Market remained strong today on first Ramzan as the cases haven’t spiked materially. There was a political noise over the arrest of leader of religious party (TLP) that could have dampened the sentiment. However, at the moment, there are no signs of panic yet in Pakistan. Investors seem to be relieved over the fact that government has readied growth plan for next year with GDP growing at 4.2%, Tax collection at 11.2% of GDP, Budget deficit at 6%, CAD at $4.7b & PSDP at Rs 800b. That’s showing govt’s resolve to keep spending higher & avoid Primary Surplus.
KASB Market View
Political noise seem to be receding as well as opposition parties have formally split from previously aligned PDM. Secondly, bail of Shahbaz Sharif – leader of opposition – is likely to pave way for better functional relationships in the parliament preparing for next electoral reforms. We expect market to remain flattish to positive over next few days on the back of no rising cases & corporate profitability.
Pakistan set to achieve fiscal sustainability: IMF
Pakistan is all set to achieve some major goals including fiscal sustainability under the Extended Fund Facility (EFF), International Monetary Fund (IMF) Country Representative Teresa Daban Sanchez said on Wednesday.
Pakistan’s SDGs project performance drops to 58pc: ADB
Pakistan’s project performance related to sustainable development goals dropped to 58 percent in 2018–2020 from 70 percent in 2017–2019 due to poor performance in the public sector management and water sectors, Asian Development Bank (ADB) said.
EFF programme open to adjustment
The duration and size of the International Monetary Fund’s (IMF’s) Extended Fund Facility (EFF) programme continues to be the same, however it will be adjusted in the event of a need arising as a consequence of to third Covid-19 wave.
Budget Strategy Paper focuses on reduction of twin deficits
The Medium-Term Budget Strategy Paper for FY 2021-22 to FY 2023-24 has been formulated with a focus on sustainable growth, job creation, protection of vulnerable segments of society, inflation and price control, Prime Minister’s special initiatives, and reduction of twin deficits.
NCOC decides to implement ‘broader lockdowns’
Pakistan, on Wednesday, issued new coronavirus standard operating procedures (SOPs) including broader lockdown, market timings, Taraweeh prayers, and public transport. A special meeting of the National Command and Operation Center (NCOC) chaired by Chairman NCOC Asad Umar held here to review situation of the coronavirus in the country and religious activities during Ramazan.
Covid-19 deaths reach record 135 mark
Pakistan, Wednesday, reported 135 Covid-19 deaths, the highest number of coronavirus deaths since June 2020, the National Command and Operation Centre (NCOC) said. According to NCOC data, the national tally of active Covid-19 cases recorded at 76,757 with 4,681 more people tested positive for the deadly virus.
OGRA recommends cut in POL products’ prices
The Oil and Gas Regulatory Authority (OGRA) has worked out a reduction in ex-depot prices of petroleum products for the second half of April owning to downward trend in global oil prices in current months.
Power tariffs need to go up, says IMF
The International Monetary Fund’s (IMF) resident chief in Pakistan, Teresa Daban Sanchez, has said that the government would have to hike electricity tariff to ensure cost recovery of power generation and to grant long overdue autonomy to the State Bank of Pakistan (SBP) in line with the best international practices.
ECC exempts three Punjab power plants from LNG purchase
The Economic Coordination Committee (ECC) of the Cabinet on Wednesday exempted three Punjab-based power plants of 3,900 megawatts from compulsory purchases of liquefied natural gas (LNG) quantities from January 2022, removed a major power plant from privatisation list and withdrew customs duty on import of cotton yarn.
HBL opens second branch in Beijing
HBL has opened its second branch in Beijing and has become the first bank in Pakistan to offer end-to-end intermediation in China in Chinese currency. According to bank sources, the Beijing branch would allow HBL to interact with regulators, major state-owned enterprises (SOEs) and leading financial institutions involved in China-Pakistan Economic Corridor and across other Belt and Road Initiative (BRI) corridors.
IMF assured lagging banks likely to meet MCR by end-Sept
The government has assured International Monetary Fund (IMF) that three local banks, short of central bank’s minimum capital requirement (MCR), are expected to meet these regulatory standards in the third quarter of 2021, The News has learnt.
Low-cost housing scheme to be expanded: PM
Prime Minister Imran Khan on Wednesday said the government’s special focus on housing and construction sector would strengthen national economy, stabilize industrial growth and generate employment for youth.
-Word of the Day-
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