September 13, 2020 (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:

• On Friday, Pakistan and the World Bank reviewed the WB financing of ongoing portfolio projects in Pakistan with worth $10.4 billion dollars for 52 projects in a review meeting.
• Finance Minister on Friday formed two groups to propose solution for APTMA and FMPAC’s request of extending time limit for GIDC payment.
• Meanwhile, the Petroleum Division said it would continue holding consultations with all the provinces and departments concerned for preparing a unified strategy on the issues of natural gas supply and its pricing matters.
• On Thursday, the Pakistan Stock Exchange informed all market participants that two new ETFs namely; Meezan Pakistan ETF by Al Meezan Investment Management Limited and NBP Pakistan Growth ETF by NBP Fund Management Limited, are expected to launch this month.
• The State Bank of Pakistan (SBP)  on Thursday,  notified the detailed SOPs for investment in scrip less Naya Pakistan Certificates.
• On the upside, Pakistan's gold reserves increased by 20 percent during the fiscal year 2018-19 to $3.04 billion as compared to the preceding year's reserves of $2.534 billion, the Asian Development Bank (ADB) said in a report issued on Thursday.
• Furthermore, the Federal Board of Revenue’s (FBR) Intelligence & Investigation-Inland Revenue Thursday decided to initiate new investigations under Anti-Money Laundering Act 2010 (AMLA 2010) against the persons openly flouting the laws of the land and take existing pending investigation in money laundering (ML) to their logical conclusion.
• The same day, Prime Minister Imran Khan inaugurated the Roshan Digital Account in a ceremony in Islamabad. The Roshan Digital Account is a new initiative of the State Bank of Pakistan (SBP), in partnership with major banks in Pakistan.
• On investment front, Pakistan invited German companies to invest in different sectors, including Agriculture, Information Technologies, Tourism and Renewable Energy.
• In addition to this, Australian iron ore company Fortescue Metals Group Ltd. expressed keen interest to invest in renewable energy sector and green industry in Pakistan.
• On Wednesday, Prime Minister Imran Khan said the natural gas sector in the country was facing imminent challenges of resource shortage and circular debt, and stressed a long-term strategy keeping in view national interests to address the issues.
• Moreover, the Economic Coordination Committee (ECC) of the Cabinet on Wednesday approved the formation of an Advisory Committee for the release of unsold Next Generation Mobile Services (NGMS) spectrum.
• On Tuesday, the Petroleum Division informed that it is in process of formulating a vibrant policy to exploit massive shale gas and oil reserves by attracting multinational companies in exploration sector of the country.
• On Monday, Pak Suzuki Motor Company (PSMC) raised the prices of several variants by upto Rs. 1 million, Pak Wheels reported.
• Also, Pakistan Stock Exchange (PSX) held a gong ceremony on Monday to mark the successful book building and listing of Power Holding Limited’s (PHL’s) Rs 200 Bn Pakistan Energy Sukuk II (PES II).
• Besides, Federal Cabinet revealed the details of projects under the Karachi Transformation Plan.
• On the equity front, Unity Foods Limited notified the exchange that it has raised Rs 4.47 billion from the shareholders against the issue size of PKR 4.5 billion through rights issue of shares.
• Avanceon Ltd  announced to work on the largest oil & gas midstream SCADA upgrade project.
• Avanceon’s subsidiary awarded contract worth 1 million QAR to provide control and automation support services.
• PRL announced to resume refinery operations as crude oil connectivity gets restored temporarily.
• Nimir Industrial Chemicals Limited clarified the news item published in an E-Magazine, pertaining to company’s entry in the FMCG business.
• The Board of Directors of Matco Foods Limited decided to further invest up to Rs. 50,000,000 in Barentz Pakistan (Private) Limited, an associated company in order to meet its working capital requirements/operational expenses.
• Agha Steels announced that it is planning to raise upto Rs 5 billion from the biggest steel IPO in 5 years.
• The Board of Directors of Hinopak Motors Limited decided to increase the paid-up share capital of the Company by issue of a further 12,400,560 ordinary shares.

Financial Results:

Apart from this, several listed companies announced their financial results last week amid ongoing earnings season. Some of the important ones are:

• Amreli Steels Limited (ASTL) reported Rs 1.12 billion worth of net losses for FY20, against meagre profits of Rs 32.82 million earned in FY19.
• Pakistan Petroleum Limited declared Profits of Rs. 49.4 billion (EPS: 18.16) for the year ended June 30, 2020, i.e. almost 17% lower as compared to the earnings of last year.
• MLCF’s consolidated financial statement for the year ended June 30, 2020, showed losses of Rs. 3.5 billion (LPS: 3.89) as compared to the earnings of Rs. 2.46 billion (EPS: 3.57) made last year
• Matco Foods Limited announced the financial results for the year ended June 30, 2020, which showed earnings of Rs. 139.4 million (EPS: 1.14) i.e. 66.2% lower as compared to the last year.
• Thal Limited (THALL) reported 18.4% YoY decline in its net profits for FY20 from Rs 3.96 billion to Rs 3.23 billion.
• National Foods Limited posted 20.43% YoY increase in net profits to Rs 1.65 billion for FY20, compared to the profits of Rs 1.37 billion in FY19.
• Fauji Cement Company Limited’s financial results for the year ended June 30, 2020, showed a Loss after tax figure of Rs. 59.3 million (LPS: 0.4), as opposed to earnings of Rs. 2.82 billion recorded last year.

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