The Pakistan Stock Exchange marked a historic day yesterday as trading volumes shot to an all-time high of 1.56 billion shares. The market saw a bullish trend coupled with across-the-board trading, which helped the index climb over 500 points.
KASB Market View
We expect the market to focus on key developments on the upcoming federal budget. The bullish momentum can continue in the coming days and investors are advised to view any dip as a buying opportunity in the banking and cement sector stocks trading at a discount. We expect the market sentiments to remain largely positive as status quo is expected in tomorrow’s Monetary Policy.
Fertilizer offtake declines by 10.4% YoY in April
Total nutrient offtake during the month of April 2021 was about 239 thousand nutrient tonnes, showing a decrease of 10.4 percent over the same timeframe of 2020. Nitrogen and Potash offtake increased by 10.5 and 35.9 percent respectively while phosphate offtake decreased by 53 percent over April 2020.
Sales tax remains top revenue contributor in July-Dec
The sales tax remained top revenue contributor with 41.5 percent share in the total tax collection of the Federal Board of Revenue (FBR) during the first half (July-December) 2020-21, followed by direct taxes with 37.6 percent, customs duty 15.3 percent, and the Federal Excise Duty (FED) 5.6 percent share.
Ecnec approves 10 projects worth over Rs361bn
The Executive Committee of the National Economic Council (Ecnec) has approved over Rs361 billion 10 projects for different sectors of the economy, on Wednesday. Finance Minister Shaukat Tarin, who chaired the Ecnec’s virtual meeting, directed the Planning Commission to prioritize projects that are of strategic nature or can be completed in a shorter period of time to save the exchequer from cost overruns and unnecessary delays in the completion of projects.
Nepra censures Discos, recommends privatization
Showing grave concern at the continuous poor performance and data fudging by power Distribution Companies (Discos), National Electric Power Regulatory Authority (Nepra) has recommended their privatization.
Advance income tax on telecom sector to be reduced
The Finance Ministry has assured of reducing advance income tax on telecom sector from 12.5 percent to 10 percent in the upcoming budget for 2021-22, said Federal Minister for IT and Telecommunication Syed Aminul Haque.
IT Park in Karachi: Centre to arrange $158.5m foreign loan
Federal Government will arrange Rs26.5 billion ($158.5 million) foreign loan for the establishment of IT Park in Karachi. The total cost of the project is Rs31.2 billion, out of which federal government would put in Rs4.72 billion, the official document of the project revealed.
EU reassured 27 GSP+ conventions will be implemented
Foreign Minister Shah Mahmood Qureshi Wednesday reassured Pakistan’s commitment to the European Union (EU) for effective implementation of the GSP-Plus related 27 international conventions and underscored that the facility had been mutually beneficial and played an important role in growth of trade between the two sides.
Provinces likely to face more water shortages
The Indus River System Authority (Irsa) on Wednesday expressed concern that Tarbela reservoir can touch dead level during the next 24 to 48 hours, and provinces may face more shortages than anticipated previously.