Business

Interest rates, inflation, and remittances have improved, according to the Finance Ministry.

Published

2 months ago

Farwa

With the help of external stability and policy reforms, the Finance Ministry’s most recent monthly economic outlook report shows improvements in interest rates, inflation, exports, and remittances.

According to the research, a long-term economic recovery is in progress for the current fiscal year. Investment, tax revenue, rupee appreciation, and foreign exchange reserves were all areas that showed growth.

Interest rates and inflation.

November inflation is predicted to be between 5.8% and 6.8%, and December inflation is predicted to drop even lower to 5.6% to 6.5%.
Better monetary conditions are reflected in the policy rate’s reduction from 22% to 15%.

Industry performance and export growth

The fiscal year’s first four months saw an 8.7% increase in goods and services exports, which topped $13 billion.
Over the course of four months, production in the auto and textile industries increased.
Mixed outcomes were observed in industrial production, with notable growth in industries like:
Vehicles: 51%
Buses and trucks: 80 percent
55% of Jeeps
However, the output of large-scale industries fell by 0.8% overall, while tractor manufacturing fell by 54.2%.
Remittances and foreign investments

Remittances increased by 34.7%, totaling $11.84 billion from July to October.
Foreign direct investment (FDI) rose by 32% to $904.3 million, while total foreign investment grew by 56%, exceeding $1 billion.

Reserves of foreign money and currency stability

The amount of foreign exchange reserves increased to $11 billion from $7.38 billion.
With the value of the dollar falling by Rs8.7 from the previous year to Rs277.80, the Pakistani rupee gained value.
Improvements in the current account and the budget

With a 25.3% increase, tax income reached Rs 3,443 billion.
Between July and October, the current account showed a $218 million surplus.
Imports of machinery and agricultural products

In the first four months, agricultural machinery imports increased by 71%, bolstering the agricultural industry.
The Finance Ministry reports that September inflation was 7.2% and July through October inflation was 8.7%. The economic recovery is supported by external stability and ongoing governmental support; it was also mentioned. A minor decline in large-scale industry output is one obstacle

Business

The NORINCO Group is invited by CM Sindh to explore opportunities.

Published

21 hours ago

Farwa

Chinese companies have been invited by Sindh Chief Minister Syed Murad Ali Shah to visit Karachi and other regions of Sindh Province in order to observe the quickly growing businesses and investigate prospects in fields like clean energy, infrastructure development, and public transit projects.

Speaking in Beijing to a delegation headed by the chairman of NORINCO International Co., Ltd., he stated that all facilities required would be provided by the governments of Sindh Province and Pakistan.

With assistance from NORINCO International, the Sindh Chief Minister stated that the Provincial Government will firmly urge North Vehicle and BeiBen to think about setting up a Vehicle Assembly Plant in the Dhabeji Special Economic Zone.

Business

A deal with Pakistan to fight financial crimes has been approved by the Saudi cabinet.

Published

21 hours ago

Farwa

In order to strengthen collaboration in the fight against money laundering, terrorist financing, and associated crimes, the Saudi Press Agency announced this week that the Saudi cabinet, led by Crown Prince Mohammed bin Salman, had approved a memorandum of understanding (MoU) with Pakistan’s Financial Monitoring Unit (FMU).

Due to its severe money laundering and terrorism funding issues in recent years, Pakistan was added to the Financial Action Task Force’s (FATF) grey list in June 2018.

The nation was taken off the gray list in October 2022 after enacting extensive measures to fortify its financial system.

The FMU is Pakistan’s financial intelligence unit, created under the Anti-Money Laundering Act of 2010 and tasked with collaborating with foreign partners and evaluating reports of suspicious transactions.

According to the SPA, “the cabinet approved a memorandum of understanding regarding cooperation in exchanging investigations related to money laundering, terrorist financing, and related crimes between the Financial Monitoring Unit in the Islamic Republic of Pakistan and the General Department of Financial Investigation at the Presidency of State Security in the Kingdom of Saudi Arabia.”

The MoU is an indication of Saudi Arabia and Pakistan’s growing strategic partnership. A significant Pakistani diaspora resides in the Kingdom, and numerous Pakistani businesses have established a presence there.

Saudi Arabia has been a key supporter of Pakistan’s economy, bolstering its reserves with substantial deposits in the State Bank of Pakistan and offering deferred oil payment facilities.