Oct 08 - 14, 2001
Remittances down to $181m in 2 months
Overseas Pakistanis sent back home only $181.6
million in the first two months of this fiscal year i.e. July- August
2001 against $250.6 million during same period last year.
Official statistics show that home remittances fell
largely due to a steep decline in the inflows from Kuwait. Pakistan
had received $66.4 million from Kuwait in July-August 2000. But the
amount fell to only $7.6 million in July-August 2001.
Top bankers said remittances from Kuwait fell this
year because there was no lumpy payment to the affectees of the
Kuwait-Iraq war of 1990s.
The statistics show that remittances from Saudi
Arabia also fell from about $68 million in July-August 2000 to $48
million in July-August 2001. Bankers attributed the fall in the
remittances from Saudi Arabia to the fact that Hundi wallas are more
active there in the absence of the correspondents of Pakistani banks.
Remittances from the United Arab Emirates also fell
from $45.6 million to $34.7 million ostensibly because most of the
hundi wallas engaged in transferring money of overseas Pakistanis back
home are based in Dubai.
In a sharp contrast to this falling trend the
remittances from the United States rose from $18.8 million to $32.7
million that is reflective of the efforts made by Pakistani banks
operating there in attracting home remittances.
Remittances from the United Kingdom and Sultanat-e-Oman
remained almost unchanged at $13 million plus and $7 million plus
respectively in July-August 2001.
Overseas Pakistanis in Bahrain and Germany also
remitted back home almost the same amount of foreign exchange that
they had remitted in a year ago period — $4 million plus and $1.5
million plus respectively.
SBP makes modest cut in TBs yield
The State Bank on Wednesday made a modest cut in
treasury bills yields signalling to the market that the State Bank
wants to keep the interbank market liquid in the short term.
The SBP slashed the maximum yield by 18 basis
points on three-month T bills. It also reduced the cut-off yield on
six-month and one-year T bills by 12 bps and 7bps respectively. The
new cut-off yield are 10pc for three months; 10.39pc for six months
and 10.79pc for one year.
Although the move came a day after the Federal
Reserve of the US cut its discount rate by half a percentage point,
economists say the SBP rate-cut was not in response to the Fed action.
"Pakistan is still not directly linked with international money
market as its capital inflows are very small," said the State
Bank Economic Advisor Dr Mushtaq A Khan.
Banks to get 1.63pc return (Box)
The State Bank said on Saturday it would pay banks
and non-bank financial institutions 1.63 per cent annual return in
October on the 20 per cent special cash reserves on their foreign
currency deposits. The return fixed for September was 2.58 per cent.
The State Bank fixes the rate of return every month
on the basis of the one-month LIBOR (London Inter-Bank Offered Rate)
at the close of the last working day of the previous month.
Dollar gains further
The US dollar continued its upward journey in both
the inter-bank as well as open currency market on Thursday. In the
inter-bank market it closed at Rs62.70/ Rs62.75 for ready buying and
selling up 18 paisa from the previous close of Rs62.52/Rs62.57. And in
the kerb market it closed at Rs63.50/ Rs63.80 for spot buying and
selling recording an overnight gain of 30 paisa.
Honda Atlas Cars
Honda Atlas Cars (Pakistan) Limited announced
financial figures for the year ended June 30, 2001 on Thursday.
Sales in terms of value showed 28 per cent growth
to Rs4,485 million, from a year ago sales valued at Rs3,507 million.
Pre-tax profit improved by a marginal 1.7 per cent to Rs294.7 million,
from Rs290.5 million, but due to the decline in effective tax rate to
30.6 per cent, from 34.1 per cent, the after tax profit could climb
6.8 per cent to Rs204.5 million, from Rs191.3 million the previous
CAA suffering losses
The Pakistan Civil Aviation Authority has suffered
half-a-million dollars revenue losses this month following the
curtailment of flights over Pakistan space and landing and parking
charges, due to discontinuation and reduction of scheduled flight
operations by foreign airlines.
The CAA losses per week have been estimated to the
tune of Rs33 million per week. These losses were the direct outcome of
the situation in the wake of the Sept 11 events in the US.
Haroon Oils Limited posted pretax profit of Rs4.9
million for the year ended June 30, 2001, which replaced the loss of
Rs10 million suffered the previous year.
The company announced financial figures at the
stock exchange on Tuesday. After-tax profit for the year stood at
Rs2.5 million, which compared with after-tax loss of Rs13.6 million
the earlier year.
PSO, Shell raise furnace oil prices
Pakistan State Oil (PSO) and Shell Pakistan Limited
(SPL) on Monday raised prices of furnace oil by Rs387 and Rs385.25 per
The new price of PSO's furnace oil is Rs12,431 per
ton as compared to Rs12,044, while the price of Shell's fuel oil has
been increased to Rs12,477.50 per ton from Rs12,092.25.
Diesel price up
Oil Companies Advisory Committee (OCAC) has
increased the ex-depot fixed sales prices of high speed diesel (HSD)
by one rupee per litre to Rs 19.19 per litre from Rs 18.19 per litre,
a raise of 5.5 per cent. The Committee, however, did not make any
change in the price of petrol, which is currently selling at Rs 32.46