Day: April 2, 2024

Federation of Pakistan Chambers of Commerce and Industry (FPCCI) President Atif Ikram Sheikh has said that the increase in property taxes up to 400 percent in the federal capital is cruel and should be withdrawn immediately. He said the priority of the government should be to increase the tax net instead of imposing new taxes. He said that the business community wants to pay taxes, but the tax system has to be modernized and simplified because the difficult tax system is a big obstacle in this regard. Sheikh said that no one can become a member of the chambers of Pakistan without being a tax filer. We pay taxes and are in favor of paying taxes, but taxes should be rational. He suggested that all stakeholders should be consulted in this regard before a final decision is taken. He added that the increase in property tax in Islamabad will make the city even more expensive. Source: ProPakistani

MCB Bank has entered into a strategic partnership with Euronet Pakistan, a division of Euronet Worldwide (NASDAQ: EEFT) and an industry leader in processing secure electronic financial transactions. A signing ceremony was presided by MCB Bank President and CEO, Mr. Shoaib Mumtaz, accompanied by senior leadership of both the organizations. The agreement was signed between Bank's CIO, Mr. Faisal Anwar and Mr. Kashif Gaya, CEO Euronet Pakistan. This partnership represents both companies' shared objectives of customer-centricity and customer-success. Under this arrangement, MCB Bank's valued customers will benefit from a superior digital user experience through Euronet's technological prowess. Speaking on the occasion, Mr. Shoaib Mumtaz said: 'Our collaboration underscores MCB's commitment to innovation and excellence in the banking sector. We seek to enhance customer experience and expand our service offerings. MCB Bank will continue to aim at strengthening our position as a leader in the industry, deliveri ng seamless and efficient banking solutions to our diverse customer base'. Mr. Faisal Anwar also expressed positive thoughts, he stated: 'The bank has embarked upon the journey of transformation, ensuring a frictionless banking experience is extended to our customers, payments being one of the main pillars to ensure the long terms objectives are well aligned with the strategic view, we feel confident that our partnership with Euronet will not only bring this closer to objectives but will also ensure to deliver this with agility and quality' Mr. Kashif Gaya also shared excitement, saying: 'We are delighted to partner with MCB Bank, one of the leading financial institutions in Pakistan. This partnership underscores our commitment to delivering robust, innovative, and reliable payment solutions that meet the evolving needs of our clients and their customers. We would like to thank MCB team for selecting Euronet and we look forward to this long-term strategic partnership'. In addition to the POS driving and Ec ommerce Processing, Euronet will now also serve as the Debit Cards and ATM driving processor for MCB Bank; which further solidifies Euronet's position as the preferred technology partner for Card Issuance, Acquiring and Payment processing in Pakistan. Source: ProPakistani

The price of gold in Pakistan dipped slightly on Tuesday but remained above Rs. 237,000 per tola. According to data issued by the Karachi Sarafa Association, the price of gold (24 carats) fell by Rs. 500 per tola to Rs. 237,100, while the price of 10 grams decreased by Rs. 429 to Rs. 203,275 The recent increase in the price of gold, driven by an increase in international gold prices, saw the precious metal surge by Rs. 19,100 tola during March. Currently, the price of gold is hovering near the all-time high of Rs. 240,000 per tola. In the international market, spot gold was up 0.5 percent to $2,260.7 per ounce by 0946 GMT. The bullion also rose by 9.3 percent in March, the biggest monthly growth since July 2020. Source: ProPakistani

Pakistan International Airlines Corp Limited (PIAA) has revealed plans for restructuring and its shareholders will vote on this proposal at an Extraordinary General Meeting on April 20th, 2024, in Karachi. The scheme involves splitting the business into two parts: the Core Undertaking (PIA) and the Non-Core Undertaking (Holdco). The latter will encompass non-aviation assets like hospitality and real estate, transforming into PIA Holding Company Limited (Holdco). Existing shareholders' interests will be preserved through an exchange of their PIAA equity for fresh shares in the holding company, maintaining their ownership percentage. The objective of this move is to stabilize PIA financially, requiring significant capital infusion over the next five years. It also sets the stage for PIA's restructuring as a subsidiary of Holdco, facilitating the privatization process to attract a strategic partner. Financially, pre-split assets amounted to Rs. 171 billion as of September 2023, with Rs. 147 billion for the Core Undertaking and Rs. 25 billion for the Non-Core Undertaking. Shareholders' equity in PIAA will be replaced with holding company shares, while liabilities are split with Rs. 629 billion attributed to the non-core segment and Rs. 202 billion to the core undertaking. Currently, PIA's net equity is at Rs. 659 billion, with the core undertaking projected to have Rs. 56 billion post-restructuring, while the remaining Rs. 604 billion will be transferred to a holding company. The approval of the scheme will be subject to sanction by the Securities and Exchange Commission of Pakistan (SECP). Source: ProPakistani

National Highways and Motorway Police and Pakistan Customs jointly signed a memorandum of understanding to develop procedures for the prevention of smuggling on National Highways and Motorways on modern lines and to increase cooperation in other areas. Deputy Inspector General Police (Operations) Saad Akhtar Bharwana and Chief (Facilitation and Coordination) Pakistan Customs Ayesha Bashir Wani signed the MoU at Central Police Office Islamabad. Inspector General, Salman Chaudhry, Member Customs (Operations) Dr Farid Iqbal Qureshi and senior officials of both departments were also present on this occasion. The main objective of signing the MoU is to prevent the illegal transportation of non-customs-paid vehicles and smuggled goods through motorways and highways. National Highways and Motorway Police and Pakistan Customs will further promote mutual cooperation and professionalism with each other. Both departments will ensure proper implementation of the SOPs issued in light of their respective rules. If any action is intended to be taken at the entry or exit points of the motorways, it will be done in the light of the National Highway Safety Ordinance 2000. Keeping in view the safety and convenience of the commuters, Pakistan Customs shall take NHMP onboard prior to any action on the motorways. If any action is intended to be taken against suspicious vehicles Customs personnel will not be able to establish any permanent picket or deploy personnel and vehicles at toll plazas, rest areas, and weigh stations. For prompt and effective exchange of information focal persons will also be nominated from either side. Both departments will organize regular training sessions from time to time to further enhance the professional skills of the officers through mutual cooperation Source: ProPakistani

Pakistan's textile exports increased by 3.2 percent year-on-year (YoY) in March 2024 and stood at $1.3 billion compared to $1.26 billion during the same period last year, data by All Pakistan Textile Manufacturers Association (APTMA revealed Tuesday. On a month-on-month basis, textile exports show a 7.8 percent decline compared to the $1.41 billion exports witnessed in February 2024. This is the lowest level of exports since April 2023, according to Arif Habib Limited. The country's overall exports during July-March FY24 totaled $12.44 billion against $12.48 billion during the corresponding period of last year, showing a decrease of 0.3 percent YoY. APTMA recently raised concerns over the local textile export industry losing ground in the global market. This decline is attributed to the significant surge in energy tariffs. The association said these increases are making it difficult for Pakistani textile exports to remain competitive internationally. APTMA emphasized that the recent spike in gas tariffs has had devastating consequences for the textile sector. Source: ProPakistani