Day: November 19, 2021

The Rawalpindi Chamber of Commerce & Industry (RCCI) on Friday expressed strong reservations over an increase of 150 basis points in the interest rate by the State Bank of Pakistan, taking it from 7.25 percent to 8.75 percent.

In a statement, President RCCI Nadeem Rauf urged the government to withdraw the hike as it would increase the credit cost of commercial banks, ultimately casting a bad impact on the growth of industrial activities and creating more hardships for the Small and Medium Enterprise (SME).

He said the central bank raised its interest rate by a sharp 150 basis points in one go which would discourage the investors considering Pakistan for investment.

Nadeem Rauf said Pakistan needed a quick revival of business and industrial activities to improve the economy which was badly hit by COVID-19. He underlined that the increased interest rate would make the cost of credit unaffordable for the business community.

The RCCI chief observed that the government was already facing pressure on the fiscal deficit. He said the increase in interest rate would heighten the budget deficit. He urged Advisor on Finance Shaukat Tarin to review the SBP announcement and hold a meeting with the business leaders to discuss and devise a new strategy to strengthen the economy.

Source: Pro Pakistani

Ministry of Economic Affairs and Pakistan Institute of Development Economics have signed an MoU for enhancing collaboration in the field of research and public policy analysis.

Secretary Ministry of Economic Affairs witnessed the signing of MoU between the Ministry of Economic Affairs and PIDE Islamabad. The MoU was signed by Zulfiqar Haider, Additional Secretary, EAD, and Vice-Chancellor PIDE, Dr. Nadeem-ul-Haq.

Secretary, EAD, and Vice-Chancellor PIDE, Dr. Nadeem-ul-Haq acknowledged the importance of developing linkages of Academia in the policy-making process and the need for a comprehensive analysis of Foreign Economic Assistance in Pakistan. By signing the MoU, both sides are agreed to promote collaboration in the field of research and public policy analysis with a particular focus on foreign aid and its effectiveness.

In collaboration with the EAD, the ‘Foreign Aid Effectiveness Unit’ will be established in PIDE. The Unit will conduct research on topics related to foreign economic and technical assistance to Pakistan. It will examine the economics of Foreign Economic Assistance by exploring the role of International Finance Institutions, debt management, aid volatility, and their consequences for Pakistan’s economy. It will help the Ministry of Economic Affairs in evidence-based decision-making and set development priorities for short, medium, and long-term commitments.

Secretary Economic Affairs and Vice-Chancellor PIDE agreed to maintain regular and reasonable contact and engage in discussions, events, and conferences regarding research areas pertaining to this MoU.

Source: Pro Pakistani

The Senate approved on Friday the National Accountability Bureau Amendment Ordinance 2021 and the Journalists Protection Bill along with a few other significant bills amid protest by the opposition.

Chairman Sadiq Sanjrani chaired the Senate meeting held at the Parliament House.

Minister for Law, Senator Faraogh Naseem, presented the NAB Amendment Bill in the Senate as a supplementary agenda. The protesting opposition tore down the agenda copies. The Chair asked for counting. There were 34 votes in favor of the bill while 28 votes were against it. The Senate passed the NAB Amendment Bill amidst the prevailing noise by the opposition members who surrounded the Chairman Senate dice and threw the bill copies.

Federal Minister for Human Rights, Shirin Mazari, introduced the Justice System for Adolescents Amendment Bill 2021 in the House. The Chairman Senate referred the bill to the relevant committee.

A bill seeking to protect the journalists called as Protection of Journalists and Media Professionals Bill, 2021, was also passed in the Senate, while it was also opposed by the opposition members.

Meanwhile, members of the government chanted slogans of “Respect the Vote” and “Long live Imran Khan”, while the opposition raised slogans of “Rubber Stamp Parliament”.

The House also passed another two bills, including: “The Higher Education Commission (Amendment) Bill, 2021”, “The Higher Education Commission (Second Amendment) Bill, 2021”.

Earlier, Minister of State for Parliamentary Affairs, Ali Muhammad Khan, said that the kidney and liver transplantation facility would be provided to people at government expenses in the near future.

The minister said that from 2013 to 2018, Pakistan Tehreek-e-Insaf (PTI) government launched the health cards program in Khyber Pakhtunkhwa. Initially, it was up to Rs 500,000, however now it has been increased to Rs. 1 million, he added.

The minister was responding to a question of Senator Seemee Ezdi about the laws framed for regulating the medical profession in Pakistan and controlling the acts of healthcare providers.

He said the Islamabad Healthcare Regulatory Authority (IHRA) was established in 2018 under the Islamabad Healthcare Regulations Act, 2018 to regulate the healthcare sector and ensure the provision of quality healthcare services in Islamabad.

Ali Muhammad Khan informed the House that the government is coordinating with the US authorities for the repatriation of Saifullah Paracha and some other Pakistanis from Guantanamo Bay. Responding to another question, he said seven new educational institutes will be constructed in Islamabad territory. He said 230 new classrooms were built in 31 institutes of the capital.

The minister said the federal government provided over Rs. 39 billion to public sector universities in Khyber Pakhtunkhwa during the last three years.

Later the chairman prorogued the session for an indefinite period.

Source: Pro Pakistani

The Sensitive Price Indicator (SPI) for the week ended on November 18, 2021, recorded an increase of 1.07 percent due to the hike in prices of different commodities.

The prices of chicken increased by 8.26 percent, cooking oil by 4.72 percent, bananas by 4.18 percent, washing soap by 3.94 percent, vegetable ghee by 3.15 percent, rice by 1.76 percent, pulse moong by 1.62 percent, eggs by 1.52 percent, and firewood by 1.24 percent), according to Pakistan Bureau of Statistics (PBS).

The year-on-year trend depicts an increase of 18.34 percent mainly due to the increase in prices of LPG (76.12 percent), electricity in the first quarter of the fiscal year 2021-22 (75.32 percent), vegetable ghee one kilogram (56.94 percent), cooking oil five liters (56.28 percent), mustard oil (55.42 percent), vegetable ghee 2.5 kg (52.94 percent), petrol (44.35 percent), diesel (40.21 percent), washing soap (37.70 percent) and powdered chilies (34.18 percent), while a major decrease was observed in the prices of onion (38.61 percent), pulse moong (28.80 percent), potatoes (26.55 percent), tomatoes (6.34 percent), and sugar (3.51 percent).

According to the latest data, the SPI went up from 167.50 percent during the week ended on November 11, 2021, to 169.29 percent.

The SPI for the consumption groups up to Rs. 17,733, Rs. 17,733 to Rs. 22,888, Rs. 22,889 to Rs. 29,517, Rs. 29,518 to Rs. 44,175 and for above Rs. 44,175 increased by 0.39 percent, 0.53 percent, 0.91 percent, 1.06 percent, and 1.44 percent respectively.

During the week, out of 51 items, prices of 27 items increased (52.94 percent) and 10 items decreased (19.61 percent), while the prices of 14 items remained stable (27.45 percent), said the PBS in weekly SPI data.

The commodities which recorded increase in their average prices include chicken (8.26 percent), cooking oil dalda or other similar brand (sn), five liter tin each (4.72 percent), bananas (4.18 percent), Sufi washing soap 250gm cake each (3.94 percent), vegetable ghee Dalda/Habib 2.5 kg tin each (3.15 percent), vegetable ghee Dalda/Habib or other superior quality 1-kg pouch each (2.38 percent), rice irri-6/9 (1.76 percent), pulse moong (1.62 percent), eggs hen (1.52 percent), firewood whole (1.24 percent), tea prepared ordinary per cup (1.21 percent), pulse mash (0.99 percent), powdered salt (0.90 percent), matches box (0.88 percent), long cloth 57" Gul Ahmed/al-Karam 1 meter (0.84 percent), shirting (0.83 percent), cooked beef (0.69 percent), georgette (0.64 percent), bead plain (0.63 percent), chilies powder National (0.56 percent), mustard oil (0.47 percent), rice basmati broken (0.38 percent), powdered milk (0.24 percent), fresh milk (0.20 percent), curd (0.19 percent), beef with bones (0.19 percent) and mutton (0.15 percent).

The commodities which recorded a decrease in their prices during the period under review include tomatoes (5.77 percent), refined sugar (4.25 percent), onion (2.14 percent), gur/jaggery (1.48 percent), potatoes (1.36 percent), pulse masoor (0.43 percent), garlic (0.13 percent), wheat flour bag 20 kg (0.08 percent), LPG (0.08 percent) and pulse gram (0.02 percent).

The commodities which marked unchanged prices during the period included tea Lipton Yellow Label, cooked daal, cigarettes Capstan 20’s packet each, lawn-printed Gul Ahmed/al-Karam 1 meter, gents sandal Bata pair, gents sponge chappal Bata pair, ladies sandal Bata pair, electricity charges for fist quarter of the fiscal year per unit, gas charges, energy saver, petrol super per liter, hi-speed diesel per liter, telephone call charges and toilet soap lifebuoy.

Source: Pro Pakistani

The Federal Board of Revenue (FBR) has decided to penalize the tax officials putting external pressures on the top FBR management for their postings, transfers, deputations, or other service matters.

In this connection, the FBR has issued a stern warning to all its officials on Friday.

In October 2020, the board had expressed serious concerns over the exertion of political pressure by the officers of Inland Revenue Service (IRS) and Pakistan Customs Service (PSC) in the FBR administrative matters, including transfers and postings. Nonetheless, the political pressure on the FBR management has been continuing. Now FBR has issued another warning with a decision to take strict action against the officials involved in the malpractice.

According to the memorandum, the FBR has conveyed its serious concerns to ‘certain officers’ who in total disregard to Rule 19 & 29 of Government Servants (Conduct) Rules, 1964 resort to exerting political/external pressures on the top management in connection with their postings/transfers/deputations and other service matters etcetera.

The FBR warned that the said act is a “misconduct” under the Government Servant (Conduct) Rules, 1964 read with Government Rule 2(1)(k) of Civil Servants (E&D) Rules, 2020 (unbecoming of officers professional conduct) and attracts disciplinary action under the relevant rules.

Moreover, it is further reiterated that under rule 5(e) of the Directory Retirement Rules, 2020, this act is unbecoming of a Civil Servant and can be one of the grounds for directory retirement of Civil Servants. In future all such cases shall be placed before the DRB/DRC for consideration, according to FRB.

“All officers of FBR are hereby warned in their own interest to shun this attitude. All such officers are immediately marked and necessary observations are placed in their personal dossiers for cognizance at a later time. In this respect, all field heads are requested to disseminate this information with the needed seriousness to all officers under their command,” FBR added.

Source: Pro Pakistani

The Information & Communications Technology (ICT) export remittances, including telecommunication, computer, and information services, have surged to $830 million during July-October of the current fiscal year, posting a growth rate of 39.26% as compared to $596 million during the same period in the FY2020-21.

The net exports for the period July-October FY2021-22 are $630 million, which is 75.9% of $830 million in exports. For the same period last year, the net exports were $423 million, meaning 70.97% of $596 million in exports.

The government has set a target of $5 billion for export remittances through IT and IT-enabled services for the next three years.

A government spokesperson told ProPakistani that the target of IT export remittances set for 2023 is $5 billion after record remittances made last year. The official added that more than 6,000 Pakistan-based IT companies were providing IT products and services to entities in over 100 countries.

It is worth mentioning here that the export remittances of IT and IT-enabled services, comprising computer services and call center services, surged to $2.123 billion at a growth rate of 47.43 percent in the fiscal year as compared to $1.44 billion during 2019-2020.

The spokesperson said the government was taking all possible steps to ensure a long-term IT industry growth trajectory and to enhance IT industry exports to $5 billion by 2023.

On an overall basis, strong incentives are being provided to the IT industry, and there are several projects intended to facilitate and assist the IT industry in its growth trajectory and to ensure continued upward momentum in local and export earnings. Pakistan was ranked the 3rd most popular country for freelancing in the world, and Pakistani IT companies are providing products and services to the world’s largest companies, the official concluded.

Source: Pro Pakistani