Category: Business

Weekly inflation decreases only 0.58 per cent from record high

According to Pakistan Bureau of Statistics (PBS), the Sensitive Price Index (SPI) for the week ending September 8, 2022, decreased by 0.58 per cent as a result of falling food prices.

In comparison to the previous week’s record high of 45.50 per cent, the yearly trend shows an increase of 42.70 per cent.

The year-on-year increase was driven by an increase in prices of tomatoes (144.25 per cent), diesel (114.08 per cent), petrol (98.73 per cent), pulse masoor (76.34 per cent), cooking oil-5 liter (67.99 per cent), mustard oil (66.53 per cent), LPG (64.98 per cent), washing soap (64.50 per cent), electricity for Q1 (63.03 per cent), vegetable ghee-2.5 kg (62.53 per cent), pulse gram (61.02 per cent), onions (59.97 per cent) and vegetable ghee-1 kg (58.19 per cent), while a decrease was observed in the prices of chilies powder (43.42 per cent), sugar (18.07 per cent) and gur (2.08 per cent).

As per the latest data, the SPI went down from 222.85 per cent during the week ended September 1^st 2022 to 221.55 per cent during this week.

During the week, out of 51 items, prices of 26 items (50.98 per cent) increased, nine items (17.65 per cent) decreased and 16 (31.37 per cent) items remained stable.

The items which got more expensive include LPG (10.66 per cent), wheat flour (4.15 per cent), eggs (3.96 per cent), bread (3.27 per cent), pulse moong (2.74 per cent), curd (2.72 per cent), tea-lipton (2.50 per cent), pulse gram (1.65 per cent), chicken (1.58 per cent), milk fresh (1.57 per cent), fire wood (1.54 per cent), potatoes (1.02 per cent), and others

A reduction was observed in the prices of onions (41.99 per cent), tomatoes (8.11 per cent), bananas (2.51 per cent), pulse masoor (1.37 per cent), vegetable ghee-1 kg (0.55 per cent), cooking oil-5 liter (0.33 per cent), mustard oil (0.16 per cent) and vegetable ghee-2.5 kg and sugar (0.11 per cent) each.

Highest week-on-week decrease

Onions: 41.99 per cent

Tomatoes: 8.11 per cent

Bananas: 2.51 per cent

Pulse Masoor: 1.37 per cent

Vegetable ghee (1kg): 0.55 per cent

Highest week-on-week increase

LPG: 10.66 per cent

Flour: 4.15 per cent

Eggs: 3.96 per cent

Bread: 3.27 per cent

Pulse Moong: 2.74 per cent

Highest year-on-year increase

Tomatoes: 144.25 per cent

Diesel: 114.08 per cent

Petrol: 98.73 per cent

Pulse Masoor: 76.34 per cent

Cooking oil (5 litre): 67.99 per cent

September 10, 2022
Pakistan continues to face liquidity crunch despite IMF programme’s revival

Even though the International Monetary Fund (IMF) programme has resumed after a seven-month hiatus, Pakistan continues to struggle with a major dollar liquidity crunch as the catastrophic floods have exacerbated the macroeconomic conditions.

According to Geo, since many politicians and economists advocated for Pakistan to ask the IMF for a Rapid Financing Instrument (RFI) or Natural Calamity Response-related Funding Facility, the Pakistani government has not yet submitted a new request in anticipation of the Washington-based international lender’s unenthusiastic response.

After being put on hold in February 2022 by the previous PTI-led government’s provision of unfunded fuel and energy subsidies, the IMF project under $6.5 billion was restarted in late August.

Since then, there has been pressure on Pakistan’s currency; nevertheless, the recent devastating floods have hurt the economy, contrary to what experts had anticipated would happen with the restart of the IMF programme.

The rupee has dropped 9 per cent against the US dollar in recent days due to intense pressure on the currency rate.

According to reports, the issue has gotten worse as demand for imports has multiplied and there are not enough dollars in the country. Pakistan’s macroeconomic risks are not going away without greater dollar inflows.

The early estimates of damages have now increased to almost $18 billion as a result of the severe flooding, with Pakistan’s agriculture industry taking the biggest hit.

The worst agricultural performance will put pressure on rising import demand for commodities, and if Pakistan cannot attract the appropriate levels of dollar inflows, food shortages may occur in the ongoing financial year.

In contrast to the projected aim of 3.9 per cent for the current fiscal year 2022–2023, the agriculture growth could remain zero or perhaps turn negative.

September 10, 2022
Audi Pakistan increases e-tron GT RS price by nearly Rs4 crore

Audi Pakistan has announced a significant price increase for Audi e-tron variants rather than lowering car prices like Hyundai and KIA.

As per recent social media posts by Pakwheels, the price of the e-tron 50 has increased from Rs17,200,000 to Rs32,450,000. This indicates that the price of e-tron 50 has increased by Rs15,250,000.

The well-known e-tron 55 will now set you back which will now be sold for Rs38,000,000 rather than Rs21,000,000. Consequently, there has been an increase in pricing of Rs17,000,000.

e-tron SB now costs Rs36,150,000 instead of the previous Rs19,400,000 after a Rs16,750,000 price rise.

Read more: Cheapest new cars to buy in Pakistan

Additionally, the e-tron GT’s new pricing is Rs48,325,000 as opposed to its previous price of Rs21,150,000. This implies a Rs27,175,000 price increase for the vehicle.

Last but not least, the company has disclosed a significant increase in the RS e-tron GT’s pricing of Rs38,405,000. As opposed to the previous price of Rs29,595,000, the car would now cost Rs68,000,000.

September 9, 2022
OPPO Extends its Support to Establish Flood Relief Villages across Pakistan in Collaboration with Alkhidmat Foundation

Pakistan has been struck with unprecedented and devastating floods, which have led to massive loss of lives, livelihoods, and infrastructure. To address this, OPPO has joined hands with Alkhidmat Foundation to provide immediate food, shelter, and hygiene packs for around 300 families catering to over 2000 people in Southern Punjab.

Torrential monsoon rains have triggered the most severe flooding in Pakistan’s recent history, washing away villages and leaving more than 30 million people in need of humanitarian assistance. This is a wake-up call for the world as the threats of climate change becomes a devastating reality in Pakistan. We urge everyone to stand united, take care of each other and our planet.

Hundreds of thousands of homes have been destroyed, while many public health facilities, water systems, crops, and schools have been destroyed or damaged. Therefore, in solidarity with the country, OPPO in collaboration with Alkhidmat Foundation has donated PKR 10 million to provide immediate rehabilitation facilities in the flood-affected areas of Pakistan.

Committed to humanitarian services the OPPO Flood Relief Villages will serve to provide daily cooked meals along with ration packs to each family. There will be tents for shelter which can cater to up to 6 to 7 people per tent. Hygiene packs will also be provided to each family which contains all hygienic necessities such as sanitary pads, water purifiers, and soap among other items. The supply will last up to 3 months at least till a more permanent solution has been established.

In addition, OPPO staff will be volunteering onsite as extended support to the Alkhidmat workers across the affected areas in Pakistan.

Speaking on the occasion, Mr. George Long, CEO – OPPO Pakistan, Authorized Exclusive Distributer said; “With one-third of Pakistan under water and millions left homeless, it is now more than ever that the people of Pakistan need us. Thus, we have partnered with Alkhidmat Foundation whose proactive work has been both impressive and inspiring. Together we will fight and together we will rise.”

Regarding OPPO’s commitment to the community, Abdul Shakoor, President of the Alkhidmat Foundation, stated; “OPPO has always been remarkably eager to contribute to social causes. We greatly appreciate their support in our flood relief drive and hope to continue this partnership for the betterment of our society.”

OPPO urges people living in and outside of Pakistan to donate to the Alkhidmat Foundation through different payment gateways e.g. SMS Short Codes, Bank Transfer, Easy Paisa, and Jazz Cash accounts created particularly for Flood Relief Donations because every step counts and every action matters.

Let’s Unify, Relieve & Reconstruct.

For more information on donation methods, please visit this link: https://alkhidmat.org/akf-donations.php

September 8, 2022
Bank Alfalah and Alfalah Insurance in collaboration with Fidelity Insurance Brokers inked a memorandum of understanding to provide International Health Insurance “GlobalCare” to their prestigious clients in Pakistan

Karachi, 1^st September 2022, Bank Alfalah and Alfalah Insurance have signed a Memorandum of Understanding in collaboration with Fidelity Insurance Brokers. This partnership is aimed at catalyzing synergies to provide International Health Insurance Product “GlobalCare” to their prestigious clients.

The signing ceremony for the launch of an International Health Insurance Product called “GlobalCare” between Bank Alfalah and Alfalah Insurance and in collaboration with Fidelity Insurance Brokers, was held at Bank Alfalah Head office in Karachi. The documents were officially signed by the CEO of Alfalah Bank Mr. Atif Bajwa and Mr. Abdul Haye, Chief Executive Officer, Alfalah Insurance in presence of Mr. Hassan Rehman Mohammadi, Director and Mr. Khurram Ali Khan, CEO, Fidelity Insurance Brokers. Bank Alfalah will play its vital role as one of the major distributors of “GlobalCare”.

Mr Abdul Haye gave the welcome address in which he thanked Bank Alfalah for responding to the initiative of providing International Health Insurance to its prestigious customers.

GlobalCare is an International Health Insurance product backed by world-leading health insurance provider AXA, powered by Alfalah Insurance & in collaboration with Fidelity Insurance Brokers. GlobalCare offers cashless health insurance in 1 million plus health facilities located in more than 160 countries. The product offers the peace of mind to its subscribers to avail world best healthcare in any country of their own choice for up to USD 1 million.

Mr. Atif Bajwa, CEO of Bank Alfalah, emphasized the importance of health insurance and committed to increasing awareness using digital marketing.

Mr. Khurram Ali Khan the CEO of Fidelity Insurance Brokers talked about the collaboration efforts they made with AXA to offer this exclusive design product for the Pakistani market. Mr. Faizan Siddique, Senior Vice President, Fidelity Insurance Brokers, further elaborated on the product features and its comprehensive medical coverage.

Committed to the growth and development of Pakistan’s insurance sector, Mr. Hassan Rehman Mohammadi, the Director of Fidelity Insurance Brokers asserted on strengthening the joint efforts to improve technical cooperation in the development of the online distribution channels in Pakistan to accelerate innovation and to make insurance products easily accessible to the people of Pakistan.

This collaboration will be the cornerstone for building and enhancing the capabilities of the entire insurance value chain and will improve the overall insurance ecosystem in Pakistan.

September 7, 2022
Apple’s ‘Far Out’ event to unveil the best-ever products today

The greatest Apple event of the year is officially here. It begins at 10:00 AM PT for those who will attend the event in person as well as those watching via stream on Apple’s official website and YouTube channel.

It is titled “Far Out” and will take place at the Apple Park facility.

iPhone 14 lineup

It’s the main Fall event for Apple, and as usual, it’s all about the new iPhones. The 6.1-inch iPhone 14 and iPhone 14 Pro, as well as the new 6.7-inch iPhone 14 Plus and iPhone 14 Pro Max, are the four new iPhone 14 models that Apple will introduce.

The iPhone mini will be discontinued as a result of the switch to a more cost-effective Plus-sized phone due to weak sales.

Dual cutout notch

The more reliable speculations suggest that the Pro duo will receive the larger improvements. The selfie and FaceID cameras on the iPhone 14 Pro and iPhone 14 Pro Max will have a new dual cutout, which will Apple combine in software to form a single, long pill-shaped notch. The privacy indications for the microphone and camera will fit between the physical cutouts.

Rumours of newer camera and A16 Chipset

A new, larger 48MP sensor will be installed in the primary wide camera, enabling 8K video recording.

The selfie camera will finally receive autofocus and probably see imager enhancements, while the ultrawide camera will get a larger sensor for better low light images.

According to rumours, Apple will finally demonstrate an Always-on iPhone display. The new A16 chipset will finally be available for the iPhone 14 Pro models.

Apple Watch Series 8

The Apple Watch Series 8 will be the upcoming announcement in terms of priority, while it’s possible that Apple will make a lead announcement first.

Expect the Apple Watch Series 8 to come equipped with a speedier S8 chip. Blood pressure monitoring is improbable, but a new temperature monitor that can measure fertility and warn the wearer of a potential fever is very likely to become available.

AirPods Pro 2

A new version of the three-year-old AirPods Pro is coming. In order to better support Bluetooth, the new AirPods Pro will be the first to utilise Apple’s Lossless Audio Codec (ALAC).

Like the Beats Fit Pro, the AirPods Pro 2 might include a revolutionary stem-free design with integrated wing tips.

iOS 16

After the announcement of the iPhone 14 in a week, Apple is expected to have completed work on iOS 16 and release the upgrade. Its greatest additions include a new lock screen that can be customised, bottom-positioned notifications, new profiles for various situations, and the option to modify and unsend messages.

September 7, 2022
Intraday trade: PKR resumes downward spiral against US dollar, falls to Rs223

The Pakistani rupee was trading between Rs222-223 on Wednesday as losses against the US dollar persisted in the early hours of trading.

During intra-day trading, the rupee was quoted at Rs222.49 at roughly 10:30 am, depreciating by Rs1.07 or 0.48 per cent against the US dollar.

The local unit lost for the third session in a row on Tuesday, falling down Rs1.56 or 0.7 per cent against the dollar to close at Rs221.42.

According to analysts, the government’s decision to let the duty-free import of edible commodities to promote food security after floods severely damaged the nation’s agriculture sector has led to a spike in demand for dollars on the local market.

However, the dollar is also strengthening globally. On Wednesday, after U.S. economic data supported the notion that the Federal Reserve will continue with policy tightening, it reached fresh highs against the yen and the Australian and New Zealand dollars.

The US dollar index, which compares the value of the dollar to six important rival currencies, increased 0.08 per cent to Rs110.43, remaining close to the 20-year high set on Tuesday of Rs110.57.

On Wednesday, oil prices, a major factor in determining currency parity, fell more than $1 to their lowest level since before Russia invaded Ukraine as COVID-19 restrictions in the world’s top crude importer China and anticipation of further interest rate increases stoked concerns about a global economic slowdown and a decline in fuel demand.

September 7, 2022
Majority of property owners in London are Indians, followed by English and Pakistani people

Indians are among the people who own the most real estate in the capital of the United Kingdom (UK), London, more than the English themselves.

According to London-based residential developer Barratt London, the largest group of property owners in London are Indians, who are represented by those who have lived in the UK for generations, NRIs, investors from other countries, students, and families who travel to the UK for education. English and Pakistani people are next in number.

These Indian investors, who reside in both the UK and India, are prepared to spend anywhere between GBP 290,000 and GBP 450,000 for a one, two, or three-bedroom property in London, the nation’s capital.

“We are seeing a strong demand from Indian investors looking to purchase properties in London and invest in the stable and long-term property market. Outside of London, most of our products are sold to UK residential buyers, who buy these properties and live in them,” Stuart Leslie – International Sales and Marketing Director for Barratt London, told Financial Express.

In London, 30 per cent of sales are made to pure investors (those who want to use the apartments as rentals), and 30 per cent of those buyers come from foreign markets.

“This year we have seen a growth in the percentage of Indian homebuyers, who make up 7-8 per cent of the overseas market players. We are really reacting to where the demand is coming from rather than speculating and looking for business,” Stuart Leslie said.

According to a Knight Frank survey, 10 per cent of India’s UHNWIs intend to purchase a new home in 2022, and they prefer to invest in domestic real estate, followed by homes on the UK, UAE, and US foreign markets.

London is well-liked by Indian investors and homebuyers because it is a hub for finance and education and one of the major international entry points for investors.

Additionally, it makes sense for Indian homebuyers to look at the real estate market in London given that the cost per square foot is roughly comparable between London and Mumbai and that the two cities also share a similar legal framework, making transactions simpler.

“The reason why Indians are comfortable with buying property is because of the market fundamentals and confidence along with a history of Indians investing in houses in London. They’re eager to invest in the UK residential markets because they are getting better returns owing to the exchange rates and market presence presently. It is relatively a safer market in comparison to the UAE or India,” he said.

In addition to being a “stable market” for residential real estate, the UK has advantages over other international potential markets, such as good weather and quicker travel times.

Many families and students, especially those from India, relocate to the UK for educational opportunities. According to Stuart Leslie, the number of Indian students applying to UK colleges and universities has surged by 128 per cent in just one year.

Therefore, there are several reasons why Indians have traditionally preferred to invest in the UK, including the country’s high-quality educational institutions, business-friendly environment, cosmopolitan mindset, language familiarity, and expanding investment opportunities.

Currently, there is a demand for finished or nearly finished projects since people are looking to move quickly after the pandemic. Barratt London’s common price range for real estate is between GBP 390,000 and GBP 450,000.

“This is not a price which people normally associate with the London market but with tier-II or tier-III cities. This makes people want to own properties in London rather than smaller cities of the UK,” he said.

September 5, 2022
Bentley Mulsanne stolen from London, recovered in DHA Karachi with a Sindh license plate

A Bentley Mulsanne that was stolen from London, United Kingdom (UK), has been recovered by the Collectorate of Customs Enforcement (CCE) in Defence Housing Authority (DHA) Karachi.

According to Geo, the British intelligence agency reportedly informed the CCE, Karachi, through reliable sources that a grey Bentley Mulsanne, V8 Automatic, with the VIN numbers SCBBA63Y7FC001375 and CKB304693, which was stolen from London, was parked in DHA, Karachi.

The conduct of the nation’s various agencies has been under intense scrutiny following an extraordinary incident in which a stolen car from London was found in Karachi thanks to information provided by the UK intelligence agency.

To check the accuracy of the report, the CCE team has mounted strict monitoring at the mentioned place. The car that was discovered parked within the house’s car porch was found during a physical search by the department.

When the light grey fabric was removed, a grey Bentley Mulsanne with the Pakistani registration number BRS-279(2020 Sindh) was discovered at the back of the vehicle, and a white handcrafted number plate with the letters BRS-279 was discovered at the front.

The vehicle’s chassis number, however, matched the information provided about the stolen car. As a result, the department has detained the owner and the car for additional inquiry.

The vehicle’s owner revealed during the opening stages of the investigation that another person had sold the vehicle to him and had taken full responsibility for obtaining the necessary clearances from the relevant authorities.

On the basis of his information, the department also detained the individual who identified himself as a broker and revealed the identity of the primary offender, who is still at large.

The registration of such a pricey vehicle required NOC from Pakistan Customs, receipt of duty and tax payments, and selling approval from the Ministry of Foreign Affairs, according to sources in the customs department.

Surprisingly, the Sindh Excise and Taxation department registered this stolen car without following all the legal procedures, proving that Sindh Excise officers were involved in these illegal acts.

The case has been filed, and further investigation is being conducted to bring the guilty parties to justice.

September 4, 2022
Summary to deduct two days’ salary of government employees sent to PM

According to Finance Minister Miftah Ismail, a summary to deduct two days’ amount of government employees’ salary is being sent to Prime Minister (PM) Shehbaz Sharif for approval in order to assist the flood-affected families.

Additionally, he requested that the State Bank of Pakistan (SBP) should instruct banks to direct a portion of their profits and staff pay to be withheld in order to support flood victims at this crucial time.

According to Brecorder, Miftah claimed the federal government has provided Rs28 billion for the flood victims while speaking to the Jamiyat Panjabi Saudagaran Delhi Karachi members at the group’s office.

“I am ready to contribute Rs60 billion for the flood victims, and I have already requested the PM for the consideration, yesterday. This amount will be arranged from the budget, and some other sources,” Ismail said.

Govt to pay Rs25,000 to one woman from each affected family

The federal government has decided to pay Rs25,000 for one woman from each family over the next two weeks in order to help flood-affected families who are currently in desperate need of assistance in various districts across the nation.

This will help them to pay for their essential living costs and prevent them from having to spend the night sleeping on the ground on an empty stomach.

Import of essential food items

In response to comments about rising vegetable and petroleum product prices, he said that the government is importing essential products from nearby nations, particularly onions and tomatoes. It is possible to import onions from the neighbouring country of India, and two international organisations have been contacted in this regard.

Standing crops have been damaged by the monsoon floods, according to Miftah. Loss of at least $10 billion has been calculated thus far.

He estimated that it will cost about Rs500 billion to rebuild. He acknowledged that the main problem facing the average person is inflation, and he promised to lower electricity rates in two months and put inflation under control in four to five months.

Ismail said that by successful negotiations with the IMF and obtaining the required support from friendly nations, particularly Qatar, he had saved the country from a potential default.

He also blamed the ongoing conflict between Russia and Ukraine for the recent increase in fuel costs for gas, diesel, and coal in Pakistan and around the globe.

The Finance Minister said that the decision to impose ban on import of some luxury products was in larger interest of the country.

September 3, 2022