Business

Petrol price may increase by Rs20 from Feb 16

Published

2 years ago

Farwa

Next petrol price review due on Feb 15.
PDL may also be increased on diesel.
Sharp increase in POL prices is expected.

KARACHI: The prices of petrol may witness a surge of Rs20 per litre in the next two weeks’ review — which is to be held on February 15, 2023, The News reported on Tuesday.

This recent uptick in petrol price was based on the calculations of the international price of petrol i.e. free on board (FOB) basis, oil industry sources told the publication.

The government had carried out a massive increase of Rs35 per litre in the last fortnightly review of fuel prices. Currently, the government is charging Rs50 per litre petroleum levy (PL) whereas general sales tax (GST) has not been imposed yet.

The price of petrol may further increase provided the foreign exchange rate was adjusted in the next review, the sources mentioned.

They further said that the exchange rate was on the higher side, which would deprive the local consumers of any benefit or reduction in the prices of petroleum products.

The prices of petrol in the international market have decreased, but the steep depreciation of the rupee against the dollar has eroded the gains to detriment of domestic consumers.

The sources also added that the petrol price might go up even further if the government adjusted Rs20 per litre on account of the exchange rate as well, which would cumulatively take the price by up to Rs40 per litre.

On the other hand, diesel price was not reflecting any increase on FOB sans exchange rate adjustment. The sources said that if the exchange rate was adjusted, diesel prices could go up in the next review.

The government had adjusted Rs14 per litre on diesel on account of the exchange rate; however, the steep appreciation of the dollar has eaten up the exchange rate adjustment of the last review.

They noted that diesel prices went down by five to six dollars per barrel in the global market, but rupee depreciation would not allow the government to pass on this reduction in global prices to local consumers.

The last increase in prices of petroleum products was made in the review on January 29, 2021, by the federal government. After the review, petrol price was tagged at Rs249.80 per litre; high-speed diesel Rs262.80 per litre; kerosene oil Rs189.83 per litre; and light-speed diesel Rs187 per litre.

On January 29, 2023, the government increased the prices of petrol and high-speed diesel by Rs35 per litre each and the rates of kerosene oil and light diesel oil were increased by Rs18 per litre each.

Pakistan is currently facing a short supply of petrol, with its most populous province, Punjab bearing the brunt of the crisis. Major and smaller cities, towns and villages in Punjab do not have the fuel, which was also being blamed on petroleum dealers.

Last week, sources had said that other than the low import of petrol by a majority of Oil Marketing Companies (OMCs), petroleum dealers were having a field day and were involved in the hoarding of petrol in view of the expected increase in prices by mid-February.

Business

China Contributes 43 New Foreign Firms to the 6% Growth in SECP Registrations

Published

11 hours ago

Farwa

The Securities and Exchange Commission of Pakistan has registered 2,617 new firms this year, a 6% increase from 2023, with assistance from the Special Investment Facilitation Council. This increases the overall number of businesses that are registered to 231,111.

Non-profits, trade associations, and public unlisted firms make up 4% of these, while private limited corporations make up 55% and single-member companies 41%. It is noteworthy that 99.8% of the registrations were done online, demonstrating SECP’s attempts to digitise.

Real estate has 237 new businesses, services has 306, and trade has 377 new businesses. These are the main sectors exhibiting growth. While the healthcare and textile industries each had 49 new businesses, the education sector saw 101.

China contributed the most, adding 43 new companies, out of the 61 new companies that were registered as a result of foreign investment.

These recently registered businesses are anticipated to decrease imports, increase domestic production, and contribute to closing the trade deficit.

Business

PSX reaches an all-time high as the KSE-100 Index surpasses 86,000 points.

Published

12 hours ago

Farwa

The Pakistan Stock Exchange (PSX) has achieved a significant milestone, as the benchmark KSE-100 Index has attained an unprecedented peak.

On Tuesday at midday, the index ascended by 788 points, attaining a record high of 86,846 points. Following the ratification of the constitutional amendments, the stock market has increased by 1500 points over a span of two days.

Earlier today, the KSE-100 Index increased by 683 points, attaining a value of 86,741 points, before concluding at this new apex.

The bullish trend was apparent from the commencement of the trading session, with the index rising an additional 555 points to reach 86,612 points throughout the day. The reinstatement of the 86,500-point threshold signifies robust market performance.

Business

In three months, Pakistan’s IT exports increased by 33.54 percent.

Published

12 hours ago

Farwa

During the first three months of FY 2024-25 (July to September), Pakistan’s IT export remittances hit US$ 876 million, a notable 33.54 percent rise from US$ 656 million during the same period previous year (FY 2023-24).

In a statement, Minister of State for IT and Telecommunication Shaza Fatima Khawaja stated that the amount of money sent home by the export of ICT services was US$ 292 million in September 2024, a 41.7% increase from US$ 206 million in the same month the previous year.

She stated that efforts to make it easier for businesses to conduct business in the nation are the reason why IT exports are rising and that actions are being taken to increase them.

In response to the Prime Minister’s directions, Shaza Fatima stated that the Ministry of IT and Telecommunication, the Pakistan Software Export Board, and the IT industry are dedicated to boosting IT exports with the full assistance of the Special Investment Facilitation Council (SIFC).

A trade surplus of US$ 764 million was recorded by the IT & ITeS sector in the first three months of FY 2024–25, accounting for 87.21 percent of all ICT export remittances.

Over the same period last year, this surplus represents a 36.67 percent gain over US$ 559 million. The services industry as a whole, however, experienced a trade deficit of US$ 699 million during this period.

The largest of all service sectors, ICT export remittances from July to September 2024, were US$ 656 million, followed by “other business services” at US$ 374 million.