Good Morning
The country’s current account balance recorded a surplus of $13 million in May 2020, as compared to the deficit of $1.004 billion recorded in May 2019, according to data released by the State Bank of Pakistan on Wednesday. The State Bank of Pakistan (SBP) has raised Rs112 billion through the sale of Pakistan Investment Bonds (PIBs), according to a statement issued on Wednesday. Pakistan on Wednesday received inflows amounted to $1 billion from international financial institutions as loan for essential budget support in wake of COVID-19. The International Monetary Fund (IMF) on Wednesday revised downward the GDP growth rate target for Pakistan from 2 percent to one percent for the next fiscal year 2020-21.
Market View: The KSE100 Index lost 17.96 points during Thursday’s trading session. We expect the market to remain range bound in the upcoming session due to lack of any significant trigger.
Commodities:
Brent oil (USD/bbl): 40.12 (-0.47% D/D)
Crude oil (USD/bbl): 37.88 (-0.34% D/D)
Gold (USD/oz): 1,771.90 (-0.192% D/D)
Current account records surplus of $13m in May
KARACHI: The country’s current account balance recorded a surplus of $13 million in May 2020, as compared to the deficit of $1.004 billion recorded in May 2019, according to data released by the State Bank of Pakistan on Wednesday.
SBP sells Rs112bn worth of PIBs
KARACHI: The State Bank of Pakistan (SBP) has raised Rs112 billion through the sale of Pakistan Investment Bonds (PIBs), according to a statement issued on Wednesday.
$1bn inflows received from ADB, WB
KARACHI: Pakistan on Wednesday received inflows amounted to $1 billion from international financial institutions as loan for essential budget support in wake of COVID-19.
‘Wheat price disruption may add 57bps to June inflation rate’
KARACHI: Wheat price disruption is expected to add 57 bps to June inflation, and the inflation rate is likely to settle at 8.49 percent by the end of the month of June 2020 as compared to 8.00 percent in June 2019 and 8.22 percent in May ’20, respectively, analysts said.
Fiscal year 2017-2018: SOEs register Rs265bn losses
ISLAMABAD: The state-owned enterprises (SOEs) have registered Rs265 billion in losses, despite getting Rs692 billion in support on account of subsides, cash development plan, and guarantee from the government, according to the Ministry of Finance.
IMF revises FY21 growth rate target downward to 1pc
ISLAMABAD: The International Monetary Fund (IMF) on Wednesday revised downward the GDP growth rate target for Pakistan from 2 percent to one percent for the next fiscal year 2020-21.
To comply with FATF conditions, Pakistan needs to amend foreign exchange laws within three months
ISLAMABAD: The government will have to pass amendments into Anti Money Laundering (AML) and Foreign Exchange Regulation laws within next three months from the Parliament for complying with the Financial Action Task Force (FATF) conditions.
Ogra urged to reduce gas tariff by 40pc
ISLAMABAD: The Oil and Gas Regulatory Authority (OGRA) has been urged to reduce the gas tariff by 40 percent, in line with sharp decline in crude oil and furnace oil globally, and cap the human resource expenditure of the Sui Northern Gas Pipeline Limited (SNGPL), in a public hearing on Determination of Estimated Revenue Requirements (DERR) for financial year 2020-2021, held on Wednesday.
Nepra seeks explanation from K-Electric over increased load shedding, electricity bills
The National Electric Power Regulatory Authority (Nepra) on Wednesday directed K-Electric to submit a detailed report regarding unannounced load-shedding in Karachi while taking additional notice of consumers receiving inflated electricity bills.
Pakistan Steel Mills: Transaction structure yet to be finalized
ISLAMABAD: The Privatisation Division has yet to finalise transaction structure of the Pakistan Steel Mills (PSM) despite having eight consecutive transaction committee meetings of the revival plan.
K-Electric facing over 550MW shortfall
ISLAMABAD: The Cabinet Committee on Energy (CCoE) was recently informed that K-Electric is facing over 550MW shortfall which implies unscheduled load shedding in the city, according to official document.
Senate recommends 40 amendments in Finance Bill 2020
ISLAMABAD: The Upper House of parliament on Wednesday unanimously adopted recommendations of the Senate Standing Committee on Finance Bill 2020, which constituted 40 amendments and 53 general consensus recommendations to the lower house.
Rs1,150bn tax expenditure recorded for FY20: FBR report
ISLAMABAD: The Tax Expenditure Report 2020 released by the Federal Board of Revenue (FBR) on Wednesday states that tax expenditure from federal taxes in FY20 amounted to an estimated Rs1,150 billion.
Gold price jumps Rs2,000 to 105,100 per tola
KARACHI: Gold rates shot up Rs2,000 per tola, the All Sindh Sarafa and Jewellers Association (ASSJA) said Wednesday, with prices around the world surging to their highest in nearly eight years as signs of an acceleration in the coronavirus cases kept investors on edge.
Govt prioritises privatisation of two RLNG-based power plants
ISLAMABAD: A meeting of the Privatization Commission was held on Wednesday to discuss the privatisation status of entities included in the government’s active list.
Oxygen-manufacturing cos: Govt decides to extend fiscal incentives
ISLAMABAD: The government has decided to extend fiscal incentives to oxygen-manufacturing companies, well-informed sources told Business Recorder.
Tax collection from exports up 23pc in July-May
KARACHI: The income tax collection from exports grew 23 percent in the first eleven months of current fiscal year on the back of improved monitoring of export consignments, officials said on Wednesday.
International News
Oil prices hold ground after sharp retreat on virus fears
Oil prices inched up in early trading on Thursday after sliding more than 5% in the previous session on worries that a rapid rise in Covid-19 cases could choke a revival in fuel demand, but volumes were thin with China out on a public holiday.
Gold firms as fears of second pandemic wave boost safe-haven bids
Gold prices edged higher on Thursday, as concerns over rising coronavirus cases dented hopes of a swift economic recovery, driving investors towards the safe-haven metal.
IMF slashes its forecasts for the global economy and warns of soaring debt levels
The International Monetary Fund slashed its economic forecasts once again on Wednesday and warned that public finances will deteriorate significantly as governments attempt to combat the fallout from the coronavirus crisis.
