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Country sinking in unsustainable debt: FPCCI

DNA

KARACHI, SEPT 20 – Pakistan is mired in an unsustainable debt as billions are being borrowed without any justification, an FPCCI official said Sunday.

Horrible crimes have become the order of the day due to political interference in important departments which has unnerved masses and emerged as a challenge for the criminal justice system, said Dr. Murtaza Mughal, Convener FPCCI Central Standing Committee on Insurance.

In a statement issued here on Sunday, he said that new records are being set for loans while inefficiencies have resulted in political instability.

The former government borrowed a lot but they have a long list of development projects while the current dispensation has nothing to show, he added.

Dr Murtaza Mughal who is also President of Pakistan Economy Watch said that In 2019, total debt stood at 105.9 percent of the GDP as Pakistan’s total debt and liabilities surged to Rs44.5 trillion, equivalent to 106.8 percent of GDP till the end of June 2020.

During the last two years, an average person has become poorer as the economy contracted. The economy is not growing, therefore, unemployment is rising, he said, adding that millions more have become food insecure.

The currency devaluation has increased domestic inflation making local goods more expensive while it has not increased exports as claimed.

The policy of continued hike in electricity the tariff  and avoiding real reforms have made our power and gas energy more expensive than India, Bangladesh, Vietnam and other countries making production and exports costly.

The diversity of our goods sold is very limited, textiles and a few other things, and that’s all. So, we need to make it more export friendly. There are certain structural issues which need to be resolved, he said.

Disaster Risk Reduction-interactive session held at IEP

DNA

Islamabad, SEPT 20 – An interactive session on Disaster Risk Reduction encompassing basic definitions, concepts and protocols for graduate engineers was held here under the auspices of Institution of Engineers, Islamabad Centre.

It was aimed at apprising the young engineers about their role and responsibilities for better disaster-risk management and promoting community’s capacity to manage the risk through indigenous resources.

The event was arranged by the Center as part of their continuing professional development program (CPD) for the young engineers.

Brig (r) Engr Fiaz Hussain Shah, Ex- DG National Disaster Management Authority (NDMA) was the resource person who highlighted the preventive measures that could be taken to reduce or minimize the disaster’s hazards.

Engr. Ahmed Shamim, convener of CPD conducted the session and around sixty engineers attended the session. Also present on the occasion were chairman IEP-RIC, Engr. Hafiz M. Ehsan ul Haq Qazi, Secretary IEP-RIC Gp. Capt. ® Engr. Najamuddin and chairman building committee IEP Prof. Dr. Sharif Bhatti.

The Chairman IEP-RIC announced that the Center will enhance the capacity-building activities of the young engineers, by holding short-courses and workshops in collaboration with the local Universities.

He emphasized that the country needed certified experts in the engineering field for nation-building. The young engineers, he added should focus on improving their skill and expertise in the specific fields.

Brig (r) Engr Fiaz Hussain Shah who enjoys rich experience in various disciplines of disaster-management was of the view that disasters, both natural and geo-physical could be prevented with better strategy and planning. In this connection, he referred to various studies and experiences of some foreign countries that have successfully prevented the disasters and to overcome the damages.

He called for adopting pro-active approach for disaster-prevention and reducing the impact of the hazards. Damages caused by disasters like floods could be reduced by strong resilience at national and public-level, he added.

Some of  the participants while discussing  the topic underlined the need of necessary preparedness in order to give effective response to various kinds of disaster. They said the community should be mobilized through awareness campaign to develop capacity-building for facing the disasters’ hazards.

‘Businessmen Panel urged universities should focus on fostering entrepreneurship in students’

DNA

Islamabad: SEPT 20 – FPCCI’s Businessmen Panel on Sunday stressed the importance of strong industry-academia linkages for commercialisation of innovative business ideas of students in order to improve economic growth of the country.

Secretary General (Federal) of the Businessmen Panel Ch. Ahmad Jawad said that in recent times industries have been increasingly relying on technology based solutions to solve various problems. He said that universities being the hub of research and development activities should play an enhanced role in suggesting innovative solutions to problems faced by industries and the society at large.

He emphasised that universities should focus on applied research to accelerate industrial development. He said that over 60 per cent of the population of Pakistan comprises of youth adding that universities should focus on fostering entrepreneurship in students to make them job creators instead of job seekers.

Jawad said that research departments of universities are conducting good research in various fields, but due to lack of coordination, local industry is not benefiting from such efforts. In this regard HEC should draw a mechanism for the collaboration, as universities can help in improving the productivity, efficiency and competitiveness of industry through strong academia-industry linkages.

He also said that Pakistan’s national interest demands reduction in heavy dependence on foreign countries and aid agencies in order to develop a viable self-sustaining economy.

“weak governance, lack of commitment, corruption, external and internal threats has led to Pakistan being heavily reliant on foreign assistance”.

We have to recognise the paradoxes that we face. We are proud to be a nuclear-armed country, and justifiably so, but on the other hand we are so dependent on others to keep our economy afloat. This is a huge contradiction,” said Jawad.

The BMP secretary general also expressed surprise over the instability of Pakstani rupee despite an improving current account position, seeking the central bank’s intervention for stability.

“We have to draw a new strategy for effective stabilisation, rely on our existing resources, reduce the cost of expenditures, strengthen agriculture and revise the strategy of free float of the dollar,” he said.

Dhoni praises Chennai ‘Dads Army’ after IPL win over Mumbai

NEW DELHI : Chennai Super Kings skipper Mahendra Singh Dhoni has heaped praise on the experienced players in his side after they toppled defending champions Mumbai Indians in the opening match of the Indian Premier League.

South African veteran Faf du Plessis smashed an unbeaten 58 to guide Chennai to a five-wicket win, chasing Mumbai’s 162 in Abu Dhabi as glitzy Twenty20 tournament started months late because of the coronavirus pandemic.

Once labelled “The Dads Army” by the media, Chennai have a number of players over the age of 35, including Dhoni, Australia’s Shane Watson, du Plessis and South African Imran Tahir.

But Dhoni said that kind of experience would always be an asset to any team, with the perfect side needing the “right mix of youngsters and the experienced players”.

“What really helps youngsters in (the) IPL is the fact senior cricketers (come) from… different countries and they have their own experience,” said Dhoni, who retired from international cricket last month.

“So that way we are blessed to have the senior cricketers who are part of the team.”

Dhoni added that players with more than 300 one-day internationals under their belt have built up the kind of experience that is difficult to accumulate.

“You need a number of years to play those,” said the Indian star.

“And now with three ODIs a series, 300 ODIs is a dream for anybody to play.”

Du Plessis smashed six boundaries in his 44-ball stay including a 115-run partnership with 34-year-old Ambati Rayudu, who hit 71, to help the three-time IPL winners chase the target with four balls to spare.

England’s Sam Curran smashed 18 off six balls after the 22-year-old all-rounder was sent ahead of Dhoni in a move that surprised many.

But Curran’s hitting affirmed Dhoni’s faith in him.

“That’s one thing we haven’t done,” Dhoni said, referring to experimenting with the batting order.

“At some point… we need to give (Ravindra) Jadeja and somebody like Sam to express themselves.”

The 53-day IPL is being held in the United Arab Emirates this year because of concerns about the spread of the coronavirus in India, which has the second-highest number of known infections in the world.

Participation of Maryam in APC shows no-confidence over Shehbaz: Chohan

LAHORE : Punjab Information Minister Fayyazul Hassan Chohan has said that participation of Begum Safdar in the APC shows no-confidence over her uncle Shehbaz Sharif.

“Shehbaz Sharif deceiving his elder brother and niece from many years”, Fayyazul Hassan Chohan said in his statement issued here from Lahore, today.

The only concern of the PML-N President Shehbaz Sharif is to get rid-off the cases being faced by him and his son Hamza, the minister said, and added that he is not interested in return of Nawaz Sharif or departure of Maryam Nawaz to London. The minister said demand to shut the National Accountability Bureau (NAB) by opposition is just like demanding National Reconcilation Ordinance (NRO).

Fayyazul Hassan Chohan said that All Pakistan Lootmaar Association has gathered to save their corruption money.

Pakistan People’s Party (PPP) chairman Bilawal Bhutto-Zardari is hosting the all parties conference (APC) in Islamabad today which would be addressed by co-chairman Asif Ali Zardari and Pakistan Muslim League Nawaz (PML-N) supremo Nawaz Sharif.

The all parties conference (APC) would be attended by opposition parties for consulting over initiation of political movement against the incumbent government led by Pakistan Tehreek-e-Insaf (PTI).

‘Opponents to face failure as nation standing with govt rhetoric’

Islamabad : Punjab Chief Minister Chaudhry Sarwar has said that the nation is supporting the rhetoric of the incumbent government and opponents will face failure.

Chaudhry Sarwar expressed his thoughts while meeting with Sindh Governor Imran Ismail where they discussed the current political scenario and matters related to government affairs. Ismail thanked Sarwar over relief package to the affected citizens in flood-hit areas of Sindh.

During the meeting, Sarwar said that all parties conference will be continued till 2023 but the incumbent government led by Pakistan Tehreek-e-Insaf (PTI) will complete its five-year term. He said that Prime Minister Imran Khan has always turned impossible into possible.

The Punjab governor said that the present government is working for the development of weak segments of the society and nobody could criticise the honesty of the premier Imran Khan. The country has successfully built up a global and diplomatic reputation, added Sarwar.

Sindh Governor Imran Ismail said that PM Imran Khan gave a vision of a prosper and stabilise Pakistan and those spreading hopelessness and chaos will get nothing other than disappointment. He said that the policies of the federal government were meeting successes to coup with different challenges.

India’s COVID-19 cases climb up to 5.4 million

India’s coronavirus cases tally rise up to 5.4 million as it added 92,605 new infections in the last 24 hours, data from the federal health ministry showed on Sunday.

The country has posted the highest single-day caseload in the world since early August and lags behind only the United States, which has 6.7 million cases in terms of total infections.

A total of 1,113 people died of COVID-19 in the last 24 hours, the health ministry said, taking mortalities to 86,752, which is a relatively low 1.6% of all cases.

With coronavirus cases rampantly climbing in India, doctors say that everyone in the country could be a potential carrier for the virus.

The disease is rampant in rural India, where people often have to rely on the most basic health facilities.

Bilawal Bhutto-Zardari to host PPP-led APC today

ISLAMABAD : Pakistan People’s Party (PPP) chairman Bilawal Bhutto-Zardari will host the all parties conference (APC) in Islamabad today which will be addressed by co-chairman Asif Ali Zardari and Pakistan Muslim League Nawaz (PML-N) supremo Nawaz Sharif.

The all parties conference (APC) will be attended by opposition parties for consulting over initiation of political movement against the incumbent government led by Pakistan Tehreek-e-Insaf (PTI).

Bilawal Bhutto-Zardari and PML-N’s Maryam Nawaz will also deliver important speech in the event. Moreover, Jamiat Ulema-e-Islam Fazl (JUI-F) supremo Maulana Fazlur Rehman, Pashtunkhwa Milli Awami Party (PkMAP)’s Mahmood Khan Achakzai and Qaumi Watan Party (QWP) chief Aftab Sherpao will also address the conference.It emerged that the major opposition parties, PPP and PML-N, have agreed to give tough time to the PTI-led government, whereas, the participants of the APC will also consult over the constitutional status of Gilgit-Baltistan (GB), elections and Kashmir policy, as well as upcoming polls in Senate and Azad Jammu and Kashmir (AJK).

The opposition parties will also discuss the behaviour of the Speaker National Assembly Asad Qaiser in the APC besides holding consultations over the matters related to lawmaking and issues related to Financial Action Task Force (FATF) legislations. It is expected that the conference will be continued to 4 to 5 hours. PPP will also host luncheon for the participants of the conference.

Sources added that the opposition leaders will highlight the alleged delay in the completion of various projects of the China-Pakistan Economic Corridor (CPEC).

A 13-member delegation including Maryam Nawaz of PML-N headed by Shehbaz Sharif and four-member delegation of JU-F led by its supremo Maulana Fazlur Rehman, whereas, three leaders of each opposition party will attend the conference.

The host political party completed all arrangements for the APC being organised in a local hotel. Bilawal Bhutto-Zardari, Nayyar Bukhari, Yousaf Raza Gillani, Sherry Rehman, Farhatullah Babar, Rukhsana Bangash and others have also arrived in the hotel.

Trump approves TikTok deal with Walmart and Oracle

Washington : US President Donald Trump on Saturday said that he supported a deal in principle that would allow video-sharing application TikTok to continue to operate in the United States.

Although his recent comments appeared to conflict with his earlier order for China’s ByteDance to divest the video app.

ByteDance was racing to avoid a crackdown on TikTok after the US Commerce Department said on Friday it would block new downloads and updates to the app come Sunday. US officials had expressed concern that the personal data of as many as 100 million Americans that use the app were being passed on to China’s Communist Party government.

Trump signed an executive order on August 14 giving ByteDance 90 days to sell TikTok. The deal announced on Saturday, however, is structured as a partnership rather than a divestment.

TikTok will be owned by a new company called TikTok Global and will be headquartered in the United States, possibly in Texas, Trump said. Oracle Corp will take a 12.5% stake in TikTok Global and store all its US user data on its cloud to comply with US national security requirements, the companies said.

Retail giant Walmart said it would take a 7.5% stake in TikTok Global. The implied valuation for TikTok Global as a result of these investments could not be learned.

While Oracle and Walmart said that TikTok Global will be majority-owned by US investors, this is the case only if one takes into account ByteDance’s investor base, according to a source familiar with the matter who requested anonymity to discuss the deal’s structure. This is because ByteDance will own 80% of TikTok Global, the source said.

Given that US investors currently own about 40% of ByteDance, the White House will count that towards how much of TikTok Global is owned by US parties, the source added. As a result, Oracle, Walmart, and ByteDance’s US investors will own, directly or indirectly, about 53% of TikTok Global, a second source said.

Beijing-based ByteDance did not immediately respond to a request for comment. Walmart and Oracle also did not offer more information on TikTok Global’s ownership structure.

It was not immediately clear what spurred the White House to compromise on its push for an outright sale of TikTok. However, the deal comes with pledges that cater to Trump’s ‘America First’ policy agenda. It also averts alienating TikTok’s young users ahead of the November 3 US election.

ByteDance agreed to create 25,000 new US jobs at TikTok, up from a little over 1,000 now. Trump, who had previously called on companies such as Oracle and Walmart to pay the United States a “fee” to participate in the TikTok deal, said there would also be a $5 billion US education fund as part of the deal.

“I said, you know, do me a favor, could you put up $5 billion into a fund for education so we can educate people as to the real history of our country, not the fake history,” Trump told a rally of supporters in Fayetteville, North Carolina on Saturday.

Oracle and Walmart described the agreement differently. They said that together with ByteDance top investors General Atlantic, Sequoia and Coatue they would create an educational initiative to deliver an artificial-intelligence driven online video curriculum for children, from basic reading and math to science, history and computer engineering.

The companies did not say how much they would spend on the education initiative. However, they said TikTok Global would pay more than $5 billion in new taxes to the US Treasury.

While ByteDance will get to keep TikTok’s source code under the deal, Oracle will get to inspect it. Oracle CEO Safra Catz said her company was “100% confident in our ability to deliver a highly secure environment to TikTok and ensure data privacy to TikTok’s American users, and users throughout the world.”

Catz served on Trump’s transition team in 2016, while Oracle’s co-founder and chairman Larry Ellison is one of the few top technology executives to openly support the US president.

ByteDance also had to give up some of its control of TikTok. Reuters reported on Thursday that TikTok Global would have a majority of American directors, a US chief executive, and a security expert on the board. Walmart said on Saturday its CEO Doug McMillon would serve as one of the five board members of TikTok Global.

It is possible that ByteDance’s ownership of TikTok will be reduced further next year. Reuters was first to report on Thursday that ByteDance is planning an initial public offering (IPO) of TikTok Global. The filing of the IPO would be on a U.S. stock exchange and could come in about a year.

CFIUS approval

The Commerce Department said on Saturday it would delay by one week an order that had been set to take effect late Sunday that would have forced Alphabet Inc’s Google and Apple Inc to stop offering TikTok for download, so the TikTok deal can be completed. The Committee on Foreign Investment in the United States (CFIUS), the U.S. government panel overseeing the deal talks, has to approve the transaction.

Oracle beat out Microsoft Corp, which said last week that its offer to acquire TikTok’s U.S. business was rebuffed by ByteDance.

The Trump administration has stepped up its efforts to purge what it deems “untrusted” Chinese apps from U.S. digital networks. An order to require app stores to stop downloads of Tencent Holding Ltd’s WeChat is still set to take effect Sunday night.

TikTok interim chief executive Vanessa Pappa said in a video posted on Saturday that “Tiktok is here to stay.”

China also has to approve the deal. “We’ll see whether or not it all happens,” Trump said.

The first Chinese reaction to the deal came from Global Times, which is published by the People’s Daily, the official newspaper of China’s ruling Communist Party. Global Times editor Hu Xijin said, “this scheme is still unfair, but it avoids the worst result that TikTok is shut down or sold to a U.S. company completely.”

Pakistan, Kazakhstan businessmen mull over joint cooperation

Zahid Latif Khan briefs Kazakh counterparts abut Pakistan’s potential; both sides agree to sign MoU

Shujat Hamza/DNA

ISLAMABAD:  Meeting between representatives of AIFC, AIE Kazakhstan and Representatives of ISE RME and PSX, Pakistan in Islamabad.  Zahid Latif Khan Chairman ISE Towers REIT Management Co. (ISE RMC), Vice Chairman Pakistan Stock Exchange Broker Association, Chairman Zahid Latif Khan Securities, Corporate Brokerage Firm PSX welcomed the participants.

Mr. James Martin, CEO of Astana International Financial Centre (AIFC) Business Connect (the business development arm of AIFC), Mr. Renat Bekturov   CFO of the Astana International Exchange (AIE), Mr. Sagheer Mushtaq         Chief Executive Officer, ISE Towers REIT Management Company (ISE RMC) formerly Islamabad Stock Exchange , Mr. Asghar Abbas  Regional Head – Pakistan Stock Exchange (PSX) also attended the meeting.

He apprised that ISE RMC was formerly operating as Islamabad Stock Exchange. Consequent upon integration of all the three stock exchanges in Pakistan, ISE RMC granted the license to launch REIT Schemes. On the other side, PSX has been expanding and it is one of the best performing market in the region. Both the institutions have rich experience of capital market and ISE RMC / PSX platform can be useful to tap the businesses in Pakistan. Reciprocally, business community of Kazakhstan can also avail business potential in Pakistan. 

AIFC and AIE representatives briefed that AIFC has been established on the international standards / laws with the objective to attract foreign investment and to provide business friendly environment. Already a number of UK / Europe based companies are listed on AIE, side by side foreign brokerage firms have also their respective business setup. AIFC also interested to invite investment from Asia region.

Participants of the meeting after discussion agreed to extend mutual cooperation initially in following major areas: Cross border listings on securities exchange; Establishment of brokerage business – cross border; to explore avenues for investment under REIT umbrella; Sharing of expertise relating to capital market.

Participants also agreed to sign the Memorandum of Understanding soon to formalize the arrangement.

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