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Wednesday, 17 October, 2012
Zardari seeks trade liberalisation, tariff cuts among ECO members BAKU
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APP
RESIDENT Asif Ali Zardari Tuesday urged ECO members to expedite implementation of past agreements for trade liberalisation besides cutting down tariff and non-tariff barriers. “We must resolve to operationalise the ECO Trade Agreement from January 1, 2013 and should also facilitate the private sector for promotion of trade, transport and energy
sectors”, he said while speaking at the 12th ECO summit here. The President said that the member states must commit to become a part of this fundamental agreement as this trade agreement was one of the core objectives of this organisation. Emphasising on regional connectivity, the President said that the vision of regional connectivity and trade articulated at the 3rd ECO Summit in Islamabad was given by his wife, Daughter of the East Shaheed Mohtarma Benazir Bhutto, who he said was also his political leader. He said that for most of us, she was a fighter as she fought for the women and children of Pakistan, a country of 200 million people. He said that political legacy of Shaheed Benazir Bhutto was a treasure that we all carry with great humility. The President, referred to her speech of Mohtrama Benazir Bhutto at the 3rd ECO Summit Islamabad in March 1995, in which she said, “in the tapestry of history, our strong cultural and trading ties, our religious bonds, our mutual goals and objectives have woven us together into a rich communal cloth. Our poetry, our literature, our songs, our dances, our legends reflect the community of our nations, the brotherhood of our people.” “This common heritage has given us the collective political will and the modus operandi for further regional cooperation and
integration amongst our ten countries,” he said. The President highlighted collective potential and the various challenges and threats to the potential of the ECO and said that the potential was clearly written in the Treaty of Izmir and in our past pledges. The President said that it was obvious that ECO still has a long way to go to achieve its goals, adding that while other regional blocs have progressed but ECO has not progressed. He said that regional blocks like the European Union and ASEAN continue to deepen their regional linkages but the ECO continue to speak only of potential, rather than results. The President said, “we must ask ourselves that why the ECO has not progressed and that we must challenge ourselves to do better constantly, adding that this was the only way forward for all of us.” “We must challenge ourselves both within our countries, and as a collective group of brotherly nations”, the President said and urged for putting into action a vision of real cooperation among the member countries. Emphasising regional linkages, the President stressed for strengthening regional connectivity, adding that energy must flow from energy rich to energy deficient countries in the region and that oil and gas pipelines and power grids must be built. “The ECO Train, which I like to call the Gul Train, must be implemented”, he said and hoped that it will enhance trade not only among Turkey, Iran and Pakistani businesses but in all countries of the region.
ADB approves $400m for NHA projects ISLAMABAD: Asian Development Bank (ADB) has approved $170 million for National Trade Corridor Highway Investment Programme Project-1 under which 58km Faisalabad-Gojra section is being realised and $ 39 million have been disbursed. Likewise $230 million are allocated for National Highway Development Investment Programme (Project-2). 68 km SukkurJacobabad and 150 km Qila Saifullah -Zhob Road projects are being built through this programme. This was informed in a meeting presided over by Chairman National Highway Authority (NHA) Muhammad Javaid Iqbal Awan to review national highway projects being undertaken with the cooperation of ADB. The ADB Mission was led by transport specialist Dong Soo Pyo. Detailed discussions were made on technical issues of ADB Aided Projects. The meeting also discussed ways and means to solve such issues for earlier completion of the schemes. On this occasion, NHA chief commended the services of the ADB, for providing financial assistance in national highway schemes. He desired to overcome the issues through mutual consultation so that projects could be realised as per schedule. The meeting also discussed various aspects of pipeline projects for 2012-13 which include 20 km segment of Hassanabdal-Havelian Expressway and Gojra-Shorkot section of Faisalabad-Multan. APP
Produce wheats appetite Pakistan is quite comfortable in wheat supply during the current year: API ISLAMABAD APP
Pakistan is quite comfortable in wheat supply during the current year as the country had a bumper harvest of wheat crop for the last 4 years, with an all time record production of 25.21 million tonnes in 2010-11 and for the year 2011-12, the crop is estimated at 23.52 million tonnes. A statement of Agriculture Policy Institute (API) of the Ministry of National Food Security and Research issued here on Tuesday said that, during the current year, the public sector wheat stocks were 9.30 million tonnes including current procurement of 5.79 million tonnes and last year carry-over stocks of 3.51 million tonnes. The public sector on the average annually relapses 6.5 million tonnes to flour mills and other Agencies/Areas and maintaining the Strategic Reserve of one million tonnes, the country is left with 1.80 million tonnes surplus, the statement said. It added that the country is quite comfortable in wheat supply during the current year and in view of sound supply position, the government has allowed the private sector to export wheat and its products. The API statement said that it is reported that the private traders have exported wheat and its products from the open market in recent months in the wake of rising prices in the world market. Major portion of these exports comes from wheat flour, accruing value addition receipts to the econ-
omy. The API statement further said that Wheat is not only the major staple food grain but also the food security crop of Pakistan. Being a very sensitive commodity, a small change in its price and availability has a considerable impact on consumers, especially the poor sections of the community. Hence the Government is much concerned with its supply and demand situation so as to ensure the availability of this basic food security item for the masses. During the current year, the public sector wheat stocks were 9.30 million tonnes including current procurement of 5.79 million tonnes and last year carry-over stocks of 3.51 million tonnes. The public sector on the average annually relapses 6.5 million tonnes to flour mills and other Agencies/Areas. Maintaining the Strategic Reserve of one million tonnes, the country is left with 1.80 million tonnes surplus. Thus the country is quite comfortable in wheat supply during the current year. In view of sound supply position, the government has allowed the private sector to export wheat and its products. It is reported that the private traders have exported wheat and its products from the open market in recent months in the wake of rising prices in the world market. Major portion of these exports comes from wheat flour, accruing value addition receipts to the economy. The Government has also opened releases of wheat to the flour mills w.e.f September 1, 2012 to help stabilize the domestic market. The release price is being regularly monitored by the provincial food departments and is adjusted in line with the emerging domestic and world situation to ensure ample supply of the staple food grain for the sake of food security at home.
Uncle Sam wantS trade… lotS of it KARACHI APP
US cares deeply about promoting Pakistan’s economic development and it is an vowed desire that Pakistan soon moves out of being a developing nation depended on GSP or preferential concessions to increase trade. Preferential trade should not be the goal but the means to establish brands and move upwards. This was stated by US Consul General in Karachi, Michael Dodman, while addressing the members of the Karachi Chamber of Commerce and Industry (KCCI) on Tuesday. The US Consul General, who was accompanied by Anu Prattipati, Jonathan Ward, and Cara Babrowski from the Economic and Commercial Office, added that the targeted focus would be on energy, especially for the benefit of education, businesses and individuals. Recently, UDSAID help launch a programme to improve the electric pumps so that the benefits could soon filter down for overall benefit. Dodman also stated that USTR helped in organizing the USPakistan Business Opportunities Confer-
US keen on promoting bilateral trade: Consul General Dodman ence in London in association with BOI where focus was on investment, especially in the energy sector. There was an unusually plenty of interest in the possibilities of investing in Pakistan. The presence of senior officials from both the countries further created the critical mass in making this Conference effective. An important financing agreement for power sector was also inked during this Conference and, at the same time, the participants were made aware of the facilitation tools available to the investors. The US Consul General also informed that the Pakistan Private Investment Initiative Fund would also be a game changer as it will pool funds from the US government as well as the private sector and would be implemented and managed by USAID. This Fund would target and assist the SME sector and should be extremely beneficial for it. The response from Pakistan’s equity-based funds and financial institutions was very positive and many
proposals have already been received. Dodman also said that the Bilateral Investment Treaty would soon be signed after eight years of negotiations. Once signed, the Treaty would be sent to Congress for final approval. BIT provides assurances and additional level of security for US investors and should send important positive signals to them that Pakistan, with a young population, has immense potential. The US Consul General applauded the initiative of KCCI to form the Pakistan Afghanistan Joint Chamber of Commerce and Industry and the Mumbai Karachi Joint Chamber of Commerce and Industry and termed these
as active road-building ventures promoting Karachi as the Gateway to Afghanistan and Central Asia as well as promoting intra-regional trade and investment. He also complimented KCCI for its role in promoting the KarachiHouston Sister-Chapter Agreement. He was hopeful that KCCI would play a strong role in improving the image of Karachi and Pakistan all over the world, especially in USA. He said the image issue is multi-faceted and there are travel advisories but he assured the businessmen that he would personally take a closer look into these and would use his influence in this regard. He, however, stated that improving image is the
mission of the business community, not foreign diplomats. Siraj Kassam Teli, Chairman Businessmen Group and former President KCCI, explained the workings of the Chamber and also said that this has been the only Chamber to send two high powered delegations to United States to meet officials and businessmen there. He asserted that KCCI has been in the forefront in highlighting the positive aspects of Karachi and Pakistan. One such step has been the holding of My-Karachi Exhibition every year in Karachi. Earlier, President KCCI Haroon Agar, while welcoming the guest, pointed the dynamics of bilateral trade and investment. He enumerated certain sectors that should interest US businessmen and also help in improving the image as well as the business climate in Karachi. He also talked about the various initiatives undertaken to bring about betterment in bilateral relations. Former Presidents Majyd Aziz, Anjum Nisar and Mian Abrar also expressed their views and opinions. Shamim Firpo, SVP and Nasir Mahmood, VP offered their thanks and appreciation to the American diplomats.
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Pakistan enhancing mobility and smartness Mobile phone, smart card banking accounts up beyond 1.45m: SBP KARACHI
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STAFF REPORT
TATE Bank of Pakistan (SBP) Deputy Governor Kazi Abdul Muktadir on Tuesday said mobile phone and smart card banking accounts have surged to nearly 1.45 million in the country, which indicates that Pakistan’s financial sector is now going through a dynamic transition led by the latest technology solutions. Speaking at the launching ceremony of a new product, “Easy Paisa Khushaal” of Tameer Microfinance Bank (TMFB) and Telenor at a local hotel in Karachi this afternoon, he said: ‘The existing active players – the Tameer Microfinance Bank (Easypaisa) and UBL (Omni) – have so far registered more than 1,447,381 mobile wallet accounts (mWallet accounts) of unbanked and under-banked population of the country. Wallet accounts are opened under Branchless Banking (BB) and include both Mobile Phone and Smart Card accounts. He said that nearly 30 million BB accounts worth Rs. 115 billion were processed during a single quarter (April-June, 2012) by only two players (TMFB and UBL – Omni). Abdul Muktadir said that such type of innovations in product designing will not only attract small savings to generate internal funding for Microfinance Banks (MFBs) but also provide savers a feeling of safety and security of insurance embodied with the product. ‘Now the time is only of demand-driven innovative products, through which MFBs can easily handle the challenges like scarcity of funding and financial exclusion,’ he added. ‘With the entry of new players and scaling-up of the existing institutions, the present growth momentum of BB accounts will rise further. Our Tele density also highlights the inherent potential
for mobile banking in Pakistan,’ he said and added that achievements in the BB services have put Pakistan at the global centre stage of Financial Inclusion and innovation. He said that the World Bank’s Consultative Group to Assist the Poor (CGAP), in its recent study has also recognized Pakistan as one of the fastest growing branchless banking market in the World. He said that the Government and the SBP have been supporting the microfinance sector to reach out to the millions of un-served low-income people of the country. This growth is facilitated by several factors, including an enabling policy framework, institutional reforms, technology initiatives, regulatory flexibility, tax incentives and technical support through different programs and projects, SBP Deputy Governor said. State Bank of Pakistan has also issued a Strategic Framework for Sustainable Microfinance in Pakistan which mainly focuses promoting use of alternative delivery channels to enhance financial services to people without access to finance which is recognized as one of the fundamental constraints in achieving sustainable economic growth in many developing countries, he added. Mr Abdul Muktadir said that SBP has always been very encouraging in promoting innovations in products and delivery channels in order to promote financial inclusion and added that it (SBP) has also launched a ‘Financial Innovation Challenge Fund’ under its DFID-funded Financial Inclusion Program (FIP) to support innovation in products, and delivery channels in microfinance which will give further impetus to Branchless Banking. He congratulated the Tameer Microfinance Bank and its key partner Telenor for designing another innovative product and said that it will go a long way in promoting deposit mobilization and motivating other microfinance sector players to move in this direction.
Bears take over Lahore
LSE down by 30.52 points
LAHORE: Bearish trend prevailed in Lahore Stock Exchange on Tuesday as it shed 30.52 points, following the LSE-25 index opened with 3948.30 and closed at 3917.78 points. The market’s overall situation also did not correspond to an upward trend as it remained at 1.040 million shares to close against previous turnover of 1.610 million shares, showing a downward slide of 569,200 shares. While, out of the total 102 active scrips 12 moved up, 32 shed values and 58 remained equal. Muslim Commercial Limited, Atlas Insurance Limited and Pak Elektron Limited were Major Gainer of the day by recording increase in their per share value by Re 0.50, Re 0.42 and Re 0.27, respectively. Engro Corporation Limited, Attock Refinery Limited and Pakistan State Oil Company Limited lost their per share value by Rs 4.06, Rs 3.00 and Rs 1.60 respectively. The Volume Leader of the day included Silk Bank Limited (Saudi) with 128,500 shares, Worldcall Telecom Limited with 103,500 shares and Pakistan Tele Communication Limited with 103,000 shares.
Business 02 Oil mixed in Asia SINGAPORE AFP
Crude was mixed in Asia on Tuesday with global economic concerns putting a lid on prices which were supported by tighter European Union sanctions against Iran, analysts said. New York’s main contract, light sweet crude for November delivery shed 22 cents to $91.63 a barrel while Brent North Sea crude for November delivery added six cents to $115.86. Crude was “holding relatively steady” as fresh Iranian sanctions tussled with global economic worries for traders’ attention, said Victor Shum, senior principal of Purvin and Gertz energy consultants in Singapore. “We have concerns about the economy, in particular. Europe exerting downward pressure, but supporting oil are the tighter sanctions on Iran from the EU,” he told AFP. European Union foreign ministers on Monday agreed tough sanctions against Iran, aimed at forcing a breakthrough in talks on Tehran’s nuclear programme, and also the regime in war-ravaged Syria. The new sanctions target EU dealings with Iran’s banks, shipping and gas imports. Details on those targeted will be released later Tuesday but a government minister is on the new blacklist, diplomats said. Meanwhile, traders were looking to an EU summit commencing Thursday for any breakthroughs on the fragile regional economy as debt-straddled Spain continues to hold off on requesting for a bailout while Greece negotiates for future funding.
Major Gainers COMPaNy Bata (Pak) Limited Siemens Pakistan Shezan Inter.SPOT Indus DyeingSPOT National FoodsXD
OPEN 1155.00 725.51 429.97 426.58 285.30
HiGH 1212.75 761.78 451.46 439.98 299.56
LOW 1150.01 725.51 451.46 406.10 279.00
CLOSE CHaNGE 1190.00 35.00 750.00 24.49 451.46 21.49 439.63 13.05 297.52 12.22
TurNOVEr 950 750 300 400 56,100
5300.00 3700.00 9900.00 1375.00 383.00
5225.00 3700.00 9700.00 1375.00 380.95
5225.00 3700.00 9900.00 1375.00 381.79
-275.00 -100.00 -41.66 -25.00 -19.21
100 100 380 150 500
20.19 100.00 59.40 9.49 50.00
19.15 95.01 57.75 9.13 48.70
19.24 95.39 58.02 9.31 48.90
-0.51 -4.18 -0.71 -0.01 -0.58
10,246,000 4,506,100 4,097,500 3,050,500 2,944,000
Major Losers Nestle Pakistan Ltd. Rafhan Maize Prod. UniLever Pak Colgate Palmolive Mithchells Fruit
5500.00 3800.00 9941.66 1400.00 401.00
Volume Leaders P.T.C.L.A 19.75 Engro Corporation 99.57 Nishat Mills Limited 58.73 Maple Leaf Cement 9.32 D.G.K.CementXD 49.48
Interbank Rates US Dollar UK Pound Japanese Yen Euro
95.3238 153.2384 1.2113 123.8446
Dollar East US Dollar Euro Great Britain Pound Japanese Yen Canadian Dollar Hong Kong Dollar UAE Dirham Saudi Riyal Australian Dollar
Buy
SELL
95.00 122.80 151.70 1.1888 95.17 12.03 25.68 25.13 96.27
95.40 124.29 153.50 1.2028 96.81 12.24 25.96 25.41 98.87
ICCI to organise International Industrial Expo by year end ISLAMABAD APP
The Islamabad Chamber of Commerce and Industry(ICCI) has planned to organize an International Industrial Expo by end of the year 2012 in the Federal Capital to promote the export of country’s industrialproducts. “The businessmen from all over the world would be invited to this Expo that would give a boost to country’s trade and exports, Zafar Bakhtawari, President ICCI informed Nepalese Ambassador Bharat Raj Paudyal here on Tuesday. During his meeting with the Nepalese Ambassador at the Chamber house, Zafar Bakhtawari also
invited Nepalese counterparts to actively participate in the event which would provide an opportunity to the business community of both the countries to come closer to each other. He said that he considers Nepal one of the best friends of Pakistan as people of Nepal have great love and affection for Pakistanis. He said that technology transfer, investment and economic cooperation were the areas in which both countries could collaborate for mutual benefits. The ICCI President said that the business communities of Pakistan and Nepal have to play a vital role for the promotion of bilateral trade and their greater mutual interaction is needed to achieve the ultimate objectives.
CORPORATE CORNER Mobilink delivers 120 tonnes of flood relief to Pakistan Navy
KARACHI: Mobilink has delivered over 120 tonnes of food and water supplies to the Pakistan Navy as flood relief for over 14,000 flood victims in Balochistan, in a ceremony presided over by Dr Zafar Iqbal Qadir, Chairman National Disaster Management Authority (NDMA) and Rear Admiral Zafar Abbasi, Commander (Coast), Pakistan Navy. The effort in Balochistan is the second phase of Mobilink’s flood relief initiative for 2012, with the first phase in September having provided relief to 12,000 victims in Southern Punjab. Mobilink Foundation and Mobilink Torchbearers, Mobilink’s employee volunteer force, will also be engaged for physical distribution of the food and water supplies todisplaced families occupying temporary shelters in Jaffarabad. The Pakistan Navy will organize logistics, transportation and distribution, using both air and land transport. Dr Zafar Iqbal Qadir, Chairman NDMA, emphasized, “I would like to appreciate the efforts made by Mobilink in taking the lead amongst the corporate sector for flood relief activity over the last three years. Mobilink’ssupport of the NDMA’s disaster relief efforts and their continuing partnership with the
Pakistan Navy is an integral component of our flood disaster management initiative.”
number of major companies are still imposing restrictions on staff travel.
Cathay Pacific releases combined traffic figures
Vision screening for children to mark World Sight Day
KARACHI: Cathay Pacific Airways today released combined Cathay Pacific and Dragonair traffic figures forSeptember 2012 that show passenger numbers, load factor and capacity all declining year on year. However, cargo and mail tonnage showed positive growth for the first time this year. Cathay Pacific and Dragonair carried a total of2,245,995 passengers in September – a drop of 0.4% compared to the same month in 2011. The passenger load factor fell by 1.5 percentage points to 78.2%, while capacity for the month, measured in available seat kilometres (ASKs), declined by 2.1%. For the year to date, passenger numbers have risen by 5.9% compared to a capacity increase of 4.9%. The two airlines carried 134,584 tonnes of cargo and mail last month, an increase of 2.4% compared toSeptember 2011. The cargo and mail load factor was down by 2.0 percentage points to 62.8%. Capacity, measured in available cargo/mail tonne kilometres,decreased by 0.3%, while cargo and mail tonne kilometres flown dropped by 3.3%. For the year to date, tonnage has declined by 8.3% against a capacity drop of 4.9%. Cathay Pacific General Manager Revenue Management James Tong said: “In September we trimmed frequencies on a number of long-haul services as one of the cost-containment measures we announced in Mayto help manage our way through a high-fuel-price environment. Our passenger capacity will show negative growth for the remainder of 2012 and into next year.Demand in the premium cabins usually picks up after the summer holiday season but this year the pick-up has been slow, especially on regional routes. A
gift of sight for many years to come. Undoubtedly, more could be done to eliminate avoidable blindness in the country and individual organisations like Standard Chartered can only be part of the solution. Through our staff, resources and client network we hope to raise new investment for the campaign, and World Sight Day provides an excellent opportunity to draw attention to the initiative.”
PTCL 3G EVO Tab Special Eid offer! KARACHI: In celebration of World Sight Day last week, Standard Chartered Bank Pakistan conducted vision screening for 800 children in five cities across the country under its Pakistan Urban Paediatric (PUP) Eye Care Programme .The Eye Care Programme was initiated last year to identify blind and low vision children and provide them with the required eye care services such as surgeries and provision of spectacles and low vision devices within the framework of National Eye Health Plan of Pakistan. Some 130 volunteers comprising trained staff members of the Bank in partnership with government and NGOs helped conduct screening for underprivileged children in Karachi , Lahore , Rawalpindi , Multan and Faisalabad . All Standard Chartered staff get three voluntary paid leave days annually to encourage them to take part in any community projects. Mr. Mohsin Nathani, Chief Executive, Standard Chartered Pakistan said, “Early eye screenings are critical for the health and wellbeing of children and this programme will hopefully ensure that every child has the
ISLAMABAD: Pakistan Telecommunication Company Limited (PTCL) brings special Eid gift for its customers offering 3G EVO Tab for just Rs 12,000 with 3 Months Unlimited Internet. With this special Eid offer, customers can now save up to 18,000 on purchase of new PTCL EVO Tab along with 3 Months Unlimited Internet. At the end of 3 months, customers will automatically shift over to the normal monthly package. Customers can also avail various volume based post bundle recharge options. PTCL 3G EVO Tab is Pakistan’s First 3G enabled Smartphone Android tablet with in-built EVO Wireless broadband service that gives dual support for both EVDO and GSM/CDMA networks. “PTCL’s growth as an innovative telecom company is due to its enhanced service quality and product diversity,” said Senior Executive Vice President Commercial, Naveed Saeed. “We are constantly striving to bring products and services that meet our customers’ expectations and empower them to experience the future today.” “3G EVO Tab opens up new possibilities for customers with on-the-go connectivity offering a wide range of built-in and downloadable applications,” said Executive Vice President Wireless Business, Omar Khalid.
Wednesday, 17 October, 2012