Pakistan and India offer natural markets for each other’s export products and both countries are pursuing policies of trade liberalization since early 1990s. In their mutual trade, they can enjoy the advantages of reduced transaction costs and quicker delivery due to geographical proximity, common language and a heritage of common physical infrastructures. During the first half of the current fiscal year, the two-way trade stood at USD 1.1 billion …

  For the past two decades, the banking sector has chosen a new service channel based on the progress of information technology – internet to respond to the changes in customer preferences and needs, increasing competition from non-banks, changes in demographic and social trends, and government deregulations of the financial service sector. In the search for sustainable competitive advantages in the technological financial service industry, banks have acknowledged the value …

  Over the last one decade banks have been working hard to enhance their outreach, by increasing number of branches but more importantly through deployment of technology. The convergence of telephony and information technology has helped in developing ‘technology highway’. Now an account holder can complete a banking transaction irrespective of time, his location and even his/her primary bank. Initially there was some resistance against use of ‘plastic money’ as …

  Pakistan is one of the fastest developing markets for branchless banking in the world where 90% of total bank branches are currently processing real time online banking services across the country. During the last five years average shows that 36 per cent of the transactions were routed through electronic channels depicting a 23 per cent average yearly growth as compared to 2 per cent average growth in paper based …

  Rising steel prices pushes up cost of construction Karachi can be termed a city of its own kind. It has an estimated population of 20 million people living in all sorts of dwellings, from huts to condominiums. Despite hardly any support from the federal or provincial governments, housing units are being constructed but still remains an acute shortage of housing units, be it for the richest or the poorest. …

  Construction industry is one of the largest sectors having a large number of sub-sectors which provide a massive support to the economic development of any country. A vibrant construction industry is bound to create millions of job opportunities in view of its alliance with a large number of sub sectors like cement, steel, woodworks, tiles, glass fixtures and a variety of other industries. In this backdrop an active construction …

  The banking sector through CY12 to date has 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. According to the Financial Stability review released by SBP for second half of 2011, 12 banks in Pakistan failed to meet the MCR of PKR 8 billion by December 31, 2011. The minimum capital adequacy …

  Pakistan’s stock markets, particularly KSE is known worldwide for providing the best returns among global stock exchanges. KSE index more recently was expected to show a decline and expected not to breach the hypothetical index value of 16,000. The stock market on the contrary is trading at 16,800 points. As on 30-Dec-11, KSE was trading at 11,347 points giving an annual return to date of 41 percent which is …

  FDI requires an enabling environment to ensure flow of funds and capital in different investment ventures. Investments are required in Pakistan for infrastructural development and industrial growth which would create jobs and translate into a higher GDP through enhanced production. The per capita income of Pakistan is only USD 1,254 considered low. The key is to eliminate poverty and increase reserves. With respect to the economic situation of Pakistan, …

  Pakistan faces new challenges and opportunities every day. Reduced availability of financing for capital investment, unsafe working environment, law and order situation, continuous devaluation of rupee against other currencies, lack of gas and electricity and constant pressure for reviving the economy are just a few. Corporate sector vulnerabilities and poor governance in general are frequently being identified as important contributors to the Pakistan’s current financial crisis. Despite all this, …