Thursday, September 29, 2022
HomeEconomyWeekly News Roundup

Weekly News Roundup

August 07, 2022 (MLN): The highlights of the important economic and business events that took place during the last week are in order so as to become acquainted with the recent developments in Pakistan’s economic and public policy.

Events of Importance through the week:

  • The Economic Coordination Committee (ECC) of the Cabinet on Saturday approved the Technical Supplementary Grant of Rs5 billion for the National Disastrous Management Authority (NDMA).
  • On the same day, the government increased profit rates on various saving schemes by 24-125 bps.
  • On Friday, the Ministry of National Food Security and Research (NFS&R) submitted a summary on the supply of milling wheat from Russia on a G2G basis to the ECC.
  • The United Arab Emirates intends to invest $1bn in Pakistani companies across various sectors.
  • Meanwhile, foreign exchange inflows through Roshan Digital Account (RDA) declined by 25% MoM and reached $4.79bn by July 2022 since its launch in September 2020.
  • State Bank of Pakistan (SBP) on Friday significantly reduced cash margin requirements (CMR) on deferred payments to provide relief to importers.
  • The Federal Minister for Finance and Revenue Mr. Miftah Ismail, on the same day, termed the allegation of commercial banks' involvement in speculation in the interbank market “incorrect”.
  • During the departed week, SBP took regulatory action against TAG Innovation Private Limited, an Electronic Money Institution (EMI), for violating the SBP’s regulatory requirements.
  • The central bank also imposed a monetary penalty worth Rs131.42 million on three banks that violated SBP’s rules and regulations from April-June 2022.
  • Despite the growth of 11.1% YoY in overall revenues in local currency, Jazz’s revenue decreased 12.1% in USD terms during the second quarter of 2022.
  • The federal government has deferred the fixed tax regime on electricity bills for one year on the demand of traders.
  • On the energy side, the government is considering the option to review petroleum product prices on a weekly basis. 
  • On the upside, the government and refineries agreed to upgrade on Euro-V specifications in the next 5 years, along with a deal to relegate the government’s role to only a tax collecting authority instead of a regulator.
  • Furthermore, China rolled over a $2bn loan in safe deposits for cash-strapped Pakistan’s economy amid dwindling foreign exchange reserves.
  • The government of Pakistan and OPEC Fund for International Development (OPEC Fund) signed a Financing Agreement amounting to US$ 72mn for Mohmand Dam Hydropower Project (MDHP).
  • In view of recent volatility in the exchange rate and the difference between the interbank rate and the rate offered by Exchange Companies (ECs) and banks to their customers, SBP has increased the monitoring of the foreign exchange operations of ECs and banks.
  • Acting governor SBP Dr. Murtaza Syed on Tuesday announced the formation of a committee and appointment of an SBP liaison officer for close coordination with the Federation of Pakistan Chambers of Commerce & Industry (FPCCI).
  • Dubai-based trader Coral Energy has become the top fuel oil supplier to Pakistan in recent months after winning a slew of import tenders floated by state-run Pakistan State Oil (PSO).
  • During the same week, Pakistan Telecommunication Company Limited (PTCL) launched Smart Solutions powered by Huawei.
  • Engro Eximp FZE entered into a Memorandum of Understanding (MoU) with Excelerate Energy, Inc. (NYSE: EE) (Excelerate) for the development of a private sector gas marketing business in Pakistan.
  • In the backdrop of rupee depreciation and rising input costs, Fauji Fertilizer Company (FFC) has increased the Sona DAP prices by Rs1,000/bag.
  • Pakistan has completed all prior actions for loan review, says Dr. Esther Perez Ruiz, International Monetary Fund (IMF)’s Resident Representative for Pakistan.
  • Oil and Gas Regulatory Authority (OGRA) on Monday issued a price-revision notification of Liquefied Petroleum Gas (LPG) for August, decreasing the commodity price by Rs29.56 per 11.8-kilogram cylinder.
  • The Securities and Exchange Commission of Pakistan (SECP) introduced the concept of Digital Asset Management Companies (AMCs), to promote financial inclusion and to simplify investment in AMCs.
  • Pakistan’s imports have reduced to $5bn in the month of July according to FBR data, compared to $7.7bn in June.
  • The Federal Board of Revenue (FBR) has collected net revenue of Rs458bn in July 2022, exceeding the target of Rs443bn by Rs15bn.
  • The federal government has decided to reduce petrol prices by Rs3.05 per litre and increase the price of diesel by Rs8.95 per litre.

Announcement:

  • On the equity side, the London Court of International Arbitration (LCIA) delivered its arbitral award in favor of Sui Nothern Gas Pipelines Limited (SNGPL) validating SNGPL claims against Quaid e Azam Thermal Power (Private) Limited (QATPL) on account of failure to offtake the Take or Pay quantities of RLNG by QATPL.
  • The shareholding of Jahangir Siddiqui & Co. Ltd. (PSX: JSCL) in Sitara Chemical Industries Limited (SICL) has been increased to 10.46%.
  • Lotte Chemical Pakistan Limited (LOTCHEM) earned a net profit of Rs5.4bn (EPS: Rs3.57) in the first half of CY22.
  • Meanwhile, Lucky Cement Limited (LUCK) reported a 29% increase in net profits during FY22 to Rs36.4bn.
  • Pakistan Stock Exchange (PSX) placed Apna Micro Finance Bank Limited (AMBL) in the defaulters' segment on account of failing to hold its Annual General Meeting and submitting its Annual Audited Accounts for the year ended December 2021.
  • Meezan Bank and Javedan Corp. signed a pact to invest $6.6mn (Rs1.5bn) for the construction of three buildings with more than 400 residential apartments.
  • In line with the amended Memorandum of Association, MetaTech Health Limited has increased the authorized share capital from Rs50mn to Rs600mn divided into 60mn ordinary shares of Rs10 each.
  • Mari Petroleum (PSX: MARI)’s profitability saw a meager increase of 5% YoY, to Rs33bn in FY22.
  • Engro Powergen Qadirpur Limited (EPQL) registered a net profit worth Rs405.64mn for the half year ended on June 30, 2022, depicting a decline of 55% YoY.
  • The name of Hashimi Can Company Limited (HACC) has been changed to MetaTech Health Limited.
  • United Bank Limited (UBL) posted a net profit of Rs12.2bn, 19% lower when compared to a profit of Rs15.04bn recorded in the same period last year.
  • Bolan Castings Limited (BCL) resumed its production activities on August 03, 2022, as the electricity supply in the District Lasbela / Hub city and its adjoining industrial areas has been restored.
  • The management of Nishat (Chunian) Limited (PSX: NCL) shall transfer to its members the Nishat Chunian Properties (NCPL)’s shares owned by it in the ratio of 0.78 shares of NCPL for one fully paid-up share of NCL.
  • Hashimi Can Company Limited (HACC) resumed commercial activities/business operations on August 02, 2022.
  • The Board of Directors of ICI Pakistan approved the change of the name of the company from ICI Pakistan Limited to Lucky Core Industries Limited.
  • The Board of Directors of Soneri Bank Limited (SNBL) has approved raising Tier-2 Capital as redeemable capital in the form of listed, rated, subordinated, and unsecured Term Finance Certificates (TFC-III) up to the extent of the face value of Rs4 billion for the purpose of the bank business operations.
  • The Competition Commission of Pakistan (CCP) conveyed a “No Objection” on the proposed demerger of Allied Rental Modaraba.
  • Supernet Limited (PSX: GEMSPNL) has been awarded a new multi-year project for the acclaimed “Tipping Point” Threat Protection System (TPS) by a major Pakistani customer valued at over Rs450mn.
  • Karam Ceramics Limited (PSX: KCL) announced that Mrs. Suraiya Nasir, Mr. Syed Mazhar Ali Nasir, Mr. Syed Azhar Ali Nasir, and Mr. Syed Azfar Ali Nasir have acquired, in aggregate and in equal proportion, 76.64% of the shareholding in the company.

Copyright Mettis Link News

Posted on:2022-08-07T17:14:35+05:00

34506

RELATED ARTICLES
- Advertisment -

Most Popular