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.

According to the specifics, the federal government plans to phase out existing tax breaks for the erstwhile Federally Administered Tribal Areas (FATA)/Provincially Administered Tribal Areas (PATA) region 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.

The Pakistani rupee rose 0.04% versus the US dollar during early trading hours on Tuesday in the interbank market.

At 10 a.m., the rupee stood at 278.12 against the US dollar, up Re0.12 from the previous day’s finish of 278.24, which had seen a small decrease of Re0.03.

In a momentous development, Saudi Crown Prince Mohammed bin Salman is scheduled to visit Pakistan next week for important talks with Pakistani leaders.

These talks are scheduled to feature the signing of multiple Memoranda of Understanding (MoUs) targeted at increasing Saudi investment in industries such as agriculture, mining, human resources, energy, chemicals, and shipping.

On the global front, the US dollar rose against the yen on Tuesday, as huge interest rate differentials weighed on the Japanese currency.

The US dollar climbed 0.22% to 154.235 yen in early Asian trading, adding to its 0.58% rise the day before. On Friday, the yen fell to its lowest level since April 10, weighed down by softer-than-expected monthly US jobs data and signals of likely Bank of Japan action.

Meanwhile, oil prices rose slightly after Israeli strikes on Rafah in Gaza, amid continued talks with Hamas over a truce. Brent crude prices increased 0.28% to $83.56 per barrel at 0400 GMT, while US West Texas Intermediate (WTI) crude futures rose 0.31% to $78.72 a barrel.

This increase comes after a reversal of last week’s slump, during which both contracts suffered their worst weekly losses in three months, fueled by fears about disappointing US job statistics and speculation about the timing of a Federal Reserve rate decrease.