Pakistan Daily Economy Update - 16 November

Transcription

1. Nov . 16, 2017 KCCI - eBulletin Date for filing of returns extended up to Nov. 30, 2017 FBR has extended date for filing of Returns/Statements by individuals and Associations of Persons (AOPs) for Tax Year 2017 up to Nov. 30, 2017. FBR has received over 800,000 returns till Nov. 15, 2017 compared to 575,000 returns received till Nov. 15, 2016, reflecting an increase of 225,000 returns. The FBR has issued an income tax circular 9 of 2017 regarding date extension in return filing. However, due date for filing of returns/statements of final taxation in case of companies has not been extended and remains Nov. 15, 2017. BR. Trying to convince India on CPEC utility: China Foreign Affairs counselor and Asia Division director, Chen Feng, has said that China is trying to convince India on the regional benefits of CPEC, a transportation project connecting southern China to the Arabian Sea through Pakistan. He said the project’s basic aim is to enhance mutual interactions and transportation, so, this plan must be kept out of regional conflicts. Feng said China wanted more countries of the region to join this project. The Nation. Jul.-Oct.’17 FDI up 74% YoY Foreign Direct Investment (FDI) has maintained an upward momentum, moving up by 74% during 4MFY18 to $ 940Mn compared to $ 539Mn in 4MFY17, supported by rising Chinese and Malaysian investment. During period under review, FDI inflows stood at $ 1Bn against the outflow of $ 125.7Mn. The portfolio investment witnessed a downward trend, falling by 35% to stand negative $ 53.2Mn. Similarly, total foreign investment in Pakistan, comprising FDI, portfolio investment and foreign public investment, declined by 49% to $ 836.8Mn down from $ 1.64Bn in 4MFY18. BR. Hubco, PPIB sign implementation agreement Hub Power Company Limited, the country’s largest independent power producer, signed an implementation agreement with the Private Power and Infrastructure Board (PPIB) for the development of 330MW coal-based power plant in Thar. The mine-mouth coal-based power plant is expected to be commissioned at Thar Coal Block II by the end of 2020 under CPEC and estimated to cost $ 505Mn project. The project’s engineering, procurement and construction contract has already been awarded to China Machinery and Engineering Corporation, which has started preliminary activities on the site in order to meet commercial operation date. The News. Ministry fine-tuning draft trade resolution law Secretary Commerce, Younus Dagha, in a meeting with NA’s Commerce Standing Committee, has said that Ministry is finetuning draft of Trade Resolution Act. The Act is aimed at establishing a comprehensive regime and introduction of internationally accepted standards for swift and effective resolution of disputes relating to goods and services’ trade. Director General, Trade Dispute Resolution Organization (TDRO), in a detailed presentation, informed the committee that a module contract will be formulated which will be helpful in resolution of disputes between Pakistani exporters and importers with their foreign trading partners. BR. Services exports grow 9% Pakistan’s services export has witnessed a growth of 9% YoY to $ 457.78Mn in Sep’17. In Jul to Sep, export proceeds of services recorded a growth of 5.6% over the corresponding period. The import of services went up 7.4% to $ 2.5Bn in JulSep’16 as against $ 2.36Bn. Dawn. IFAD to provide $ 82Mn for boosting household income The International Fund for Agricultural Development (IFAD) will make an investment of $ 82Mn in Pakistan to improve livelihoods, living conditions and income-generating capacity for 320,000 poor rural households in the country. IFAD will initiate the ‘National Poverty Graduation Programme’ covering 17 districts, with a focus on the ‘ultra-poor’ segment of the population residing in rural areas. The programme will aim to provide a combination of safety nets and sustainable livelihood opportunities. Dawn. Economic Indicators List of Indicators Date / Period Unit Value Change Daily 15-Nov 15-Nov 15-Nov 15-Nov 15-Nov 15-Nov 15-Nov 15-Nov 15-Nov 15-Nov PKR PKR Pts. $ Mn $/bbl $/oz PKR $/oz PKR % 105.45 107.30 40,663 -5.06 55.47 1,278.6 45,685 16.98 6,859 6.17% 0.00% 0.00% -0.69% NM** -0.59% -0.25% 0.28% -0.35% -0.77% 0.01% WoW 0.35% YoY 2.27% 10.04% 22.55% -31.24% -117.29% 74.44% USD-Interbank USD-Open MKT KSE-100 index FIPI Crude (JA'18) Gold (DE'17) Gold (10g) Local Silver (DE'17) Cotton(KHI)-40 kg Kibor-6M Forex Reserves $ Bn 19.91 3-Nov FY18 Jul-Oct 17 Remittances $ Bn 6.44 Jul-Oct 17 Exports* $ Bn 7.06 Jul-Oct 17 Imports* $ Bn 19.19 Jul-Oct 17 Trade Balance* $ Bn -12.13 Jul-Sep 17 Current Account $ Mn -3,557 Foreign Direct Inv. $ Bn 0.94 Jul-Oct 17 Jul-Aug 17 LSM Growth* % 11.30 % 3.50 Jul-Oct 17 Avg. CPI Discount Rate % 5.75 Sep-17 WoW= week Sources: KCCI Research, PMEX , NCCPL, KSE, SBP, PBS* ** Not Meaningful on week; Major Currencies 155 GBP, 15-Nov-17, 138.4 145 135 125 EUR, 15-Nov-17, 123.4 115 105 95 Nov-16 USD Feb-17 GBP EUR May-17 Aug-17 USD, 15-Nov-17, 105.1 Source: KCCI Research ; Oanda.com Quote of the Day "Everything in excess is opposed to nature." \ Power, gas tariffs: PM tells Power Division to work out financial impact PM Khaqan Abbasi has directed the Power Division to provide an estimate of the financial impact of meeting the textile industries' proposal to reduce electricity price by PKR 3.53 per unit to bring it at par with regional competitors and to implement a uniform gas tariff across the country of PKR 600 per MMBTU. The textile industries have also demanded RLNG be offered to all textile captive & industrial users to align their costs with those of regional competitors. PM Khaqan Abbasi had discussed multitude of issues being faced by the exporters and facilitations provided by the govt. BR. Hippocrates Chart of the Day Car Sales in Pakistan YoY Petrol war continues as PAMA joins fray A rift among car assemblers has emerged as Pakistan Automotive Manufacturers Association (PAMA) has claimed that all Original Equipment Manufacturer are facing serious technical issues due to low quality of fuel. So far only Honda Atlas Cars Ltd (HACL) has formally lodged a complaint with Ogra about the low quality petrol. In a letter PAMA has asked the regulator to check the metal contents (including manganese) in the petrol being marketed against the international standards as assemblers are facing serious technical issues due to low quality of the fuel. Dawn. 45 National Security Committee decides to benefit from available energy import options National Security Committee (NSC) has affirmed that Pakistan would fulfil “bilateral commitments” with other countries and benefit from available energy import sources in the region for bolstering national energy security. The major decision that reflected realignment of foreign policy interests and priorities has come in the midst of evolving regional situation that has brought Islamabad and Tehran closer after decades of lukewarm ties due to divergent worldviews. Dawn. 20 39.11 40 35 28.19 30 25 15 11.06 13.95 16.61 16.98 10 5 0 Pakistan LNG passes on Trafigura, Gunvor cargo deliveries Honda Suzuki Toyota Pakistan LNG Ltd. has decided against awarding in a tender three LNG cargoes due to be delivered by trading house Trafigura and Gunvor between Dec.’17 and Jan.’18. In a tender seeking four Dec.’17 shipments, Trafigura submitted the 4MFY17 4MFY18 Source: KCCI Research, PAMA Units in Thousand lowest bid for the Dec. 1-2 delivery slot. In a similar tender for Jan.’18 shipments, Gunvor submitted the lowest bids to supply one cargo on Jan. 16-17 and another on Jan. 21-22, 2018 which will not be awarded. Pakistan LNG likely did not Disclaimer favor the price levels. The terminal into which the cargoes are to be delivered has faced ongoing delays and infrastructure This report has been prepared by KCCI Research & Development Cell. The information challenges. BR. contained herein have been compiled or arrived at based upon information obtained from sources believed to be reliable and in good faith. Such information has not been independently verified. icon represents the sole viewpoint of the KCCI R&D Cell, and is stated to enrich the readers' understanding of the news item. The R&D Dept. bears no responsibility for its correctness or accuracy. Contact: res@kcci.com.pk