The market remained predominantly negative throughout the week, losing 363pts over its course. The continuation of FATF’s gray-listing put a cap on the index’s performance with the market being largely divided over the potential outcome. The index’s negative performance largely emanated from heavy-weights namely Oil & Gas, and commercial banks. The cement sector continued to perform after witnessing a sharp recovery in its half-yearly results, emerging as the week’s top performing sector.
KASB Market View
KSE – 100 witnessed a sharp decline today closing down 0.6% to 45,593 points. The index started jittery and was further compounded by Supreme Court’s decision to not hold Senate elections via open balloting but traceable votes. Although government & opposition both touted this as a “win”, the investors remained uncertain of the elections outcome & government’s ability to legislate structural reforms.
We expect the flattish trend to continue over next few days until Senate outcome is determined. Majority seats for PTI should be taken as a continuation of positive momentum.
Feb CPI rate rises to 8.70pc
ISLAMABAD: The Consumer Price Index (CPI) has recorded an increase of 8.7 percent on year-on-year basis in February 2021 as compared to an increase of 5.7 percent in the previous month, and 12.4 percent in February 2020, says the Pakistan Bureau of Statistics (PBS).
Legislation still needed to meet FATF benchmarks
ISLAMABAD: Pakistan will have to make further legislation on at least two counts to meet three outstanding benchmarks of the 27-point action plan of the Financial Action Task Force (FATF) before the June deadline.
Eurobonds, Sukuk; Profit on debt exempted from income tax
ISLAMABAD: The Federal Board of Revenue (FBR) has exempted income tax on the profit on debt of an agency of a foreign government, a foreign national company, firm or association of persons or any other non-resident person, on Eurobonds and international Sukuk issued under the government’s medium-term note program.
First 8 months of FY21; Exports grow 4.6pc YoY
ISLAMABAD: The country’s exports have posted a growth of 4.6 percent to $16.3 billion during the first eight months (July-February) of current fiscal year as compared $15.643 billion in the corresponding period of 2019-20.
Govt puts half-year fiscal deficit at 3.1pc of GDP
ISLAMABAD: Highlighting certain risks to fiscal sustainability, the federal government has reported its half-year (July-December) fiscal deficit at 3.1 per cent of GDP, or the highest-ever figure of Rs1.393 trillion in absolute terms.
Tax-to-GDP ratio goes below average in 2 fiscal years: WB official
ISLAMABAD: World Bank’s senior tax specialist has pointed out that Pakistan’s tax-to-GDP ratio dropped and went below average during the last two fiscal years.
Debt-to-GDP ratio may soar to 87pc by end-FY21
ISLAMABAD: Finance Minister Dr Abdul Hafeez Shaikh Monday informed the National Assembly that the debt-to-GDP ratio was expected to be 87 percent by end-fiscal year 2020-21, saying enough had been done to rationalise expenditures, broadening of tax base, and restructuring of the public sector enterprises.
FY21 fiscal deficit projected at 7pc of GDP
ISLAMABAD: The Finance Ministry has informed the National Assembly, on Monday that the federal fiscal deficit was 3.1 percent of the GDP (Rs1,393 billion) during the first half (July-December) of 2020-21 consequent to Rs3,185 billion expenditure against the net federal receipts of Rs1,792 billion.
Senate elections; SC for secret ballot; ECP asked to stay watchful
ISLAMABAD: The Supreme Court, on Monday, by majority of four against one rendered its opinion on Presidential reference that the Senate elections are held “under the Constitution” and the law.
Local LPG price increases by Rs21.78 per 11.8-kg cylinder
ISLAMABAD: Oil and Gas Regulatory Authority (OGRA) on Monday issued a price-revision notification of Liquefied Petroleum Gas (LPG) for the month of March.
Pakistan lost $75 bn due to shrinking GDP, devaluation of rupee: Ishaq Dar
ISLAMABAD: Former finance minister Ishaq Dar has claimed that Pakistan’s economy lost $75 billion in the last two fiscal years, mainly because of the shrinking size of GDP and massive devaluation of the rupee against dollar.
New Suzuki Swift is coming to Pakistan This Year
The second-generation Suzuki Swift was introduced in Pakistan back in 2010 to a warm reception and became an instant hit due to its modern characteristics and strong performance. It has been such a success that the Pak Suzuki Motor Company (PSMC) is still selling it in Pakistan while skipping the launch of the third-generation Swift.
Hyundai Elantra is Coming to Pakistan Very Soon
Recent reports have revealed that the Elantra is set to hit the Hyundai Nishat dealerships across Pakistan very soon. One of the highly anticipated cars, Elantra is a compact family sedan that will take on the likes of Honda Civic and Toyota Corolla.
Pakistan Oxygen to set up electrode manufacturing facility in Karachi
KARACHI: The Board of Directors of Pakistan Oxygen Limited in its meeting held on Monday has approved an investment plan of about Rs 417.5 million for setting up a new electrode manufacturing facility at Karachi.
EPCL’s plant begins operation
KARACHI: Engro Polymer and Chemicals Limited (EPCL) on Monday announced that commercial operation date of the new PVC plant of 100,000 tons capacity has been achieved.
-Word of the Day-
A circuit breaker is an emergency-use regulatory measure to temporarily halt trading on an exchange. Circuit breakers are in place to try to curb in panic-selling. They can also be triggered on the way up with manic-buying.