Day: May 11, 2024

The Special Investment Facilitation Council (SIFC), aimed at attracting and facilitating investment in Pakistan, requires safeguards to bring projects identified through the SIFC under Pakistan's existing PIMA framework to ensure accountability and transparency, as per a new IMF report. The new IMF report on Pakistan released on Friday adds that this is particularly important given the SIFC's power to offer regulatory relief and other immunities and the centrality of a level playing field for all investors. Significant progress was made over a short period on the structural reform agenda, though the creation of the SWF and SIFC in August 2023 poses risks to the SOE reform and business environment agendas. However, much more is required in the areas noted to achieve medium-term viability and address Pakistan's broader structural challenges, including its narrow export base, low private investment, and FDI. Further challenges include a weak revenue base relative to public investment needs, low health and ed ucation spending levels in the context of major human capital development needs, elevated poverty levels, and income and gender inequality. The Pakistani authorities committed to the Fund that they will also establish a set of best transparency and accountability practices for SIFC operations, including ensuring that all investments made under SIFC result from the standard Public Investment Management framework. Source: Pro Pakistani

The Pakistani authorities' overall performance against end-December quantitative performance criteria (QPCs), Indicative Targets (ITs), and Structural Benchmarks (SBs) under the Stand-By Arrangement (SBA) was satisfactory, says the International Monetary Fund (IMF). The Fund in its report titled ' Second and final review under the SBA', stated that the authorities met all seven quantitative Performance Criteria (PCs) for end-December 2023. This includes: The floors on net international reserves of the SBP. Targeted cash transfer spending. The ceilings on net domestic assets of the SBP. The SBP's FX swap/forward book. Net government budgetary borrowing from the SBP. The general government's primary budget deficit. Government guarantees. They also met both continuous PCs on zero new flow of SBP credit to the government, and zero external public payment arrears. The authorities also met all four ITs for end-December 2023: The floors on budgetary health and education spending FBR net tax revenues. T he ceilings on the net accumulation of tax refund arrears. Power sector payment arrears. The Structural Benchmarks were met as well: The BISP inflation adjustment. Notification of the semiannual gas tariff adjustment determination. The development of a plan to strengthen the SBP's internal control systems in lending operations. Not granting further tax amnesties. Avoiding new preferential tax treatments or exemptions. Maintaining an average premium of no more than 1.25% between the interbank and open market rates. Work toward amending four dedicated SOE laws (missed SB, end-November 2023) was not met but remains in progress to align legislation with requirements; the timing of its passage is contingent on the recently seated National Assembly. Source: Pro Pakistani

The government of Pakistan needs to negotiate bilateral agreements effectively as well as Free Trade Agreements (FTAs) to increase the non-traditional exports of the country, says Dalwence CEO Umar Ahsan Khan. The executive stated this while addressing a press conference that was joined by Can Dincer, Chief Commercial Officer of Trkiye and South Asia at Arçelik on Friday, where they also announced to start of exporting Air Conditioners from Pakistan. Dawlance is a wholly-owned subsidiary of Arçelik, the flagship of Trkiye's Koc Group - the largest manufacturer in Europe, which provides investments and technological expertise to create innovative technologies in Pakistan. Khan said that the current FTAs are not favorable and need aggressive agreements like those with China. The CEO further quoted high tax and energy costs as major impediments, making them uncompetitive in the market. At this event, Dawlance also took the opportunity to launch a new range of premium products under the umbrella of 'Dawlance Prima Line - Designed for Better.' Dawlance Prima Line's debut product category, the No-Frost Refrigerator, offers solutions for the challenges in the Pakistani market such as scarcity and rising prices of energy in the region, which cause power fluctuations and load-shedding. By the end of the year 2024, other Dawlance Prima Line products will also be introduced in Pakistan. Emphasizing the contribution of Arçelik's experience in international markets and expertise in innovation to the Pakistani market, Can Dincer said, adding that: Prima stands for prime and summarizes our vision within the country. We are proud to launch Pakistan's first premium product line-up 'Dawlance Prima', which demonstrates our commitment to Pakistani customers. We believe in the potential of Pakistan. We will further invest in production, technology, retail, and customer experience in the country. Over the years, Arcelik has invested more than 300 million Euros in Dawlance. Its research and development efforts have created many new technologies, while its products promise up to 60% energy conservation. With a local RandD center established in Pakistan and support from Turkish engineers, Dawlance is dedicated to enhancing global collaboration and diversification, fostering self-reliance in creating European-quality products for the Pakistani market. Source: Pro Pakistani

The Competition Commission of Pakistan (CCP) has taken notice of deceptive marketing by several beauty products manufacturers and issued notices to 12 companies regarding their false and misleading claims. CCP's preliminary probe revealed that these undertakings were prima facie engaged in 'greenwashing', advertising their products as 'Natural, Organic, Sustainable, Pure, and Chemical Free' without having any scientific evidence to support their claims. Such unsubstantiated marketing claims not only mislead the consumers but also pose potential health risks to unwary users. The notices issued by CCP may set a significant precedent for responsible marketing practices that prioritize environmental integrity and consumer trust. The undertakings in this business strategically omit the material information about the chemical/synthetic ingredients in their products from labels and marketing communications or use misleading terminology, imagery, or labeling practices to hide the presence of inorganic components or chemical additives. Hence, the consumers are significantly attracted by their environment-friendly assertions like '100% Organic, 100% Natural, 100% Pure, 100% Satisfaction guaranteed, Pakistan's No.1 Skincare Brand, Pakistan's Best Organic and Natural Brand, Pakistan's No.1 Online Organic Brand' and claims of the same kind. The Competition Act, of 2010 prohibits deceptive marketing practices under Section 10 of the Act. The Commission is further mandated to ensure fair market competition for consumer protection. The CCP, therefore, calls for the accuracy, integrity, reliability, and truthfulness of all marketing communications to honestly help the consumers in their purchase decisions. Marketing claims must be substantiated with valid scientific evidence to prevent the distribution of false or misleading information to consumers. The companies must compete based on safety, innovation, value for money, quality, and effectiveness of their products. The Commission is fully committed to enforcing the law a nd any company found guilty of deceptive marketing practices will face strict enforcement actions including penalties. In collaboration with consumers, producers, retailers, and relevant stakeholders, the CCP aims to ensure fair competition to protect the rights of consumers in the beauty products market. Furthermore, the CCP urges consumers to remain vigilant and promptly report to the Commission any instances of deceptive advertising, false claims, or health hazards faced. Source: Pro Pakistani

Sky 9 Developers, a pioneering name in Pakistan's real estate and hospitality sector, proudly announces the inauguration of the first international branded hotel in Islamabad Zone 5, Best Western. The grand inauguration ceremony, held under the supervision of Chairman Syed Musheer Hussain and CEO Syed Mustafa Hussain, marks a significant milestone in the hospitality landscape of Pakistan. Visionary Hospitality Expansion Sky 9 Developers has long aimed to revolutionize Pakistan's hospitality sector by introducing renowned international hospitality brands. This vision takes flight with the inauguration of Melrose Arch, the signature project featuring Best Western. Melrose Arch stands as a beacon of luxury living, making luxury affordable and accessible to all. Distinguished Guests and Market Growth The inauguration ceremony was graced by Chief Guest Managing Director Hashoo Group, Syed Haseeb Amjad Gardezi, and Vice President of Nayatel, Sheikh Wajid Mahmood, highlighting the esteemed presence of industry leaders. As the project is commissioned to Hashoo Group (Pakistan Services Limited) for management and operations, Pakistan Services Limited Hotels continues to leverage over 50 years of success, aiming to remain Pakistan's leading hotel group. Moreover, Nayatel's Vice President Sheikh Wajid Mahmood, credited with incorporating state-of-the-art technology into Melrose Arch's amenities, also honored the event, further exemplifying collaborative efforts driving the project's success. Nine Keys: Pioneering Excellence in Real Estate Marketing and Sales As per CEO Nine Keys Pvt Ltd 'Nine keys being the fastest emerging real estate company embarks on any project and conduct thorough due diligence. This involves evaluating factors such as project delivery timelines, transparency, locality, all necessary approvals, and quality assurance. Additionally, it also assess the project's future viability in terms of revenue generation. And Melrose Arch fulfills all the mentioned criteria Nine Keys opted for marketing and selling this project due to its track record as one of the most steadfast projects in the twin cities, especially during challenging economic times as well as its idealistic location in Zone 5, which connects Islamabad and Rawalpindi, serving a population of 1.5 to 2 million plus people.' Melrose Arch- One of a Kind Hospitality Project Melrose Arch stands out as the most brand-rich hospitality project in the country. With 104 keys and 26 commercial spaces hosting 12 national and international brands, it offers unparalleled convenience and luxury. The project boasts a rooftop international restaurant, designed to host up to 300 people. It is not only the first hospitality project delivered in a decade but also the fastest delivered in the twin cities, initiated in 2020 and delivered in 2023 ahead of schedule. Forward Momentum As Melrose Arch announces a new era of luxury hospitality, Sky 9 Developers remains committed to delivering excellence. With projects like Melrose Arch and the upcoming Sky Luxe, set to be delivered ahead of schedule, Sky 9 Developers continues to redefine the real estate and hospitality landscape of Pakistan. Source: Pro Pakistani