22 - 28, 2002
REMITTANCES RISE TO $1.6BN IN 9 MONTHS
Pakistan got $1.626 billion in the shape of home
remittances during the first nine months of this fiscal year (July
2001-March 2002) against $854.6 million received in a year- ago
period. The figure shows an impressive growth of 90 per cent.
The State Bank said on Thursday the amount included
the money sent back home by overseas Pakistanis; Hajj remittances and
the remittances from Kuwait-Iraq war affectees plus encashment of
foreign exchange bearer certificates and foreign currency bearer
Out of total remittances of $1.626 billion, $1.543
billion came in the shape of workers remittances i.e. the money sent
back home through banks by Pakistanis working abroad.
The SBP said that the workers remittances received
in July 2001-March 2002 are up 125 per cent as compared to $683.5
billion received in a year-ago period.
It said that in March 2002 Pakistan received $227
million through workers remittances that showed the second largest
increase over a year-ago period. In March 2001, the country had
received only $66.5 million workers remittances. Thus March 2002
witnessed a huge 241 per cent increase over March 2001.
Earlier in November 2001, workers remittances had
registered the largest increase of this fiscal year when overseas
Pakistanis had sent back home $259.8 million from $73.4 million sent
in November 2000.
Pakistan started receiving huge inflow of home
remittances as anti-money laundering laws were tightened in the US and
elsewhere after the Sept 11 attack on New York and Washington.
GOVT TO ISSUE RS27BN BONDS
The government has decided to issue bonds worth
Rs27 billion to settle the liabilities of all the Nationalized
Commercial Banks (NCBs) with a view to making them financially strong
"The decision of issuing bonds on behalf of
the banks will now help in getting a better price for them from local
and foreign investors," said Additional Secretary, Ministry of
Finance, Dr. Waqar Masood Khan.
He said that the government has now completed all
the necessary requirements including covering tax losses of the NCBs
to make them viable for privatization. The government was issuing
these bonds on competitive terms and conditions to settle this
liability for all the banks.
WORLD BANK TO LEND $350 MILLION
The World Bank has assured to extend $350 million
new funding under Structural Adjustment Credit (SAC-2) programme
before the end of 2001-2002 to further help improve Pakistan's balance
of payment position.
The World Bank's Vice President for South Asian
Region, Mieko Nishimizu met Minister for Finance Shaukat Aziz on
Sunday immediately after her arrival from Afghanistan and assured him
to disburse $350 million SAC-2 by June 30 this year.
Like the previous SAC-1 which was of the same
amount and was disbursed in August last year, SAC-2 will also be
disbursed from the International Development Agency's (IDA)
concessional window of the World Bank at 0.7 per cent service charges.
It will be disbursed as a single tranche.
STATE BANK MOPS UP RS5.8BN
The State Bank of Pakistan (SBP) on Wednesday
realized Rs5,882.040 million of a face value of Rs6,150 million
through the sale of Government of Pakistan Market Treasury Bills for
six- and 12-month maturity out of Rs18,842.005 million of Rs19,500
million face value offered.
The bids for the three-month T-bills were rejected
by the SBP, while the primary dealers offered Rs3,651.230 million of
Rs3,700 million face value in this category.
GOVT TO ISSUE RS30BN BONDS
The Economic Coordination Committee (ECC) of the
cabinet on Tuesday decided to issue Rs30 billion bonds on behalf of
Karachi Electric Supply Corporation (KESC) and take over its Rs81
billion losses and loans as government's equity.
In this way, the government shareholding in KESC
would increase to around 99 per cent. These measures were part of
KESC's restructuring plan amounting to Rs111 billion that has already
been approved by the Federal Cabinet, official sources told.
RS12BN LOSS IN 9 MONTHS
The Karachi Electric Supply Corporation Limited (KESC)
reported on Tuesday after-tax loss amounting to Rs12 billion for the
nine months (July-March 2001-02) period.
The KESC Board also announced the Q3 (Jan-Mar)
results, which showed after-tax loss of Rs3.27 billion, higher than
the loss of Rs3.12 billion the corporation suffered in the similar
quarter of 2001.
NO CHANGE IN POL PRICES
The Oil Companies Advisory Committee (OCAC), for
the second time, has kept the prices of petrol, diesel, HOBC, light
diesel and kerosene "unchanged".
However, the committee has increased the prices of
JP-4 and JP-1 by 4.55 and 5.80 per cent. The new price of JP-4 is
Rs16.33 as compared to Rs 15.62 per litre, while JP-1 will be
available at Rs12.57 from April 16 as against Rs11.88 per litre, says
a press release of the OCAC.
LEVER BROTHERS PAKISTAN
On Monday, Lever Brothers Pakistan Limited — the
fast moving consumer goods (FMCG) producing giant — announced first
quarter (Jan-Mar) 2002 financial results, posting 48 per cent growth
in pre-tax profit to Rs717 million , from Rs484 million in the
corresponding period of the previous year. With effective tax rate at
maintained 38 per cent, the after tax profit increased to Rs442
million, from Rs301 million.
The Agriculture Development Bank of Pakistan (ADBP)
would provide Rs625 million loan to the agreement-holders of Virginia
Tobacco growers of the NWFP this month.
Pakistan Tobacco Company Limited has posted after
tax profit of Rs353.7 million for the year ended December 31, 2001,
which comes after six years of serial losses.