The stock market on Monday notched up handsome gains following State Bank of Pakistan’s (SBP) decision to leave the benchmark interest rate unchanged at 7% for the next two months. Favourable economic indicators at the macro level coupled with anticipation of a pro-people and business-friendly budget fuelled investor interest.
KASB Market View
The upcoming federal budget will likely dictate the index’s next leg of momentum. WE have already noted a growth-centric projection that may likely pave way for cyclical stocks to outperform including cements, steels, OMCs and automobiles. Additionally, strong economic indicators may further push commercial banks on expectation of provision reversals.
Pakistan Considers Stimulus Package to Support Economy
Newly-appointed finance minister Shaukat Tarin is leading the initiative, which can be monetary, fiscal or both, said the people, asking not to be identified as the discussions are private. The talks are initial and nothing has been decided, the people said. No formal proposal exists, Tarin said in response to questions.
‘Green Eurobond’ launched to raise $500m for dams; PM highlights hydropower potential
ISLAMABAD: Prime Minister Imran Khan on Monday said that there is a huge potential of hydropower in the country, and the government would be constructing 10 dams that would help produce 10,000 MW environment-friendly clean energy and conserve water to irrigate 0.1 million acres of land.
Govt plans to raise Rs5.9trln for funding budget deficit
KARACHI: The government aims to raise Rs5.9 trillion from auctions of market treasury bills (MTBs) and Pakistan investment bonds (PIBs) in June to August 2021 to fund a budget deficit, the auction target calendar issued by the central bank showed on Monday.
PM Imran, Abu Dhabi crown prince discuss ways to diversify bilateral ties
Prime Minister Imran Khan on Monday held a telephone conversation with Crown Prince of Abu Dhabi and Deputy Supreme Commander of the UAE Armed Forces Sheikh Mohamed bin Zayed Al Nahyan, a statement from the Prime Minister’s Office (PMO) said.
Vaccine procurement for June
ISLAMABAD: The Economic Coordination Committee (ECC) of the Cabinet has approved allocation of US$ 130 million (Rs20 billion) for the procurement of 10 million doses of corona vaccine for the month of June 2021 only. However, sources said the National Disaster Management Authority (NDMA) has sought an allocation of US$500 million Technical Supplementary Grant for procurement of vaccine from June to December 2021 for 71.66 million people.
Gwadar Port, Free Zone; Projects likely to generate $10bn activity
GWADAR: After becoming fully operational, the Gwadar Port and Gwadar Free Zone would generate economic activities of around $10 billion per annum, besides creating thousands of new jobs, China-Pakistan Economic Corridor (CPEC) Authority chairman Lt-Gen (Retd.) Asim Saleem Bajwa said on Monday.
Buying houses, sourcing cos; Govt likely to announce incentives
ISLAMABAD: The government is likely to announce incentives for buying houses, sourcing companies or liaison offices that play a vital role in establishing effective customer-supplier relationships with the objective of enhancing their footprints in Pakistan, well-informed sources told Business Recorder.
Govt keeps fuel prices unchanged
The government on Monday decided to maintain the current oil prices effective from June 1, 2021. According to a statement issued by the finance ministry, Prime Minister Imran Khan decided to maintain the prices of petroleum products as they were on May 17, 2021.
July-May (2020-21); 18pc increase in collection
ISLAMABAD: The Federal Board of Revenue (FBR) has provisionally collected Rs4,167 billion during July-May (2020-21) against Rs3,532 billion in the same period of 2019-20, reflecting an increase of 18 percent.
Gas marketing; Ogra awards licence to Shell Energy
ISLAMABAD: The Oil and Gas Regulatory Authority (Ogra) has awarded a gas marketing license to Shell Energy Pakistan (Pvt) Limited. The Shell Energy Pakistan (Pvt) Limited has been incorporated with the aim of carrying out downstream gas marketing activities in Pakistan.
Failure to deliver cars in two months; Govt decides to penalise automakers
ISLAMABAD: The government has decided to penalize auto manufacturers, in case of failing to deliver vehicles to the consumers, within two months, after booking orders as per new auto policy. The meeting was also informed by the Engineering Development Board (EDB) officials that as per the policy, it has been decided to impose a fine of three percent plus Kibor on car companies delaying deliveries.
$76.28m Korean loan received for IT Park project
ISLAMABAD: The government has received a loan of $76.28 million from the Republic of Korea for establishment of the Information Technology Park project in Islamabad.
PKR’s Real Effective Exchange Rate Index increases by 2.46 percent in April
May 31, 2021 (MLN): Pak Rupee’s Real Effective Exchange Rate Index (REER) increased by 2.46 percent in April 2021 to a provisional value of 103.30 from the revised value of 100.82 in March 2021.