January 10, 2021: Federal Board of Revenue will launch a crackdown against the sale of smuggled petroleum products across the country from tomorrow (Monday).
Chairman FBR Javed Ghani has directed all field officers and staff to effectively curb sale of smuggled petroleum products as per directions of the Prime Minister.
Radio Pakistan
39083
January 19, 2020 (MLN): Savings mobilisation by the National Savings Schemes (NSS) during July-Oct FY21 clocked in at Rs. 24.8 billion, compared to Rs.80.97 billion recorded in the same period of the previous fiscal year, marking a decline of 69% YoY.
According to the data released by the State Bank of Pakistan (SBP) on Monday, savings mobilised under the NSS in October’20 alone amounted to Rs. 12.24 billion against Rs 5.46 billion in the previous month and Rs. 95.75 billion in October 2019.
The inflow under NSS schemes during the period mentioned above can be ascribed to lower inflation numbers, increased remittances, and higher profits compared to those offered by banks.
During the first 4 months of the current fiscal year, most of the mobilisation went into Prize Bonds (Rs 25.5 billion) followed by Special Saving Certificates (Rs 7.45 billion) and Regular Income Certificates (Rs. 3.949 billion).
On the contrary, holdings in Defense Saving Certificates other saving schemes witnessed a withdrawal of Rs.1.677 billion and Rs 10.4 billion respectively during 4MFY21 as opposed to the savings of Rs 85.9 billion and Rs 98.4 billion Jul-Oct FY20.
While in the month of October’20, the government raised Rs 18.75 billion through Prize Bonds and Rs 1 billion and Rs 987.8 million through Regular Income Certificates and Special Saving Certificates respectively. Whereas, Defense Savings Certificates and Other saving schemes witnessed disinvestment of Rs 180.6 million and Rs 8.36 billion respectively.
Copyright Mettis Link News
January 19, 2021 (MLN): Pakistani rupee (PKR) depreciated by 8 paisa against US Dollar (USD) in today's interbank session as the currency closed the day's trade at PKR 160.61 per USD, against yesterday's closing of PKR 160.52 per USD.
The rupee traded within a very narrow range of 18 paisa per USD showing an intraday high bid of 160.63 and an intraday Low offer of 160.50.
Within the Open Market, PKR was traded at 160.20/161.00 per USD.
Meanwhile, the currency lost 96 paisa to the Pound Sterling as the day's closing quote stood at PKR 218.34 per GBP, while the previous session closed at PKR 217.37 per GBP.
Similarly, PKR's value weakened by 72 paisa against EUR which closed at PKR 194.58 at the interbank today.
On another note, within the money market, the overnight repo rate towards close of the session was 6.70/7.00 percent, whereas the 1 week rate was 6.90/7.00 percent.
Copyright Mettis Link News
January 19, 2021: Oil prices climbed on Tuesday as optimism that government stimulus will eventually lift global economic growth and oil demand trumped concerns that renewed COVID-19 pandemic lockdowns globally are cooling fuel consumption.
Brent crude futures for March rose 46 cents to $55.21 a barrel by 0916 GMT after slipping 35 cents in the previous session.
"The perception that any retracement will be quick as confidence in economic and oil demand recovery is unlikely to fade away," said PVM analysts in a note.
U.S. West Texas Intermediate crude was at $52.40 a barrel, up 4 cents. There was no settlement on Monday as U.S. markets were closed for a public holiday. Front-month February WTI futures expire on Wednesday.
Investors are upbeat about demand in China, the world's top crude oil importer, after data released on Monday showed its refinery output rose 3% to a new record in 2020.
China also avoided an economic contraction last year.
Investors are watching out for U.S. oil inventory data from the industry association API, due later on Tuesday. On Wednesday, U.S. President-elect Biden's inauguration speech will likely give details on the country's $1.9 trillion aid package.
The International Energy Agency cut its outlook for oil demand in 2021 but pointed to a recovery in demand in the second half of the year to an annual average of 96.6 million barrels per day.
"Border closures, social distancing measures, and shutdowns...will continue to constrain fuel demand until vaccines are more widely distributed, most likely only by the second half of the year," it said in its monthly report.
Reuters
January 19, 2021: Infectious diseases and livelihood crises led the rankings of risks expected to pose a critical threat to the world in the next two years, according to a survey of more than 650 World Economic Forum (WEF) members from business, government, and academia.
Extreme weather events and cybersecurity failure were also key risks, WEF said in an annual risks report on Tuesday.
The COVID-19 pandemic has already had a devastating impact on many livelihoods, as global lockdowns have led to job losses and business closures. It has also exacerbated issues such as increasing inequalities over access to technology and the threat of civil unrest.
"The pandemic has accelerated trends that have been coming for a long time," said Carolina Klint, risk management leader, Continental Europe, at insurance broker Marsh.
Medium-term worries include burst asset bubbles and debt crises, the report found, while the biggest long-term concerns were of the use of weapons of mass destruction and of state collapses.
"As governments, businesses and societies begin to emerge from the pandemic, they must now urgently shape new economic and social systems that improve our collective resilience and capacity to respond to shocks while reducing inequality, improving health, and protecting the planet," said Saadia Zahidi, managing director at the WEF.
Peter Giger, chief risk officer at Zurich Insurance, remained optimistic about rebuilding after the pandemic.
"The history of the economy suggests that every major structural change has led to higher employment," he said.
The world's leaders will hold a virtual Davos Agenda event next week, instead of the traditional January event in Switzerland, and a face-to-face meeting in Singapore in May.
The report was compiled together with insurance companies Zurich and Marsh & McLennan and South Korea's SK Group.
Reuters
January 19, 2020: The ease-of-doing business plan, introduced by the Pakistan Tehreek-i-Insaf (PTI) government, has started yielding the required results with stepping in of four private sector companies for carrying out regulated activities of Liquefied Natural Gas (LNG) across the country.
In a significant development, Oil and Gas Development Authority (OGRA) last week granted the first-ever marketing licenses to two companies for undertaking regulated activities with regard to the sale of natural gas and LNG. Besides it issued two ‘provisional licenses’ of supplying LNG through cryogenic bowzers to consumers especially where the regular gas transmission network does not exist.
The authority allowed Tabeer and Energas companies for the regulated activity of the sale of natural gas and LNG for an initial period of 10 years, subject to fulfillment of execution of Gas Transportation Agreements with Sui Southern Gas Company (SSGC) and Sui Northern Gas Pipelines Limited (SNGPL), service agreements for metering/billing to the consumers and safety issues, LNG supply agreements, besides signing of contracts with LNG terminal operators.
Whereas, the ‘provisional licenses’ were issued to the LNG Easy (Private) Limited and Daewoo Gas Private Limited’ companies to pursue the LNG virtual pipeline project for supply of the commodity through cryogenic bowzers.
The provisional licenses would enable the virtual pipeline companies to complete all formalities under rules and apply for carrying out LNG regulated activities in the country.
“It will help encourage healthy competition in the gas market, support the national economic growth and ensure a reliable supply of energy to the consumers of natural gas,” OGRA spokesperson Imran Ghaznavi said in a press statement.
“ The companies are planning to use berth at Karachi Port Trust (KPT) and berth at Gwadar Port respectively for import of LNG cargoes, fill, transport, market and distribute under ‘Integrated LNG Project Structure’ as per Article 2(a) of LNG Policy 2011,” the spokesperson said.
The country’s existing natural gas reservoirs are depleting fast at a rate of 9.5 percent annually, and LNG is the only available instant remedy to bridge the increased gap between the demand and supply of the country.
Currently, the country’s indigenous gas production is around 3.7 Billion Cubic Feet per Day (BCFD) against the demand of 6 BCFD to meet the requirements of more than 9.6 million consumers across the country.
According to a recent report of OGRA, the gap between demand and supply of gas could increase by 5,389 Million Cubic Feet per Day (MMCFD) by 2029-30.
At present, two LNG terminals are operating with a full capacity of 1,200 MMCFD (Million Cubic Feet per Day).
A senior official privy to petroleum sector developments told APP that the government wanted maximum participation of private sector players in the LNG business and reduce its role.
“The government wants to move forward with such a model under which private sector companies build their own LNG terminals, import and sell the commodity to consumers under a certain regulatory regime. It will help ensure availability of gas throughout a year at an affordable rate,” he said.
Following the same model, the official said, the government had granted permission to five companies, out of which two had completed all ‘necessary approvals.’ “One company has hinted that it will start construction on its LNG terminal in next 30-60 days.”
He said the government was pursuing a policy of competitiveness among players of both public and private sectors, especially in gas, electricity, and oil-related fields, ending the monopoly of public sector departments. “Consumers have the right to get better services at competitive rates.”
APP
