COVER

FOREX RESERVES

Oct 20 - 26, 2003  
ISSUE # 42  

Over the last three years, Pakistan has succeeded in taming the ever increasing foreign debt, and above all building up comparatively a strong liquidity reserves position amounting to over $11 billion in October 2003. However the benefits of this success story have not started reaching to the common man. Currently, government plans to invest a sizeable amount of the reserves through fund managers abroad. The economic experts are however of the opinion that these funds could be utilized more productively and effectively within the country to build up human resource development, and to provide infrastructure facility at subsidized rates to attract private sector investors within the country as well as from abroad.

 

 

 

 

OGDC SHARES
Formalities are being completed for the offer of shares of Oil and Gas Development Company (OGDC) to general public. The Privatization Commission has fixed the subscription price at Rs 32 for share having the face value of Rs 10. The OGDC has also announced its financial results for the year ending June 30, 2003, registering a growth of 23% in profit as compared to last year.

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EXPORT GROWTH
First the good news: Saudi Arabia and the United Arab Emirates have become the distribution points to help Pakistani exports, particularly cotton textiles and garments, penetrate markets in Arabian and African countries. The bad news, however, is that the exports to these two countries are heavily over-invoiced not only to mask an unreal increase last fiscal but is also expected to give a false boost to export performance this year.