Pakistan Daily Economy Update - 9 February

Transcription

1. Feb . 9, 2017 KCCI - eBulletin Pakistan will be 16th largest economy by 2050: PwC report Pakistan will become the 20th largest economy among 32 peers by 2030 and will further grow to become the 16th largest by 2050, according to the report by PricewaterhouseCoopers (PwC), one of the world’s largest professional services firms. According to the report, by 2030, Pakistan will improve its rank from 24th to 20th and will see a further improvement of four places in the next 20 years, based on projected GDP (at PPP). Tribune. Pakistan imposes anti-dumping duty on China’s steel products National Tariff Commission (NTC) has decided to impose definitive anti-dumping duties on galvanized steel coils/sheets for a period of 5 years with effect from 8th Feb’17. The NTC initiated an anti-dumping investigation on 11th Aug’15 on the request of the domestic industry that produces galvanised steel coils/sheets against its dumping from China into Pakistan. The duty is imposed on Cost and Freight (C&F) value in advance value on imports. The dumping margin for Hebei Iron and Steel Co. Ltd, Handan City China would be 31.31%. Whereas, dumping margin for Bengang Steel Plates Co. Ltd, Benxi City, China is fixed at 9.13%. while the margin for Maanshan Iron and Steel Co. Ltd, Maanshan City, China would be just 6.09%. The dumping margin would be 40.47% for all other producers/exporters from China. Tribune. CCoP seeks early transaction of Kapco Cabinet Committee on Privatisation (CCoP) has directed Privatisation Commission and Water and Power Ministry to finalize a detailed comfort letter for early transaction of Kot Addu Power Company (Kapco). The non-resolution of the issues has led to a poor response from the investors as only four interested parties had requested Expression of Interest (EoI) however none of them submitted the Statement of Qualifications (SoQ) document. In the absence of such guarantees, the GoP might have to significantly compromise on the value of the transaction. BR. Jhelum hydropower project: Excavation of tunnels to be completed by Apr’17 Excavation of 68KM of tunnels for the 969MW Neelum-Jhelum Hydropower project will be completed in Apr’17. The project management was confident that the first unit of Neelum Jhelum Hydropower Project would be ready for wet commissioning test run in Feb’18, whereas rest of the three units would also commence test run by Apr’18. Tribune. Power plant: Ministry reiterates Nandipur cost-efficiency In a bid to save billions of rupees, the conversion of Nandipur power plant to gas is under way and expected to be completed by the end of Apr’17. The Nandipur power plant has been operational since Jul’15 and currently operating on furnace oil. However, after conversion, the generation capacity of the plant will increase from 425 to 525MW. Tribune. Panel finds anomalies as circular debt swells to PKR 370Bn The energy sector’s circular debt surged sharply to PKR 370Bn in the wake of the expiry of IMF programme, after which a parliamentary body probing wrongdoings in PKR 480Bn debt payments of 2013 decided to expand the scope of its inquiry. For the first time in the country’s history, the total flow and stock of circular debt cumulatively grew to a whopping PKR 705Bn, including the PKR 335Bn parked by the govt. in the Power Holding Company Limited (PHCL). Tribune. Economic Indicators List of Indicators Date / Period Unit Value Change Daily Crude (FE'17) Gold (JA'16) Gold (10g) Local Silver (JA'17) Cotton(KHI)-40 kg Kibor-6M 8-Feb 8-Feb 8-Feb 8-Feb 8-Feb 8-Feb 8-Feb 8-Feb 8-Feb 8-Feb PKR PKR Pts. $ Mn $/bbl $/oz PKR $/oz PKR % 104.81 107.70 49,875 0.04 52.47 1,240 43,242 17.77 7,218 6.13% Forex Reserves 27-Jan $ Bn 22.44 0.01% 0.00% 0.03% NM** 0.56% 0.53% 0.30% 0.38% 0.00% 0.00% WoW -3.49% YoY -2.27% -3.82% 10.10% -22.20% -92.23% USD-Interbank USD-Open MKT KSE-100 index FIPI Jul-Dec 16 Remittances $ Bn 9.46 Jul-Dec 16 Exports* $ Bn 9.91 Jul-Dec 16 Imports* $ Bn 24.40 Jul-Dec 16 Trade Balance* $ Bn -14.49 Jul-Dec 16 Current Account $ Mn -3,585 % 3.85 Avg. CPI-FY17* Jul-Jan 17 Jan-17 Discount Rate % 5.75 Sources: KCCI Research, PMEX , NCCPL, KSE, SBP, PBS* ** Not Meaningful WoW= week on week; YoY=Year on Year Major Currencies 175 165 155 145 135 125 115 105 95 85 75 Feb-16 GBP, 8-Feb-17, 131.0 EUR, 8-Feb-17, 111.8 USD, 8-Feb-17, 104.8 May-16 USD Aug-16 GBP Nov-16 Feb-17 Source: KCCI Research ; Oanda.com EUR Quote of the Day Senate body concerned over payment to IPPs without pre-audit Finance standing committee has expressed displeasure on clearing circular debt payment of PKR 480Bn out of total due payment of PKR 503Bn to the IPPs in 2013 without conducting pre-audit that could save billions of rupees. The sub-committee formed by the Finance standing committee for reviewing the issue was informed that pre-audit could be conducted within three days. The govt. had withheld PKR 22.9Bn as IPPs had not honored their commitment. BR. “Most people say that it is the intellect which makes a great scientist. They are wrong: it is character. “ Index stays flat as regulator moves to curb badla Stock market remained dull in directionless trading with the KSE-100 index closing almost flat, up by only 15.57 points at 49,874.96 points. Investors kept to the sideline in the absence of a trigger as the regulator tightened its noose on the illegal ‘badla’ providers. The comforting factor was a slight net purchase by the foreign investors. Dawn. Major Services Exported by Pakistan (6MFY17) Albert Einstein Chart of the Day 653 Govt. Goods and Services 556 Other Business Services 508 Transport 766 companies registered in Jan.’17 SECP has registered 766 companies during Jan.’17. Incorporation of new companies has witnessed an unprecedented 48% growth in recent three months with constant increasing trend. The service sector took the lead with the incorporation of 151 companies. Foreign investment has been reported in 49 new companies. These companies have foreign investors from, Australia, Bahrain, China, Denmark, Germany, Japan, Netherlands, Philippines, Oman, Switzerland Turkey, the UK and the US. The Nation. Telecommunications, Computer,… OGRA sets LPG price at PKR 900 per domestic cylinder Oil and Gas Regulatory Authority (Ogra) has finally come into action to regulate the price of Liquefied Petroleum Gas (LPG), setting it at PKR 900 per domestic cylinder following a court order. The govt. had been unable to implement the decision of the Council of Common Interests (CCI) to regulate prices of LPG since the past year due to a controversy between the petroleum ministry and the regulator. Tribune. Personal, Cultural, and Recreational… MCB Bank posts PKR 21.89Bn profit The Board of Directors of MCB Bank Limited reported a Profit Before Tax (PBT) of PKR 36.07Bn and a Profit After Tax (PAT) of PKR 21.89Bn. Earnings per share (EPS) for the year has been declared at PKR 19.67 as compared to PKR 22.95 for 2015. BR. 453 154 Travel 82 Insurance and Pension Services 71 Financial Services 40 Construction Charges for the use of Intellectual… Value in US $ Mn 0 12 3 200 400 600 800 Source: KCCI Research, SBP Disclaimer This report has been prepared by KCCI Research & Development Cell. The information 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