Pakistan Daily Economy Update - 25 January

Transcription

1. Jan . 25, 2018 KCCI - eBulletin Economic Indicators Change Daily 0.00% 0.00% Crude (MA'18) 24-Jan 24-Jan 24-Jan 24-Jan 110.45 112.15 Pts. $ Mn $/bbl 45,063 7.83 65.99 0.35% NM** 1.92% Gold (FE'18) Gold (10g) Local 24-Jan 24-Jan $/oz PKR 1,357.8 48,942 1.28% 0.53% Silver (FE'18) Cotton(KHI)-40 kg 24-Jan 24-Jan $/oz PKR 17.54 8,038 3.14% 0.00% Kibor-6M 24-Jan % 6.20 $ Bn 19.77 -0.01% WoW -1.24% Remittances 12-Jan FY18 Jul-Dec 17 $ Bn 9.74 YoY 2.51% Exports* Imports* Jul-Dec 17 Jul-Dec 17 $ Bn $ Bn 11.01 28.97 11.27% 19.11% Jul-Dec 17 Trade Balance* $ Bn -17.96 Jul-Dec 17 Current Account $ Mn -7,413 Foreign Direct Inv. $ Bn 1.38 Jul-Dec 17 Jul-Nov 17 LSM Growth* % 7.19 % 3.75 Jul-Dec 17 Avg. CPI Discount Rate % 5.75 Sep-17 WoW= Sources: KCCI Research, PMEXweek , NCCPL, KSE, SBP, PBS* ** Not Meaningful on week; -24.48% -59.08% -2.81% KSE-100 index FIPI Forex Reserves Major Currencies 165 Among wealthy elite, Pakistan Pavilion makes debut In a positive message to the global community, the ‘Pakistan Pavilion’ made its debut in Davos, a move meant to project a soft image of the country among the wealthy business elites of the world. PM Abbasi also participated in a session at the 48th Annual Meeting of the World Economic Forum (WEF). In addition to introducing the soft side of Pakistan, the pavilion also offered the taste of local food to the visiting delegations. Tribune. 155 Pakistan, Indonesia set to sign amended PTA Pakistan and Indonesia will sign amended Preferential Trade Agreement (PTA) on Jan. 26, 2018 in Islamabad, which will incorporate unilateral trade concessions granted by Indonesia on 20 items. Major export items from Pakistan would include tobacco, textile fabric, rice, ethanol, citrus (kinnow), woven fabric, and mangoes. The amended PTA would help in increasing volume of bilateral trade, which is currently around $ 2.4Bn. Pakistan initiated a review of the PTA with Indonesia wherein besides making the agreement mutually beneficial, the issue of market access for rice was also taken up. As a result, the two countries signed a MoU, which envisaged sourcing of rice from Pakistan. The Nation. 115 First-ever International Gwadar Expo-2018 on Jan. 29, 2018 China Overseas Port Holding Company and Gwadar Port Authority are jointly organizing the first ever international exhibition in Gwadar Free Zone from Jan. 29 - 30, 2018. Gwadar Free Zone (phase-1) will also be inaugurated on the occasion. Over 200 companies from both Pakistan and China in various sectors including trading, services, automotive, food processing, shipping etc. will participate in the exhibition. BR. Govt approves increase in drug prices in line with inflation The govt. has decided to amend the Drugs Pricing Policy 2015, with cumulative effect of price increases for life-saving drugs in the past two years, in order to avoid court cases by pharmaceutical companies. It has also decided that the increase in prices for these drugs would be automatic after the announcement of the annual Consumer Price Index (CPI). These decisions were taken by the cabinet in a meeting in early Jan’18. Tribune. Oil, food imports surge Imports of eatables and oil rose nearly 28% year-on-year to $10Bn in 1HFY18 owing to a rise in global prices of grains and crude. Data released by PBS showed that their share surged to 35% in the country’s total import bill, putting pressure on the balance of payments. In contrast, the import bill of machinery fell 3.11% to $ 5.5Bn. The decline was mainly driven by powergenerating machinery, whose imports dropped 26%, office machinery 8.3% and construction machinery 24%. Dawn. PKR 150Bn loss at generation stage alarms Nepra Expressing serious concerns over the dismal performance of public sector generation companies (Gencos), Nepra estimated loss of more than 15Bn electricity units, way beyond permissible limits in two years. The cumulative revenue losses on account of the higher than auxiliary consumption of 15Bn units by Gencos are estimated at around PKR 150Bn. Dawn. 145 EUR, 24-Jan-18, 136.6 135 125 105 95 Jan-17 USD, 24-Jan-18, 110.6 Apr-17 GBP USD EUR Jul-17 Oct-17 Source: KCCI Research ; Oanda.com Quote of the Day "The avoidance of taxes is the only intellectual pursuit that still carries any reward." John Maynard Keynes Chart of the Day 5,000 4,500 4,000 3,500 3,000 2,500 2,000 1,500 1,000 500 - Pakistan Top 10 Trading Partners in 5MFY18 4,599 MPS tomorrow: key policy rate may remain unchanged SBP will unveil monetary policy decision for next two months on Jan. 26, 2018 with expectations of status quo due to positive inflation outlook. Independent Monetary Policy Committee (MPC) of SBP is scheduled to meet under the chair of State Bank Governor Tariq Bajwa. BR. GBP, 24-Jan-18, 154.7 480 552 553 698 706 747 1,178 1,985 2,627 \ Value PKR PKR Netherlands Qatar India U.A.E. Fuj. USA Japan Saudi Arabia Singapore U.A.E Dubai China Pakistan on right course to secure GSP Plus extension: EU official Pakistan is on course towards securing an extension in the much-needed concessional trade with European Union (EU) bloc. Sajad Karim, member European Parliament said that, Pakistan is on the right trajectory towards maintaining Generalised Scheme of Preferences (GSP) Plus status, but in order to do so it must continue to meet the targets that are a part of it, said Sajad Karim, member European Parliament. The News. Unit 24-Jan USD-Interbank USD-Open MKT 1,598 Regulatory Duty on Afghanistan-specific products may be removed An Inter-Ministerial meeting has asked traders to prepare an Afghan-specific list of products for consideration of removal Regulatory Duty (RD). The DG Transit Trade also advised that bonded carrier service charges must be rationalized and notified, clearance time limit must be fixed and Ministry of Maritime Affairs should work on bringing the shipping line security deposit for Karachi ports as par with ports of Bandar Abbas and Chabahar. The News. Date / Period 267 300 310 389 406 562 578 638 725 Country’s GDP can be tripled by boosting Marine economy: CNS Speaking during a meeting at the Karachi Chamber of Commerce and industry (KCCI), Chief of the Naval Staff Admiral Zafar Mahmood Abbasi has said that through mutual cooperation and joint efforts with the business community, maritime economy can be boosted and Pakistan's GDP growth can be tripled. He stressed the need to give a jumpstart to the maritime sector through exploration of untapped natural resources, which can only be done by involving the business community in the effort. He also invited the business community to invest in the shipyard business. On the occasion, chairman of the BMG and former president of the KCCI, Siraj Kassam Teli, said that KCCI’s desire is to build new and strong relations with Pakistan Navy which would certainly prove beneficial for the country. He also underscored the need to ease the security measures at the coastal belt for promotion of maritime tourism. BR. List of Indicators Bangladesh Italy Netherlands Spain U. A. E. Dubai Afghanistan Germany China UK U. S. A. Impact of BRI already being felt: PM At a panel discussion on "The Belt and Road Impact", part of the 48th World Economic Forum being held at Davos, Switzerland, PM Abbasi said that the Belt and Road Initiative (BRI) would create linkages and boost economic growth of countries part of the project. He further said that BRI would create greater openness and create linkages among the countries and the people. He said that its impact is already being felt by Pakistan as new power projects are coming up and the country's railway sector is being upgraded, along with new motorways, road structures, etc. Abbasi pointed that the country's cement industry is adding 56% capacity, while exports had increased by 15%. BR. Export Value in Mn $ Import Source: KCCI Research, SBP TAPI gas pipeline project’s financial close likely this year Disclaimer Financial close of the Turkmenistan-Afghanistan-Pakistan-India (TAPI) gas pipeline is expected to be achieved this year, This report has been prepared by KCCI Research & Development Cell. The information contained following which construction work would start on this multi-billion dollar project. TAPI Pipeline Company Limited (TPCL), the herein have been compiled or arrived at based upon information obtained from sources believed to project executing company has appointed the consultant to undertake detailed survey of the entire route and procurement be reliable and in good faith. Such information has not been independently verified. process for lines pipe, long lead items and appointment of EPC contractor had been started. Daily Times. 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