Business

In a first, interim govt to release Rs29bn in development funds

Published

10 months ago

Farwa

24-member steering committee to monitor release of funds.
Committee includes senators from PML-N, PPP, PTI, JUI-F.
It can also cancel or stop release of funds for any scheme.

ISLAMABAD: The incumbent caretaker government, led by Prime Minister Anwaar-ul-Haq Kakar, is set to release Rs29 billion in development funds for the first time in the country’s history, The News reported Wednesday.

The federal cabinet has also constituted a 24-member steering committee — headed by caretaker Minister for Communication Shahid Ashraf Tarar — to monitor and supervise the release of funds, said official sources.

The committee, which includes four caretaker ministers also comprises senators belonging to Pakistan Muslim League Nawaz (PML-N), Pakistan Tehreek-e-Insaf (PTI), Jamiat Ulema-e-Islam-Fazl (JUI-F), Pakistan Peoples Party (PPP), Awami National Party (ANP), National Party (NP), Pakhtunkhwa Milli Awami Party (PkMAP) and senior officials of ministries and divisions concerned.

The previous Shehbaz Sharif-led government reserved Rs90 billion for development funds for the fiscal year 2023-2024, out of which Rs61 billion was released in four months.

The sources said the PPP and other parties have raised the issue of failure to release the remaining development funds.

Headed by the caretaker minister for communication, the steering committee also includes federal ministers Sarfraz Bugti, Dr Nadeem Jan, Madad Ali Sindhi; senators Danesh Kumar (BAP), Palwasha Khan (PPP), Irfan Siddiqui (PML-N), Mohsin Aziz (PTI), Kamran Murtaza (JUI-F), Syed Faisal Sabswari (MQM-P), Tahir Bazinjo (NP), Arbab Umar Farooq (ANP), Sardar Muhammad Shafiq Tareen (PkMAP) and federal secretaries for finance, planning and development, petroleum, power, housing and development.

The steering committee also comprises the Punjab Planning and Development Board chairman and Balochistan, Khyber Pakhtunkhwa and Sindh development additional secretaries. It will also have the power to cancel or stop the release of development funds for any scheme.

Caretaker Minister for Information and Broadcasting Murtaza Solangi, when approached to comment on the formation of the steering committee, said it was not in his knowledge.

“I have no knowledge of that,” he said in a one-liner.

Business

PKR soars against USD as remittances soar

Published

6 mins ago

Farwa

The interbank currency rate for the US dollar is currently Rs278.60.

In August 2024, remittances from workers in Pakistan increased significantly, totaling $2.9 billion. This represents a 40.5% increase over the same month the previous year, underscoring the vital role that Pakistanis living abroad play in bolstering the national economy.

The total amount of remittances received during the first two months of the fiscal year 2025 (FY25) was $5.9 billion, a 44% increase over the $4.1 billion received during the same period in the previous fiscal year (FY24).

In August 2024, Saudi Arabia was the top contributor of remittances, at $713.1 million. Following with $538.4 million, the United States of America (USA) and the United Kingdom (UK) contributed $322.4 million and $474.8 million, respectively. The United Arab Emirates (UAE) came in second.

Business

IMF does not list Pakistan till September 18.

Published

21 hours ago

Farwa

Pakistan’s 37-month Extended Fund Facility Arrangement (EFF) of around $7 billion is not included in the IMF schedule for the executive board meeting, which is scheduled for September 9, 13, and 18. This information is based on the Fund’s website.

A deal on the 37-month loan package was agreed in July between Pakistan and the IMF.

The Fund’s Executive Board must approve the new programme before it can be implemented, but it should allow Pakistan to “cement macroeconomic stability and create conditions for stronger, more inclusive, and resilient growth,” the statement reads.

“The programme aims to capitalise on the hard-won macroeconomic stability achieved over the past year by furthering efforts to strengthen public finances, reduce inflation, rebuild external buffers, and remove economic distortions to spur private sector-led growth,” the IMF statement stated, citing Nathan Porter, the head of the Fund’s mission to Pakistan.

Notably, the administration is allegedly trying to get important allies like China, Saudi Arabia, and the United Arab Emirates (UAE) to roll over $12 billion in loans.

Business

It is anticipated that 150 ships would arrive at Gwadar by the year 2045, allowing the port to handle fifty percent of all imports.

Published

5 days ago

Farwa

In an effort to strengthen the port’s economic importance, the Federal Government has made the decision to direct fifty percent of all imports from the public sector to Gwadar Port.

By taking this action, which has the backing of the Special Investment Facilitation Council, the port’s financial situation is going to be improved.

The Cabinet will be presented with a summary of imports through Gwadar by the Ministry of Maritime Affairs, which will take place after Prime Minister Shehbaz Sharif’s recent trip to China.

When the next Cabinet Meeting takes place, Ahsan Iqbal, the Federal Minister for Planning, Development, and Special Initiatives, will examine the Chinese offer for the Karachi to Hyderabad Section of the ML-1 Project and bring it to the Cabinet.

Company preparations for the Shanghai International Import Expo, which will take place in November 2024, are being made by the Board of Investment and the Ministry of Commerce of Pakistan.

One of the most important aspects of the China-Pakistan Economic Corridor is the Gwadar port, which serves as a significant commerce route connecting China, the Middle East, Africa, and Europe. At this time, the Gwadar Port is able to accommodate two huge ships, and by the year 2045, it is anticipated that it would be able to handle up to 150 ships.

By developing the Gwadar Port, regional connectivity would be improved, employment will be created, and international investment will be attracted.