Pakistan Daily Economy Update - 5 January

Transcription

1. Jan . 5, 2017 KCCI - eBulletin 4-Jan Pts. $ Mn 48,705 6.02 -0.25% NM** 1.43% Crude (FE'17) 4-Jan 4-Jan $/bbl 53.14 Gold (FE'16) 4-Jan $/oz 1,164 0.54% Gold (10g) Local 4-Jan PKR 42,600 -0.20% Silver (FE'17) 4-Jan $/oz 16.45 0.93% Cotton(KHI)-40 kg 4-Jan PKR 6,897 0.79% Kibor-6M 4-Jan % 6.14% -0.01% 23-Dec $ Bn 23.29 0.67% Remittances Jul-Nov 16 $ Bn 7.87 -2.50% Exports* Jul-Nov 16 $ Bn 8.19 -3.93% Imports* Jul-Nov 16 $ Bn 19.96 8.83% Trade Balance* Jul-Nov 16 $ Bn -11.78 -19.90% Current Account Avg. CPI-FY17* Jul-Nov 16 $ Mn % -2,601 3.88 -90.97% WoW Forex Reserves YoY Jul-Dec 16 Nov-16 Discount Rate % 5.75 Sources: KCCI Research, PMEX , NCCPL, KSE, SBP, PBS* ** Not Meaningful WoW= week on week; YoY=Year on Year Major Currencies 175 165 155 145 GBP, 4-Jan-17, 128.5 135 125 115 105 EUR, 4-Jan-17, 109.3 USD, 4-Jan-17, 104.7 95 85 75 Jan-16 Apr-16 USD Jul-16 GBP Oct-16 Jan-17 Source: KCCI Research ; Oanda.com EUR Quote of the Day "Good humor is a tonic for mind and body. It is the best antidote for anxiety and depression. It is a business asset. It attracts and keeps friends. It lightens human burdens. It is the direct route to serenity and contentment. " Grenville Kleiser Chart of the Day Local Vs. International Gold Prices 1,700 53,000 51,000 1,600 49,000 1,500 47,000 1,400 45,000 1,300 43,000 41,000 1,200 39,000 1,100 37,000 Gold ($/oz) (L.H.S.) 3-Oct-16 3-Jun-16 3-Aug-16 3-Apr-16 3-Feb-16 3-Oct-15 3-Dec-15 3-Jun-15 3-Aug-15 35,000 3-Apr-15 1,000 3-Feb-15 MoF against restricting unutilized gas volume Ministry of Finance (MoF) has opposed restricting unutilized gas volume at Habib Rahi Ltd. (HRL) reservoirs to fertilizer plants and recommends that it to be open for generation companies as well. In this regard, Petroleum Ministry has recommended ECC that preference may be given to fertilizer sector in pursuance of dedication of Mari Petroleum Company Limited (MPCL) shallow gas reservoirs under Fertilizer Policy 2001. BR. 0.00% KSE-100 index FIPI 3-Oct-14 SECP, PSX and NCCPL for robust enforcement regime A meeting held between the representatives of SECP, PSX and NCCPL have decided that a robust and effective enforcement regime is critical for ensuring discipline and continued market development. In this regard, SECP has expressed firm resolve that a zero tolerance policy will be adopted towards law and regulation enforcement to ensure market participants comply with the regulatory framework. BR. 0.00% 108.50 3-Dec-14 Sale of POL products surges 18.2% Pakistan's petroleum products sales during the 1HFY17 clocked in at 13Mn tons, showing a surge of 18.2% as compared to 1HFY16. POL sales for the month of December 2016 clocked in at 2Mn tons, reflecting a growth of 23% YoY. On a sequential basis, POL products sale increased 1.8% MoM. White oil sales continued to perform well with motor spirit (MS) and high-speed diesel (HSD) posting robust growth of 16.7% YoY and 23.7% YoY, respectively. The News. 104.85 PKR 3-Jun-14 TFA possesses potential to reduce trade cost by 14.5%, says Dastgir Commerce Minister Khurram Dastgir has said that besides production capacity and reduction in tariffs, logistics efficiency is also vital to expand trade growth. In a workshop on “Implementing the WTO Trade Facilitation Agreement (TFA)” organized by Commerce Ministry in collaboration with USAID Training for Pakistan (TFP) project, minister stated that WTO Trade Facilitation Agreement (TFA) provides an opportunity to reduce time and cost of international trade transactions by improving the transparency and efficiency of border procedures. The Nation. PKR 4-Jan 3-Aug-14 China agrees to finance Eastbay Expressway Chairman Gwadar Port Authority (GPA) Dostain Khan Jamaldini has said that China has agreed to finance Eastbay Expressway, connecting Gwadar Port and its free zone directly to highway, with PKR 15Bn interest-free loan under the CPEC. The proposed project was endorsed in the 6th Joint Co-operation Committee (JCC) meeting held between Pakistan and China in Beijing, China. BR. 4-Jan USD-Open MKT 3-Apr-14 Nawaz for equal distribution of CPEC benefits In a high-level meeting held on discussing sixth meeting of the Joint Co-operation Committee (JCC) on CPEC, Prime Minister Nawaz Sharif has underscored the need for equal distribution of CPEC benefits among the federating units. He expressed satisfaction over the progress on the CPEC-related projects and said international investors are showing keen interest in investing in Pakistan. BR. USD-Interbank 3-Feb-14 Free Trade Agreement: Pakistan, Malaysia in talks to cut duties further Pakistan and Malaysia are negotiating to further reduce duties on existing and additional tariff lines under the FTA to facilitate businesses of both countries. The two countries had inked the Comprehensive FTA for Closer Economic Partnership back in 2007. According to the agreement, for trade in goods, Pakistan was supposed to eliminate tariffs on 43.2% of imports from Malaysia by 2012, while Malaysia had to eliminate tariffs on 78% of imports from Pakistan. Tribune. Change Daily 3-Oct-13 Ferry link between Karachi, Gwadar delayed, yet again The proposed ferry link between Karachi and Gwadar has been further delayed due to the non-serious attitude of the federal and concerned provincial governments. In February 2016, the Ministry of Ports and Shipping had announced start a ferry service between Karachi and Gwadar from March 2016 in an effort to facilitate both cargo and passenger traffic including trips for tourists. However, till now the ferry service is yet to start to the dismay of Pakistanis. The government felt the need of the service in order to facilitate general commuters and tourists as well as security officials and civilians who were working in Gwadar and asked the ports and shipping authorities to start the facility immediately. Daily Times. Value 3-Dec-13 Several China-sponsored power projects hit snags The planned generation of 8,810MW from China-sponsored energy projects will be available by 2018 as inter-ministerial disputes and inclusion of financially unviable projects at the initial stage of CPEC prevent the two sides from meeting the target. According to the Planning, Development and Reforms Minister has said that the Power projects having a cumulative capacity of about 5,000MW under CPEC would be operational by 2017 and 2018. He said, over 8,000MW CPEC energy projects were at various stages of construction and financial close. In addition to these, another 5,000MW non-CPEC projects will be ready by 2018, which will help meet energy shortages in the country. Tribune. Unit 3-Jun-13 Tax proposals for budget invited FBR has formally initiated formulating proposals for next fiscal year’s budget. The FBR has invited proposals from different stakeholders including chambers of commerce and industry, bodies of trade and industry, provincial bodies and regulatory authorities. The proposals sent by these bodies would be considered for incorporation in the upcoming Finance Bill. The FBR has advised all the stakeholders to present their proposals by Jan 15. Dawn. Date / Period 3-Aug-13 Govt. may impose new taxes to restrict budget deficit Following massive shortfall in tax collection during 1HFY17, govt. is going to either slash the development budget or to impose new taxes to restrict the budget deficit within target as FBR has witnessed massive shortfall of PKR 150Bn during 1HFY17 and has collected only PKR 1.47Tn against the set target of PKR 1.615Bn. The FBR's performance is reflecting to catch up the shortfall experienced in the initial months, largely on account of giving relief to consumers on petroleum prices together with sales tax refunds of PKR 45Bn. The Nation. Economic Indicators List of Indicators 3-Apr-13 Amnesty whitens PKR 2.7Bn property investment, fetches PKR 82Mn in taxes Govt. amnesty announced for the real estate sector’s undocumented transactions has so far whitened at least PKR 2.7Bn worth of property investments, while the exercise earned the tax authorities PKR 82Mn during the past one month. Meanwhile, the FBR recorded a phenomenal 94% growth in the withholding tax collection on property transactions by seller and purchaser during 1HFY17. The withholding tax collection rose to PKR 6.2Bn during the July-Dec period as compared to PKR 3.2Bn in 1HFY16. The News. Gold (PKR/10gm) (R.H.S.) Source: KCCI Research, PMEX; Karachi Surf Disclaimer This report has been prepared by KCCI Research & Development Cell. The information NRL to partly fund PKR 31Bn upgrade project contained herein have been compiled or arrived at based upon information obtained from National Refinery Limited (NRL) has decided to halve the financing requirement for upgrading its refining facility to PKR 12.1Bn sources believed to be reliable and in good faith. Such information has not been independently as the leading oil refinery runs in the black to partly fund the revamp. NRL had arranged financing worth PKR 24.2Bn from a verified. icon represents the sole viewpoint of the KCCI R&D Cell, and is stated to enrich the readers' syndicate of local banks, comprising of UBL, HBL and others to fund an estimated PKR 31Bn ($ 303Mn) up-gradation project. The understanding of the news item. The R&D Dept. bears no responsibility for its correctness or News. accuracy. Contact: res@kcci.com.pk