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Gold hits all-time high in Pakistan, yet again

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  • Price of gold (24 carats) rises by Rs450 per tola.
  • Gold reached previous high of Rs218,600 on 14th.
  • Silver price also reaches record high of Rs2,570.

Gold prices Wednesday hit another all-time high in Pakistan on Wednesday as the rupee’s value improved slightly.

According to data provided by the All Pakistan Sarafa Gems and Jewellers Association (APSGJA), the price of gold (24 carats) rose by Rs450 per tola and Rs386 per 10 grams to reach Rs218,650 and Rs187,457, respectively.

Gold had reached a previous record high of Rs218,600 per tola on April 14. It declined afterwards in line with developments in the international market before rising again. 

The price of gold has risen sharply recently on the back of a weakened rupee and soaring inflation. During times of economic turmoil, people prefer to buy gold as a hedge against inflation and the rupee’s devaluation.

The rupee had fallen to an all-time low of Rs288.43 against the US dollar in the interbank market on April 11. While it has recovered since then, the US dollar continues to trade above Rs280.

The rupee gained Re0.08 or 0.03% to settle at Rs283.89 per dollar in the interbank market on Wednesday.

Another reason for the increased gold demand is the delay in an agreement with the International Monetary Fund (IMF) for a desperately needed economic bailout.

The delay in the revival of the IMF programme negatively impacts the currency market which, in turn, bolsters the demand for gold.

The price of gold in the international market remained unchanged at $2,000 per ounce.

According to the data shared by the association, the price of silver in the domestic market also reached a record high. The rate of silver increased by Rs40 per tola and Rs33.36 per 10 grams to reach Rs2,570 and Rs2,203.36, respectively. 

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Pakistan’s lunar mission ‘ICUBE-Q’ reaches the moon orbit.

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Pakistan’s lunar mission (ICUBE-Q) entered orbit around the moon on Wednesday.

Pakistan’s historic lunar mission (ICUBE-Q) launched from Hainan, China, on Friday aboard China’s Chang’E6 spacecraft.

According to the IST, the satellite ICUBE-Q was planned and developed in partnership with China’s Shanghai University SJTU and Pakistan’s national space agency SUPARCO.

The ICUBE-Q orbiter is equipped with two optical cameras to image the lunar surface. ICUBE-Q has now been integrated into the Chang’e6 mission after successfully qualifying and testing it.

Chang’e6 is the sixth lunar exploration mission launched by China.

The launch event was streamed live on the IST website and social media platforms. Chang’6, China’s Lunar Mission, will land on the Moon’s far side to collect surface samples before returning to Earth for further research.

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The FIA and KE have launched 13 successful operations against power theft.

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In March 2024, operations were performed in collaboration with the FIA, targeting locations such as Marora Goth, Peer Abad, Ellahi Colony Metroville, Merchant Navy Housing Society, Johar Colony, Willayatabad, and Architects Society, among others. As a result of these collaborative efforts, six FIRs regarding power theft have been filed. Furthermore, four people were caught, with three being remanded to jail and one being released after paying the fines. To enforce governance and maintain accountability, a total fine of PKR 44.33 million was issued. Additionally, in partnership with FIA Balochistan, KE has conducted anti-theft operations in Hub, where teams from KE and FIA thoroughly investigated places including as markets, retail plazas, residential and commercial properties.

Regular actions against illicit power use are part of KE’s everyday activities to prevent line losses and protect the safety and security of the electrical infrastructure. Since the start of the fiscal year (FY 2023-24), over 24,000 kunda removal drives have been performed, resulting in the elimination of over 190,000 unlawful connections and the recovery of over 260,000 kgs of illegal kunda wires.
Ongoing raids involving law enforcement personnel and other agencies have resulted in the registration of around 994 FIRs against various individuals throughout Karachi. Since the launch of the nationwide power theft campaign in September 2023, more over 100,000 incidences of theft of 180 million units of electrical power have been identified in KE’s service zone.

In response to KE’s anti-theft initiatives, a KE spokesperson stated that “71% of KE’s feeder network is loadshed-free. However, 29% of the KE network remains difficult, with electricity theft and nonpayment of bills still key issues. Serious theft cases have been found in Baldia, Surjani, Korangi, Orangi, Liaqatabad, Landhi, and Lyari, among other places. Highlighting the repercussions of electricity theft, which may jeopardize the safety standards of the power network, the KE Spokesperson noted that PKR 117 million has been recovered.

Recognizing the challenges faced by current macroeconomic conditions, especially high inflation, KE is taking proactive steps to assist customers by establishing facilitation camps throughout the city. Since July 2023, approximately 240 recovery camps have been hosted around KE’s operational zone to help customers resolve billing concerns, including supporting payment plans with manageable installments.

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Budget 2024–25: The government intends to abolish tax exemptions.

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According to the specifics, the federal government plans to phase out existing tax breaks for the erstwhile Federally Administered Tribal Areas (FATA) and Provincially Administered Tribal Areas (PATA) regions in the upcoming fiscal year.

The decision to eliminate tax breaks in the FATA/PATA region is estimated to produce Rs 100 billion in annual revenue for the national government.

According to sources close to the issue, the Federal Bureau of Revenue (FBR) has already created a preliminary proposal for the next fiscal year’s budget, and the FBR head has also informed the finance minister on it.

Currently, the federal government provides tax breaks of Rs 1,200 billion to various industries; however, the IMF has instructed Pakistan to phase out these tax breaks in the next budget.

Pakistan’s president, Asif Ali Zardari, passed the Tax Laws (Amendment) Bill 2024 last week in accordance with Article 75 of the constitution.

According to a President House News release, the bill proposes amending legislation governing taxes and duties.

The bill’s revisions include changes to sections 30DDD, 43, 45B, 46, and 47 of the Sales Tax Act of 1990.

Similarly, the amendment bill amended sections 29, 33, 34, and 38 of the Federal Excise Act 2005, as well as sections 122A, 124, 126A, 130, 131, 132, 133, and 134A of the Income Tax Ordinance 2001.

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