The Business Times

23/06/2023

Our sincere condolences on the tragic loss of Mr. , a distinguished philanthropist, and his son. Our thoughts are with their grieving loved ones during this challenging time. May their souls rest in eternal peace.

14/06/2023

Petroleum Company Limited (SPCo) has announced that it will sell 77% of its shares in SPL (Shell Pakistan Limited) due to a decrease in sales and purchases in Pakistan. However, the company has stated that this decision will not affect businesses operating under SPL, and they will continue operations for the benefits of their customers and stakeholders.

07/06/2023

, a global food delivery network and technology pioneer, has launched "Share The Table," an initiative aimed at empowering startups in Karachi. Startups are invited to work from foodpanda's office, providing them with a conducive workspace and valuable resources. This initiative aims to support the tech startup ecosystem and help aspiring entrepreneurs achieve their goals. One of the first beneficiaries of "Share The Table" is BusCaro, a Karachi-based startup focused on simplifying reliable and secure mobility in Pakistan.

01/06/2023

A delegation from , led by Eugene Willemsen, CEO of Africa, Middle East, and South Asia, met with Senator Ishaq Dar, the Federal Minister for Finance and Revenue. Willemsen expressed confidence in 's growth potential and highlighted the investment-friendly environment. He discussed the company's profile, business operations, and its contribution to Pakistan's revenue growth. The delegation also raised concerns about taxation and imports. Minister Dar acknowledged PepsiCo's economic contribution through FDI and revenue generation. He emphasized the government's efforts to promote stability, growth, and ease of doing business. The government assured support for PepsiCo's business expansion and investment in Pakistan. The meeting was attended by SAPM on Finance Tariq Bajwa, SAPM on Revenue Tariq Pasha, and senior officials from FBR.

30/05/2023

The power sector in Pakistan is undergoing a significant transformation, transitioning towards a liberalized market model known as the Competitive Trading Bilateral Contract Market (CTBCM). To delve deeper into this industry shift and gain valuable insights, check out this informative article: https://www.thenews.com.pk/tns/detail/1074404-opening-up-the-power-sector

The introduction of competition in the power sector will benefit consumers in the long run

28/05/2023

We are deeply saddened by the demise of the formidable Dr. Seemin Jamali, known as the iron lady. She served as the executive director of Jinnah Postgraduate Medical Centre, Chairperson of the National Health Task Force, and a member of the SPSC. She was a recipient of the prestigious Tamgha-e-Imtiaz and Women Achievement Awards.

Rest in Peace, a true force of inspiration and dedication.

27/05/2023

The Institute of Policy Studies in Islamabad recently conducted a study revealing that the escalating electricity prices are pushing consumers to the brink of affordability and significantly influencing their consumption patterns. The study highlights the severe consequences of this alarming trend for Distribution Companies (Discos), as it greatly hampers their ability to recover financially.

To access the full research, you can visit the website of the Institute of Policy Studies at

Institute of policy studies conducted a research survey to analyze the impact of increase in electricity prices on consumer behavior. A total of 1,180 respondents […]

23/05/2023

Pakistan is gearing up to launch its first-ever online aerial taxi service, revolutionizing transportation within the country. Through a collaboration between Sky Wings and a foreign investor, this cutting-edge service will be available in Karachi within the next two weeks. The agreement with Jinnah International Airport further solidifies this exciting development. With the convenience of booking through a mobile app, the fares for this service will be significantly more affordable compared to traditional charter flights. Initially, the fleet will consist of eight aircraft, with plans for expansion in the near future. The introduction of this service is expected to benefit a wide range of professionals and ordinary citizens alike, providing them with a faster mode of travel and simultaneously boosting the country's sector.

21/05/2023

Group Chief Financial Officer (GCFO), PTCL & Ufone 4G, Nadeem Khan, has been nominated as a member of the Institute of Chartered Accountants of Pakistan (ICAP) on its prestigious Accounting Standards Board (ASB).

The ASB is responsible for overseeing the adoption, development, and implementation of accounting standards in the country, as well as providing guidance and recommending the adoption of new International Financial Reporting Standards (IFRS).

He has been appointed for a 4-year term.

19/05/2023

The All Pakistan Textile Mills Association (APTMA) has made a fervent appeal to the government, urging the revival of energy and other subsidies to give a much-needed boost to the country's textile exports. In a recently submitted draft budget proposal for the fiscal year 2023-24, APTMA has emphasized the restoration of the zero-rating status for the export sector and the implementation of a service-based tariff specifically tailored for exports.

To support its case, APTMA has put forth a comprehensive document outlining 15 crucial budgetary proposals that it believes are indispensable for the revival of textile exports. The decline in the country's textile group exports by a significant 12.40% (equivalent to $1.766 billion) during the initial nine months of the ongoing fiscal year 2022-23 (July-March) serves as a clear impetus for prompt action.

Among the proposals, APTMA's focus extends to vital matters such as refunds of deferred sales tax, the continuation of long-term financing facilities, the refunding of detention and demurrage charges, reasonable open access (wheeling) charges, and addressing the disparity in gas prices and availability between the export sectors of Punjab and Sindh.

APTMA has specifically urged the government to allocate a substantial portion of the budget to ensure the maintenance of the Regionally Competitive Energy Tariff (RCET) until the culmination of the upcoming fiscal year (FY24). It has highlighted that the existing discrepancy in gas prices and availability between Punjab and Sindh has hampered the operational capabilities of industries based in Punjab.

In addition, the association has called for the allocation of funds in the forthcoming budget to address the pressing issue of pending and deferred refunds, which have been posing significant challenges to the industry. These requests from APTMA underscore the critical importance of timely interventions to revive the textile sector and propel it towards sustainable growth and global competitiveness.

17/05/2023

The Pakistani rupee experienced a bearish trend against the US dollar during today's intraday trade, reaching a peak of 281.7 at 11:50 AM. However, in the afternoon, the rupee faced losses, with the interbank rate dropping by 50 paisas to a low of 285.5 before recovering slightly. Despite open market rates hovering around 290-295, traders anticipate uncertain trends due to increased economic and political volatility. At the close of the trading day, the PKR depreciated by 0.15 percent, settling at 285.4 after a loss of 44 paisas.

The PKR was green against most of the other major currencies in the interbank market today. It gained 50 paisas against the Canadian Dollar (CAD), Rs. 1 against the Australian Dollar (AUD), Rs. 1.27 against the Euro (EUR), and Rs. 2.1 against the Pound Sterling (GBP). However, it weakened against the Saudi Riyal and UAE Dirham.

11/05/2023

Pakistan has reiterated its unwavering commitment to accelerate the Pak-Iran Gas Pipeline project, recognizing its immense potential for energy cooperation.

In a high-level meeting between Commerce Minister Syed Naveed Qamar and Chairman Vahid Jalalzadeh of Iran's Commission of National Security and Foreign Policy, both sides stressed the urgency of advancing the project and exploring new collaborative opportunities in aviation and trade.

The proposal for direct flights between the two nations was a focal point, aiming to facilitate enhanced travel and expanded business prospects. Additionally, the discussions highlighted efforts to bolster trade volume, establish new border markets, and implement a barter trade system. The imminent inauguration of the Pasheen Border emerged as a significant milestone, poised to foster trade and bolster connectivity.

The fruitful deliberations underscored Iran and Pakistan's shared dedication to forging closer ties in aviation and trade, with the ultimate objective of strengthening economic cooperation and deepening bilateral relations.

10/05/2023

Limited (EFERT) has caused ripples in the agricultural sector by unexpectedly announcing the temporary shutdown of its base plant for unscheduled maintenance. The move has ignited concerns about the future availability of fertilizers and its potential impact on the farming industry.

Being a prominent player in Pakistan's fertilizer market, EFERT wields considerable influence over the agricultural landscape. The abrupt closure of its base plant raises pertinent questions regarding the uninterrupted supply and distribution of fertilizers within the domestic market.

This development arrives at a critical juncture when farmers are already grappling with the aftermath of last year's disastrous flash floods. The repercussions of EFERT's plant shutdown on the agricultural sector are yet to be fully understood, leaving stakeholders and industry observers anxious about the impending challenges that lie ahead.

08/05/2023

The All Pakistan Motors Dealer Association (APMDA) Chairman, Haji Mohammad Shehzad, has welcomed the government's decision to remove regulatory duty on 1,800cc imported vehicles, stating that it will result in lower prices and increased sales. He expressed hope that the reduction in prices would offset any potential increase in the dollar rate. Shehzad also suggested that local vehicle manufacturing would control prices and generate significant annual revenue for the government. He highlighted the decline in sales caused by high vehicle prices, with Honda Atlas Cars Limited experiencing a significant drop in sales compared to previous years.

Additionally, Shehzad proposed extending the restriction on importing used vehicles older than three years to five or seven years, which he believes would benefit the automotive industry. Meanwhile, car companies in Pakistan have raised prices due to factors such as the depreciation of the rupee. The government had imposed import restrictions and regulatory duties in response to the country's foreign exchange reserves crisis.

05/05/2023

K-Electric (KE) has requested the National Electric Power Regulatory Authority ( ) to set separate electricity generation tariffs for its six plants to improve transparency and visibility.

KE's CFO, Aamir Ghaziani claimed that the take-or-pay structure was essential to recover fixed costs and to ensure plants' availability at reasonable returns. The company had reduced transmission and distribution losses from nearly 40% to 15%, he said, and claimed that if the company had not been privatized, its tariff could have gone up to PKR 80 per unit.

A hearing on KE’s PKR 484 billion investment plan in transmission and distribution until FY30 was held in March. Additionally, the company has filed for a non-exclusive distribution license and has shared a Power Acquisition Programme which outlines the addition of up to 2200 MW of electricity by FY30. A majority of the upcoming addition is based on or indigenous sources.

Read more about KE's Investment Plan 2030: https://www.ke.com.pk/download/downloads/Investment-Plan-2030.pdf

04/05/2023

has drafted a new National Oilseed Policy with the aim of achieving 60% self-sufficiency in edible oils by 2033-34, substituting $7.668 billion. The policy includes a profitable intervention price for sunflower, canola/rapeseed, mustard, and sesame, regulatory duty on imports of edible oils and oilseeds if required to ensure PIP, and raising the Cess fund. The Pakistan Oilseed Department will coordinate all activities and a high-power committee will decide all matters related to the implementation of the policy. The strengthening of the technical officers in POD would be necessary for the successful implementation of the policy.

02/05/2023

United Bank Ltd may merge with Silkbank Ltd as the latter's capital has hit an all-time low and losses have amounted to Rs20.2 billion. The capital adequacy ratio in Dec 2020 was -4.45% against the advised 11.5%.

is exploring the potential merger with and will seek permission from the State Bank of Pakistan to commence due diligence. The merger will be subject to due diligence, regulatory approvals, and definitive documents.

01/05/2023

In an announcement made on Friday, K-Electric (KE) revealed its financial results for the nine months ending in March 2023, reporting a staggering loss of PKR 39 billion. The company attributed this setback to a combination of factors, including high borrowing costs, the depreciation of the rupee, and a decline in sales.

To gain deeper insights into what this could mean for KE and the power sector, stay tuned for an exclusive conversation between renowned journalist/economist Ali Khizar and KE's CEO, Moonis Alvi.

“On Friday, KE announced its results for the 9 months ending March 2023 with a whopping PKR 39bn loss, citing high borrowing costs, rupee depreciation and decline in sales. Stay tuned for my conversation with KE CEO Moonis Alvi on what it means for the company and power sector”

29/04/2023

Great news for Pakistan International Airlines ( ) as it finally turns a ! The national flag carrier has earned around Rs60 million profit in the first quarter of 2023. This is a significant achievement for PIA, which has been suffering huge losses over the past couple of years. The airline's losses decreased during 2020 and 2021 due to outbreak and cost-cutting measures. However, the process of decrease in losses could not continue due to an increase in fuel prices and fluctuation in the dollar exchange rate to the higher side, and an increase in interest rate.

28/04/2023

Federal authorities in Pakistan have approved a 20% hike in prices of essential medicines for the second time in less than three months to ensure the continuous availability of drugs in the market, according to a statement by the Finance Division. However, the move is likely to make the medicines out of reach for poor people amid soaring inflation. In February, the Economic Coordination Committee approved an increase in the prices of 20 medicines, including paracetamol. The Ministry of National Health Services, Regulations and Coordination presented a summary on increase in maximum retail prices of drugs based on the recommendations of the Policy Board of DRAP.

The ECC advised the Policy Board to review the situation after three months — in July 2023 and make its recommendations to the federal government regarding price decrease if the rupee appreciates its value. To ensure affordable medicines for all, federal authorities in Pakistan should explore alternatives to increasing prices such as imposing price controls or subsidizing the costs of essential medicines. The government should also consider investing in local production of essential medicines and incentivizing companies to manufacture generic drugs, which can help reduce the cost of medicines.

26/04/2023

As global economic competition continues, discussions are underway in the Russia-led political bloc about introducing a new international currency called . The aim is to reduce the influence of the United States in the global trade market by de-dollarising it. The question remains whether Pakistan will join the bloc and become part of the new global currency under consideration or opt for other measures to address its financial crisis.

Recent developments indicate that one cannot rule out Pakistan adopting the BRIC. For example, Pakistan has recently placed its first-ever order to purchase Russian crude oil, and the shipment is expected to arrive at a Pakistani port next month.

On the other hand, the country is making all efforts to revive its loan program worth $6.5 billion. Experts suggest that needs to build up its foreign exchange reserves before joining .

The prospects for success of a BRICS-issued currency are uncertain, and practical questions remain unanswered. The BRICS group is scheduled to meet in Durban, South Africa, in August for the 15th BRICS Summit.

Let us know your thoughts in the comment below.

25/04/2023

The UAE Ministry of Industry and Advanced Technology (MoIAT) is hosting a start-up competition, "Make it in the Emirates," before COP28 to boost technological ventures focusing on and .

The competition is open to only 24 startups globally, offering them the opportunity to showcase innovative technologies that will have a global impact and to connect with investors, policymakers and industry leaders.

The deadline for application submissions is 5 May, and the competition will take place on 31 May and 1 June. The jury includes delegates from various UAE entities. Startups can apply by clicking here: https://moiat.typeform.com/to/EiBm1pnJ

23/04/2023

Pakistan has placed its first order for discounted according to State Minister for Petroleum Musadik Malik.

The first shipment is expected to arrive at Karachi port in May. The deal only covers crude oil and could see imports reach 100,000 barrels per day. The initial refining of the Russian crude will be carried out by Pakistan's Refinery Limited, with other refineries potentially included in the future.

Talks regarding the payment mode were held earlier this month and the exact discount and payment mode have not been disclosed.

22/04/2023

Eid Mubarak!

May this festive occasion bring you and your loved ones peace, happiness and prosperity. Ameen!

20/04/2023

Pakistan's foreign exchange policies are causing significant problems for the country's industry.

The President of the Federation of Pakistan Chambers of Commerce and Industry ( ) has said that mismanagement in foreign exchange has prevented the remittance of airline proceeds from Pakistan for the past ten months, forcing some airlines to shut down operations while others limit or relocate transaction processing operations overseas.

The government has blocked the transfer of revenues of international airlines in to their respective countries of origin or to their head office accounts overseas. As a result, all international airlines have tripled their fares for international travel from Pakistan, making it difficult for businesses to secure export orders, source raw materials for industrial production, and promote trade and B2B activities.

The FPCCI president has proposed a two-pronged strategy to tackle the foreign exchange issue of the airlines. The Vice President of FPCCI has called for immediate action from the federal aviation minister, stating that up to 100,000 workers could be left unemployed if cannot continue their business operations profitably.

19/04/2023

The energy experts convened in Islamabad, Pakistan to tackle the power sector challenges that the country is facing, and the ways in which targeted investments and digital transformation can help overcome them.

The event, titled "Powering Progress: Investments and Digitization to Overcome Pakistan's Power Sector Challenges," was chaired by former Federal Secretary Water Ministry Ashfaq Mahmood and featured speakers like IPS Chairman Khalid Rahman, NEPRA Registrar Mazhar Iqbal Ranjha, and K-Electric CMCO Sadia Dada.

During the seminar, the experts emphasized the importance of effective resource management, thoughtful policy development, governance reforms, and innovation in system planning. Issues like energy dependency, power transmission infrastructure, and optimization of costs were discussed.

The speakers highlighted the need for a professional board to advise the government on planning and case studies on different aspects to derive workable solutions. The experts believe that power investment, policy planning, and digitization must be focused on transmission rather than generation to ensure price affordability and accessibility to customers.

Watch the seminar now: https://fb.watch/j-AOLlt7aM/

18/04/2023

The Ministry of Planning has released Rs129 billion for development projects under the Public Sector Development Programme (PSDP) for the fourth quarter of the year 2022-23.

The Water Resource Division and the Higher Education Commission (HEC) have been given top priority in the PSDP, with an amount of Rs30 billion released to the Power Division to speed up projects like the Diamer-Bhasha Dam, the Mohmand Dam, the Kachhi Canal, and the Nai Gaj Dam; Rs22 billion for the Ministry of Communications to expedite projects like Khuzdar-Kuchlak Road, dualisation and improvement of Old Bannu Road, and Rs.8 billion for the HEC projects.

Planning Minister Ahsan Iqbal, who has been constantly struggling to cope with the economic challenges, said the release of funds for the would be a significant step towards achieving the country's development goals.

16/04/2023

State Bank of Pakistan ( ) Governor, Jameel Ahmad, has expressed cautious optimism about the country's economy, saying that macroeconomic stability is on its way and external financing uncertainty is improving.

Speaking at an event in Washington DC organized by Barclays, Ahmad outlined the challenges facing Pakistan, including high and external balance of payments pressures driven by adverse global shocks and domestic developments. However, he said that has met all its foreign debt obligations in a timely manner, and the country continues to receive fresh financing from bilateral partners.

Ahmad emphasized that Pakistan's economy has always rebounded strongly after severe shocks, citing examples such as the Covid-19 pandemic, and expressed his confidence that the country will rebound strongly from the current challenges.

15/04/2023

Independent Power Producers (IPPs) have raised the alarm about the country's power sector, which is on the verge of a crisis due to a lack of foreign exchange. The IPPs are warning that power plant shutdowns are imminent because of the non-payment of roughly $710 million.

Read More:

The country’s power sector is on the brink of crisis with payments worth $710 million due

14/04/2023

Good governance is the key to attracting investors to a country. So why do investments abroad require only market terms, while Pakistan needs iron-clad agreements? Take a look at this

Link:

New investors demand increasingly strict conditions, including the parliament’s and Supreme Court’s approval.