October 04, 2020 (MLN): The latest weekly roundup is here to update the financial and economic data releases as they provide a guide to keeping an eye on trends in the upcoming week.

• Pakistan's Yearly Inflation Rate (New Base 2015-16) in September 2020 was 9.04 percent compared to 8.21 percent in August 2020 and 11.40 percent in September 2019.

• The Weekly Sensitive Price Indicator (SPI) for the Combined Group increased by 0.71% during the week ended Oct 01, 2020 while the SPI increased by 9.43% compared to the corresponding period from last year.

• The cement sector has achieved the highest ever despatches in September 2020. The total despatches during September 2020 were 5.213 million tons against despatches of 4.273 million tons in September 2019.

• The total industry sales volumes for Oil Marketing Companies (OMCs) during 1QFY21 witnessed an increase of 8% YoY to 4.74 MTs as compared to 4.39 MTs recorded in the corresponding period of FY20.

• The non-government sector has retired another net sum of Rs.18.6 billion during the week ended September 25, 2020, which brings the cumulative net retirement for the ongoing fiscal year FY2021 to Rs.156.76 billion. The net retirement as of the prior week was recorded at Rs.138.16 billion.

• The government of Pakistan has acquired a net debt of Rs.256.92 billion during the week ended September 25, 2020, which brings its total net borrowing for the ongoing fiscal year 2021 to Rs.93.88 billion. As of the prior week, the government had retired a net sum of Rs.163.04 billion.

• To enlarge the scope of Shariah-compliant financial services in the country, the State Bank of Pakistan (SBP) has taken another important step by issuing guidelines for Development Finance Institutions (DFIs) to undertake Shariah-compliant businesses and operations. 

• Foreign investors have pulled out a net amount of $161 million from capital markets via Special Convertible Rupee Account (SCRA) during Jul-Sept FY21.

• The Federal Board of Revenue (FBR) has upgraded its FASTER system to FASTER Plus for expeditious and transparent Issuance of refunds to exporters.

• ECC considered and approved the import of 180,000 MT of wheat from Russia on a GTG basis waiving off all taxes/levies duties on GTG import of wheat.

• The export figures for September 2020 have shown improvement as compared to September 2019. The exports have grown by 6% to USD 1.872 billion in September 2020.

• The government has set export targets for the next five years. In this regard, the government has compiled three scenarios for the next five years depending upon economic conditions, global situation, and currency movement.

• Pakistan's Forex Reserves decreased by USD 368.90 Million or 1.85% and the total liquid foreign reserves held by the country stood at USD 19,534.80 Million on Sep 25, 2020.

• Oil and Gas Development Company Limited (OGDCL) has carried out 3,407 L-KMs 2D and 1,324 Sq. KMs 3D seismic surveys in its various operational areas during the last fiscal year aimed at expediting hydrocarbon exploration activities and making the country self-reliant in the energy sector.

• The Federal Board of Revenue (FBR) has extended the date for filing income tax returns/ statements till Dec 08, 2020.

• The National Electric Power Regulatory Authority (NEPRA) completed a hearing on a petition filed by the Central Power Purchase Agency (CPPA) on behalf of ex-WAPDA power distribution companies for 98 paisa per unit increase for August under monthly fuel adjustment mechanisms.

• The government has fixed the target of producing 31.12 Million Barrel (MBL) oil, 1.58 Trillion Cubic Feet Gas (TCF) gas during the fiscal year 2020-21 aimed at meeting the maximum domestic fuel requirements through indigenous means and bringing down the country’s oil import bill.

• The government has decided that there will be no increase in the price of Petrol for the next fifteen days. According to a notification issued by the Prime Minister office, the price of High-Speed Diesel has been reduced by 2.40 rupees per litre.

• Among Pakistan’s top trading partners, China remained the top source of imports for Pakistan during the month of August 2020, followed by United Arab Emirates (UAE), Singapore and Saudi Arabia.

• The major importable goods during August 2020 were Petroleum, Machinery, Agriculture Products & Chemicals and Food as they accounted for 23%, 19%, 17% and 12% of the total import respectively.

• Pakistan’s exports showed a dismal picture in the month of August 2020, as total exports as per Balance of Payment (BoP) showed a 19% YoY and 20% MoM decline in August 2020. According to the data issued by SBP on export receipts by commodities, the Textile products remained the major exportable goods for Pakistan as it accounted for 56% of the total exports during Jul-Aug FY21. 

• Though Pakistan’s exports to the USA has declined by 1% MoM and 2% YoY during the month of August 2020, the USA has emerged as the top export destination for Pakistan with $334.54 million worth of shipments against the exports of $337.2 million in the preceding month and $341 million in August’19.

• The State Bank of Pakistan has deferred loans amounting to Rs. 651 billion, following the outbreak of COVID-19 and its impact on the economy.  

• The Asian Development Bank (ADB)  approved a $300 million policy-based loan to help strengthen Pakistan’s finance sector by supporting measures to develop competitive capital markets and encourage private sector investment in the country.

• The 969 MW Neelum Jhelum Hydropower plant has contributed over 10 billion units to the national grid station and yielded over Rs 120 billion revenue till August.

• The Petroleum Division (PD) has planned to auction 27 new Exploration and Production (E&P) blocks, out of which 20 would be advertised in October and seven in December aimed at stepping up oil and gas drilling activities in different hydrocarbon potential areas of the country.

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