profit.com.pk Wednesday, 6 June, 2012

BUDGET REVIEW FY13

KARACHI

STAFF REPORT

The Karachi Branch Council (KBC)under the aegis of the Institute of Costand Management Accountants of Pak-istan (ICMAP) organised a post-Budget2012-13 seminar here at a local hotel onTuesday.

Shahid h. Jatoi, Commissioner,Large Taxpayers Units, Karachi, whowas the chief guest on the occasion, saidbudget stipulates measures towardsself-reliance‚ spur growth through de-velopment program, protect vulnerablesegments of society from impact ofglobal recession through subsidies, so-cial safety nets and huge allocation of Rs183 billion to address power shortagechallenge.

he said the government spent Rs 50billion to import 1.2 million tons fertil-izer which was provided to farmers on

reduced rate resulting in not only self-sufficiency in food but also creating sur-plus for export.

Jatoi said tax system has been sim-plified. Income Tax exemption limit‚currently Rs 350,000 is being raised toRs 400,000 tax rates also brought downwhich would benefit about 1.4 milliontax payers.

Speaking on the occasion, Arifhabib, Chairman of the Arif habibGroup, acknowledged budget to be thebig positive for the stock market. hehoped that the much-awaited stepwould bring relief to nervous investors,sitting on the sidelines. “It is likely togive fillip to the market and improveturnover,” he said.

Syed Muhammad Shabbar Zaidi,Partner, A. F. Ferguson, Chartered Ac-countants, said FBR is now empoweredto transfer the registration of any per-son or business of a registered person to

an area of jurisdiction where the placeof business or registered office or man-ufacturing units is located.

however, the change of jurisdictionof any business of a registered person isagainst the principle of single registra-tion of taxpayers.

Ali Rahim, former PresidentKarachi Tax Bar Association, said thegovernment has presented a balancedbudget for next year under prevailingcircumstances. he said the budgetwould provide substantial relief tosalaried persons and association of per-sons and added that the reduction inturnover tax from 1 per cent to 0.5 percent was also laudable. he said the agri-culture sector, which contributes 20percent to the GDP and only one per-cent in revenue, should have been doc-umented.

Rahim said the government shouldtax agriculture income by bringing mid-

dleman into the tax-net.The budget comprises many popular

decisions taken to get political mileage,said advisor to the Chief Minister Sindhon investment and the former KCCIPresident Muhammad Zubair Motiwala.“Duty on pharmaceutical raw materialhas been reduced from 10% to 5%,” hementioned pointing out that the budgethas included some measures to providerelief to the industrial sector.

Motiwala said that budget states adeficit of around Rs1trillion but fails tomention the strategy to bridge the gap.he further said that since going to IMFduring an election year would be a veryunpopular move, the governmentshould have come up with a plan to dealwith the mounting deficit.

Session Chairman, Ashfaq YousufTola, Partner, Naveed Zafar Ashfaq Jaf-feri and Co. said the Federal Budget2012-13 is balanced keeping in view the

ongoing situation and international aidstoppage. he said the circular debt willbe cleared this year. he said some fundswere allocated for the subsidy to thepower sector but the expenditure wasmore than the allocated amount.

Muhammad hanif Ajari, DirectorStrategic Development Getz Pharma,said that economic growth must for sur-vival: he said the budget targets couldbring good results if they are imple-mented in letter and spirit. he addedthat so far as the document is concernedit is an efficient budget. he said that ifPakistan did not accelerate its growthour survival will become difficult.

Anis-ur-Rehman, Chairman KarachiBranch Council ICMAP, said the gov-ernment had set an ambitious revenuetarget for FY12-13. he presented high-lights of the budget and changesbrought in through the Finance Bill2012.

Asia Pacific in need of a massive influx

Page 2

Bring agriculturists into the tax net!

KARACHI

STAFF REPORT

ThE federal budget outlayfor FY13 stands at Rs3.203trillion which is three per-cent higher than last year’srevised estimate. Accord-

ing to Invest Capital Research’s report,against an estimated revenue genera-tion of Rs 2.381 trillion, the budgetdeficit for FY13 would be at Rs1.185 tril-lion (5.0 percent of the GDP).

however, inclusion of Rs80bnowing to NFC award would lower downconsolidated fiscal deficit at Rs1,106bn(4.7% of GDP). Gross revenue receiptsare estimated at Rs3,234bn (27.5%YoY), which are inclusive of Rs2,381bnestimated to be collected by the FBR.

The tax to GDP ratio is thereby esti-mated at 10%, which is on the higherside when compared to last year’s re-vised estimate of 9.5%. Moreover, thetotal expenditure is estimated to growby meager 0.6% compared to last year’srevised budget estimate. however, fiscalspace is built through lowered currentexpenditure (14.5% of GDP compared to16.3% last year revised estimates).

While the deficit target looks encour-aging compared to last year’s revised es-timate of ~7.4% of GDP, it is equallyambitious to achieve the same given theinherent issues with current expendi-tures. Funds allocated for current expen-ditures exceeds 16% to Rs2.3tr this yearcompared to last budgeted figures ofRs2.1tr, however the current allocation is4% lower then the revised estimates oflast year which shows a high degree ofdivergence in expenditure estimations bythe government.

While the allocation for current ex-penditure is still highly concentrated to-wards non-productive, segments suchas debt servicing (accounts 39% of total)and defense expenditures (accounts

23% in total). Budgetary allocation forsubsidies accounts for Rs209bn (0.9%of GDP) this year compared to last yearallocation of Rs166bn (0.8% of GDP).But a bitter side of the subsidy story isthat, the original expenditure of lastyear subsidies exceeded 3x(three times)the budgetary estimates to stand atRs512bn inclusive of tariff differentialsubsidies to power sector which ac-counted for 91% (Rs464bn) of total sub-sidy expense.

This year target allocation of Rs185bn for power sector subsidies seemsquite conservative as no concrete stepshas been yet taken to implement re-

forms in power sector, failing to complywith targets will pose major risk overeconomic targets this year

Government has gone aggressive forthis year’s PSDP as allocation exceedsby 19% to Rs873bn compared to lastyear allocation of Rs734bn. The federaland provincial allocation this year ex-ceeds by 19%YoY both to Rs360bn andRs513bn respectively.

As far as utilization of the allocatedamount is concern, during 9MFY12(Jul-Mar) Gov’t only utilizedRs421bn(57% of original budgeted fig-ure of Rs734bn), how much funds willGov’t make available to achieve the said

target this year is the question still to beanswered.

Market still seems to be vary withthe post budget developments, whereasprovincial budgets still to be announcedare keeping the investors upbeat.

however, as major announcementsof this budget are already priced in, cap-ital markets are expected to rally withdevelopments on PSDP expendituresrelated to infrastructure developments,Iran-Pakistan or TAPI pipelines, pri-vatisation proceeds and most impor-tantly monetary view of SBP overaggressive expenditure targets of thegovernment.

$200m for natural gas!g Govt, WB sign funding for

Natural Gas Efficiency ProjectISLAMABAD

ONLINE

An Agreement was signed Tuesday be-tween the Government of Pakistan andthe World Bank for $ 200 million fundingfor Natural Gas Efficiency Project.The Financing/Loan Agreements weresigned by Dr. Waqar Masood Khan, Secre-tary Economic Affairs Division on behalfof Government of Pakistan and Mr.Rachid Benmessaoud, Country Director,World Bank. The project Agreement wasalso signed on this occasion between Mr.Yusuf J. Ansari, Company Secretary, SuiSouthern Gas Company Limited (SSGC)and the Country Director World Bank.The Project will be implemented by SSGC.The objective of the Project is to enhancethe supply of natural gas in Pakistan byreducing the physical and commerciallosses of gas in the pipeline system andimprove the operational capacity of SSGC.Project will have the following compo-nents:

(i) UFG reduction: This component willfinance Goods andWorks that willhelp reduce un-accounted for gas(UFG) in the gas distribution system,including system segmentation andpressure management, pipe replace-ment and repair, cathodic protection,and advanced metering systems.

(ii) Appliance Efficiency Pilot Project:This component will finance modern,energy-efficient gas appliancesand/or retrofit appliance componentsfor residential consumers in a pilotproject.

(iii) Technical Assistance: This compo-nent will finance assistance to the SuiSouthern Gas Company Limited forimproving its organizational capacityand customer orientation and formanaging the project.

The project will be completed by June2017. The project will help to increase thesupply of gas to the consumers, maintainadequate gas pressure, ensure better serv-ice delivery to the consumers and improvethe efficiency of SSGC. In addition to this,the Project will also help curtail emissionof greenhouse gases through the avoid-ance of direct methane gas leakages intothe atmosphere.

And the announcementcontinues to reverberate…g Deficit to swell beyond Rs1.185tr, thanks to current, war expenditures, interest payments

Layout 3 pages_Layout 1 6/6/2012 1:26 AM Page 1

news02Wednesday, 6 June, 2012

ISLAMABAD

APP

Speakers at a conference here on Tues-day urged upon the SAARC membercountries to prioritise food securitystrategies and invest in their agriculturalsectors to reduce poverty.

The three day SAARC Regional Con-ference titled “New Frontiers in Agricul-tural Genomics and Biotechnology” wasorganized by Pakistan Agricultural Re-search Council (PARC) and National In-stitute for Genomics and AdvanceBiotechnology with an aim to highlight

the food security issue and seek possiblesolutions to the food scarcity.

On the occasion, Federal Ministerfor Religious Affairs, Khursheed AhmadShah lauded the role of PARC and otheragricultural scientists, saying that theywere playing a contributing towards al-leviating poverty and ensuring food se-curity to meet the challenges.

South Asia with over 40 percent ofthe world’s poor and 35 percent of theworld’s under-nourished, has the high-est concentration of poverty and hungerin the world, remarked Minister of Statefor National Food Security and Re-

search, Sardar Moaazam Ali Jatoi.“There is need to develop a compre-

hensive approach based on latest tech-nologies and research to meet the foodsecurity challenges in SAARC Membercountries,” he said. The minister saidthat greatest challenge to humanity inthe 21st century is to meet the foodneeds, saying that which could be over-come by doubling crops and livestock.

Speaking on the occasion,renowned bio-technologist, Dr. KausarAbdul Malik said that there is a need toremove the legal obstacles for develop-ment of agricultural sector.

Chairman, Pakistan Agriculture Re-search Council (PARC), Naveed Salimisaid that Pakistan and India are onlytwo countries which have released Ge-nomic Crops commercially.

Pakistan has joined the club ofbiotech crops growing countries in 2010with the approval of Bt-cotton cultiva-tion and is currently ranked at 8th posi-tion among the 29th countries, headded. he said there are clear indica-tions that this technology will have a sig-nificant role in future of economicsgrowth of SAARC countries. Speakingon the occasion, Chaudhry Nazir , MNA

and Chief Patron of Alladin Group ofCompanies said that biotech is the onlytool for the agriculture enhancement inthe country.

Prof. Shahana Urooj, Pro-vice chan-cellor of Karachi University remarkedthat the Future of the agriculture is de-pendent on the bio-tech. Different re-search papers were presented on theoccasion by local as well as representa-tives from the SAARC countries. Schol-ars including Ghulam Ali, Director ,NIGAB, Dr. Zafar, M, Yousaf also sharedtheir knowledge about the biotech withthe participants of the conference.

For the umpteenth time, who’s going to take care of food security?g SAARC countries urged to prioritise food security strategies

ISLAMABAD

APP

ASIA and the Pacific isconsuming more re-sources than its ecosys-tems can sustain,threatening the future of

the region’s beleaguered forests, rivers,and oceans as well as the livelihoods ofthose who depend on them, says a newjoint report by the Asian DevelopmentBank (ADB) and World Wildlife Fund(WWF). The Joint ADB-WWF studywas launched to commemorate WorldEnvironment Day to encourage posi-tive environmental action.

The study, Ecological Footprintand Investment in Natural Capital inAsia and the Pacific, focuses on ways ofpreserving key large-scale regionalecosystems. “Major ecosystems such asthe Coral Triangle and the heart of theBorneo rainforest are vital to the futureof Asia and the Pacific,” said NessimAhmad, ADB’s Director for Environ-ment and Safeguards and added “Weneed large-scale programmatic efforts

based on regional cooperation andlocal level action to make sure they aresustained for future generations.”

By 2008, the per capita natural re-sources in these regional ecosystemshad shrunk by about two-thirds com-pared to 1970.

Despite the rich natural capital inthe region, the report says that biodi-versity is in decline in all types of

ecosystems, with the rate of speciesloss about twice the global average.

The report uses the Living PlanetIndex to measure changes in the healthof ecosystems across the Asia and thePacific, saying the global index fell byaround 30% over the past fourdecades, while the Indo-Pacific regionsaw a 64% decline in key populationsof species during the same period.

Across the region, the gap betweenthe ecological footprint - or human de-mand for natural resources and the en-vironment’s ability to replenish thoseresources is widening.

“The challenge for countries inAsia and the Pacific is to manage theirnatural capital sustainability, so thatthey maintain ecosystem services inthe interests of long-term economicdevelopment,” said WWF’s DirectorGeneral Jim Leape.

“We need to create mechanismsthat make protecting our resources theright economic choice for the commu-nities that use and depend on them,”Leape added.

The report estimated that everydollar spent on conservation effortswould yield an economic and socialvalue of ecosystems worth over $100.

ADB places environmentally sus-tainable growth at the core of its workto help reduce poverty in the regionand the bank approved a record 59projects supporting environmentalsustainability in 2011, which amountedto about $7 billion in financing.

ISLAMABAD

ONLINE

Perceiving global economic crisis of2008 and recent debt crisis of Eu-rozone, the economic leaders ofSouth Asia and China on Tuesdayvowed for stronger economic coali-tion for booming Asia by encourag-ing and promoting “Look East”Policy. This was decided in the 7thChina-South Asia Business Forum(CSABF) commenced in the Kun-ming, China.

The forum was jointly inaugu-rated by Commerce MinisterMakhdum Amin Fahim and Mr.Wang Jinzhen, Vice Chairman ofChina Council for the Promotion ofInternational Trade.

Addressing on the occasion,Tariq Sayeed, former President ofSAARC Chamber of Commerce and

Industry that Asia had its own eco-nomic strength which can begauged from the fact that China,Japan, India, South East Asian andSouth Asian countries forms 50 percent of the global economy, handle60 per cent of the world trade andprovide more than 70 per cent ofthe global population.

“The existence of threeeconomies (China, Japan andIndia) amongst top 5 of the worldprovides enough domains for intra-Asia economic cooperation to miti-gate the impact of globalimbalances and the WesternWorld,” said Mr. Sayeed.

VP SAARC Chamber of Com-merce said that instead of entirelydepending upon on EU andNAFTA, focus should be diverted tointra-Asia cooperation.

he suggested to encourage and

promote greater market access be-tween China and South Asian coun-tries, exchange of FDI, relocation oftechnology, interchange of labourand capital intensive industry, de-velop human resource, innovativeand high-tech industrialization,harmonization of standards, creat-ing business enabling environmentand to reinforce each other’seconomies by taking futuristicmeasures.

Minister of Industry and Com-merce of Sri Lanka Rishard Bathi-udeen, Deputy Minister ofCommerce and Industries ofAfghanistan Topgyal Dorji, Presi-dent of Bhutan Chamber of Com-merce and Industry KalpanaShrestha, Under-Secretary of Min-istry of Commerce and Supplies ofNepal also addressed the inauguralsession.

Asian leaders promise to get their act straightg Vow strong economic alignment for prosperity

Asia Pacific in need of a massive influxg Big investment needed in Asia-Pacific’s dwindling natural resources: study

FPCCI yet to issuebudget response

ISLAMABAD

APP

The Federation of Pakistan Chamber ofCommerce and Industry (FPCCI) on Tues-day said that it is yet to react on federalbudget presented on June 1 in the NationalAssembly. FPCCI’s Working Group on theFederal Budget 2012-13 is presently exam-ining the budget proposals and the Fi-nance Bill, a spokesman of the chambersaid. Official stand of the FPCCI will be is-sued once the Working Group completesthe process of scrutiny, he added.The spokesman further clarified that dif-ferent statements of FPCCI officials afterannouncement of the budget were theirpersonal opinions and not the officialstance of the Apex chamber.FPCCI would seek clarification from theMinistry of Finance on any anomalieswhich are not clear in the budget docu-ments before releasing reaction.The spokesman clarified that a section ofthe press has mentioned VP, Shakil AhmedDhingra as the acting president which isincorrect. he said President, FPCCI haji Fazal KadirKhan Sherani is currently out of country,he has appointed Sheikh Abdul WaheedSandal as the acting president of FPCCI.

There’s a silver lining; it’sacross the eastern borderg India heading towards worst

economic crisis: expertsISLAMABAD

APP

The sharp drop in Indian rupee against dollar hastriggered concern among the experts who say itscontinued fall could pose some major challengesto the Indian economy in near future.Experts say the fall in the rupee has bloated thesize of oil import bill for India forcing the govern-ment to hike the petrol prices by a steep Rs 7.54per litre on May 23; the prices were reduced by Rs2 after some days, KMS reported.Curiously, the hike created ripples across thecountry and evoked wide condemnation. Expertssaid there could be many more price hikes ofpetrol in the immediate future. “Even the govern-ment could go for decontrol of diesel, LPG andkerosene,” they said. “Increase in the prices ofpetrol is due to the appreciation of dollar againstrupee,” Professor Nisar Ali, economist said. “Wehave to pay for crude oil in dollars and increase invalue of dollars automatically makes the oildearer,” Professor Ali said. Professor Ali likenedthe increase in oil import bill with `imported infla-tion.’ Shakeel Qalander, industrialist blamed theIndian government for the hike in petrol pricesand depreciating rupee. “This is the result of thebad policies” of New Delhi, he said, adding thatsuch an economic scenario has “shaken the confi-dence of investors in the country.”Experts said that the reason behind low invest-ment could only be attributed to the volatile eco-nomic environment that doesn’t inspireconfidence in global and domestic investors to puttheir money in the Indian market.

SECP facilitates shareholdersISLAMABAD

ONLINE

To facilitate the shareholders of the companiesand to encourage payment of dividend through di-rect credit in the shareholders’ bank accounts, theSECP has introduced certain amendments to theexisting Form of the “Transfer Deed”.It has been observed that shareholders of compa-nies are facing various problems with respect toreceipt of cash dividend through dividend war-rants. These problems include misplacement ofdividend warrants, delay in encashment of divi-dend warrants, fraudulent encashment of divi-dend warrants, delays/loss of dividend warrants inpostal service etc.Further, the unclaimed dividend has also been pil-ing up on the books of listed companies. A studyconducted on 10 blue chip companies shows thatan amount of more than Rs4 billion stood as un-claimed dividend in their books for the year 2011.The above referred amendments in the transferdeed and issuance of directives by the SECP re-garding payment of dividend through promptcredit in the shareholders’ bank accounts will notonly bring efficiency and hassle-free environment,but will also eliminate malpractices such as fraud-ulent encashment of dividend warrants,delays/loss of dividend warrants in postal serviceand minimizes the issuance of duplicate dividendwarrants. This will also improve the unclaimeddividend position in the books of companies.The SECP has thus provided a mechanismwhereby all prospective shareholders by filling inthe dividend mandate portion of the transfer willget their dividend direct in to their bank account.

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news

Wednesday, 6 June, 2012

03

Mobilink congratulates Green Shirts onequalising T-20 series of Jazz Cup 2012LAHORE: Mobilink Jazz extends congratulationsto the Pakistan cricket team on their exciting win inthe second T20 of the Jazz Cup 2012.With this win, Pakistan draws the T20 series of theJazz Cup, with an impressive exhibition of team-work. Fast bowler Muhammad Sami played a vitalrole in this victory with 3 wickets, although thestar of the show was Shahid Afridi with his invin-cible 52 and two crucial wickets that turned thematch in Pakistan’s favor. Moied Javeed, Mo-bilink’s Director Marketing (Jazz), highlighted, “Team Green has truly made the entire countryproud with their passion and commitment to theirsport during the T20 leg of the Jazz Cup 2012. Iwould like to extend heartiest congratulations toTeam Green on behalf of Mobilink and the entirePakistani nation for their commendable perform-ance and wish them the best for the upcoming ODIand Test series.” Mobilink has a long standingcommitment to the game of cricket in Pakistanand is also the official cellular service partner forthe Pakistan Cricket Board.

New television commercial set for global launchLAHORE: Etihad Airways will premier a brandnew television commercial and supporting digitalmedia campaign to a global audience. Titled ‘Why’,the commercial and campaign focuses on whymore than 40 million people have chosen to flywith Etihad Airways rather than industry competi-tors.Peter Baumgartner, Etihad Airways’ Chief Com-mercial Officer, said: “The Etihad Airways successstory is a phenomenal one that will probably neverbe repeated. The airline has evolved from an initialvision, to a fledgling start-up, to the award-win-ning airline that we are today. “The marketingcampaign shares some of the secrets of our successwith a worldwide audience and shows how, in lessthan nine years of operations, we have carriedmore than 40 million passengers and become syn-onymous with providing customers with the high-est levels of hospitality and service. Ourhome-base of Abu Dhabi has also experiencedtremendous development during this period andwe were thrilled to conduct the filming for thecommercial at beach locations on the stunningSaadiyat Island.The tail fin message, and interest driven by thecommercial, invites viewers to visit the speciallydeveloped microsite and other digital platforms inorder to find out more.

PESHAWAR: Bilal Mustafa Managing Director The Bank Of Khy-

ber (BoK) second from left presenting souvenir to honourable

Chief Justice Peshawar High Court Justice Dost Muhammad

Khan on formal inauguration of BoK Peshawar High Court

Branch. Bok Executive Director Mir Javed Hashmat is also pres-

ent on the occasion.

Maldives Airport Company adapts Oracle ERP Solution by InboxKARACHI: Inbox Business Technologies proudlyannounced the successful completion of Oracle En-terprise Resource Planning (ERP) Application projectat Maldives Airport Company Limited (MACL).MACL faced major challenges in keeping up with therapidly changing economic environment while work-ing to build an efficient and productive businessmodel. The Oracle E-Business Suite answered manychallenges that MACL was facing. The seamless flowof information across the organization provided bet-ter visibility of critical financial, human resource andsupply chain details in real time to support key deci-sion making. The end-to-end business solution aimedat leveraging automation had an immediate effect asMACL was now able to reduce additional overheadssuch as the manpower cost in the reconciliation andauditing process. With prompt availability of key in-formation and an eye across the diverse portfolio ofMACL, the solution also enhanced management’sproductivity and efficiency, allowing them to keep upwith the competitive market’s growing needs andmeet customer expectations to the fullest.

ChenOne CEP expresses his views on the federal budgetISLAMABAD: Pakistan’s industrial growth and so-lution to economic problems depends on policieswhich foster strong economic development for thecountry. The eminent industrialist and the CEO ofChenOne, a leading lifestyle brand, Mr. Mian Muham-mad Kashif Ashfaq expressed his views on the FederalBudget for 2012-13. he said that the current Govern-

ment had the opportunity to encourage industrialgrowth, economic stability and increase exports by for-mulating clear policies and thereby reducing unem-ployment and uncertainty which they failed to avail.Instead they presented a budget is a bundle of hollowpromises and does not offer anything tangible solutionto the problems faced by the masses. Mr. MianMuhammad Kashif Ashfaq further said that eradicat-ing loadshedding, improvement in the law and ordersituation, lowering of interest rates by banks and at-tracting foreign investment by offering attractive in-centives are the only way to improve the conditions inthe country. he said that the Government should con-sult the leading textile exporters and formulate a com-prehensive strategy to foster its growth which will leadto an inflow of foreign exchange into the nationaleconomy. The ChenOne CEO added that this an unbe-lievable budget and the Government should make sin-cere efforts to improve Pakistan’s economy.

NBP commences ‘Foree Cash & Foree Transfer’KARACHI: National Bank of Pakistan has com-menced Foree Cash and Foree Transfer home remit-tance services with Ria Financial services, a whollyowned subsidiary of Euro net World-wide, Inc. Ria Fi-nancial Services was founded in 1987 and today is rec-ognized as the third largest money transfer companyin the world, with a global agent network of 155,000locations in over 136 countries on 6 continents. Thisnew partnership between Ria Financial Services andNBP shall facilitate Pakistanis expatriates from all overthe world in sending money to their families andfriends in Pakistan by simply visiting any Ria FinancialServices agent location world-wide. The amount remit-ted from abroad can be collected from any of the NBPnationwide 1277 branches across Pakistan. In order toreceive cash remittance, it can be instantly be collectedvia NBP ForeeCash, even without having a bank ac-count. NBP Foree Transfer offers credit to the individ-ual accounts in over 1200 online branches. Establishedby NBP, the Global home Remittances Group, is a ded-icated center to serve expatriate remittances flowinginto Pakistan. Khalid Bin Shaheen, SEVP/Group Chief,Global home Remittances, is a seasoned banker withover thirty years’ experience. he has adopted cuttingedge technology to enhance service delivery and has in-troduced many value added services to remittance cus-tomers such as, SMS confirmation and dedicatedcustomer facilitation centers for home remittance.

Coca-Cola, WWF organise insightfulfield trip on World Environment DayKARACHI: Coca-Cola Pakistan in associationwith the WWF, organized a field trip on World En-

vironment Day to Nathiagali, where a comprehen-sive project for watershed management is now in itsfourth year of implementation. This project, withfar-reaching and sustainable environmental bene-fits is wholly financed by The Coca-Cola Founda-tion, with WWF Pakistan as the implementationpartner. The field trip was for 23 Bachelors andMasters level students of environmental sciences,from leading institutions of Islamabad, includinguniversities of National University of Sciences andTechnology, Quaid-E-Azam University, Islamic In-ternational University and the Pakistan Institute ofDevelopment Economics. A number of journalistsreporting on the environment were also part of thegroup. The participants were first given presenta-tions by Coca-Cola and WWF representatives andthen taken on a visit to Namli Mera, one of the proj-ect sites. here they were shown first-hand the vari-ous aspects of the project, which include renovationand strengthening of natural water courses, saplingsnursery and tree plantation, fruit orchard andflower cultivation by local communities for liveli-hood creation, environmental awareness creationfor locals and tourists to the area, solar water-heat-ing to reduce dependence on forest wood resourcesand rainwater harvesting. Speaking on the occasion,Fahad Qadir, Coca-Cola Pakistan’s Director PublicAffairs and Communications said: “The environ-ment is a key focus area for Coca-Cola globally aspart of its CSR strategy, which goes well beyondmere one-off philanthropic donations, to supportinglong-term projects that bring about sustainable ben-efits. This project in partnership with WWF is an ex-cellent example of our approach, as the project isalready in its 4 th year of implementation andmeasurable benefits are accruing, especially for thelocal communities who are now proudly taking own-ership of the project.”

KARACHI: Mr Naeem Yayha Mir, MD & CEO, Pakistan State

Oil (2nd from left) and Mr Ahmed Ali, Secretary- Forest &

Wildlife Department, Government of Balochistan (3rd

from left) are signing an MoU for the establishment of a

5,000 acre bio-diesel plantation located at Uthal,

Balochistan, which will serve as a pilot project for com-

mercial investors nationwide.

CORPORATE CORNER

Major Gainers

Company Open High Low Close Change Turnover

Nestle Pakistan Ltd. 3849.94 4039.99 3700.00 4000.15 150.21 7,846UniLever PakXD 7199.81 7280.00 7100.00 7260.00 60.19 31Bata (Pak) Limited 635.01 650.00 635.01 646.63 11.62 505Shield Corpor 111.89 117.48 117.48 117.48 5.59 505Attock PetroleumXD 442.36 448.00 443.60 447.81 5.45 2,485

Major Losers

National Refinery 241.34 242.49 229.28 229.34 -12.00 279,694Mithchells Fruit 322.31 318.75 310.50 310.57 -11.74 1,355MCB Bank XD 167.23 169.10 162.01 162.70 -4.53 571,468P.S.O. XD 249.00 250.50 244.01 244.79 -4.21 223,947Atlas Battery Ltd. 209.65 210.25 203.25 205.51 -4.14 9,145

Volume Leaders

D.G.K.Cement 41.87 42.15 41.22 41.31 -0.56 5,187,632Fatima Fertilizer Co 24.93 25.25 24.40 24.55 -0.38 4,561,133Jah.Sidd. Co. 14.91 15.10 14.54 14.64 -0.27 3,734,019Hub Power Company 39.81 39.95 39.42 39.70 -0.11 2,884,245Engro Foods Ltd. 66.55 67.75 65.85 67.18 0.63 2,297,583

Interbank RatesUS Dollar 94.0191UK Pound 144.2253Japanese Yen 1.2018Euro 116.8940

Dollar EastBuy Sell

US Dollar 93.90 94.50Euro 116.01 117.17Great Britain Pound 143.36 144.75Japanese Yen 1.1889 1.2003Canadian Dollar 89.45 90.82Hong Kong Dollar 11.93 12.11UAE Dirham 25.47 25.69Saudi Riyal 24.96 25.16

Australian Dollar 90.51 92.85

KARACHI

STAFF REPORT

UNCERTAIN global stocks and com-modities, concerns over the fall inrupee-dollar parity amid macro-economic instability and uncer-tainty over Pak-US relations on

NATO supply issue all converged to play the cata-lyst’s role in bearish sentiments. The plunge camedespite support in cement and power sector onpre-budget speculations. These views were sharedby Ahsan Mehanti, Director at Arif habib Invest-ments Limited.

The Karachi Stock Exchange (KSE) 100-shareindex nosedived 49.69 points or 0.36 percent toclose at 13,708.23 points as compared to 13,757.92points of the previous session. The KSE 30-shareindex shed 90.96 points to close at 11,835.05 pointsas compared to the pervious day’s 11,926.01 points.

The market turnover was down to 67.622 millionshares after opening at 95.714 million shares. Theoverall market capitalisation declined 0.05 percentand traded Rs 3.509 trillion as against Rs 3.522 tril-lion. Losers outnumbered gainers 99 to 167, while 96stocks were unchanged.

Mehanti added “Limited foreign interest, fall inglobal stocks and commodities pending Euro zone

debt crises, outstanding circular debt issues in Pak-istan energy sector and uncertainty over federalbudget announcements for banking sector played thecatalyst’s role in bearish sentiments amid consolida-tion in stocks across the board at KSE.”

The KMI 30-share took a 168.35-point plunge toclose at 23,740.82 points from its opening at23,909.17 points. The KSE all-share index closedwith a loss of 36.03 points to 9,663.33 points asagainst 9,699.36 points.

DGK Cement was the volume leader in theshare market with 5.187 million shares as it closedat Rs 41.31 after opening at Rs 41.87. Fatima Fer-tiliser Company traded 4.561 million shares as itclosed at Rs 24.55 after opening Rs 24.93. Ja-hangir Siddiqui Company traded 3.734 millionshares as it closed at Rs 14.64 from its opening atRs 14.91. hub Power Company traded 2.884 mil-lion shares and closed at Rs 39.70 as against itsopening at Rs 39.81. Engro Foods Limited traded2.297 million shares as it closed at Rs 67.18 ascompared to its opening at Rs 66.55.

On the future market, the turnover decreased to5.503 million against 11.392 million shares of Mon-day. Nestle Pakistan Limited and Unilever Pakistan,up Rs 150.21 and Rs 60.19, led highest price gainerswhile, National Refinery and Mithchells Fruit downRs 12.00 and Rs 11.74 respectively, led the losers.

The whole world conspiresto knock down KSE

THE RETURN OF THE INTIMATE BEARSUBL acquires 67pc sharesof Khushhali Bank

KARACHI

STAFF REPORT

The United Bank Limited (UBL) hasacquired 67.4 percent shareholdingof the Khushhali Bank Limited(KBL), it emerged on Tuesday. Thedeal was made by UBL through ink-ing a Share Purchase Agreement(SPA) with almost a dozen local andforeign banks on Monday, June 4.The sellers of the KBL’s shares in-cluded the National Bank of Pak-istan, MCB Bank, Allied Bank,Standard Chartered Bank (Pakistan),Askari Bank, Citibank N.A, habibMetropolitan Bank, Faysal Bank,KASB Bank, Silk Bank and the Sum-mit Bank.The acquisition increases the share-holding of the UBL in the KBL cu-mulatively to 29.69 percent.The UBL, which is part of a consor-tium comprising ShoreCap II Lim-ited, Rural Impulse Fund II S.ASICAV-FIS, responsAbility GlobalMicrofinance Fund and ASN NOVIBMicrokredietfonds, already holds11.74 percent of the issued and paidup capital of the KBL.The total cumulative shareholding ofthe consortium now stands at 79.2percent of the paid up capital of theKhushhali Bank. “We have enteredinto and executed a Share PurchaseAgreement on June 4,” the bank in-formed its shareholders at the coun-try’s three stock exchanges inKarachi, Lahore and Islamabad onTuesday. The buying has been madeat a purchase price/share of Rs20.44 approximately, the bank said.

g Uncertainty over global stocks, rupee-dollar parity, macroeconomicinstability among the topmost conspiracies

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