"The central bank was left with no option but to
pick liquidity in three months by paying extra price. I think raising
yield by 18 basis points must be discomforting for the SBP. This was the
best option for it, or conducting OMO for large amount would have been
like pushing it to the wall. But what is more worrying for the market is
the narrowing of gap between the three tenors."
(A chief dealer of a foreign bank commented on SBP's
decision of raising three-month treasury bills yield by 18 bps.)
"We have achieved the target of credibility and
transparency of our privatisation process, which has boosted the
investors' confidence and interest in Pakistan," says Dr Abdul
(Privatisation program was reviewed in a meeting of
the Privatisation Commission Board)
"It's not out of the question that $80 could be
the next barrier if there's long-term damage," said Gerard Burg,
minerals and energy economist at National Australia Bank.
(Oil hits record near $71 after Katrina)
"It had to perform exceptionally well to prove
its worth in the banking field. The rate of its expansion was higher
than the rate of induction of the competent professionals and it was a
source of concern," says Dr Ishrat Hussain, Governor State Bank of
(Governor State Bank said that Islamic banking has a
lot of potential for growth in Pakistan but highly trained professionals
are needed to run the system firmly entrenched in Shariah.)
"I will try my best to do justice with every
province in the award," President Gen Pervez Musharraf.
(The National Finance Commission Award would be
announced by next month.)
"If the oil prices continue to increase, the
government might enhance inflation target from eight per cent to nine
per cent during 2005-06," an official source claimed.
(The continued increase in international oil prices
might force the government to revise upward inflation target set for
"This is a major catastrophe," White House
press secretary Scott McClellan told reporters. He said the government
was declaring the hurricane to be an "incident of national
significance," a designation that triggers a national emergency
(The hurricane Katrina along America's Gulf Coast has
created great chaos throughout USA).
"It has been decided to keep export refinance
rate of 7.5 per cent unchanged for the second consecutive month in
September," State Bank of Pakistan.
(The stability in the benchmark six-month treasury
bills yields in July-August has helped the central bank keep its export
refinance rate unchanged during August and September.)
"The tariff for all companies of the Water and
Power Development Authority is likely to be increased by an average of
five per cent or more than 20 paisa per unit in the second week of
September," sources claimed.
(Electricity prices will increase by 5% in
"Central recording and processing centre will be
located in Karachi and backup stations will be located in Quetta and
Peshawar/Islamabad. Data recorded by all the broadband stations together
with that of the local area seismic networks will be transmitted through
VSAT to the central station in Karachi," said Director-General of
PMD, Dr Qamaruzzaman Chaudhry .
(The Pakistan Meteorological Department has started
to establish a seismic activity monitoring project worth Rs193 million.)
"The ongoing training camp was just a fitness
training session but not a full-fledged training session as the coaches
are concentrating on the physical fitness of the players while batting
and bowling training will be done in the next camp," Inzamam ul Haq.
(Inzamamul Haq, the Pakistan cricket team captain,
said that the conditions of fitness and discipline would be the
selection criterion for every player.)
"Pakistan's foreign exchange reserves registered
a major decline of $122 million to bring down the total to $12.239
billion," State Bank's official release claimed.
(Experts believe that the rising oil prices, which
hit record $70 per barrel has created enormous pressure on Pakistan's
oil bills and the decline in reserves reflect the situation.)
"State Bank of Pakistan (SBP) will be
introducing a new currency note of Rs 5000 denomination by the end of
2005," official sources of SBP revealed.
(SBP will issue Rs. 5000 note soon)
"The Central Board of Revenue (CBR) had
collected Rs 35.639 billion till August 29, 2005, and it is expected
that the final tax collection for the month would reach the monthly
target of Rs 41 billion when the final figures are available in the next
"It will cost over $100 million, but it is not
yet decided how long the contracts are for. We have also discussed joint
ventures with Indian companies in Pakistan, but for this we would need
government support," Jawed Mughal of Mughal Steel.
(The country's steel production units have placed
orders to import $102 million equipment from India and are now due to
meet authorities in Islamabad seeking the nod to set up new plants with
"We expect Hubco to announce a net profit in the
range of Rs 5.26 to Rs 5.32 billion or earning per share of Rs 4.55-4.60
for the year ended on June 30, 2005," said Khalid Iqbal Siddiqui,
research head at Invest Capital and Securities, a local brokerage house.
(Hubco is likely to announce its net declining profit
in the range of Rs 5.26 billion to Rs 5.32 billion, owing to disruption
in the plants, claimed by the analysts of different brokerage houses)