Finance & Market

  Recently released data by State Bank of Pakistan (SBP) about deposits, investments and advances of commercial banks for the month of April’14 can be termed a little disappointing when compared with March’14. Deposits remained pegged at Rs7.6 trillion, advances were recorded at Rs4.1 trillion at month investments slid by 1%MoM to Rs4.5 trillion, mainly because of commencement of trading of government securities at Karachi Stock Exchange and failure of …

  According to World Bank, Pakistan becomes the seventh largest recipient of workers remittances in 2013, with net inflows of about $15 billion. In the first nine months (July-March) of the current fiscal year (FY) under the leadership of Prime Minister Nawaz Sharif government, it has received about $11.6 billion in remittances, up 12 percent from $10.354 billion in the same period of last year. The inflows from all the …

  If one looks at the composition of annual budget, one point is very clear that revenue collection is barely enough to meet the current expenditure. Often, amounts are borrowed to meet the shortfall and almost the entire developmental expenditures are financed through aid, grants and softer loans acquired from multilateral financial institutions. The budget for next financial year is not likely to be very different from the previous budgets. …

  The banking sector through CY13 faced tough challenges with external factors including law and order situation, political uncertainty, strikes causing closure of bank branches in distressed areas to name a few. The State Bank of Pakistan (SBP) require banks to have minimum capital of Rs10 billion by December 2014, which will be a challenge for banks below the required threshold forcing another round of mergers and acquisitions review. The …

  The overseas investors getting upset to deal with various agencies responsible for tax collection have urged upon the government to integrate all revenue collections under one ministry to improve doing business environment. Overseas Investors Chamber of Commerce and Industry (OICCI) the representative body of the overseas investors in Pakistan, however, has extended its support to the Sindh government in its efforts to increase revenue collection and streamline the taxation …

  In Pakistan financial institutions have been the pioneer of technology deployment. This is partly because of the nature of their business and partly because of dealing with their counterparts located in developed countries. The added advantage have been that they have ample funds and also because ‘globally acceptable’ hardware and software are available. They also have on credit ‘development of tailor made programs’ that are Pakistan specific. Deployment of …

  With the positivity instilled with the current government, most segments of the economy are showing positive signs of growth. When talking to businessmen on market potential, most say that the sector which is the best choice for investments is the retail sector. Pakistan has population of 180 million people, and frankly, the only entertainment is food and shopping. The demand of both food and shopping is counter to the …

  Rising cost of doing business, energy crisis & security issues are cause of concern for overseas investors To attract foreign investment is one of the top priorities of the present government with a view to improve economic growth in Pakistan. In this respect the Ministry of Finance is holding road shows at least six in six major cities including Dubai, Los Angles, New York and London this week. Although …

  Micro credit banking has emerged out to be an effective tool to combat wide spread poverty in the third world countries. Provision of credit to the people at grassroots level and small firms is an excellent strategy to boost economic activities and generating job opportunities especially in Balochistan a country’s largest province, with nearly 44 percent of its surface area and a thinly dispersed population of around 7.5 million. …

  Pakistan has been witnessing devaluation year after year ever since one can remember. People in general longed to see a stronger rupee. Depreciation was resulting in constant increase in price pushing more people below the poverty line. Currently the Rupee is trading between PKR98. No one can say for sure where the exchange rate will be in the future. Some predict devaluation to previous levels other claim another round …