DNA

KARACHI, SEPT 8 – The Federation of Pakistan Chambers of Commerce and Industry (FPCCI) has expressed grave concern over declining trend in exports, which have posted a downfall of around 20 percent to $1.58 billion in August 2020, startling especially for the economic managers who claimed that economy was recovering from the adverse effect of turbulent period of post-corona slowdown.

The apex trade body chief Mian Anjum Nisar said that the drop in exports during August period was really surprising, calling for out-of-the-box solutions for economic growth in these crucial times, as COVID-19 has adversely impacted the world economy as well as the Pakistan trade and industrial sectors.

According to data, Pakistan’s exports during the month of August recorded a downfall of around 20 percent in dollar terms, as compared to the same period last year. It’s amazing that the dip in Aug export figures comes after a surge in exports during July 2020, when Covid-19 restrictions were more stringently in place. In first two months of July-Aug the exports also went down by nearly 4 percent, however, country’s trade deficit contracted to $3.4 billion due to shrinking imports. The trade deficit, which stood at $3.7 billion in the comparative period of last fiscal year, shrank to $3.4 billion during July-August of 2020-21. In absolute terms, there was a reduction of $307 million or around 8 percent in trade deficit in the current fiscal year. Overall, imports dipped 6.3 percent to around $7 billion during the July-Aug.

Mian Anjum Nisar said that the flooding situation in the country, especially in Karachi, has also affected the overall industrial operations, indicating the exports volume might not begin to recover in Sept as economic activity was not expected to return to normal immediately. He said that power trippings, slowdown in business activities, delay in transportation and hampering of port operations were some of the issues faced by the exporters due to the unprecedented rains across the country.

The FPCCI President said that besides liquidity problems and issues of increasing cost, the rains and subsequent urban flooding also caused a significant damage to the infrastructure, disrupting the supply chain and affecting industrial operations.

He urged the concerned provincial governments to upgrade drain system in business hubs of all cities, as sewerage system was outdated and dysfunctional, and these areas become flooded with water whenever there was a heavy downpour. He said that rainwater enters the factories, godowns, shops and basements, damaging the whole merchandise, goods, plants, machinery and raw materials etc.

While the share of regional countries in world exports have considerably increased over the last 40 years, Pakistan’s exports have remained stagnant during this period, he said. Unless attention was paid to all factors that hamper the industrial and exports growth, we may not be able to achieve the desired results. Some of the impediments to the growth of industry include cost of production, poor governance, obsolete technology, low productivity, lack of competitiveness, supply constraints and energy issues.

He said that the government has already missed its annual export target for the first two years. For its second year, the economic managers had set the export target at $26 billion, which it later revised downward to $22.4 billion.

For the current fiscal year, the government has set the export target at $27.7 billion, requiring just 6 percent growth.

Mian Anjum Nisar said that the government has to formulate long-term and consistent policies for the revival of industry and improvement in exports that have been stuck in a downward spiral for a longtime. He said the government must take immediate steps for the timely-refunds of sales and income tax, issuance of income tax exemptions on utility bills and resolve issues faced by the industrial sector.

He said that the local currency continued its downward slide against the US dollar despite the fact that Pakistan’s Current Account Deficit has continuously been reducing owing to lower imports and better inflows. He warned that weakening of rupee indicates that the country might once again march towards a huge trade deficit, which increases the current account deficit again.

DNA

ISLAMABAD, Sep 8 : Ministry of Climate Change (MoCC)is committed for ‘Clean Green Pakistan’ as various campaigns launched to clean the environment in several districts including federal capital.

According to a senior official of the Ministry, he said Clean and Green Pakistan initiative would also work on ailing societal issues such as proper sanitization, solid waste and liquid disposal management and safe drinking water.

Adding that he said institutions such as United Nations Development Programme (UNDP) was already working on a number of projects related to crisis management and environmental changes.

Their focus was to bring rural communities together and train them to conserve natural resources and at the same time working on providing equal opportunities for women he said.

Their ongoing project includes a group of women from rural areas building and repairing houses affected by floods he added.

ISLAMABAD : The federal cabinet is likely to approve the launching plan of a ferry service in Pakistan and mass transit authority’s ordinance, citing sources.

A session of the federal cabinet is underway under the chair of Prime Minister Imran Khan today.

The discussion related to the expansion of legal boundaries of the cabinet committee for disposal of legislative cases, mass transit authority ordinance, appointment of the chairman of Federal Board of Intermediate and Secondary Education (FBISE), establishment of a new liquefied natural gas (LNG) terminal at Port Qasim – Karachi, initiation of ferry service in Pakistan.An annual report for the financial year 2018-19 will be presented by the National Electric Power Regulatory Authority (NEPRA), whereas, the members of the federal cabinet will also be briefed over the Industry Report 2019.

The cabinet members will approve the decision of the Economic Coordination Committee (ECC) and the cabinet committee for energy. Moreover, the provision of special powers to Rangers under Article 147 and briefing on PPRA rules and review plans for public and private construction are also part of the agenda.

The decision took by the federal cabinet in 2005 for the installation of electricity meters in Islamabad will be reviewed in the ongoing session.

It is expected that the federal cabinet will greenlight the launching of a ferry service in Pakistan. It is pertinent to mention here that the Ministry of Maritime Affairs had announced its plan in September last year to start a ferry service that would connect Karachi and Gwadar ports with Middle East seaports.

According to the plan, the ferry service will link Pakistani ports with Dubai, Oman and Bandar Abbas (Iran) to facilitate people who want to travel among these destinations by providing them alternate routes which would also be used for facilitating pilgrims.

ISLAMABAD : The federal government has decided to establish a cybercrime wing for Ehsaas programme with an aim to tighten nose around the impersonators pretending to be agents of the programme and deceiving people.

Special Assistant to PM on Poverty Alleviation and Social Safety, Dr Sania Nishtar said that the move has been taken to protest masses from the frauds being done under the name of the Ehasaas programme.

The SAPM said that her ministry is receiving news about scams with the people by some impersonators pretending to be agents via fake messages and other means.Those involved in the fraud will be dealt with an iron hand, she vowed.

Dr Nishtar added that cybercrime wing would be established at the Benazir Income Support Programme (BISP) office.

Earlier on August 30, Special Assistant to Prime Minister on Social Protection and Poverty Alleviation, Dr. Sania Nishtar had announced the extension in the deadline for receiving the payments under Ehsaas Emergency Cash till September 15.

Taking to Twitter, Sania Nishtar had said the relatives of the deceased and the beneficiaries facing bio-metric verification issues will be able to receive their due payments up to 15 days after the closing date (September 15)

KARACHI : The Sindh High Court (SHC) has summoned progress report from a Joint Investigation Team (JIT) and records from anti-terrorism court (ATC) Islamabad in money laundering case against Muttahida Qaumi Movement (MQM) founder and others.

The Sindh High Court (SHC) conducted the hearing of a petition of a MQM leader Khawaja Rehan Mansoor where the judge sought the details of investigation in the money laundering charges on the accused persons.

An anti-terrorism court (ATC) Islamabad has been directed to provide details of the case, whereas, a progress report was sought from the joint investigation team (JIT) by the high court.A former investigation officer of the Federal Investigation Agency (FIA), Ali Ahmed Abro, appeared in the hearing. He told the high court’s judge that an interim challan of the case had been submitted and the investigation authority had been given to ATC wing.

The defence counsel argued that no progress was made in the case since the last 34 months, whereas, the concerned authorities have not submitted their response in the plea for the transfer of the case from Karachi to Islamabad.

Later, the court adjourned the hearing till October 8.

The money laundering case had been filed by Sarfaraz Merchant, a London based businessman closed to the political party’s leaders, against the MQM founder and others prominent leaders including Babar Khan Ghauri and Khawaja Rehan Mansoor.

It is pertinent to mention here that FIA had detected 69 foreign bank accounts of the MQM leaders, according to its report submitted to an anti-terrorism court on August 3 – 2018.

The FIA revealed that Rs1,321,509,608 were collected from people through extortion and ransom, and during the years 2013-15, that money was deposited in the bank accounts of Khidmat-e-Khalq Foundation,

The report further disclosed that those funds were then transferred to the bank accounts of MQM UK, Simon and Simons and other accounts.