of a drawdown in US crude inventories and a dip in…
BALTIC INDEX DOWN FOR THIRD STRAIGHT DAY The Baltic Exchange’s main sea freight index, tracking rates for ships carrying dry bulk commodities, declined for the third straight day on Wednesday on lower rates across all vessel segments. The overall index, which factors in rates for capesize, panamax, supramax and handysize shipping vessels, was down 20 points, or 2.04 percent, at 960 points. The capesize index declined 42 points, or 2.57 percent, to 1,590 points. Average daily earnings for capesizes, which typically transport 150,000-ton cargoes such as iron ore and coal, were down $377 at $11,737. The panamax index dropped 31…
[dropcap]L[/dropcap]EGITIMACY OF THE CORPORATION UNLESS THE POWER IN THE CORPORATION CAN BE ORGANIZED ON AN ACCEPTED PRINCIPLE OF LEGITIMACY, IT WILL DISAPPEAR. No social can endure unless it is legitimate power. And no society can function unless it integrates the individual member. Unless the members of the industrial system are given the social status and function that key lack today, our society will disintegrate. The masses will not revolt; they will sink into lethargy; they will flee the responsibility of freedom, which without social meaning is nothing but a threat and a burden. We have only two alternatives; either to…
BUDGETARY POSITION OF PAKISTAN (Rs. In Million) Classification Budget 2015-16 Revised Budget 2015-16 Budget 2016-17 I) RESOURCES ( a + b) 4,168,338 4,279,705 4,441,965 a. Internal Resources 3,366,827 3,406,416 3,572,354 Revenue Receipts (Net) 2,463,351 2,480,671 2,779,695 Capital Receipts (Net) 606,303 588,939 453,638 Estimated Provincial Surplus 297,173 336,806 339,022 b. External Resources 751,511 859,689 819,610 c. Privatization Proceeds 50,000 13,600 50,000 II) EXPENDITURE (a + b) 4,451,277 4,478,535 4,894,879 a. Current Expenditure and Revenue account 3,482,239 3,599,858 3,843,986 Current Exp. On Revenue Account 3,482,239 3,599,858 3,843,986 b. Total Development Expenditure 969,038 878,677 1,050,893 Federal PSDP 700,000 661,297 800,000 Dev. Expenditure outside…
[dropcap]H[/dropcap]ealthcare financing remained complex problem that developing nations are faced with. Market failure often compels states to step in to administer and offer health services and goods to the citizens. However, lack of resources, double burden of diseases, population growth rate, unregulated private sector, budget constraint coupled with displaced priorities, inefficient use of obtainable health budget, weak tax base and administration and ignorance about alternative mechanisms are the few important factors making financing into healthcare more complex. These factors may well characterize health systems of various developing nations. In Pakistan, public and private healthcare systems run in parallel. Presently, the…
[dropcap]P[/dropcap]resent government is firmly committed to promote education, improve literacy rate, capacity building of educators and providing enhancement facilities in all educational institutes. Federal and provincial governments are committed to offer free education up to the Matric level in the country. National and provincial governments are encouraging and facilitating the private sector to spend in the education sector for its promotion as a national cause. The government has earmarked Rs21.5 billion for the Higher Education Commission (HEC) for the fiscal year 2016-17 in the Public Sector Development Program (PSDP). According to experts total Rs5.4 billion has been earmarked for the…
US STOCKS DECLINE AS APRIL RETAIL SALES MISS EXPECTATIONS Wall Street stocks dipped in early trade Friday following disappointing US retail sales data for April and weak earnings from leading department store chains. US retail sales rose 0.4 percent last month, less than then the 0.6 percent pickup expected by analysts. US stocks face pressure due to the lofty state of equity valuations. About 15 minutes into trading, the Dow Jones Industrial Average was at 20,876.59, down 0.2 percent. The broad-based S&P 500 shed 0.2 percent to 2,390.15, while the tech-rich Nasdaq Composite Index declined 0.1 percent to 6,112.90. [divider…
WORLD OIL TO RISE FASTER, US OUTPUT TO HIT A RECORD The Energy Information Administration (EIA) said last week, US domestic output will climb to a record 9.96 million barrels a day in 2018, up from 9.9 million barrels projected last month. Production will average 9.31 million barrels a day in 2017, up from 9.22 million projected in April. World oil production is projected to rise faster than demand this year and in 2018. The EIA increased its forecast for global production to 98.47 million barrels a day, from 98.03 million last month. Production is projected to rise to 100.4…
GLOBAL’S DIRTIEST FUEL SEEN HOLDING OUT EVEN AS SHIPS CLEAN UP Even as the owners of ships carrying everything from bananas to oil spend billions of dollars to meet tighter clean-air rules, demand to buy the dirtiest fuel will still hold out in some parts of the world. In two and a half years, the International Maritime Organization will slash by 86 percent the amount of sulfur allowed in the fuel burned by the world’s cargo ships and oil tankers as they sail around the globe. Meeting the new standards will cost the world shipping industry $60 billion a year.…
[dropcap]M[/dropcap]ANAGEMENT AND ECONOMIC DEVELOPMENT IT CAN BE SAID THAT THERE ARE NO “UNDERDEVELOPED COUNTRIES.” THERE ARE ONLY “UNDER MANAGED” ONES. Management creates economic and social development. Economic and social development is the result of management. It can be said, without too much oversimplification, that there are no “under developed countries.” There are only “under managed” ones. Japan a hundred and forty years ago was an underdeveloped country by every material measurement. But it very quickly produced management of great competence, indeed, of excellence. This means that management is the prime mover and that development is a consequence. All our experience…
PETROLEUM PRICES IN PAKISTAN (Rs./Ltr) Date HOBC Premium HS Diesel LS Diesel Kerosene 3-Apr-17 72.68 74.00 84.00 44.00 44.00 1-Mar-17 72.68 73.00 82.00 44.00 44.00 1-Feb-17 72.68 70.29 79.48 43.35 43.25 16-Jan-17 72.68 68.04 77.22 43.35 43.25 2-Jan-17 72.68 66.27 75.22 43.35 43.25 1-Dec-16 72.68 66.27 75.22 43.35 43.25 [divider style=”normal” top=”20″ bottom=”20″] OPEC DAILY BASKET PRICE PER BARRELS (US $) Date Value Date Value 12/14/2016 51.83 12/28/2016 53.39 12/15/2016 50.96 12/29/2016 53.46 12/16/2016 51.29 12/30/2016 53.3 12/19/2016 52.18 1/3/2017 53.13 12/20/2016 51.99 1/4/2017 52.71 12/21/2016 52.25 2/17/2017 53.37 12/22/2016 51.73 3/17/2017 50.32 12/23/2016 51.74 4/17/2017 51.34 12/27/2016 52.25 5/17/2017…
Company posts 14pc rise in net sales in first nine months of this fiscal [dropcap]I[/dropcap]n Pakistan, Attock Petroleum Limited (APL) is the only oil marketing company, belonging to a fully vertically integrated group covering all aspects of the Oil & Gas sector of Pakistan; from exploration, production and refining to marketing of a wide range of petroleum products. APL has managed to organize its presence and reputation as a progressive and dynamic organization, focused on offering quality petroleum products and services in the country and abroad. APL is continuously enlarging and its market share and customer confidence is rising steadily.…
[dropcap]S[/dropcap]hell is the number one worldwide lubricant supplier, delivering market-leading lubricants to clients in over 100 states. Shell Lubricants brings world-class technological insights to its products, offering customers the best formulations for their vehicles. In Pakistan, Shell is the second largest OMC and employs 400 plus people directly and over 12,000 indirectly. Shell’s presence in the region dates back to 1899 when kerosene oil was imported from Azerbaijan into the subcontinent. Maintaining its legacy of 116 years with a portfolio of robust businesses and global product offering. Shell Pakistan Limited (SPL) continues to meet the energy needs of Pakistan serving…
STRONG JOBS DATA INCREASE NASDAQ; WEAK IBM HITS DOW The S&P 500 and Nasdaq were boosted early Friday by a solid US jobs report, but the Dow dipped on news Warren Buffett sold shares of IBM. After a slow March, when hiring probable was held down by a winter storm, the US economic engine added an estimated 211,000 net new positions in April while the jobless rate declined a tenth to 4.4 percent, the lowest since May 2007. Buffett, meanwhile, told CNBC he divested about one-third of his shares in IBM following disappointing results. IBM shares fell 2.5 percent, pressuring…
GOLD LOGS LOWEST END IN A MONTH Gold prices closed on Wednesday at their lowest level in about a month, then fell further in electronic trading as the dollar strengthened against currency rivals following the Federal Reserve’s monetary policy statement. The central bank on Wednesday, after prices for metals futures settled for the session, kept interest rates unchanged, as expected, and signaled that it’s still on track to raise rates at a gradual pace. June gold GCM7, -1.05 percent was at $1,247.50 an ounce in electronic trading, just over a half-hour after the Fed news, but it had climbed above…
BALTIC INDEX DOWN FOR 11TH STRAIGHT SESSION The Baltic Exchange’s main sea freight index, tracking rates for ships carrying dry bulk commodities, fell for an eleventh straight session on Wednesday as rates across vessels segments weakened. The overall index, which factors in rates for capesize, panamax, supramax and handysize shipping vessels, was down 39 points, or 3.63 percent, at 1,034 points, its lowest in nearly two months. The capesize index fell 126 points, or 7.55 percent, to 1,542 points. Average daily earnings for capesizes, which typically transport 150,000-tone cargoes such as iron ore and coal, were down $758 to $11,840.…
[dropcap]N[/dropcap]EED FOR A HARMONY OF INTERESTS THE DEMAND OF HARMONY DOES NOT MEAN THAT SOCIETY SHOULD ABANDON ITS RIGHT TO LIMIT THE EXERCISE OF ECONOMIC POWER ON THE PART OF THE CORPORATION. Economic purpose does not mean that the corporation should be free from social obligations. On the contrary it should be so organized as to fulfill, automatically, its social obligations in the very act of seeking its own self-interest. An individual society based on the corporation can function only if the corporation contributes to social stability and to the achievement of social aims independent of the goodwill or the…
CREDIT/LOANS CLASSIFIED BY BORROWERS (Million Rupees) (Outstanding position at the end of month) Description June-15 Mar-16 June-16 Mar-17P 1. Credit to Government Sector (A+B) 7,265,070 7,589,419 8,109,481 8,601,435 A. SBP Credit to Government Sector (Net) 1,987,950 1,384,486 1,454,173 2,246,365 Investment in Govt. Securities 2,324,419 2,097,101 2,071,967 2,793,083 Loans to Government 8,035 2,740 2,740 2,740 Others 8,072 8,581 8,581 8,681 Less: Govt. Deposits 352,576 723,936 629,116 558,139 B. Scheduled Banks Credit to Government Sector (Net) 5,277,120 6,204,933 6,655,308 6,355,070 Investment in Govt. Securities 5,681,232 6,828,020 7,240,110 7,193,214 Loans to Government 581,328 483,870 650,448 512,680 Less: Govt. Deposits 985,440 1,106,958 1,235,250 1,350,824…
[dropcap]U[/dropcap]nited Bank Limited, one of the largest commercial banks in Pakistan, recently inked a memorandum of understanding (MoU) with the German Embassy in Islamabad. Through this collaboration, Pakistani students aspiring to obtain student visas for further studies in German educational institutions, will be facilitated through UBL by blocked funds in euro accounts sustained with UBL. This will offer comfort to the Embassy that the students have sufficient funds available to cover their living expenses. These blocked funds would be later remitted to the student’s account in Germany. No doubt, the management of the bank always continues to capture increased market…
[dropcap]H[/dropcap]abib Bank Limited, a Karachi based multinational bank and largely referred to as HBL Pakistan. The Bank is now looking towards an even brighter future with boundless opportunities. With a worldwide presence in over 25 states spanning across 4 continents, the Bank is also the largest domestic multinational. The management is enlarging its presence in principal international markets counting the UAE, UK, South and Central Asia, Africa and the Far East. The Bank aims to continue serving the state and all the regional markets where it operates with a focus on the needs of its customers and the resolve to…
PAKISTAN STOCKS SUFFER FURTHER DECLINE The stock market suffered a further decline on Friday as investors resorted to profit-booking ahead of weekend and weakening global crude prices brought down shares of oil companies. At close, the Pakistan Stock Exchange’s (PSX) benchmark KSE 100-share Index recorded a fall of 180.80 points, or 0.37 percent, to end at 49,300.90. A day earlier, the market had dropped by 346 points. After a brief positive open, stocks traded volatile and entered the red zone as investors likely booked profits ahead of the long weekend amid no major news flow or earnings announcement. Shares of…
EDIBLE OIL PRODUCERS TO CUT PRICES BY 15PC In a major relief for consumers, edible oil producers are looking to cut their product prices by up to 15 percent effective immediately to pass on the similar fall in global markets and proportionate decline in seed prices locally. Indian edible oil (both branded and unbranded) producers, however, plan to offer discounts on the maximum retail price (MRP) on the consumer packs produced earlier. Lose retailers, too, would pass on the price fall in the international and domestic markets to consumers. Meanwhile, a cut on the MRP would depend on the sustainability…
BALTIC DOWN ON WEAKER PANAMAX, SMALLER VESSEL RATES The Baltic Exchange’s main sea freight index, tracking rates for ships carrying dry bulk commodities, fell on Wednesday on weaker rates for panamaxes and smaller vessels, even as rates for capesizes rose. The overall index, which factors in rates for capesize, panamax, supramax and handysize shipping vessels, fell for the seventh straight session and was down 7 points, or 0.61 percent, to end at 1,147 points, its lowest since mid-March. The capesize index snapped a six-session losing-streak and gained 23 points, or 1.3 percent, to 1,790 points. Average daily earnings for capesizes,…
[dropcap]D[/dropcap]EMANDS ON POLITICAL LEADERSHIP BEWARE CHARISMA. Charisma is “hot” today. There is an enormous amount of talk about it, and an enormous number of books are written on the charismatic leader. But, the desire for charisma is a political death wish. No century, and never have political leaders done greater damage than the four giant leaders of the twentieth century: Stalin, Mussolini, Hitler, and Mao. What maters is not charisma. What mater is whether the leader leads in the right direction or misleads. The constructive achievements of the twentieth century were the work of completely uncharismatic people. The two military…
OPEC PER BARRAL OIL PRICES ($) Year Value Year Value 2004 36.05 2011 107.46 2005 50.64 2012 109.45 2006 61.08 2013 105.87 2007 69.08 2014 96.29 2008 94.45 2015 49.49 2009 61.06 2016 40.76 2010 77.45 2017 52.03 [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″] PAKISTAN TRADES (Million US $) Period Exports (BOP) Growth Rate Imports (BOP) Growth…
[dropcap]I[/dropcap]nterest rates play a significant role in our economy. As signals direct the flow of a city’s traffic through a complicated grid of intersecting streets and avenues, interest rates channel the flow of funds from savers to borrowers. Usually, the funds flow through financial intermediaries like banks, mutual funds and insurance firms. A balance is struck between the demand for funds by borrowers and the supply of funds from savers by an ever-adjusting level of interest rates. Changes in the quantity of funds available to finance the spending plans of borrowers also changes in borrowers’ demands for funds alter interest…
[dropcap]B[/dropcap]anks offer a large array of financial services to attract customers and to meet their demands. The economists have often revealed banks as intermediaries between savers and users of capital. Banks are special intermediaries due to their unique capacity to finance production by lending their own debt to agents willing to accept it and to use it as money. Being at the same time borrowing and landing institutions, banks also provide other types of services, like: payments, settlements and funds transfer, foreign exchange transactions, savings and investment services, payroll services, financial advice, investments and bill finance, safe-deposit boxes. So as…
KSE-100 RISES ANOTHER 965 POINTS Jubilant investors breathed a sigh of relief as the two-month long gloom of the Panamagate scandal finally lifted. The KSE-100 Index registered an increase of another 965.09 points or 1.98 percent to end at 49,708.65 on Friday, inching closer to its record level after retreating from it in January. Stocks experienced a dramatic previous session when a timeframe of 10 minutes saw the KSE-100 Index jump over 1,200 points for one of the fastest increases ever posted by the Pakistan Stock Exchange (PSX). The last session of the week witnessed similar enthusiasm with the index…
GOLD, SILVER RECORD LOWER Gold and silver prices on the Multi Commodity Exchange (MCX) were trading lower in early trade on Thursday on account of weak demand of precious metals from jewellers, retailers and industries. The yellow metal was trading 0.17 per cent, or Rs 50, down at Rs 29255 per 10 kg around 10.25 am (IST), while the white metal was down 0.17 per cent, or Rs 73, at 41825 per 1 kg. According to SMC Investment and Advisors, bullion counter may witness volatile movement on mixed fundamentals on Thursday. However, Gold (June) can move in range of Rs…
DRY BULK MARKET SPRINGS A SURPRISE – BUT SWEATS ON SLOWER 2ND HALF Maritime Strategies International (MSI), a leading independent research and consultancy has forecast a positive short term outlook for dry bulk freight rates, but has cautioned on second half prospects. MSI notes a persistent and positive shift in dry bulk market sentiment in recent weeks, with most Baltic indices at their highest point of the year. Capesizes led the charge with spot rates rising to almost $20,000/day in late March – more than five times their levels of just a few weeks earlier, although they have since fallen…
[dropcap]R[/dropcap]OLE OF THE BYSTANDAR THE BYSTANDER SEES THINGS NEITHER ACTOR NOR AUDIENCE NOTICES. Bystanders have no history of their own. They are on the stage but are not part of the action. They are not even audience. The fortunes of the play and every actor in it depend on the audience, whereas the reaction of the bystander has no effect except on himself. But standing in the wings – much like the fireman in the theater – the bystander sees things neither actor nor audience notices. Above all, he sees differently from the way actors or audiences see. Bystanders reflect,…
ECONOMIC VIEW OF GCC COUNTRIES Overview Last Reference Previous BAHRAIN GDP Growth Rate -2.7 % Dec/16 1.7 Unemployment Rate 3.7 % Dec/12 3.7 Inflation Rate 0.4 % Feb/17 0.8 Interest Rate 1.25 % Mar/17 1.25 Balance of Trade 312 BHD Million Dec/15 1396 Government Debt to GDP 61.9 % Dec/15 44.4 KUWAIT Unemployment Rate 2.2 % Dec/15 3.4 Inflation Rate 3.22 % Feb/17 3.29 Interest Rate 2.75 % Mar/17 2.5 Balance of Trade 1693 KWD Million Dec/16 1383 Government Debt to GDP 11.2 % Dec/15 7.5 OMAN Unemployment Rate 7.2 % Dec/14 7.3 Inflation Rate 2.82 % Mar/17 2.38 Interest…
[dropcap]P[/dropcap]akistan-Qatar relations refer to the bilateral links between Pakistan and Qatar. Both countries emphasized on the need to increase the bilateral trade to correspond to the true potential of the two countries. Pakistan has embarked upon a key reform program that aims at fiscal stabilization, mobilizing local resources and restructuring the energy sector which makes Pakistan an attractive destination for financiers from Qatar. Pakistan has an embassy in Doha while Qatar maintains an embassy in Islamabad and a consulate-general in Karachi. Relations between the two are shaped by Pakistan’s usually close relations with the Arab world. Like other nearby Gulf…
[dropcap]T[/dropcap]he Pakistan-Kuwait relations are brotherly based on shared history, traditions and common culture. Both states enjoyed their bilateral, friendly, trade and cultural ties along with enormous respect of their commonality and cultural traditions. These bilateral relations exist both at the official-governments level and at the peoples’ level. Time has proved that Pakistan-Kuwait have stood for each other in their most difficult and testing times. Kuwait also responded well to its friendly state and has been the first among nations that have ever enlarged generous assist to Pakistan in difficult times. The Kuwait government donated generously to the Government of Pakistan…
THIN PARTICIPATION KEEPS KSE-100 UNDER PRESSURE The KSE-100 Index tumbled once again, losing 0.78 percent Friday to close near the 47,500 level amid political uncertainty, thin participation and concerns over geopolitics after the US strike in Afghanistan. At close on Friday, the Pakistan Stock Exchange’s (PSX) benchmark index recorded a fall of 373.52 points or 0.78 percent to end at 47,577.06. Most sectors including financials finished lower, however, major dent came from oils where Mari Petroleum (-3.9%) witnessed the most decline, due to government’s recent divestment decision, followed by Oil & Gas Development (-2.4%) on reported institutional selling. Volumes stood…
OIL PULLS BACK AS TRADERS EYE CUSHING BUILD, U.S. CRUDE SUPPLY Oil futures fell on Wednesday, pulling back after eight straight sessions of gains after US crude inventory data suggested the market was still heavily supplied. Traders focused on preliminary US production estimates in the weekly EIA report that suggested domestic output is still climbing. The report also showed stockpiles at the US crude hub at Cushing, Oklahoma, rose 276,000 barrels in the week. Brent crude futures settled down 37 cents to US$55.86 a barrel after hitting a one-month high of US$56.65. US West Texas Intermediate crude futures were down…
ASIA FUEL OIL-SPREADS FLIP TO CONTANGO AS AMPLE SUPPLIES OVERCOME BULLISH IMPETUS The near-dated market structure of 380-cst fuel oil slipped into contango on Wednesday, erasing steady gains made in the previous week, as ample prompt supplies of the fuel weighed on sentiment despite slowing fuel oil flows into Asia. Total fuel oil flows into East Asia for April to fall below the Q1 average of 7.1-7.2 million tons, with 6.3-6.4 million tons notionally assessed so far. Arrivals for May are expected to be similarly thin, with less than 3 million tons of Western arrivals seen so far, but the…
[dropcap]M[/dropcap]ODERN ORGANIZATION MUST BE A DESTABILIZER ONLY A SOCIETY IN DYNAMIC DISEQUILIBRIUM HAS STABILITY AND COHESION. Society, community, and family are all conserving institution conserving institutions. They try to maintain stability and to prevent, or at least to slow, change. And yet we also know that theories, values, and all the artifacts of human minds do age and rigidify, becoming obsolete, becoming affliction. Yet “revolutions” every generation, as was recommended by Thomas Jefferson, are no the solution. We know that “revolution” is not achievement and the new dawn. It results form senile decay, from the bankruptcy of ideas and institutions,…
FERTILIZER SUPPLY DEMAND SITUATION (000 Tones) Description Kharif (Apr-Sep) 2015 Rabi (Oct-Mar) 2015-16 Kharif (Apr-Sep) 2016 Urea DAP Urea DAP Urea DAP Opening stock 214 139 771 523 1,202 286 Imported supplies 294 376 50 833 0 0 Domestic production 2,686 421 2,817 369 2,700 400 Total availability 3,194 936 3,638 1,725 3,902 686 Offtake/Demand 2,425 414 2,434 1,439 2,900 520 Write on/off 2 1 -2 0 0 0 Closing stock 771 523 1,202 286 1,002 166 [divider style=”normal” top=”20″ bottom=”20″] FERTILIZER OFFTAKE AND IMPORTS OF FERTILIZERS & PESTICIDES IN PAKISTAN Fiscal Year Fertilizer Offtake (000 N/Tones) Total Import of…
[dropcap]E[/dropcap]ngro Fertilizers Limited is a subsidiary of Engro Corporation and a renowned name in Pakistan’s fertilizer industry. It is traded on the stock market under the symbol ‘EFERT. Engro holds a vast, countrywide production and marketing infrastructure and produces leading fertilizer brands optimized for domestic cultivation needs and demand. Engro is also a leading importer and seller of phosphate products, which are marketed extensively across Pakistan as phospatic fertilizers. Engro Fertilizers is poised to become the leading urea manufacturer in the country following major upgrading of its manufacturing capabilities. ENVEN 1.3–a tremendous expansion in Engro’s urea manufacturing facility went into…
[dropcap]F[/dropcap]auji Fertilizer Company (FFC) which started its 38 years long journey from one fertilizer plant has three plants now and is presently the largest producer of urea with an aggregate urea production capacity of well over 2 million tonnes per annum. PROFITABILITY RATIOS (%) Details 2016 2015 2014 Gross profit ratio 24.77 34.05 38.29 Gross profit ratio (Including Subsidy) 31.34 35.18 38.29 Net profit to sales 16.17 19.76 22.37 Net profit to sales (Including Subsidy) 14.75 19.42 22.37 FFC has attained long term credit rating of double A (AA) and short term rating of A1+ denoting high credit…
US SHARES FLAT AS MARCH JOBS GROWTH DISAPPOINTS Wall Street stocks were flat early Friday after US job growth in March disappointed and President Donald Trump ordered air strikes on Syria. The United States added just 98,000 new jobs last month, much below the 180,000 expected by analysts. In a bright spot, however, unemployment fell to 4.5 percent. Stock futures fell sharply on the news, but then recovered somewhat as the market viewed the US strikes “as an isolated incident without any meaningful economic impact. The Dow Jones Industrial Average was up slightly at 20,665.41. The broad-based S&P 500 remained…
OIL PRODUCTION VITAL FIGURES IN MARCH 2017 In February, OPEC remained largely compliant with the production cuts, with OPEC 12 production (ex-Gabon) down 1.11 Mbpd compared to October 16. Oman has offered solid support with a production cut of 50,000 bpd from a production base. Russia + FSU has done little (yet), with a 50,000 bpd reduction. Russia + FSU were supposed to cut 300,000 bpd. Global total liquids remain up 20,000 bpd YOY. The oil price stepped down in March to $50/bbl, confronted with a continuing glut and growing uncertainty, but has since recovered to $55. OPEC drilling remains…
BALTIC INDEX POSTS BIGGEST DAILY PERCENTAGE DECLINE IN 2 MONTHS The Baltic Exchange’s main sea freight index, tracking rates for ships carrying dry bulk commodities, registered its biggest one-day percentage fall in about two months, primarily on weaker rates for capesize bulk carriers. The overall index, which factors in rates for capesize, panamax, supramax and handysize shipping vessels, fell for the fifth consecutive session on Wednesday. The Baltic dry index fell 2.55 percent, or 32 points, to 1,223 points – its biggest daily percentage fall since Feb. 7. The capesize index lost 153 points, or 6.42 percent, at 2,229 points.…
[dropcap]T[/dropcap]HE TRANSNATIONAL COMPANY SUCCESSFUL TRANSNATIONAL COMPANIES SEE THEMSELVES AS SEPARATE, NON NATIONAL ENTITIES. Most companies doing international business today are still organized as traditional multinationals. But the transformation into transnational companies has begun, and it is moving fast. The products or services may be the same, but the structure is fundamentally different. In a transnational company there is only one economic unit, the world. Selling, servicing, research, finance, marketing, pricing, and management are conducted in contemplation of the world market. One of America’s leading engineering companies, for instance, makes one critical part for al its forty-three plants worldwide in one…
PRODUCTION OF AUTOMOTIVE INDUSTRY IN PAKISTAN (No of units produced) Category Installed Capacity 2014-15 (July-Mar) 2015-16 (July-Mar) % Change Cars 240,000 105,267 137,067 30.2 LCVs 43,900 17,521 29,529 68.5 Jeeps 5,000 868 621 -28.4 Buses 5,000 410 746 82 Trucks 28,500 2,781 3,940 41.6 Farm Tractors 65,000 35,753 21,942 -38.6 Two/Three Wheelers 2,500,000 811,459 982,423 21 [divider style=”normal” top=”20″ bottom=”20″] PRODUCTION & SALE DATA OF VEHICLES IN PAKISTAN PASSENGER CARS 1300 and Above cc 1300 and Above cc Jan’15 Feb’15 Mar’15 Apr’15 May’15 June’15 Cumulative Sub-Total Prod. 8,400 6,841 7,427 8,451 7,940 7,256 46,315 Sale 9,401 7,005 7,862 8,130 7,672…
[dropcap]I[/dropcap]n Pakistan, the overall automobile industry remained buoyant during first three quarters of the FY2016-17 after adjusting for some 5,000 and 45,000 units generated by the Punjab government scheme in the previous and last year respectively. The total industry production during this period was 128,109 units against 90,125 units in the same period of previous year. Accordingly the sales were also up to 124,837 units against 90,610 units in the same corresponding period, previous year. On the other hand, Honda Atlas Cars (Pakistan) Limited committed to meet customer expectations, and to offer good value for money recorded sales and growth…
[dropcap]I[/dropcap]ndus Motor Company Limited (IMC) was organized in 1989 as a consequence of a joint venture agreement among some companies of House of Habib of Pakistan, Toyota Motor Corporation and Toyota Tsusho Corporation of Japan. IMC has no doubt played a key role in the development of the entire value chain of the domestic auto industry in Pakistan and is proud to have contributed in poverty alleviation at the grass root level by nurturing localization that, in turn, has directly created thousands of careers opportunities and transferred technology to over 60 vendors supplying parts. Indus Motor manufactures and markets Toyota…
WALL STREET QUARTER ENDS WITH A LOSS Wall Street fell on Friday, pulled down by Exxon and JPMorgan Chase as investors wrapped up a strong quarter and weighed whether corporate earnings reports will justify the market’s lofty valuations. Major indexes have hit multiple record highs since the election of President Donald Trump on bets that he would improve economic growth by cutting taxes and boosting infrastructure spending. The rally has also benefited from robust economic data and a pickup in corporate earnings growth. For the quarter ending Friday, the S&P 500 gained 5.5 percent, its strongest quarterly performance since the…
OIL FALLS AFTER THREE-DAY RALLY Oil prices fell on Friday after a three-day rally ran out of steam due to a stronger dollar, promising to notch up the oil market’s worst-performing quarter since 2015 as investors fret that growing US supplies are undermining OPEC-led cuts. Brent crude futures LCOc1 have made the biggest losses across global asset classes this quarter. In March, the contracts posted the biggest monthly losses since July as growing U.S. crude inventories and drilling activity counterbalanced production cuts elsewhere in the world. Brent futures were down 53 cents at $52.43 a barrel at 1023 GMT. The…
BALTIC INDEX TOUCHES OVER 2-YEAR HIGH The Baltic Exchange’s main sea freight index, which tracks rates for dry-bulk carriers, hit a more than two-year high on Wednesday as rates for panamax vessels rose. The overall index, which factors in rates for capesize, panamax, supramax and handysize shipping vessels, was up 5 points at 1,338 points, its highest level since Nov. 11, 2014. The panamax index was up 40 points or 3.1 percent, at 1,346 points. Average daily earnings for panamaxes, which usually carry coal or grain cargoes of about 60,000 to 70,000 tonnes raised $318 to $10,805. The capesize index…
[dropcap]K[/dropcap]NOWLEDGE AND TECHNOLOGY THE NEW TECHNOLOGY EMBRACES AND FEEDS OFF THE ENTIRE ARRAY OF HUMAN KNOWLEDGE’S. The search for knowledge, as well as the teaching thereof, has traditionally been dissociated from application. Both have been organized by subject, that is, according to what appeared to be the logic of knowledge itself. The faculties and departments of the university, its degrees, its specializations, indeed the entire organization of higher learning, have been subject-focused. They have been, to use the language of the experts on organization, based upon “product,” rather than on “market” or “end use.” Now we are increasingly organizing knowledge…
LITERACY RATE (10 YEARS AND ABOVE)-PAKISTAN AND PROVINCES (PERCENT) Province/Area 2013-14 2014-15 Male Female Total Male Female Total Pakistan 70 47 58 70 49 60 Rural 63 36 49 63 38 51 Urban 81 66 74 82 69 76 Source: GoP [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 Source: GoP [divider style=”normal” top=”20″ bottom=”20″] DEMOGRAPHIC INDICATORS OF PAKISTAN Details 2016 Total Population…
[dropcap]P[/dropcap]akistan’s economy continued to sustain its growth momentum in the FY2015-16. The gradual building up of the growth momentum suggests that investment recovery is more sustainable. The growth that the economy has sustained for last few eras is underpinned by dynamism in industry, agriculture and services supported by strong growth in local demand. Government infrastructure development drive along with State Bank of Pakistan expansionary monetary policy stance has increased business activities. The prerequisites for maintaining growth appear to have gained during the last few eras on account of economic reform and enhanced security situation. Inflation significantly reduced during the present…
[dropcap]B[/dropcap]enazir Income Support Program (BISP) is Pakistan’s largest social safety net that offers quarterly stipends to over 5.4 million of the most vulnerable families of the country. These cash transfers ensure empowerment of the beneficiary women and feeds directly into PM Nawaz Sharif’s sustainable development goal of eradicating severe poverty and hunger. Present government-led by Nawaz Sharif has raised BISP budgets from Rs40 billion to Rs115 billion since it took charge during 2013. Number of beneficiaries has risen from 1.7 million to 5.4 million in the same period. Quarterly stipends which were not on time earlier and were only Rs1,000…
KSE-100 INDEX ENDS WEEK WITH SLIGHT LOSSES The Pakistan Stock Exchange ended the week on a flattish note, with the benchmark KSE-100 index losing 46 points, or 0.09pc, by the close of Friday’s trading session to reach 48,971.05. Volumes were led by commercial banks, engineering, and power generation and distribution scrips as the benchmark index turned red in the last hour of trading. It is said that stocks closed lower amid pressure in banking sector as investors awaited SBP key policy rate decisions. Investor interest remained in selected cement, auto and engineering sector stocks on likely gains in CPEC projects.…