International England Beat Windies See on Page 10 $35mn for 30MW plants endorsed See on Page 12 Pak-Uzbek more free trade urged See on Page 12 *Crude Oil (brent)$/bbl 113.60 *Crude Oil (WTI)$/bbl 100.33 *Cotton $/lb 191.20 *Gold $/ozs 1,403.00 *Silver $/ozs 34.60 Malaysian Palm $ 1,094 GOLD (NCEL) PKR 38,260 KHI Cotton 40Kg PKR 13,396 Yearly(Jul, 2010 up to 15-Mar-2011) Monthly(Mar, 2011 up to 15-Mar-2011) Daily (15-Mar-2011) Total Portfolio Invest (5-Mar-2011) 188.81 -7.13 -1.47 2851 -1.21 2.44 1.13 -4.05 0.27 0.88 0.54 SCRA(U.S $ in million) Portfolio Investment FIPI (17-Mar-2011) Local Companies (17-Mar-2011) Banks / DFI (17-Mar-2011) Mutual Funds (17-Mar-2011) NBFC (17-Mar-2011) Local Investors (17-Mar-2011) Other Organization (17-Mar-2011) (U.S $ in million) NCCPL GDR update Commodities Forex Reserves (12-Mar-11) Inflation CPI% (Jul 10-Feb 11) Exports (Jul 10-Feb 11) Imports (Jul 10-Feb 11) Trade Balance (Jul 10-Feb 11) Current A/C (Jul 10- Jan 11) Remittances (Jul 10 - Feb 11) Foreign Invest (Jul 10-Feb 11) Revenue (Jul 10 Jan 11) Foreign Debt (Dec 10) Domestic Debt (Dec 10) Repatriated Profit (Jul- Jan 10) LSM Growth (Jan 11) GDP Growth FY10E Per Capita Income FY10 Population $17.61bn 14.33% $15.33bn $25.60bn $(10.27)bn $(81)mn $6.96bn $1.23bn Rs 765bn $58.39bn Rs 5497.4bn $338.2mn 0.83% 4.10% $1,051 175.47mn Economic Indicators Symbols MCB (1 GDR= 2 Shares) OGDC (1 GDR= 10 Shares) UBL (1 GDR= 4 Shares) LUCK (1 GDR= 4 Shares) HUBC (1 GDR= 25 Shares) $.Price 2.60 14.52 2.00 1.70 11.00 PKR/Shares 111.00 123.97 42.69 36.29 37.57 T-Bills (3 Mths) T-Bills (6 Mths) T-Bills (12 Mths) Discount Rate Kibor (1 Mth) Kibor (3 Mths) Kibor (6 Mths) Kibor ( 9 Mths) Kibor (1Yr) P.I.B ( 3 Yrs) P.I.B (5 Yrs) P.I.B (10 Yrs) P.I.B (15 Yrs) P.I.B (20 Yrs) P.I.B (30 Yrs) 09-Mar-2011 09-Mar-2011 09-Mar-2011 29-Nov-2010 17-Mar-2011 17-Mar-2011 17-Mar-2011 17-Mar-2011 17-Mar-2011 17-Mar-2011 17-Mar-2011 17-Mar-2011 17-Mar-2011 17-Mar-2011 17-Mar-2011 13.39% 13.69% 13.86% 14.00% 13.37% 13.53% 13.74% 14.12% 14.25% 13.99% 14.01% 14.00% 14.44% 14.68% 14.88% Money Market Update Symbols Buy (Rs) Sell (Rs) Australian $ 83.40 84.40 Canadian $ 85.55 86.55 Danish Krone 15.90 16.10 Euro 118.40 119.80 Hong Kong $ 10.60 11.10 Japanese Yen 1.080 1.083 Saudi Riyal 22.62 22.82 Singapore $ 66.10 67.10 Swedish Korona 13.30 13.50 Swiss Franc 91.70 92.70 U.A.E Dirham 23.17 23.37 UK Pound 136.50 138.00 US $ 85.30 85.60 Open Mkt Currency Rates Symbols Buying Selling TT Clean TT & OD Australian $ 83.64 83.84 Canadian $ 85.96 86.16 Danish Krone 15.92 15.96 Euro 118.72 119.00 Hong Kong $ 10.93 10.96 Japanese Yen 1.029 1.031 Saudi Riyal 22.74 22.80 Singapore $ 66.54 66.70 Swedish Korona 13.18 13.21 Swiss Franc 94.71 94.94 U.A.E Dirham 23.22 23.28 UK Pound 136.54 136.86 US $ 85.38 85.57 Inter-Bank Currency Rates Subscribe now Tel: 92-21-5311893-6 Fax: 92-21-5388428 Email: editor@ thefinancialdaily.com www.thefinancialdaily.com CITIES MAX-TEMP MIN ISLAMABAD 29°C 14°C KARACHI 39°C 18°C LAHORE 32°C 16°C FAISALABAD 33°C 16°C QUETTA 23°C 7°C RAWALPINDI 29°C 16°C Weather Forecast Index Close Change KSE 100 11,858.27 63.70 Nikkei 225 8,962.67 131.05 Hang Seng 22,284.43 416.45 Sensex 30 18,149.87 208.82 ADX 2,584.89 15.43 SSE COMP. 2,897.30 33.51 FTSE 100 5,699.60 101.37 *Dow Jones 11,762.85 149.55 Global Indices APC to be summoned after President's address See on Page 12 TURKEY: Chairman Joint Chiefs of Staff Committee, General Khalid Shameem Wyne meeting with Abdullah Gul, President of Turkey during his visit: -APP Karachi, Friday, March 18, 2011, Rabi-us-Sani 12, Price Rs12 Pages 12 Ahmed Siddique KARACHI: Pakistan's cur- rent account deficit narrowed by 97 per cent to $98 million during the first eight months of current fiscal year 2010-11 from $3.02 billion in the same period of last year. On top of that, current account showed a provisional surplus of $53 million in February, compared with a deficit of $132 million in January 2011. This was mainly possible due to higher trade and service exports along with significant increase in workers remit- tances during the period. Trade deficit during this period stood at $7.16 billion; lower by 5.3 per cent than $7.56 billion during the same period last year owing to high- er exports due to massive increase in cotton prices. The deficit on account of services improved and stood at $927 million in 8MFY11, versus $1.64 billion deficit recorded during 8MFY10. That's why, deficit on trade of goods & services combined down by 12.2 per cent to $8.09 billion from $9.21 bil- lion during the same period last year. Similarly, deficit on the income side stood at $1.87 bil- lion, down 5.9 per cent from $1.98 billion comparing the same period last year. On the other hand, net cur- rent transfers hiked 20.4 per cent to $9.91 billion against $8.23 billion recorded in 8MFY10 mainly due to increase in workers remit- tances by 20.3 per cent at $6.96 billion during the above mentioned period. 8-mnth C/A gap plugged by 97pc Feb current account turns to surplus Shiraz Ahmed KARACHI: Country's foreign exchange reserves rose to a record $17.61 billion in the week ending on March 12, from $17.37 billion the previ- ous week, the central bank said on Thursday. Reserves held by the State Bank of Pakistan (SPB) rose to $14.19 billion from $13.97 bil- lion in the week ending March 12, and those held by commer- cial banks also rose to $3.42 billion from $3.40 billion, Syed Wasimuddin, chief spokesman of the State Bank of Pakistan said. "A rise in remittances and expo- erts led to record foreign exchange reserves," said Wasimuddin. Foreign exchange reserves touched its previous high of $17.59 billion in the week end- ing on February 19. Remittances by overseas Pakistanis rose by 20 percent to $6.96 billion in the first eight months of the 2010/11 fiscal year, compared to the same period the previous year, according to central bank data. Foreign exchange reserves were boosted in January by more than $633 million when the United States provided mil- itary and logistical support for a campaign against a Taliban insurgency. In May 2010, Pakistan received $1.13 billion in the fifth tranche of an $11 billion International Monetary Fund (IMF) bailout pro- gramme. An IMF mission was in Pakistan last week to con- duct a review of the country's economy. Reserves at new peak of $17.61bn Remittances, Exports help: SBP KARACHI: Pakistan's Engro Corporation plans multiple ini- tial public offerings (IPOs) of group companies to raise around 5 billion rupees ($58.5 million) this year and will con- tinue to expand its domestic operations, a top official said on Thursday. IPOs of its food, fertiliser and power generation compa- nies in 2011 are planned, Asad Umar, President of Engro Corporation, told Reuters in an interview. The group may also seek to be traded on foreign exchanges through a global depositary receipt (GDR) issue, most like- ly by the fertiliser firm, he added. Engro's holdings are in the fertiliser, food, petrochemical and power sector generation sectors, where it has invested $1.7 billion in the past four years. This includes the world's largest single-train urea ammo- nia plant worth $1.1 billion. Engro's net profit was 6.79 billion rupees ($79.5 million) in 2010 (Jan-Dec) and has a market capitalisation of $892 million. Its shares have increased in value by more than 21 per cent this year against a 1.7 per cent fall in the country's main stock exchange. It owes its success to a sim- ple formula, Umar said. "Investments are designed around the core strengths and needs of Pakistan's economy," he said. "Agriculture is our biggest strength, so investments in food are designed to play on that strength, and energy is the single biggest requirement of the country." "There are very real issues See # 6 Page 11 Engro eyes Rs5bn IPOs, plans GDR Co invested $1.7bn in last 4yrs ISLAMABAD: US State Department has decided to close its embassy and its con- sulates across Pakistan for two days citing security concerns emerging after Davis release. Reliable sources said the decision was taken due to secu- rity situation emerging after the rows of protests against release of Raymond Davis, who was arrested after he killed two Pakistanis in Lahore. The embassy would not work on Friday (today) and would now reopen on Monday. When asked for his official version, US Embassy Spokesman Alberto Rodriguez confirmed that the embassy and consulates would remain close for two days. He told Online that the embassy would start its routine functioning from Monday. It is pertinent to mention that Davis was suddenly released Wednesday by a local court. Meanwhile, Saudi Embassy Thursday again made it clear that Saudi Arabia has no role in Davis release while all analysis in this regard is baseless. According to private TV channel, Saudi Arabia ruled out rumors about its role in Raymond Davis release. The Spokesman of the Embassy said it has been stated that Saudi Arabia has no con- cern with the issue while termed the TV analysis, talk shows and news related to it, baseless. On the other hand, Session Judge Yousaf Ojala, who con- ducted hearing of double mur- der trial of Davis, went on See # 5 Page 11 Mass protest as Davis goes free US embassy, consulates closed till Mon Saudi Arabia denies any role in Davis release Parties to protest on Fri; Session Judge on leave ISLAMABAD: Minister of State for Foreign Affairs, Hina Rabbani Khar has expressed appreciation for EU Council's decision to grant enhanced market access to Pakistan, in the wake of 2010 floods in Pakistan. She expressed these views while receiving EU Ambassador and Head of EU Delegation to Pakistan Lars- Gunnar Wigemark, at the Ministry of Foreign Affairs on Thursday. The Minister of State under- lined that Pakistan looked for- ward to working together with the EU to get the GSP plus sta- tus. The Minister of State stressed the need for Pakistan and the EU to continue to work together on all issues to forge a mutually beneficial relation- ship. -Online EU urged to get Pak GSP status Telecom taxes reach 36 per cent Tanzeel ur Rehman KARACHI: Soon after the imposition of Presidential Ordinance regarding raising withholding tax by 1.5 per cent, cellular companies have raised the WTH on all prepaid cards and postpaid bills. According to the new enhancement, based on Ordinance, all prepaid cards and postpaid bills will now be charged 11.5 per cent as with- holding tax. After the increment, total taxes on telecom services have reached to 31 per cent, which can be break-up as 11.5 per cent withholding tax, 19.5 per cent federal excide duty. Adding to the masses woes, all cellular companies are also charging 5 per cent of the cred- it as services charges. After these charges telcos are charg- ing 36 per cent. To put all this in simple words, it means at every recharge of Rs100 card, the customer would only get Rs64. Three IPPs allowed to raise tariff ISLAMABAD: National Electric Power Regulatory Authority (NEPRA) has allowed three power produc- tion companies to enhance the power tariff due to increase in the price of furnace oil. The rise in tariff would be implemented from 15 March. Nepra had received the requests from three generation companies including Northern Power, Jamshoro Power and Central Power Generation Company. On Thursday Nepra conduct- ed public hearing on these applications and after which all the three companies have been allowed to increase the tariff from 62 paisa to Rs 2 per unit. The Nepra has allowed Gulf Rental Power Plant which functions under Northern Generation Power to raise the tariff by 62 paisa per unit. Similarly units No 1 & 3 of Northern Power Plant have been allowed to increase the rate by Rs1.13 per unit, where- as unit No 4 of the same plant could increase Rs1.12 per unit. Likewise units No 5 & 6 have been permitted to increase the price of electricity by Rs1.28 per unit. Units No 3 & 4 of Central Power Generation Company is allowed to increase its tariff by Rs2 per unit. Similarly unit No 1 of Jamshoro Power Company will raise its rates by Rs1.14 per unit whereas units No 2, 3 and 4 can mount their rates by Rs1.32 per unit. -Online Shoaib Akhtar to quit after World Cup COLOMBO: Pakistan pace bowler Shoaib Akhtar will retire from international cricket after the World Cup. "Yes, he's retiring after this World Cup. He will speak to the press shortly," team manag- er Intikhab Alam told Reuters on Thursday. Media reports said that he told his team mates on Thursday before training in Colombo ahead of Pakistan's final Group A round robin match with Australia on Saturday which could well decide who tops the group. It is understood by observers here that fitness concerns were the reason for his exit. He was to hold a news conference later on Thursday. -Reuters See detail on Page 10 Worldcall Telecom gets $35mn loan facility Raheel Amer KARACHI: The Worldcall Telecom Ltd (WTL) has received a syndicated $35 mil- lion loan facility to improve financial health. According to information reaching KSE here Thursday, Askari Bank Ltd has provided this facility against the guaran- tee of Oman Telecommunication Company, the parent company of Worldcall Telecom for a period of seven years with a grace period of two years. Special Correspondent/ Agencies RAWALPINDI/MIRANSHA: Chief of Army Staff General Ashfaq Parvez Kayani strongly condemned the Predator strike carried out Thursday in North Waziristan Agency resulting in loss of 40 lives. Chief of Pakistan Army said it is highly regrettable that a Jirga of peaceful citizens including elders of the area was carelessly and callously targeted with complete disre- gard to human life, said an ISPR press release issued here. He said "in complete viola- tion of human rights, such acts of violence take us away from our objective of elimination of terrorism. It is imperative to understand that this critical objective cannot be sacrificed for temporary tactical gains. Security of people of Pakistan, in any case, stands above all." He said "Pakistan Army con- doles with the families whose dear and near ones have been martyred in this senseless attack." He said "Pakistan Army shares the grief of people of Waziristan. Troops on ground have been ordered to render all possible assistance to bereaved families." "Pakistan Army wishes to assure brave people of Waziristan that we shall do our best and utmost to protect their lives, honor and dignity at all costs. Pakistan Army is fight- ing the terrorists and not its brethren in tribal areas" he said. Kayani said "Pakistan Army has already launched a protest in the strongest possible terms. It has been highlighted clearly that such aggression against people of Pakistan is unjusti- fied and intolerable under any circumstances." Earlier on Thursday, a US drone missile strike killed at least 41 people in the tribal region. An official said the drone attacked a vehicle in the area that was passing by a house where local tribesmen were holding a meeting, killing them. "It wasn't a militant gather- ing, but a meeting of tribal eld- ers from Ismail Khan Village to sort out some differences over a business deal," tribesman Zia-ur-Rehman said. "One of Bahadur's com- manders, Sharabat Khan, was also present at the meeting as he is also a local elder, but they were discussing business." Governor Khyber- Pakhtunkhwa Khwaja Barrister Masood Kausar while condemning the drone strike said that those who were killed in this attack were not militants but tribal elders who were gathered to sort out some domestic differences. See # 7 Page 11 Civilian deaths enrage Kayani Drone strike kills 40 tribal elders in Datta Khel Army chief terms strike as careless & senseless
This document is posted to help you gain knowledge. Please leave a comment to let me know what you think about it! Share it to your friends and learn new things together.
KARACHI: Pakistan's cur-rent account deficit narrowedby 97 per cent to $98 millionduring the first eight monthsof current fiscal year 2010-11from $3.02 billion in the sameperiod of last year.
On top of that, currentaccount showed a provisionalsurplus of $53 million inFebruary, compared with adeficit of $132 million inJanuary 2011.
This was mainly possibledue to higher trade and serviceexports along with significantincrease in workers remit-tances during the period.
Trade deficit during thisperiod stood at $7.16 billion;lower by 5.3 per cent than$7.56 billion during the sameperiod last year owing to high-er exports due to massive
increase in cotton prices.The deficit on account of
services improved and stoodat $927 million in 8MFY11,versus $1.64 billion deficitrecorded during 8MFY10.
That's why, deficit on tradeof goods & services combineddown by 12.2 per cent to$8.09 billion from $9.21 bil-lion during the same periodlast year.
Similarly, deficit on theincome side stood at $1.87 bil-lion, down 5.9 per cent from$1.98 billion comparing thesame period last year.
On the other hand, net cur-rent transfers hiked 20.4 percent to $9.91 billion against$8.23 billion recorded in8MFY10 mainly due toincrease in workers remit-tances by 20.3 per cent at$6.96 billion during the abovementioned period.
8-mnth C/A gapplugged by 97pc
Feb current account turns to surplus
Shiraz Ahmed
KARACHI: Country's foreignexchange reserves rose to arecord $17.61 billion in theweek ending on March 12,from $17.37 billion the previ-ous week, the central bank saidon Thursday.
Reserves held by the StateBank of Pakistan (SPB) rose to$14.19 billion from $13.97 bil-lion in the week ending March12, and those held by commer-cial banks also rose to $3.42billion from $3.40 billion,Syed Wasimuddin, chiefspokesman of the State Bankof Pakistan said.
"A rise in remittances and expo-erts led to record foreign exchangereserves," said Wasimuddin.
Foreign exchange reservestouched its previous high of
$17.59 billion in the week end-ing on February 19.
Remittances by overseasPakistanis rose by 20 percentto $6.96 billion in the firsteight months of the 2010/11fiscal year, compared to thesame period the previous year,according to central bank data.
Foreign exchange reserveswere boosted in January bymore than $633 million whenthe United States provided mil-itary and logistical support fora campaign against a Talibaninsurgency. In May 2010,Pakistan received $1.13 billionin the fifth tranche of an $11billion International MonetaryFund (IMF) bailout pro-gramme. An IMF mission wasin Pakistan last week to con-duct a review of the country'seconomy.
Reserves at newpeak of $17.61bn
Remittances, Exports help: SBP
KARACHI: Pakistan's EngroCorporation plans multiple ini-tial public offerings (IPOs) ofgroup companies to raisearound 5 billion rupees ($58.5million) this year and will con-tinue to expand its domesticoperations, a top official saidon Thursday.
IPOs of its food, fertiliserand power generation compa-nies in 2011 are planned, AsadUmar, President of EngroCorporation, told Reuters in aninterview.
The group may also seek tobe traded on foreign exchangesthrough a global depositaryreceipt (GDR) issue, most like-ly by the fertiliser firm, headded.
Engro's holdings are in thefertiliser, food, petrochemicaland power sector generationsectors, where it has invested$1.7 billion in the past four
years. This includes the world'slargest single-train urea ammo-nia plant worth $1.1 billion.
Engro's net profit was 6.79billion rupees ($79.5 million)in 2010 (Jan-Dec) and has amarket capitalisation of $892million. Its shares haveincreased in value by morethan 21 per cent this yearagainst a 1.7 per cent fall in thecountry's main stock exchange.
It owes its success to a sim-ple formula, Umar said.
"Investments are designedaround the core strengths andneeds of Pakistan's economy,"he said.
"Agriculture is our biggeststrength, so investments infood are designed to play onthat strength, and energy is thesingle biggest requirement ofthe country."
"There are very real issues See # 6 Page 11
Engro eyes Rs5bnIPOs, plans GDR
Co invested $1.7bn in last 4yrs
ISLAMABAD: US StateDepartment has decided toclose its embassy and its con-sulates across Pakistan for twodays citing security concernsemerging after Davis release.
Reliable sources said thedecision was taken due to secu-rity situation emerging afterthe rows of protests againstrelease of Raymond Davis,who was arrested after hekilled two Pakistanis inLahore.
The embassy would not workon Friday (today) and wouldnow reopen on Monday.
When asked for his officialversion, US EmbassySpokesman Alberto Rodriguezconfirmed that the embassyand consulates would remainclose for two days.
He told Online that theembassy would start its routine
functioning from Monday.It is pertinent to mention that
Davis was suddenly releasedWednesday by a local court.
Meanwhile, Saudi EmbassyThursday again made it clearthat Saudi Arabia has no role inDavis release while all analysisin this regard is baseless.
According to private TVchannel, Saudi Arabia ruledout rumors about its role inRaymond Davis release.
The Spokesman of theEmbassy said it has been statedthat Saudi Arabia has no con-cern with the issue whiletermed the TV analysis, talkshows and news related to it,baseless.
On the other hand, SessionJudge Yousaf Ojala, who con-ducted hearing of double mur-der trial of Davis, went on
See # 5 Page 11
Mass protest asDavis goes free
US embassy, consulates closed till Mon
Saudi Arabia denies any role in Davis releaseParties to protest on Fri; Session Judge on leave
ISLAMABAD: Minister ofState for Foreign Affairs, HinaRabbani Khar has expressedappreciation for EU Council'sdecision to grant enhancedmarket access to Pakistan, inthe wake of 2010 floods inPakistan.
She expressed these viewswhile receiving EUAmbassador and Head of EUDelegation to Pakistan Lars-Gunnar Wigemark, at the
Ministry of Foreign Affairs onThursday.
The Minister of State under-lined that Pakistan looked for-ward to working together withthe EU to get the GSP plus sta-tus.
The Minister of Statestressed the need for Pakistanand the EU to continue to worktogether on all issues to forge amutually beneficial relation-ship. -Online
EU urged to getPak GSP status
Telecomtaxes reach36 per cent
Tanzeel ur Rehman
KARACHI: Soon after theimposition of PresidentialOrdinance regarding raisingwithholding tax by 1.5 per cent,cellular companies have raisedthe WTH on all prepaid cardsand postpaid bills.
According to the newenhancement, based onOrdinance, all prepaid cardsand postpaid bills will now becharged 11.5 per cent as with-holding tax.
After the increment, totaltaxes on telecom services havereached to 31 per cent, whichcan be break-up as 11.5 percent withholding tax, 19.5 percent federal excide duty.
Adding to the masses woes,all cellular companies are alsocharging 5 per cent of the cred-it as services charges. Afterthese charges telcos are charg-ing 36 per cent.
To put all this in simplewords, it means at everyrecharge of Rs100 card, thecustomer would only get Rs64.
Three IPPsallowed toraise tariff
ISLAMABAD: NationalElectric Power RegulatoryAuthority (NEPRA) hasallowed three power produc-tion companies to enhance thepower tariff due to increase inthe price of furnace oil. The risein tariff would be implementedfrom 15 March.
Nepra had received therequests from three generationcompanies including NorthernPower, Jamshoro Power andCentral Power GenerationCompany.
On Thursday Nepra conduct-ed public hearing on theseapplications and after which allthe three companies have beenallowed to increase the tarifffrom 62 paisa to Rs 2 per unit.
The Nepra has allowed GulfRental Power Plant whichfunctions under NorthernGeneration Power to raise thetariff by 62 paisa per unit.
Similarly units No 1 & 3 ofNorthern Power Plant havebeen allowed to increase therate by Rs1.13 per unit, where-as unit No 4 of the same plantcould increase Rs1.12 per unit.
Likewise units No 5 & 6 havebeen permitted to increase theprice of electricity by Rs1.28per unit.
Units No 3 & 4 of CentralPower Generation Company isallowed to increase its tariff byRs2 per unit. Similarly unit No1 of Jamshoro Power Companywill raise its rates by Rs1.14per unit whereas units No 2, 3and 4 can mount their rates byRs1.32 per unit. -Online
ShoaibAkhtar toquit after
World CupCOLOMBO: Pakistan pacebowler Shoaib Akhtar willretire from international cricketafter the World Cup.
"Yes, he's retiring after this
World Cup. He will speak tothe press shortly," team manag-er Intikhab Alam told Reuterson Thursday.
Media reports said that hetold his team mates onThursday before training inColombo ahead of Pakistan'sfinal Group A round robinmatch with Australia onSaturday which could welldecide who tops the group.
It is understood by observershere that fitness concerns werethe reason for his exit. He wasto hold a news conference lateron Thursday. -Reuters
See detail on Page 10
WorldcallTelecom
gets $35mnloan facility
Raheel Amer
KARACHI: The WorldcallTelecom Ltd (WTL) hasreceived a syndicated $35 mil-lion loan facility to improvefinancial health.
According to informationreaching KSE here Thursday,Askari Bank Ltd has providedthis facility against the guaran-tee of OmanTelecommunication Company,the parent company ofWorldcall Telecom for a periodof seven years with a graceperiod of two years.
Special Correspondent/Agencies
RAWALPINDI/MIRANSHA:Chief of Army Staff GeneralAshfaq Parvez Kayani stronglycondemned the Predator strikecarried out Thursday in NorthWaziristan Agency resulting inloss of 40 lives.
Chief of Pakistan Army saidit is highly regrettable that aJirga of peaceful citizensincluding elders of the areawas carelessly and callouslytargeted with complete disre-gard to human life, said anISPR press release issued here.
He said "in complete viola-tion of human rights, such actsof violence take us away fromour objective of elimination ofterrorism. It is imperative tounderstand that this criticalobjective cannot be sacrificedfor temporary tactical gains.Security of people of Pakistan,in any case, stands above all."
He said "Pakistan Army con-
doles with the families whosedear and near ones have beenmartyred in this senselessattack."
He said "Pakistan Armyshares the grief of people ofWaziristan. Troops on groundhave been ordered to render allpossible assistance to bereavedfamilies."
"Pakistan Army wishes toassure brave people ofWaziristan that we shall do ourbest and utmost to protect theirlives, honor and dignity at allcosts. Pakistan Army is fight-ing the terrorists and not itsbrethren in tribal areas" hesaid.
Kayani said "Pakistan Armyhas already launched a protestin the strongest possible terms.It has been highlighted clearlythat such aggression againstpeople of Pakistan is unjusti-fied and intolerable under anycircumstances."
Earlier on Thursday, a USdrone missile strike killed at
least 41 people in the tribalregion.
An official said the droneattacked a vehicle in the areathat was passing by a housewhere local tribesmen wereholding a meeting, killingthem.
"It wasn't a militant gather-ing, but a meeting of tribal eld-ers from Ismail Khan Villageto sort out some differencesover a business deal,"tribesman Zia-ur-Rehman said.
"One of Bahadur's com-manders, Sharabat Khan, wasalso present at the meeting ashe is also a local elder, but theywere discussing business."
Governor Khyber-Pakhtunkhwa KhwajaBarrister Masood Kausar whilecondemning the drone strikesaid that those who were killedin this attack were not militantsbut tribal elders who weregathered to sort out somedomestic differences.
See # 7 Page 11
Civilian deathsenrage Kayani
Drone strike kills 40 tribal elders in Datta Khel
Army chief terms strike as careless & senseless
2 Friday, March 18, 2011
ISLAMABAD ThePakistan Economy Watch(PEW) on Thursday saidthat energy situation is get-ting worst in Pakistan whilegovernment is not ready todeal things on merit or lis-ten to independent experts.
Our enemies are busy inconspiracies to push coun-try into Stone Age whilegovernment as well as pri-vate sector is avoiding thethreat which is criminal, itsaid adding that energy cri-sis is yet to be taken as aserious national issue.
Spokesperson of PEW,Mirza Riaz expressed the
hope that two-day expoand international confer-ence in Lahore in whichexperts from twenty coun-tries are participating willfurnish some practical sug-gestions to minimise theenergy crisis in Pakistan.
He said that a delegationof PEW, led by its presi-dent Dr. Murtaza Mughalwill also participate in theevent being organised bySolar Society of Pakistan.Dr. Mughal will also reada paper on the occasion.
The spokesperson saidthat PEW has been tryingto suggest workable solu-
tions to the energy crisissince years. The sugges-tions include properexploitation of Thar Coalreserves, which offer moreenergy than the oil and gasreserves of Saudi Arabia,and Iran put together.
It is also pushed for pre-ferring hydel power overrental power which is eco-nomical and durable, build-ing new dams and de-silt-ing Mangla and Turbela.Government has poured Rs80 billion of taxpayers'money into controversialrental power projects withlittle output.-Online
Country beingpushed to Stone Age
PEW warning on energy crisis
ISLAMABAD: TheNational Database andRegistration Authority(NADRA) has issued 1.527million Watan Cards amonglegitimate flood affectedpeople enabling the govern-ment to disburse Rs28.84billion assistance amongthem.
Deputy ChairmanNADRA Tariq Malik saidhere on Thursday thatNADRA issued 608,825Watan Cards in Punjab todisburse Rs11.977 billion,594,951 million in Sindh todisburse Rs10.689 billion,106,488 in Balochistan withdisbursed amount ofRs1,955,900,947 and203,593 with disbursedamount of Rs3,956,921,491.
Some 3,587 and 10,475cards were issued in Gilgit-Baltistan and Azad Kashmirdisbursing Rs63,217,500 andRs200,784,500 respectively.
Using its efficientComplaints RedressalSystem, the Authority haseffectively and transparent-ly resolved 205,923 com-plaints related to WatanCards, Tariq Malik said.
He said 95 per cent oflegitimate beneficiaries ofWatan Card have got thecash assistance.
He said that NADRAreceived 175,548 and215,506 complaints fromflood affected people ofPunjab and Sindh respec-tively. Some 74,490 com-plaints from Punjab and131,433 from Sindh werefound genuine and resolvedwhile 185,131 complaintswere rejected on duplicationor on basis of ineligibility,he said.
Malik said that some ofthe complainants had pos-session of Watan Cards andsome didn't belong to theflood affected area.-APP
Rs28.84bn disbursed: NADRA
Flood affectees
Staff Reporter
KARACHI: 'Our keyobjective for the future is toput our vision into action totake the Bank forward; ourmain cause of concernshould be to reduce NPLs,increase low cost deposits,inculcate strongCompliance culture andenhance fee based incometo take the Bank to newheights in next 4 to 5 yearsin general and 2011 in par-ticular. We need to focus oncore values to give usstrength and direction toretain the top position thatthe Bank has been enjoyingover the years and throughKPIs to capitalize on ourbrand, branches and cus-tomer base. The purpose ofthis gathering is to developstrategies and plans and putthem into action' saidQamar Hussain, President,National Bank of Pakistanat the Annual Business andStrategy Conference at alocal hotel.
The conference, whichis organised under thetheme of RISE will go onfor three consecutive daysto highlight major areasof concern of the bankand the Regions to formu-late action plan throughworking together on exer-cises, activities, focusing,brainstorming and delib-erating while keeping inmind the vision of thePresident.
'We need to reach out topeople and let our presencebe felt wherever we areoperating by getting more
business. I have zero toler-ance for any lapse of regu-latory compliance andBank's own policies andsystem. A lot of positivecontribution can be madein these three days by eachand everyone of us presenthere.'
Dr. Mirza Abrar Baig,SEVP/Group Chief, in hisopening remarks to theRegional Managementemphasised the importanceof the agenda that the man-agement has taken uponitself. He said 'we havegreat faith in each one ofyou and you shall not dis-appoint but succeed in tak-ing this institution togreater heights. We shallwaste not our time inspeeches and dialogues buton work on the minutestdetails to bring the visioninto action. We have creat-ed a culture of discipline;we must have disciplinedpeople, disciplinedthoughts and actions toaccomplish our goals.
On the first day of theconference various work-shops were held to devisemeaningful and pragmaticaction plans on cross func-tional KPIs and other criti-cal issues and finalizationof deliberations throughcomprehensive presenta-tions. On the second daythe outcome of the first daydeliberation will be dis-cussed by the teams in thepresence of SPC membersto adopt a common andregional specific strategygoing forward, says a bankpress release.
'Synergizeactions to serve
customers,economy'
NBP President tells strategy conf
ISLAMABAD: PrimeMinister Syed Yusuf RazaGilani on Thursday direct-ed the Ministry ofInformation Technology todevelop a project on imme-diate basis to impart infor-mation technology educa-tion to students throughoutthe country with particularfocus on the flood affectedand less developed areas.
This will provideemployment opportunitiesto the youth and mitigate
poverty in the country, headded.
He instructed theSecretary of theInformation TechnologyDivision to work outmodalities of the projectwithin a week. The PrimeMinister gave these direc-tives to the SecretaryInformation Technology ata high level meeting held atPrime Minister House here.
He directed the Secretaryto ensure implementation
of his earlier announce-ments regarding establish-ment of IT institutes in lessdeveloped areas of thecountry. The PrimeMinister also asked theSecretary to encourage tal-ented students of the lessdeveloped areas by way ofaward of IT scholarships.
Earlier, the Secretary ITbriefed about the progresson the Prime Minister'sdirectives and announce-ment for the establishment
of IT institutes and univer-sities in various underdeveloped areas.
He apprised the PrimeMinister of the details ofPM ICT Graduate pro-gramme which waslaunched in 2008.
The meeting was attend-ed by Principal Secretaryto the Prime MinisterKhushnood AkhtarLashari, Secretary ITSaeed Ahmed Khan andother senior officers.-APP
PM stresses on promotinginformation technology
Saff Reporter
KARACHI: As part of theGolden JubileeCelebrations, the Institute ofChartered Accountants ofPakistan (ICAP) is organiz-ing two CFO Conferencesin Karachi and Lahore onMarch 22 and April 5, 2011respectively, with the theme"Scaling New Heights,Facing New Challenges".
According to press releaseissued here on Thursday, theChairman of the ProfessionalAccountants In Business(PAIB) Committee of theInternational Federation ofAccountants (IFAC), RogerTabor will give theConference keynote in Karachiwhereas Hussain Dawood,Chairman, The Dawood Groupand Dr. Ishrat Husain, Dean &
Director Institute of BusinessAdministration will be theGuests of Honor in Lahore.The events are expected to beparticipated by around 1000professionals.
Key topics to be discussedin the conference will beProfessional Accountants inBusiness - Need andOpportunity, CFOs as FutureDirectors, Raising Financethrough capital markets,Prudent management ofemployee pension/providentfunds, Current Fraud Trends,The CFO's role in drivingbusiness value, Pakistan'smacro-economic picture andthe prospects ahead, A talentfor people: Leading thefinance team, Navigatingthrough the Storm: How toManage the Financial Issuesof a Company in Crisis.
ICAP CFO confin Khi, Lhr
Staff Reporter
KARACHI: The 26thInternational Multi TopicSymposium organised byInstitution of Electric andElectrical Engineers wasinaugurated by Dr. Atta UrRehman, Former FederalMinister and former headof HEC in Karachi. Alarge number of engi-neers, scientists, academ-ics and top executives ofengineering concernsattended the opening cere-mony. This seminar wasdevoted to EngineerFarooq Nadeem ViceChairman IEEEP Karachiwho died in the air bluecrash last year.
Glowing tributes werepaid to Eng FarooqNadeem by Eng.AsifSiddiqui and a slide pres-entation on his life pre-pared by Ms.Erum Abbasiwas also shown.
Dr.Atta Ur Rehmanspeaking on the occasiondelivered a presentationon the "Way Forward forPakistan a knowledge-based economy". He saidthat the way forward
requires vision, honestyand a technology compe-tent leadership. He gavethe examples of China andKorea. He said truth isstranger than fiction andthis is borne out by what ishappening in stem celltechnology and otherareas.
He showed many exam-ples like aero planes thatwill not require internalfuel but will run on oxy-gen available in theatmosphere or cars madeof intelligent material thatwill fix their own dents.
He said his main thrustwas to develop humanresources and if he hadmore time he had alreadyin place schemes for for-eign university campusesfrom France, Germany,Korea, Italy etc to beestablished in Pakistanwhich would have revolu-tionized education inPakistan.
Engr.Tahir Saleem,Chairman, IEEEP,Karachi centre welcomedthe guests whileEngr.Navaid Ansari pre-sented the vote of thanks.
Human resourceour greatest
strength: Dr. Atta
TFD Report
KARACHI: Institute ofBusiness and Technology---BIZTEK, is organising aninternational seminar on"The Changing Times andIndo-Pak Relations" onMarch 19 at Avari Towers.
The purpose of this semi-nar is to highlight theimportance of how friend-ly, peaceful and mutually
beneficial relationsbetween India Pakistan areimportant for people ofboth the countries and forregional and global peaceand security.
Speakers would includeKuldip Nayer, GhaziSalahuddin, Ms. SeemaMustafa, Dr. Mutahir Ahmed,Karamat Ali, Mahesh Bhattand Prof. Sikandar Mehdi,says a press release.
BIZTEK seminaron Indo-Pak ties
ISLAMABAD: Firmingup the Japanese determina-tion to be undeterred ofeven unprecedented naturaldisaster, JapanInternational CooperationAgency (JICA) has vowedto maintain its leading roleof development assistanceand economic cooperationas usual.
"No doubt Japan hasbeen hit by a natural disas-ter of extraordinary magni-tude and itself needs inter-national community's sup-port, but we would main-tain our role as leadinginternational developmentpartner," said TakatoshiNishikata, Chief
Representative of JICA atPakistan Office.
In an exclusive interviewwith Online here onThursday, JICA countrychief said that significanteconomic losses Japan hadfaced due to earthquakeand tsunami besides needfor reconstructionresources should notimpact materially our inter-national cooperation anddevelopment assistance. "Itshould not, and I hope itwould not check Japan'sendeavor to play an activerole in global developmentand assistance to the devel-oping countries," headded.-Online
Calamity won’taffect JICA's role
Staff Correspondent
ISLAMABAD: PakistanT e l e c o m m u n i c a t i o nCompany Limited (PTCL)on Thursday introducedpublic cash/card paymentmachines (PCPM), bill pay-ment points for the conven-ience of its customers.
PTCL Bill PaymentsPoints in the first phase arebeing installed in KarachiLahore and Islamabad. Theyprovide the customers thefacility to pay at their con-venience at any time of theday as these points will beoperational 24 hours.
The Bill Payment Pointsaccept partial and advancepayments with automaticand immediate restorationof suspended connectionson payments as the cus-tomers account will beupdated online, said apress release issued heretoday.
The bill Payments Pointshave operating functions
similar to ATMs and areoperated through a touchscreen interface.
With the introduction ofPTCL Bill Payment Points,customers will be savedfrom the hassle of standingin long queues to pay theirPTCL bills.
They can make the billpayment at the nearestPTCL Bill Payment Point,get an automated receiptand also receive an SMSconfirming the paymentswithin few minutes of thetransaction.
These points accept cur-rency notes from Rs5,000 toRs20 with easy handlingfeature along with theoption of English or Urdu asthe medium of instructions.
PTCL pilot projectincludes the installation ofthese points initially atMetro Islamabad, Ali TowerLahore, OSS Clifton,Karachi, OSS CTH Lahoreand Revenue OfficeIslamabad.
PTCL introducesPCPM for bill
payment
Staff Correspondent
ISLAMABAD: TheCompetition Commissionof Pakistan (CCP) todaygranted conditionalapproval to a cross borderacquisition of WindTelecom by VimpelComLtd. after undertakingPhase-II review of thetransaction to address thecompetition concerns.
VimpelCom submitteda pre-merger applicationwith CCP regarding theproposed acquisition ofWind Telecom S.p.A.(formerly WeatherInvestments S.p.A.), anItalian private company.The target Wind Telecomindirectly holds approx.51.7% shares in OrascomTelecom Holdings, S.A.E(OTH), an Egyptiancompany, which has a100% owned subsidiaryin Pakistan, PakistanMobile CommunicationsLimited (PMCL) andvarious other sub-
The transaction involvesan amalgamation of twoleading internationaltelecommunication groups,Vimpelcom and WindTelecom which shall createthe world's sixth largestmobile telecommunicationcarrier measured by thenumber of subscribers. Theacquisition of WindTelecom by Vimplecomwill result in indirectchange of control of OTH,and its subsidiaries inPakistan; the fact thatTelenor (Norway) willhave 31.7% equity sharesand 25% voting shares inVimplecom after the trans-action gets consummated,raise competition concerns,which prompted CCP toopen the Phase-II review ofthe transactions.
CCP Member Dr. JosephWilson issued the approvalwith conditions.
CCP's conditionalapproval to
Telecom merger
Annualfunction at
DADCTFD Report
KARACHI: The AnnualPrize DistributionFunction and Student'sCouncil Oath TakingCeremony was held atDefence Authority DegreeCollege for Women Phase-VIII here Thursday.
Administration DHA, BrigAamer Raza Qureshi wasthe chief guest of the func-tion.
The newly elected mem-bers of the Student'sCouncil took oath of theiroffices in a simple andgraceful ceremony held inCollege's Auditorium. Thechief guest later distributedbadges amongst the councilmembers.
Brig Aamer congratulat-ed the members of thenewly installed Student'sCouncil of 2011 andadvised them to dischargetheir onerous responsibili-ties with courage, visionand fair play. He said thatsincerely and truth mustremain the galvanizingprinciple in discharge oftheir duties.
Bank heistKARACHI: Robbers loot-ed more than Rs6.2 millionin foreign and local curren-cy in a bank heist andescaped easily within 5minutes in Mahmoodabad .
Robbers also grabbed CCTV cameras and armamentsof guards present in bank.Security agencies have initi-ated the investigations ofthe incident.-Online
AftabManzoor tohead Soneri
BankLAHORE: The Board ofDirectors of Soneri Bankhas appointed AftabManzoor as the newPresident /CEO of the Bankw.e.f 1st April 2011. TheBoard has decided to acceptAtif Bajwa's resignation asPresident and CEO of theBank and appoint Manzooras his replacement withmutual consent. The changeis subject to regulatoryapproval by SBP.
Mohammed AftabManzoor is a senior bankerwith 26 years of bankingexperience in top tier finan-cial institutions and astrong track record of suc-cess. He remained atCitibank N.A. for 15 years.During this time heremained Business Headfor Corporate Banking andBusiness Head for ProductGroup - Cash Management,Financial Institution andCustody. He was President /CEO of MCB Bank for 7years and then Allied Bankfor 3 years where he wasinstrumental in reposition-ing this franchise and grow-ing their market leadership.Currently he is the CEO ofKASB Bank Ltd.-PR
ISLAMABAD: Prime Minister Syed Yousuf Raza Gilani talking to Ruziev Zafar Sharipovich, Minister for Agriculture
and Water Management, Uzbekistan who called on him at PM House.-APP
KARACHI: The management of Ramada Plaza Hotel at air-
port organised a colourful Basant Bahaar, festival at hotel
premises. The festival was attended by diplomats, heads of
multinational companies, government officials, TV artists
and elite followed by hi-tea and late night dinner. On the
occasion guests enjoyed free kites, magic show, DJ of the
town, live music, games, free Mehndi and bangles, free yellow
scarves, free face panting, jumping castle, cartoon characters,
buggy ride and lucky draw.-Staff Photo
TV PROGRAMMES
FRIDAY
Time Programmes
7:00 News
8:00 News
9:05 Subah Savere Maya ke Sath
11:00 News
11:30 Aap Ki Baat (Rpt)
12:00 News
13:10 Newsbeat (Rpt)
14:10 Tonight With Jasmeen (Rpt)
15:00 News
16:00 News
17:30 Samaa Metro
18:00 News
18:30 Aap Ki Baat
19:00 News
19:05 Hal Kya Hai
19:30 Crime Scene
20:03 Newsbeat
21:00 News
22:03 Tonight With Jasmeen
23:00 News
23:30 24
PaCCS to stay TFD Report
KARACHI: Agility hasannounced continuation ofPaCCS till March 31st on therequest of FBR. The chairmanFBR along with senior offi-cials met Agility high officialsat headquarters in Kuwait onMarch 4 to discuss futurestrategies to continue PaCCS.
The chairman FBR saidduring the meeting thatPaCCS is a good system andwe (FBR) will continue it.The conflict of interest arisesbetween both companies dueto some internal issues withFBR otherwise there is noflaw in the sytem, he said.
MUMBAI: The Indian rupeeended weaker on Thursday, butrecouped from intra-day lowson losses in the dollar overseasand on hopes the central bankwould nudge key rates upagain, luring foreign funds intothe country.
"Rupee was supported bygains in the euro and othermajor currencies," saidSudarshana Bhat, head of forexat state-run Corporation Bank.
The partially convertible rupeeended at 45.18/19 per dollaragainst its 45.11/12 close onWednesday. Intraday, it movedin the 45.12-45.27 range.
Corporation Bank's Bhat saidthe rate increase by the centralbank was also a reason for therupee's recovery, though themove was widely expected andhence factored in, traders said.
The Reserve Bank of India(RBI) raised interest rates forthe eighth time since lastMarch, in line with expecta-tions, and warned both of infla-tionary pressures and emergingrisks to growth.
The selling spree in the rupeeseen in early trade was primari-ly on the back of weakness inlocal shares, traders said.
Foreign institutionalinvestors have sold Indianshares worth about $1.70 bil-lion this year until March 16.
The one-month onshore for-ward premium was at 30.25points, down from 32.50 onWednesday, the three-monthpremium at 82.50 versus 88.00and the one-year lower at284.50 from 288.00.
The one-month offshore non-deliverable forward contractswere quoted at 45.50, weakerthan the onshore spot rate.
In the currency futures market,the most traded near-month dol-lar-rupee contracts on theNational Stock Exchange, MCX-SX, and the United StockExchange were all at 45.2900,with the total traded volume atabout $7.85 billion. -Reuters
Indian rupee off lowson broad USD losses
3Friday, March 18, 2011
Currencies Rate
Karachi: The following are the London Inter-Bank Offered Rates (LIBOR).
British Members Association Interest Settlement Rates.
AT 11:00 LONDON TIME 17/03/2011
A USD GBP CAD EUR JPY
O/N 0.20650 0.55688 0.96417 0.64625 SN 0.17375
1WK 0.23970 0.57750 1.00033 0.73375 0.18000
2WK 0.24570 0.58375 1.03667 0.78063 0.18125
1MO 0.25350 0.61313 1.07867 0.84500 0.16500
2MO 0.28350 0.68375 1.13300 0.98063 0.17500
3MO 0.30900 0.80563 1.20083 1.12125 0.20000
4MO 0.35050 0.88813 1.27083 1.21438 0.24563
5MO 0.40800 0.99313 1.32917 1.31438 0.30125
6MO 0.46000 1.10875 1.38867 1.43500 0.34750
7MO 0.51200 1.19250 1.46750 1.50688 0.39625
8MO 0.56125 1.27875 1.55000 1.58000 0.44438
9MO 0.61125 1.36125 1.61917 1.65625 0.49000
10MO 0.66100 1.44313 1.70500 1.73063 0.51688
11MO 0.71500 1.51313 1.78833 1.79875 0.54375
12MO 0.77250 1.58313 1.86667 1.86625 0.57125
Countries Selling Buying BuyingTT & OD TT Clean OD/T.CHQ
Bank of Canada April 12, 2011 September 8, 2010 1%
Bank of England April 7, 2011 March 5, 2009 0.50%
Bank of Japan April 7, 2011 December 19, 2008 0.10%
Swiss National Bank December 15, 2011 March 12, 2009 0.25%
The Reserve Bank of Australia April 5, 2011 November 2, 2010 4.75%
Federal Reserve January 1, 2001 December 16, 2008 0.25%
European Central Bank January 1, 2001 May 7, 2009 1%
Major Central Banks Overview
Division of National Bank of Pakistan (NBP)KARACHI, March 17,2011 Treasury Management Division of National Bank ofPakistan (NBP) Monday issued the following Exchange rates:
Revaluation RatesTreasury Bills / PIBs / FIBs Holding Applicable for March 17, 2011
NEW YORK: Fear that Japan may soonintervene to weaken the yen after it hit arecord high against the dollar left curren-cy traders skittish on Thursday, and themarket may start trimming yen longs as aG7 meeting nears.
The dollar hit a record low of 76.25 yenas Asian trading began after a break of79.75 triggered a cascade of automatic"sell" orders. The dollar bounced back to78.90 yen and has remained in a fairlytight range.
"Everyone is on the lookout for inter-vention after yesterday's volatility," saidGreg Anderson, strategist at Citigroup."Anybody who was long this week is outof the market, and the shorts are out too.People are in wait-and-see mode for theG7."
Finance officials of the Group of Seven
countries will discuss steps to calm mar-kets. A Dow Jones news report quoted anunnamed source as saying Japan's min-istry was "ready for battle" on the yen.
The dollarrebound wasdriven partly byJ a p a n e s eimporters andsome retail mar-gin traders. Thelatter were citedas a main factorbehind the earlier plunge, with the speedof the decline -- the dollar shed more thanthree yen in about 20 minutes -- forcingthem to dump trades financed with bor-rowed yen.
The yen also rose against the Koreanand Chinese currencies. Analysts said
that is especially worrisome for Tokyobecause it undermines Japan's trade com-petitiveness relative to its Asian neigh-bors.
The G7 is set to meet around 2200GMT, and traders said the market maystart trimming lingering yen longs short-ly before that, which could push the dol-lar toward its session peak around 79.74yen.
But absent intervention, there's little to
stand in the way of further yen gains, saidAlan Ruskin, Deutsche Bank's globalhead of G10 currency strategy.
Japan's finance minister, YoshihikoNoda, blamed speculation for the yenspike and said he was closely watchingmarkets, a warning that authorities maysoon buy dollars.
Elsewhere, the euro hit a 2011 high of$1.4052 after solid demand at a Spanishbond auction and on the view that euro-zone interest rates were likely to risesoon. It was last up 0.9 per cent at$1.4015.
The dollar also fell to a record low of0.8852 Swiss francs before bouncingback above 0.90 francs. While the Swisscentral bank kept interest rates steady, thefranc got a bid from investors who see itas a safe port in a storm. -Reuters
Market on BOJ alert; yenretreats from record high
SHANGHAI: The yuan closedslightly lower against the dollaron Thursday after the People'sBank of China fixed a slightlystronger mid-point, but fell shortof letting its fixing hit a newhigh.
The PBOC appeared cautious,to not be too aggressive in lettingthe yuan appreciate over the pastweek amid the global market tur-moil sparked by Japan's earth-quake and nuclear crisis, traderssaid.
But traders said China wasunlikely to change its goal for theyuan to appreciate in the long runas it appears to be using the cur-rency to fight high inflation andhelp adjust an economic structureheavily reliant on exports.
"China has always cared aboutthe stability of its currency dur-ing global market chaos, in par-ticular amid the appreciation ofother Asian currencies, whichwill add upward pressure on theyuan," said a senior trader at aEuropean bank in Shanghai.
"But many of us believe thegovernment has some undeclaredtargets for the yuan to appreciateat certain periods of time in linewith China's economic condi-tions. Such goals will not easily
be altered."Spot yuan closed at 6.5744 ver-
sus the dollar, down fromWednesday's close of 6.5713.The currency has now risen 3.83per cent since it was depegged inJune 2010.
Before trading began, thePBOC fixed the yuan's mid-pointat 6.5690 to the dollar, strongerthan Wednesday's 6.5718 butshort of the fixing's record highof 6.5661 set on March 7.
Despite the yuan's lacklustretrading over the past week,traders said they retained theforecast for the yuan to appreci-ate 5 to 6 per cent for all 2011.
Traders expect the PBOC'sdaily fixing to hit a new peak assoon as Friday or next week,after the central bank has alreadyallow the currency to hit a slewof record highs this year partlybecause of the government's anti-inflationary campaign.
Benchmark one-yeardollar/yuan non-deliverable for-wards (NDF) were bid at 6.4600late on Thursday, little changedfrom 6.4610 at Wednesday'sclose. Their implied yuan appre-ciation in a year's time was at1.68 per cent compared with 1.67per cent. -Reuters
Yuan edges lower;uptrend seen intact
LONDON: Sterling traded neara four-month low against theeuro on Thursday, with the sin-gle currency supported by a solidSpanish bond auction, but itgained against a broadly weakerUS dollar.
The pound rose to as high as$1.6171, taking a cue from theeuro's rise against the US curren-cy, before easing to $1.6145, stillup 0.65 per cent for the day.
Traders said there was an optionstrike at $1.6100 rolling off onFriday in New York trade andthat was likely to offer sterlingsome support.
The euro climbed as high as87.14 pence, its strongest sinceearly November, after Spaindrew solid demand at a bondauction and on the view thateuro-zone interest rates werelikely to rise soon. But traderssaid its near-term upside wascapped by UK corporate demandfor the pound.
Analysts see further downsiderisks to sterling as investors pareback speculation of a UK inter-est rate rise given a still fragile
UK economy, and due to marketjitters stoked by the earthquakeand nuclear crisis in Japan.
"There is considerable supporton the downside at 85, but on thetopside it is clear territory. Lookfor a test of the October high of89.76," said Michael Derks,chief strategist at FXPro.
Short-term interest rate mar-kets are now pricing in a UK raterise around August, later than
estimates earlier this month for aJune rate increase. The euro lasttraded 0.22 per cent higher onthe day at 86.86 pence.
Against the yen, the poundtraded roughly 2 per cent higheron the day at 126.78 yen, pullingaway from a two-year trougharound 123.48 yen hit in earliertrade. The Japanese currency hasmade broad gains in the wake ofFriday's earthquake, with thedollar hitting a record lowagainst the yen overnight. Butanalysts said its strength putinvestors on alert for yen-sellingintervention by the Bank ofJapan, which would boost thepound. -Reuters
Sterling hovers near4-mth lows vs euro
SINGAPORE: Foreignexchange authorities in parts ofAsia checked falls in their cur-rencies, which investorsdumped on risk aversion amidgrowing fears over radiationleaks in Japan.
Seoul's authorities were spot-ted selling dollars as the wonhit a fresh 2-1/2-month lowafter intervention in overnightnon-deliverable forward(NDF) market, dealers said.
Central banks from thePhilippines and Indonesia solddollars while there was talk ofdollar sales by the MonetaryAuthority of Singapore.
Regional authorities areexpected to step into currencymarkets again as long as wor-ries about Japan push down
their currencies further, ana-lysts and dealers said.
"Asian countries, especiallycountries like Korea whereinflation is a problem, willavoid a weaker currency,although they don't want theircurrencies to strengthen," saidJeong My-young, a currencystrategist at Samsung Futuresin Seoul.
The won hit a fresh 2-1/2-month low against the dollarearlier, weakening past optionbarriers at 1,140 by continuoussales by offshore players.
The local currency slid asmuch as 1.2 per cent againstthe dollar to 1,144.0, the weak-est since Dec. 29, slightlystronger than 1,145.4, the 61.8per cent Fibonacci retracement
level of its December-Februarystrengthening trend.
The South Korean unit paredits losses as dealers spotted theforeign exchange authorities'dollar sales to check the won'sfalls. The Philippine peso hit a 1-1/2-month low against the dollaras interbank players kept sellingit on heightened risk aversionand the disaster in Japan.
The peso weakened as muchas to 0.6 per cent to 44.01 perdollar, its weakest since Feb. 3.
The Philippines' central bankwas also spotted selling thedollar, traders said.
The Malaysian ringgit slid aslocal investors added dollarholdings while the central bankwas not seen intervening in themarket. -Reuters
Asian currencies
Cbanks slow FX falls;more intervention eyed
SYDNEY: The Australian and New Zealand dollarssank to multi-month lows against a surging yenearly on Thursday on a cascade of stop-loss andoption-related selling, before the risk of interven-tion helped recoup some losses later in the session.
Trading was wild as nervous markets eyed possi-ble intervention by the Bank of Japan to weakenthe yen. Finance ministers and central bankersfrom the Group of Seven are due to hold a confer-ence call on Japan and markets late Thursday.
The Aussie was last at 77.50 yen, havingplumbed a six-month low around 75.00 as a flurryof stops were triggered, in particular from Japaneseleveraged retail investors. The pair is down morethan 6 per cent this week, after shedding three yenin just one hour early in the session.
Japanese margin traders had been playingshort yen/long Aussie positions and were forcedto liquidate in a hurry, in part to cover losseselsewhere. Once those shorts were cleared away,the yen did back off a little.
The kiwi collapsed as far as 54.98 yen, the low-
est since April 2009 and chalking up a loss of 6 percent for the week. It has since edged up to 57.00yen. The market initially also dumped the Aussieand kiwi against the greenback as investors oftentreat the Aussie as a proxy for risk, both in Asiaand globally, selling it at times of stress even ifAustralia's fundamentals remain sound.
The Aussie fell to around $0.9710 at one stage,lows not seen since early December, beforereclaiming $0.9800. It remains more than 3 percent down for the week.
The kiwi hit a six-month low around $0.7125,before crawling back to $0.7227, for a total lossof 2.6 per cent this week.
'Erratic moves should continue to be expectedin the current environment, with a bias of testingsupport in the 72 US cents zone,' ANZ analystssaid in a market note.
This, in turn, dragged the Antipodean dollarslower on the euro. The single currency hit a five-month high of A$1.4340 and 1-year peak ofNZ$1.9561. -Reuters
Aussie, NZ dollars shakenafter tumbling on yen
Swiss francstrengthens
ZURICH: The Swiss francsurged to a fresh all-time highagainst the dollar on Thursdayahead of the Swiss NationalBank's interest rate decision asinvestors worried about theJapan crisis sought the safe-haven currency.
All 37 economists polled byReuters from March 3 to 9expected the SNB to hold itstarget for the 3-month Swissfranc LIBOR unchanged at0.25 per cent, as inflationremains very low by interna-tional standards.
Separately on Thursday, theSwiss government, which raisedits own growth forecast for 2011to 2.1 per cent from 1.5 per cent,said high debt levels in manycountries plus the disaster inJapan posed risks to globalgrowth. "Swiss franc flows aredue to safe haven over concernsin the Middle east and Japan,"Informa Global Markets analystTony Nyman said, adding he seesthe next downside target foreuro/Swiss at 0.8750.
After surging to a fresh all-time high, the franc weakenedagain somewhat, trading down0.4 per cent at 0.9020 per dollarat 0716 GMT.
The franc was down 0.5 percent against the euro comparedto the New York close, tradingat 1.2580, off an intra-day highof 1.2479 and not far from theall-time record of 1.2400 hit inlate December. -Reuters
Won, peso down 0.4pc; intervention cuts falls
Swiss franc buoyed, near record high vs dollar
Disclaimer:All reports and recommendations have been prepared for your information
only. Summary and Analysis are not recommendation to buy or sell. This
information should only be used by investors who are aware of the risk inher-
ent in securities trading. The facts, information, data, indicators and charts
presented have been obtained from sources believed to be reliable, but their
accuracy and completeness cannot be guaranteed. The Financial Daily
International and its employees are not responsible for any loss arising from
use of these reports and recommendations.
Redefiningcountry’s
energy mixLet there be no ambiguity that Pakistan is heading
towards serious energy crisis. It may be true that
country is deficient in crude oil production,
demand has surpassed supply, electricity genera-
tion is highly inadequate and the nation does not
believe in energy conservation. But it is also true
that policy planners have been failing in taking
timely decision to avert the looming crisis. Instead
of increasing supplies and making energy products
affordable, economic managers are resorting to
extensive load shedding of electricity and gas, hik-
ing tariffs in the name of recovery of full cost and
above all showing complete apathy to the most
pressing issues.
Pakistan is grossly deficient in indigenous pro-
duction of crude oil and gas production is falling
short of demand, power plants are being run at
lower capacity in an attempt to contain circular
debt but there is hardly any realisation that closure
of manufacturing facilities is having adverse
impact on GDP growth, rending millions jobless
and pushing more and more people below the
poverty line. While there have been violent energy-
related demonstrations throughout the country
there seems to be no substantial efforts to ensure
uninterrupted supply of energy products at afford-
able rate. It is still not too late to develop a new
energy policy to change the energy mix and still
keep the price affordable.
The basic sources of energy in Pakistan have been
fossil oil, natural gas and hydel power. However,
over the years demand has surpassed production. In
fact indigenous oil production has reduced.
Excessive reliance on gas has led to demand sur-
passing supply. No new dam has been constructed
after the completion of Tarbela in 1976 and exploit-
ing coal reserves has remained a dream. As a make
shift arrangement fossil oil based thermal power
plants have been established but persistent hike in
crude oil price is rendering cost of electricity unaf-
fordable and proliferating its pilferage.
To overcome the energy crisis, conservation and
efficient utilization can also help in containing cost
of doing business. Along with this reduction in
electricity T&D losses and UGF of gas companies
can improve their cash flow to undertake capital
expenditures.
Along with this, work has to be started immedi-
ately for the construction of mega dams to add up
to 10,000MW power generation capacity, com-
mence coal mining and construction of LNG termi-
nal. Running power plants on imported gas can
help in containing furnace oil import bill and also
ensure running of fertiliser plants on optimum
capacity utilization.
Closing CNG stations and suspending gas supply
to fertilizer plants and industrial units are impairing
economic growth and adding to oil import bill. We
urge upon the Planning Commission to convince
the government to come up with appropriate poli-
cies to attract investment in energy sector. Shortage
of energy is having its toll on economic growth. So,
we suggest overcome the menace at the earliest to
help the country accelerate GDP growth rate.
4Friday, March 18, 2011
Publisher & Editor-in-Chief: Amir A. Ashary
Editor: Shakil H. Jafri
Executive Editor: Manzar Naqvi
Honorary Advisory Board
Haseeb Khan, FCA
Asim Abbas Ashary, CPA
Akhtar M. Zaidi, FCA
Dr. A. Hadi Shahid, FCA
Muhammad Arif
S. Muneer Hussain Rizvi
Khurram Shehzad, CFA
Prof. Zakaria Sajid (KU)
Zahid Bukhari SVP HBL (retd)
Ismat SabirHead office
111-C, Jami Commercial Street 11, Phase VII, DHA KarachiTelephone: 92-21-35311893-6 Fax: 92-21-35388428
The discovery of ionising radia-tion at the turn of the nineteenth
century revolutionised science andsociety. Within two weeks of theirbeing created at the end of 1895, thestunning x-ray images of his wife'sbejeweled hand that physics profes-sor Wilhelm Conrad Röntgen hadtaken appeared in major newspapersaround the world. From Paris, toLondon and Tokyo, scientists andcelebrities engaged in a world-widemedical vogue with fashionable x-ray parties featuring popular demon-strations of moving skeletons.
This extraordinary discovery infact came with extraordinary risks.The same technology that couldlight up lurking solid tumors of thelung and stomach and save lives onthe battle field also damaged theability of bone to make healthy redblood cells and induced an array ofcrippling deformities. Girls whoworked hand-painting clock dialswith luminescent radioactive paintand wet their brushes with theirtongues to craft fine lines lost theirjawbones years later. Men whochipped uranium out of the eartheventually grew pale as their bloodbecame swamped with white bloodcells and bereft of iron by aplasticanemia and leukemia.
These deadly problems werebelieved to arise only decades afterhigh doses of radiation exposure hadtaken place.
At the time that Enrico Fermi andLeo Szilard split the atom in 1934 toproduce nuclear energy, many hopedthat the dangers of radiation residedsolely with massive releases thatadded up over the long term-the sortthat sickened Nobel Laureate MarieCurie and made her notebooks toohot to handle.
Donald Hornig, the man who lit-erally sat upon the atom bomb as hedeveloped the wiring for the trigger,once told me that "We all figured wewere young, healthy and smart. Solong as we didn't do anything stupidto set things off, we would be fine."
One of the first irrefutable signsthat general population exposures tolower levels of ionising radiationwere not fine occurred two decadesafter the bombs that ended WorldWar Two, when increased rates ofcancers were found in Japanese sur-vivors. Others reported that womenexposed to unfocused radiation fromfluoroscopic x-ray exams carried outfor tuberculosis screening after thewar ended had increased risks ofbreast cancer three decades later andthat children treated for ringwormwith radiation to their heads hadincreased brain tumors.
Nuclear power plants have beentouted as safe, because their releasesof radiation are believed to be soslight. We have also assumed thattheir spent fuel remains spent, out ofsight and out of harm's way.
The Chernobyl nuclear plant con-tainment meltdown in 1986 releasedradiation comparable to several hun-dred Hiroshima bombs into the envi-ronment and marked the beginningof the end of the secret Soviet sys-tem. This tragic natural experimentmade several important additions tothe literature. Less than a decadeafter the meltdown of this uncon-tained Soviet reactor, children, who
normally do not develop thyroidcancer at all, had unusual patterns ofthe disease.
The citizens of Sweden were givenpotassium iodide to avoid uptake ofradioactive iodine-131 and block thedevelopment of radiogenic thyroidcancer, but those in others nations-including many from nearbyUkraine- were not so lucky.
Chernobyl impacts were not justlocal. Increases in low birth weightbabies and in those born with small-er brains and mental retardationoccurred in some of the populationsdownwind of Chernobyl - a findingthat did not make headlines and didnot surprise those who understandwhy pregnant women should notroutinely be given prenatal x-rays.
A newly published analysis byleading Russian scientists for theNew York Academy of Sciencesconfirms that birds from the contam-inated zones also had smaller brainsand more skeletal defects.
While many factors are at play,four times more children from sur-rounding areas were deemedunhealthy in the decades followingthis nuclear plant meltdown.Cohorts that immigrated to Israelfrom Kiev have been followed andfound to have increased tumor pat-terns tied with this explosive releasesome two decades later.
In coming to terms with thenuclear radiation genie, society hasaccepted some risks, but those nowfacing the citizens of Tokyo arebeyond what anyone would haveimagined possible. Nuclear-poweredenergy appears to be one of thegreenest forms of energy in theworld, because it releases no car-
bon-containing greenhouse gaseswhen working. But, there are majorunresolved issues that the unfoldingJapanese dilemma may clear.
Certainly the workers fighting tokeep the Fukushima Daiichi plantfrom becoming the worst disaster inhistory are putting their lives on theline, working in dark and dangerousconditions in buildings with col-
lapsed walls and roofs, getting expo-sures in a single hour that most of uswill not see in an entire year.
The long term impacts of lowerlevels of exposure to nuclear radia-tion remains a subject of intensespeculation that has not received theattention that it merits. A lifetimestudy carried out for more than halfa century found men born in the1960s who died from cancer in mid-dle age had twice as much radioac-tive strontium in their baby teethcompared to those who were stillalive.
One would think that a nation
committed to nuclear energy wouldalso be committed to conductingserious studies of the matter. Itwould not be hard to analyse babyteeth from different time periods forchanges in their radiation levels andsee if these are tied with other healthissues. But, it might prove incon-venient.
At Fukoshima, there are reportsthat a fire in the spent fuel storagearea has been quenched, but thewater covering this is boiling intothe environment through crackedwalls and collapsed roofs, releasinga tremendous amount of steam ladenwith radioactive particles. Workerswill be rotating shifts because manyhave already received several years
of exposure in a few days. As withHiroshima and Nagasaki, andChernobyl, the full impact ofFukoshima will only be knowndecades from now, hopefully with-out the blackouts of information thatsurrounded those events for years.
Weather forecasts project that thisradioactive cloud from the roilingreactor will drift out to sea. A shiftin the winds could send this massiveplume directly over Tokyo's 13 mil-lion residents. While the risk to anysingle individual in the city will besmall it will not be zero and it willbe decades before any cancer tollcan be detected.
Those living close to the plant maybe much less fortunate. They'vebeen told to shelter in place, stayindoors, and seal up their homes.But, many of them no longer havehomes in which to seek cover. Let'spray that the winds are kind toJapan, during these difficult days.
BACKGROUND
INFORMATION ON
RADIATION EXPOSURE
Life on earth has evolved withradiation over millions of years.Scientists estimate that each yearpeople are exposed to about 1 to 5millisieverts of radiation from thesun cosmic radiation and radon gasfrom the earth. As a comparison, onex-ray gives off 400 to 600microsieverts of radiation. A wholebody CT scan gives a much higherradiation dose - about 15 to 20 mil-lisieverts, while a single organ CTinvolves a dose of about 10 mil-lisieverts.
Inside the Fukushima plant, theradiation levels have risen dramati-cally, reaching the equivalent of aCT scan in an hour, according toJapan's nuclear safety agency.
Right after the blasts last Tuesday,one hour's exposure ran 20 times thelevels allowed for nuclear plantworkers in an entire year: 400 mil-lisieverts an hour - about the sameas getting 230 chest x-rays at once.
While individual responses willvary depending on age, nutritionalstatus and health conditions, inorder to develop radiation sickness,one would have to receive a one-time dose of at least 1 to 2 Sieverts.That's 1,000 to 2,000 millisievert(mSv). Nausea and vomiting wouldgenerally occur within 24-48 hoursafter such an exposure.
A severe dose of radiation wouldbe anything over 3,500 mSv, andwould bring on vomiting within anhour, as well as perhaps diarrhea,bloody vomit, high fever and even-tual hair loss. Severe exposure isfatal within a month about 50 percent of the time.
In terms of cumulative exposure,100 millisieverts a year is the lowestlevel at which any increase in cancerrisk is clearly evident. A cumulative1,000 mSv over a lifetime would beexpected to cause a fatal cancermany years later in five out of every100 persons with that kind of expo-sure. The population risks from theexpected exposures to Tokyo arestill quite low, but they are not zero.While potassium iodide can blockthe uptake of radioactive iodine 131to the thyroid, absorption of otherradionuclides is not as easilyaddressed.-Reuters
The Fallout Forensics
Dr Sher Khan
Punjab Chief Minister Shahbaz Sharif hasblamed the federal government of gas supply cutin Punjab, especially in Faisalabad that has led tothe closure of business industry in the financialhub of the province. The fact remains as thedepleting indigenous reserves of natural gas hasplummeted the country in a spiral of energy cri-sis.
By the mid 1980s, the power sector was beingreconstructed to accommodate the extensive sup-ply of natural gas. Consequently, natural gas dis-placed other fuel sources to emerge as the domi-nant source reining the energy mix. By 2009, itsshare in the energy supplied stood at 48.03% andwas accounting for 34.3% of the electricity gen-erated. By 2007, the per capita gas consumptionstood at 186.959cu/m per capita, ranking Pakistanas the 73rd greatest consumer of natural gas in theworld, ahead of all its South Asian counterparts.
Additionally, according to the InternationalAssociation of Natural Gas Vehicles, as ofDecember 2008, Pakistan has the world's highestnumber of vehicles running on CompressedNatural Gas (CNG).
The acute dependency on natural gas was fos-tered by structural changes inspired by govern-ment policy and plans and consequently led to therapid depletion of the finite gas reserves. Todaynot only has the shortfall between gas demand andsupply reached alarming heights of 700 MMCFDbut it is predicted that even with the generousexpectation of new discoveries of reserves, it willbe almost impossible to maintain even the presentproduction for long.
Noteworthy are thus the following facts: 161bnCFT of gas reserves have been utilized annuallyto produce the amount of energy produced byKalabagh Dam; 2,737bn CFT of gas, 6.17% of thetotal reserves would have been preserved from1993-2009 if Kalabagh Dam was operational;Extension of gas availability to the transport sec-tor by 37.7 years and to the household sector by15.5 years had Kalabagh Dam been built; by 2010Rs 78.6bn could have been saved in electricalgeneration if natural gas was displaced as meansof generating electricity by hydropower fromKalabagh Dam; by 2010, Rs 124.5bn could havebeen saved in electrical generation if KalabaghDam had displaced oil as means of generatingelectricity.
The failure to initiate Kalabagh Dam projectdealt a severe blow to hydropower developmentand simultaneously increased the dependency onnatural gas.
The depletion of gas reserves has inspired fran-tic attempts to dispel the energy crisis. Importedgas is being considered as a potential remedy andwork is already underway to develop pipelinesstretching from Iran and Central Asia.
The issue of Kalabagh Dam is invoked for theproposed construction of the project coincidedwith the rapid exploitation of indigenous gasreserves and while the construction of KalabaghDam got delayed and eventually shelved, thedevelopment of natural gas was undertaken witha religious fervor. In retrospect, this proved to bean unsustainable option that has had far reachingadverse impacts on the economy and lives of thepeople of Pakistan.
Hydropower is a natural option for energy gen-
eration given its vast potential of 56,000MW.Along with a series of hydropower projects theinitiation of multipurpose large dams at Tarbelaand Mangla were seen as milestones in thehydropower development. Through these dams,cheap, reliable energy was made readily availablewhich in turn fueled the development processes.Tarbela Dam alone, completed in 1997, had byDecember 2007 reaped benefits totaling Rs.221,902 million for the national economy whichis more than 13.5 times the original cost of theproject.
After the success of Tarbela and Mangla Dam,the next project in the pipeline was the construc-tion of the Kalabagh Dam which was due to be inoperation by 1993.
Despite the completion of feasibility studiesand initial assessments of the project, theKalabagh Dam never entered the constructionphase. The proposed project was marred by polit-ical conflicts and political rivalries whichinspired such controversy that despite the resolveof certain actors to push the project forward, theventure entirely collapsed. This was a major set-back for hydropower development in the countryand it came amidst the almost ecstatic fervorwhich characterized the exploitation of gasreserves.
The Kalabagh Dam would have been instrumen-tal in preserving the finite gas reserves, savingcosts of electricity generation and diffusing thecost of damage incurred due to the gas shortfallthat eventually unfolded. Yet these factors sankinto comfortable insignificance as the countrybecame attuned and heavily reliant on energyfrom natural gas.
Punjab Gas Crisis & KB Dam
Life on earth has evolved with radiationover millions of years. Scientists estimate
that each year people are exposed to about 1to 5 millisieverts of radiation from the suncosmic radiation and radon gas from the
earth. As a comparison, one x-ray gives off400 to 600 microsieverts of radiation. Awhole body CT scan gives a much higher
radiation dose - about 15 to 20 millisieverts,while a single organ CT involves a dose
of about 10 millisieverts.
One would think that a nation committed to nuclear energy would
also be committed to conducting serious studies of the matter. It would not be hard to analyzs baby teeth from
different time periods for changes intheir radiation levels and see if these are
tied with other health issues. But, itmight prove inconvenient.
FERTILISER000 tonnesUrea Offtake (Jan to Dec 10) 6,123Urea Offtake (Dec 10) 626Urea Price (Rs/50 kg) 1,020DAP Offtake (Jan to Dec 09) 1,317DAP Offtake (Dec 10) 90DAP Price (Rs/50 kg) 3,143
AUTOMOBILE ASSEMBLERPAK SUZUKI MOTORUnitsProduction (July 10 to Jan 11) 47,153
Sales (July 10 to Jan 11) 45,113
Production (Jan 11) 6,698
Sales (Jan 11) 6,793
INDUS MOTOR COProduction (July 10 to Jan 11) 29,078
Sales (July 10 to Jan 11) 28,293
Production (Jan 11) 5,596
Sales (Jan 11) 5,885
HONDA ATLAS CARProduction (July 10 to Jan 11) 9,279
Sales (July 10 to Jan 11) 8,779
Production (Jan 11) 1,511
Sales (Jan 11) 1,904
DEWAN FAROOQ MOTORSProduction (July 10 to Jan 11) 186
Sales (July 10 to Jan 11) 113
Production (Jan 11) 0
Sales (Jan 11) 23
BANKING SECTORScheduled bank (Rs in mn)Deposit (Feburay 4,11) 5,046,861
Advances (Feburay 4,11) 3,140,675
Investments (Feburay 4,11) 2,100,015
Spread (Feburay 4,11) 7.61%
OIL MARKETING CO(000 tons)MS (Jul 10 to Dec 10) 1,122
MS (Dec 10) 188
Kerosene (Jul 10 to Dec 10) 81
Kerosene (Dec 10) 15
JP (Jul 10 to Dec 10) 727
JP (Dec 10) 138
HSD (Jul 10 to Dec 10) 3,426
HSD (Dec 10) 634
LDO (Jul 10 to Dec 10)) 32
LDO (Dec 10) 6
Fuel Oil (Jul 10 to Dec 10) 4,331
Fuel Oil (Dec 10) 690
Others (Jul 10 to Dec 10) 6
Others (Dec 10) 2
PRICES (Ex-Refinery) RsMS (1 Feb 11) 51.74
MS (1 Jan 11) 49.41
MS % Chg 4.72%
Kerosene (1 Feb 11) 58.28
Kerosene (1 Jan 11) 55.01
Kerosene % Chg 5.94%
JP-1 (1 Feb 11) 58.51
JP-1 (1 Jan 11) 55.24
JP-1 % Chg 5.92%
HSD (1 Feb 11) 61.80
HSD (1 Jan 11) 58.55
HSD % Chg 5.55%
LDO (1 Feb 11) 55.32
LDO (1 Jan 11) 53.46
LDO % Chg 3.48%
Fuel Oil (1 Feb 11) 47,931
Fuel Oil (1 Jan 11) 45,947
Sector Updates
Symbol Close Vol (mn)FATIMA 13.10 10.44 LOTPTA 15.50 10.17 NCL 28.06 6.04 ENGRO 199.11 5.96 DSFL 2.79 5.76
Symbol Close ChangeULEVER 5,049.25 92.50
UPFL 1,178.90 52.76
IDYM 308.09 12.30
BHAT 257.17 11.07
POL 322.40 8.76
Symbol Close ChangeNESTLE 3,354.15 -145.83RMPL 2,749.99 -42.6714SHEZ 137.61 -7.24FTHM 107.35 -5.65SAPL 155.07 -5.24
Plus 150Minus 97Unchanged 97
Top 5 Volume Leaders
Major Losers
Major Gainers
KSE-100 Index
LSE-25 Index
ISE-10 Index
Active Issues
Friday, March 18, 2011 5
Dhiyan
In the near future trade is likely to stay on a tight leash moving
between 11,700 and 12,000 points. Investors are advised to go for high
dividend-yielding, valued, and growth stocks where our top picks are
ENGRO and POL. As far as sectors are concerned fertiliser, oil, and
textile sectors look good to park money in. Today's market perform-
ance hinges upon foreign investors and regional markets' trend.
Samar Iqbal, Equity Dealer Topline Securities
Zia Shaafi, Senior Equity Dealer Pearl SecuritiesOutlook is bullish going forward. We base this upon these rea-
sons: 1) improving political conditions, 2) end of Raymond Davisissue, 3) availability of Margin Trading System (MTS), and 4)hopes of some strong quarterly corporate results. Investors there-fore are recommended to take positions only in bluechips. Marketwould be positive today. However we might see some profit tak-ing in the second half due to weekend factor.
FOREIGNERS GOT TRENDKEY
Opening 11,794.57
Closing 11,858.27
Change 63.70
% Change 0.54
Turnover (mn) 117.02
Opening 3,562.13
Closing 3,595.50
Change 33.37
% Change 0.94
Turnover (mn) 4.76
Opening 2,753.27
Closing 2,755.95
Change 2.68
% Change 0.10
Turnover (mn) 0.04
SHANGHAI: A man monitors stock prices at a securities trading firm. -Reuters
HONG KONG/SHANGHAI:Worries about Japan's ongoingnuclear depressed shares inHong Kong on Thursday, withthe Hang Seng Index droppingmore than the Nikkei did.
The benchmark indexdropped 1.8 per cent, comparedwith the Nikkei's 1.4 per centdecline. The ShanghaiComposite , China's main stockindex, slipped 1.1 per cent, ledby nuclear power equipmentmakers.
Hong Kong's drop to22284.43 also was fuelled by a10.9 per cent plunge byTencent Holdings , China'smost valuable Internet compa-ny. The stock, part of the HangSeng index, dived after report-ing its slowest growth in morethan three years late onWednesday.
Tencent "has been outper-forming the market," saidTanrich Securities Vice-
President Jackson Wong."Investors are just reducing thepremium on the stock."
For Tencent, it was thebiggest one-day drop sinceOctober 2008, Tencent is stillup 14 per cent for the year. In areport on Wednesday, CreditSuisse rated the stock as out-perform.
Tencent's sharp drop was akey to the Hang Seng breakinga four-month long consolida-tion pattern for the Hang Seng,which closed at 22284.43.Further worsening the technicaloutlook were several large capsclose to or breaking below sup-port levels.
HSBC Holdings , the stockwith the biggest weight on thebenchmark, fell 1.7 per cent toHK$79.00, its lowest closesince Dec. 1, when it ended atHK$78.55.
China Mobile fell 2.6 per centto HK$69.30, its lowest close
since the end of 2009. Meanwhile, non-nuclear
energy issues continued theirbullish trend, bucking down-side pressures as China sus-pended nuclear approvals.
China Longyuan PowerGroup Corp Ltd , one ofChina's largest wind power pro-ducers, gained 3.84 per centafter rising 3.7 per cent onWednesday.
"I think this is a case ofinvestors rotating their fundsand speculating," said KGIAsia Chief Operating OfficerBen Kwong.
China's vast nuclear push islikely to slow after the govern-ment ordered a safety crack-down on Wednesday in thewake of Japan's nuclear crisis.
The benchmark ShanghaiComposite Index ended at2,897.3 points. The index rose1.2 per cent on Wednesday. -Reuters
HK, China stocks drop asJapan crisis gathers girth
Nawaz Ali
KARACHI: Release of UScitizen Raymond Davischarged with double murderwas welcomed by theinvestors at Karachi StockExchange (KSE) whichbulled up on Wednesday.
Benchmark index endedabove 11,800 levels despitethe sorry state of regionalstock markets.
The benchmark KSE 100-Index gained 63 points toclose at 11,858 points,30-Index 71 points to closeat 11,514 points and AllShares Index earned 49points to finish at 8,245points.
"Investors turned bullishtoday after the local courtfreed Davis who was themajor bone of contentionbetween Pakistan and USforeign relations", saidJawad Khan, equity dealerat JS Global Capital.
After a weeklong bear-spell at the local bourse,aggressive buying at lowerlevels by the local institu-tions kept the momentumpositive throughout the day.Locals bought mainly inindex heavy weights, whileforeigners were rumored tohave been selling energyand fertiliser stocks, headded.
The day started with anadded advantage of 39 pluspoints. Going ahead bullishactivities aggregated andduring the early minutes theindex touched an intradayhigh at 11,933 points (+ve138). Index, later on,
remained in the positive ter-ritory almost throughout theday, however, some profit-taking during the laterhours trapped the index in abearhug for a few minutes.But support at lower levelsclosed the day on a bullishnote.
Raymond Davis wasreleased by the court onWednesday after the pay-ment of "bloodmoney"leading to an end to US-Pakistan tensions to a largerextent. It should be notedthat American embassyemployee Raymond hadmurdered two alleged way-layers on Jan 28 this yearbefore landing in the handsof Lahore police whichdampened the relationsbetween the two countries.
Foreign investors howev-er were bent on the sellingas according to NCCPL datathey net-sold holdingsworth $1.2 million onThursday raising thisweek's total to $7.58 mil-lion so far.
Out of total 344 activeissues 150 progressed, 97regressed while 97 issueswere no-movers.
Volumes also improved as117 million sharesexchanged hands which are9.1 million more than aturnover of 107.9 millionshares a day earlier.
Fatima Fertiliser stood asthe volume leader with10.44 million shares fol-lowed by Lotte Pakistanwith 10.17 million andNishat Chunian 6.04 mil-lion shares.
‘Davis’leaves
Khi mktbulling up
MUMBAI: Indian sharesdeclined 1.1 per cent onThursday, led by losses infinancials, on concerns of fur-ther monetary tightening afterthe central bank raised interestrates at its policy review as itbattles stubborn inflation.
The Reserve Bank of Indiaraised interest rates for theeighth time since last March, inline with expectations, andwarned both of inflationarypressures and emerging risks togrowth, leading to fears of fur-ther rate hikes.
"RBI is acknowledging therisks due to inflation and in turna risk to growth,' said RajatRajgarhia, director of researchat Motilal Oswal FinancialServices.
"Its anti-inflationary stancewill continue into the nextquarter, and we expect it to hikerates further from hereon." The30-share BSE index dropped1.14 per cent, or 208.82 points,to 18,149.87 points, with 22
components closing in the red. Foreign funds have pulled out
around $1.8 billion of Indianequities since the start ofJanuary to mid-March, sendingthe benchmark index sliding11.5 per cent in 2011.
Leading lenders State Bankof India and ICICI Bank andHDFC Bank fell between 0.1per cent and 1.4 per cent,respectively. Mortgage lenderHousing Development FinanceCorp tumbled 3.7 per cent.
A spike in the yen pulleddown top car maker MarutiSuzuki by 4.4 per cent.
"If the yen continues toappreciate against the dollar, itwould have a negative impacton the raw materials thatMaruti consumes," said AjayShethiya, a research analystwith Centrum Broking.
The yen hovered near arecord high against the dollar,with speculators building morebearish bets in the US dollar
See # 3 Page 11
Rate hikes concernspull down India mkt
US stocks mid-day
Wall Strallies;outlookbearish
NEW YORK: US stocksadvanced on Thursday, bounc-ing back after three days ofdeclines as investors searchedfor bargains, but the near-termoutlook remains bearish.
All three major US stockindexes recovered fromWednesday's lows, which hadput both the benchmark S&P500 and the Nasdaq in negativeterritory for the year.Thursday's gains moved theS&P and the Nasdaq back intothe black for 2011.
The CBOE Volatility Index,eased as stocks rose. It wasdown 10.8 per cent after risingsharply this week.
Trading volume, which wasthe highest of the year onWednesday, was at 3.05 billion,about average for trading at thispoint in the session.
Worries about the crisis inJapan kept investors on edge.
From a chart standpoint, "Idon't see anything right nowthat suggests that the near-termdecline is over," said ChrisBurba, short-term market tech-nician at Standard & Poor's inNew York. "Momentum is stillweakening ... I don't think thefear is going to be expelled,alleviated all at once, It's goingto take some time for optimismto build back up again."
The recent declines followeda rally of nearly six months instocks. The lofty gains alonehave prompted calls for a mar-ket correction.
See # 2 Page 11
Mock sessionfor SLB to
be heldtoday
KARACHI: Karachi StockExchange (KSE) will hold amock session for its memberson Securities Lending andBorrowing (SLB) system onMarch 18 and 19.
According to KSE, the firstsession will be held on Fridayfrom 6 to 7pm while the secondsession on Saturday from 11amto 1pm SLB system will beeffective from March 21.-APP
Lower due to Japanese crisis but volume light
South East Asian stocks
European shares bounce back;hedge funds active
ANNOUNCEMENT
Company Period Div/Bon/Right PAT (Rs in mn) EPS(Rs)
Indus Dyeing Yearly 50%(i)(D) - -
Nikkeiloses 1.44pc
TOKYO: Japan's benchmarkNikkei average closed down1.44 per cent at 8,962.67 onThursday, while the broaderTopix shed 0.84 per cent to810.80. -Reuters
After sharpfalls FTSEup 1.8pc
LONDON: Commodity stockspowered a bounce in Britain'stop shares by close on Thursday,as heavy selling this week madeequities look attractive from atechnical perspective, withvolatility set to persist.
The FTSE 100 index closed97.88 points or 1.8 per cent,higher at 5,696.11. It had fallen ineach of the previous six sessionsand the index is still down 4.3 percent this month, with politicalunrest and violence across theArab World and Japan's nuclearcrisis keeping investors fearful.
See # 4 Page 11
Friday, March 18, 20116
Volume 117,023,748
Value 6,264,008,602
Trades 64,678
Advanced 150
Declined 97
Unchanged 97
Total 344
Current 8,245.72
High 8,288.47
Low 8,185.76
Change h49.62
Current 11,858.27
High 11,933.78
Low 11,773.40
Change h63.70
Current 11,514.87
High 11,570.85
Low 11,398.82
Change h71.90
Market KSE 100 Index All Share Index KSE 30 Index
Current 19,885.97
High 19,965.46
Low 19,687.47
Change h198.50
KMI 30 IndexSymbolsAlert ! Unusual Movements
Technical AnalysisFundamental Highlights
As on Jun 30, 2010
Dewan Farooque Motors Limited
DFML closed up 0.29 at 2.27. Volume was 75 per cent above average
and Bollinger Bands were 6 per cent wider than normal. The company's
loss after taxation stood at Rs133.556 million which translates into a
Loss Per Share of Rs1.50 for the half year of current fiscal year
(1HFY11).
DFML is currently 27.3 per cent above its 200-day moving average and
is displaying an upward trend. Volatility is extremely high when com-
pared to the average volatility over the last 10 trading sessions. Volume
indicators reflect moderate flows of volume into DFML (mildly bullish).
Trend forecasting oscillators are currently bullish on DFML.
RSI (14-day) 64.76 Total Assets (Rs in mn) 4,204.55
MA (10-day) 1.94 Total Equity (Rs in mn) (747.01)
MA (100-day) 1.92 Revenue (Rs in mn) 1,025.34
MA (200-day) 1.78 Interest Expense 8.92
1st Support 1.99 Loss after Taxation (437.50)
2nd Support 1.76 EPS 10 (Rs) (4.917)
1st Resistance 2.38 Book value / share (Rs) (8.40)
2nd Resistance 2.54 PE 11 E (x) -
Pivot 2.15 PBV (x) (0.27)
Technical AnalysisFundamental Highlights
As on Dec 31, 2009
WTL closed up 0.17 at 2.49. Volume was 7 per cent above average and
Bollinger Bands were 22 per cent narrower than normal. The compa-
ny's loss after taxation stood at Rs1.147 billion which translates into a
Loss Per Share of Rs1.33 for the year ended CY10.
WTL is currently 9.9 per cent below its 200-day moving average and is
displaying a downward trend. Volatility is high as compared to the aver-
age volatility over the last 10 trading sessions. Volume indicators reflect
volume flowing into and out of WTL at a relatively equal pace. Trend
forecasting oscillators are currently bearish on WTL.
RSI (14-day) 49.35 Total Assets (Rs in mn) 17,566.02
MA (10-day) 2.46 Total Equity (Rs in mn) 11,379.05
MA (100-day) 2.67 Revenue (Rs in mn) 8,408.28
MA (200-day) 2.77 Interest Expense 523.03
1st Support 2.31 Loss after Taxation (490.82)
2nd Support 2.20 EPS 09 (Rs) (0.57)
1st Resistance 2.56 Book value / share (Rs) 13.22
2nd Resistance 2.70 PE 10 E (x) -
Pivot 2.45 PBV (x) 0.19
WorldCall Telecom Limited
Technical AnalysisFundamental Highlights
As on Dec 31, 2009
NIB closed up 0.04 at 2.06. Volume was 9 per cent below average and
Bollinger Bands were 71 per cent wider than normal. The company's
loss after taxation stood at Rs10.112 billion which translates into a Loss
Per Share of Rs2.50 for the year ended CY10.
NIB is currently 28.2 per cent below its 200-day moving average and is
displaying a downward trend. Volatility is high as compared to the aver-
age volatility over the last 10 trading sessions. Volume indicators reflect
very strong flows of volume out of NIB (bearish). Trend forecasting
oscillators are currently bearish on NIB.
RSI (14-day) 32.45 Total Assets (Rs in mn) 208,118.96
MA (10-day) 2.12 Total Equity (Rs in mn) 41,643.27
MA (100-day) 2.75 Revenue (Rs in mn) 18,272.36
MA (200-day) 2.87 Interest Expense 12,872.36
1st Support 2.03 Profit after Taxation 691.05
2nd Support 1.97 EPS 09 (Rs) 0.171
1st Resistance 2.11 Book value / share (Rs) 10.30
2nd Resistance 2.13 PE 10 E (x) -
Pivot 2.05 PBV (x) 0.20
NIB Bank Limited
Technical AnalysisFundamental Highlights
As on Jun 30, 2010
MLCF closed up 0.01 at 2.35. Volume was 39 per cent below average
and Bollinger Bands were 15 per cent wider than normal. The compa-
ny's loss after taxation stood at Rs1.114 billion which translates into a
Loss Per Share of Rs2.40 for the half year of current fiscal year
(1HFY11).
MLCF is currently 21.0 per cent below its 200-day moving average and
is displaying a downward trend. Volatility is high as compared to the
average volatility over the last 10 trading sessions. Volume indicators
reflect volume flowing into and out of MLCF at a relatively equal pace.
Trend forecasting oscillators are currently bearish on MLCF.
RSI (14-day) 48.76 Total Assets (Rs in mn) 26,094.94
MA (10-day) 2.28 Total Equity (Rs in mn) 4,134.21
MA (100-day) 2.73 Revenue (Rs in mn) 13,630.51
MA (200-day) 2.97 Interest Expense 2,059.48
1st Support 2.27 Loss after Taxation (2,583.96)
2nd Support 2.21 EPS 10 (Rs) (6.941)
1st Resistance 2.41 Book value / share (Rs) 11.11
2nd Resistance 2.49 PE 11 E (x) -
Pivot 2.35 PBV (x) 0.21
Maple Leaf Cement Factory Ltd
OIL AND GAS
Performance of SR Oil and Gas Index
Open High Low Close Change % Change
1,459.76 1,491.12 1,454.34 1,468.80 9.04 0.62
Turnover Total cos Defaulter cos Listed cap Market cap 5-Day High
United Bank Ltd 34.38 57.20 56.55 58.50 59.15 57.85
WorldCall Tele 49.28 2.35 2.20 2.60 2.70 2.45
Company RSI 1st 2nd 1st 2nd Pivot
(14-day) Support Resistance
TECHNICAL LEVELS
Century Insurance Company Ltd 18-Mar 10:30
Security Investment 18-Mar 4:30
The Universal Insurance Co Ltd 19-Mar 11:30
Lakson Tobacco Pak Ltd 21-Mar 11:00
Pak Gum & Chemicals Ltd 21-Mar 11:00
Ksb Pumps Company Ltd 21-Mar 11:30
Karim Silk Mills Ltd 21-Mar 11:30
Pak International Airlines 26-Mar 10:00
BOARD MEETINGS
Company Date Time
Qatar bank ban badfor Islamic finance
QIIB bids for remainingIslamic Bank stakes
Friday, March 18, 2011 8
‘SME lift’on top of‘things to
do’: KardarKARACHI: President Silkbank Azmat Tarin Re-launching the Visa Debit Card.
Goharulayn Afzal (Group head, Marketing & Strategic planning) and Haseeb
Iqbal (Product Manager - Debit card) also seen in the picture.-Staff Photo
Cbank chief addresses SME Banking Conference
Staff Reporter/ Agencies
KARACHI: Governor StateBank of Pakistan, ShahidKardar has said that the centralbank is monitoring all aspectsthat encompass credit policiesof banks.
He was addressing a one-dayconference on 'SME Bankingin Pakistan, local trends androle of value added services'organised at SBP in collabora-tion with the InternationalFinance Corporation (IFC).
"It is our endeavor to pro-mote Small and Medium SizeEnterprises in the country," hesaid.
Kardar said that measureswere being taken by theCentral Bank to give moreincentives to the common mento attract them for promotionof SMEs which would prove tobe the backbone of the econo-my as had been experiencedother southern and easternAsian states.
He said that IFC was present-ly playing a key role in thisregard, added 70 per cent ofthe cost has to be sustained bythe applicants while rest of the30 per cent will be shared bythe creditors.
SBP Governor said a numberof schemes have been plannedfor the SMEs and will be intro-duced in near future throughthe banking channels.
He said the central bank wastaking steps to contain the rateof inflation in collaborationwith the Government.
About the written off loans,he said the SBP has proposedto Supreme Court to set up acommission which would lookinto all cases of bank loandefaulters.
"We are working in coordi-nation with the Supreme Courtto look into the cases of loandefaults," he pointed out whiletalking to the media persons.
He said that the money of thesmall depositors was in safehands of the banks and cases of
loan default mostly pertain tothose were themselves stake-holders in the banking sector.
The Non-Performing Loans(NPLs) of SME sector has reg-istered an increase of overRs5.1 billion to Rs96 billion byend of Dec 2010.
Shahid H Kardar stressedupon the banks to develop newproducts to effectively meetthe growing financing needs ofthe Small & MediumEnterprises (SME) sector inPakistan.
He observed that financialindustry at present lacked rele-vant skills to evaluate SMEs onnontraditional parameters thatwas reflected in the lack ofinnovation in the financialproducts to address the financ-ing needs of the sector.
He said that the future ofbanking industry in Pakistanwas critically dependent on thestrength and performance ofthe economy in which SMEsector had attained a crucialrole in terms of its growthpotential and greater employ-ment opportunities.
He said that SBP had beentrying to develop financialinstitutions to support SMEsector growth. 'We issued spe-cific Prudential Regulations in2003 to facilitate banks infinancing SMEs in effectiveand prudent manner and morerecently Credit GuaranteeSchemes were launched andnow the State Bank of Pakistanis conducting cluster surveyson SMEs in collaboration withIFC and LUMS,' he added.
'The new communicationstechnology has also broughtnew areas, like services (com-puter software, consultancy),into the framework. Earlier,services were not tradableacross time and space.
Now, they can be exportedvia the internet and even storedelectronically and used a longtime after they have been pro-duced.
More timefor KP, Fata
debtors to get
loans waivedStaff Reporter
KARACHI: The State Bank ofPakistan (SBP) has extendedthe deadline for submission ofclaims against write-off loansin Malakand, Swat, Buner andChitral Districts under thePrime Minister's Fiscal ReliefPackage to RehabilitateEconomic Life in Khyber-Pakhtunkhwa, Federally andProvincially AdministeredTribal Areas by one month.
According to a circular letter(IH& SMEFD Circular LetterNo 08) issued Tuesday, thedeadline for submission ofclaims in respect of abovescheme has been extendedfrom March 15, 2011 to April15, 2011.
ABL declares10pc bonusShares, 40pc
cash dividendStaff Reporter
KARACHI: The 65th Annual
General Meeting (AGM) of the
shareholders of Allied Bank
was held here which was
chaired by Mohammad Naeem
Mukhtar, Chairman of the
Board of Directors, Allied
Bank.
Members of the Board, State
Bank representatives, external
auditors, institutional share-
holders as well as a large num-
ber of individual shareholders
also attended the event.
An ABL statement said that
the shareholders adopted the
Annual Accounts of the Bank
for the year 2010.
The AGM considered and
accorded approval for the pay-
ment of Final Cash Dividend @
20 percent i.e. Rs2.00 per share
as recommended by the Board
of Directors, in addition to 20
percent interim cash dividend
already paid for the year 2010.
The shareholders also
approved issuance of 10 per-
cent Bonus shares by utilising
share premium account.
The shareholders also
approved increase in the
Autrhosied Capital of the Bank
from Rs10 billion to Rs15 bil-
lion as recommended by the
Board of Directors keeping in
view the State Bank's future
Capital Adequacy and Paid up
Capital requirements, as well as
the future growth and expan-
sion plan of the Bank.
Total assets of the Bank
increased to Rs450 billion,
while tier-I equity improved by
over 20 percent to Rs31 billion
at the year end. Deposits of the
Bank have grown by 13 per
cent to reach Rs371 billion as at
December 31, 2010 over the
previous year.
NBP aims tointro corebanking
system soonISLAMABAD: National
Bank of Pakistan (NBP) is all
set to launch Core Banking
System (CBS) to overcome
the technical problems in
transactions, particularly mak-
ing the Auto-Teller Machines
(ATMs) error-free to the cus-
tomers.
The CBS would facilitate
the customers to access their
funds and other simple trans-
actions from any of the mem-
ber branch offices, official
sources said.
The bank customers from all
across the country have been
complaining of regular faults
in ATM machines, causing
problems and difficulties for
them while drawing amounts.
The new system would help
overcome such problems, an
official in the main branch of
NBP here said adding that the
bank had already succeeded in
taking the measures and has
reduced such complaints to a
considerable level.
"With the new system, the
customers will also be able to
transfer their money online
through ATMs to any other
branch of the NBP", he added.
-APP
Silkbank’sVisa DebitCard getssecond life
KARACHI: Silkbank re-
launched their new Visa Debit
Card with an attractive and
vibrant design offering a
lifestyle of enhanced conven-
ience to its customers.
Addressing the re- launching
ceremony, Azmat Tarin,
President and CEO Silkbank
said that the newly introduced
card is acceptable at over
54,000 merchant outlets in
Pakistan and millions globally.
Customers can withdraw cash
at over 1.6 million ATMs
worldwide and over 4,000
ATMs nationwide. Visa Debit
Card customers can also trans-
fer funds between Silkbank and
other 1-Link member banks
offering the Inter Bank Transfer
Facility.
Silkbank has signed over 100
alliance partners nationwide,
offering a host of special dis-
counts to its Card members on
dining, entertainment, travel
and apparel.-PR
UK may get
“handsome
return” on
RBS, Lloyds
LONDON:The British taxpay-
er should end up with a "very
handsome return" from the
bail-out and part-nationalisa-
tion of Royal Bank of Scotland
and Lloyds, said the former
chief executive of Lloyds.
"We all believe that the tax-
payer will get a very handsome
return on that investment,"
Lloyds' former chief executive
Eric Daniels told parliament's
public accounts committee.
Britain acquired a stake of
around 83 per cent in RBS and
a 40.6 percent holding in
Lloyds while pumping some 66
billion pounds ($106 billion) of
taxpayers' money into the pair
in 2008 and 2009 following
huge losses at both during the
credit crisis.
Britain hopes to eventually
sell the state's RBS and Lloyds
stakes, although authorities
have said any such sale is
unlikely before the
Independent Commission on
Banking - set up to probe
reforms to the sector - publish-
es a final report in September.
A recent stock market slump -
- sparked by last week's
Japanese earthquake and the
ensuing nuclear crisis -- has
meant that the British taxpayer
has been sitting on billions of
pounds of losses on its RBS
and Lloyds stakes.-Reuters
ISLAMABAD: Supreme
Court formed a three-member
body to probe 1300 cases of
loan waivers. The bench was
headed by Chief Justice
Iftikhar Muhammad Chaudhry.
Earlier, Counsel for State
Bank of Pakistan submitted
before the Supreme Court pro-
posals and recommendations
seeking its approval for forma-
tion of a commission to recov-
er bank loans.
The two-member bench of
Chief Justice Iftikhar
Muhammad Chaudhry and
Justice Ghulam Rabbani,
which resumed hearing of a
suo moto case related to Rs256
billion bank loans waived from
1971 to 2009, was apprised
that the SBP mulled constitu-
tion of a Commission to be
headed by Saleem Akhtar,
retired judge of the apex court,
and Rashid A Chughtai and
Yousuf Adil as its members,
which would submit its interim
report within 90 days after
becoming functional.
According to the recommen-
dations, the Court was prayed
to confer powers on the
Commission and functions
under the Pakistan
Commission of Inquiries Act
1956.
The report submitted by the
SBP counsel said that the
Commission would examine
and confirm validity of about
1300 written off loan cases
from 1997 exceeding Rs10 bil-
lion by 10 banks.
It would also determine
whether the loans were waived
off on commercial reasons or
political grounds.
The Commission could
direct the concerned bank to
initiate appropriate proceed-
ings in courts for recovery of
written off loans under the
Financial Institution (Recovery
of Finances) Ordinance 2001
or the NAB Ordinance.
In cases where the Circular
was misused, the Commission
would direct the SBP or banks
concerned to recall such
finance within not more than
three years.
The Supreme Court was also
requested to direct the govern-
ment of Pakistan to introduce a
bill before the Parliament seek-
ing an amendment to Section
10 of the Financial Institutions
Ordinance 2001, to introduce a
bill seeking suitable amend-
ments in the offices in respect
of Banks (Special Courts)
Ordinance 1984 so as to make
willful default a penal offence.
Additional Advocate General
for Pakistan KK Agha
appeared and suggested that in
the absence of effective legis-
lation to punish those bank
officials responsible for waiv-
ing off loans, the terms of ref-
erence would not bear fruits.
He emphasized effective
measures for recovery of loans
in future besides, highlighting
role of value of property given
by the borrower and the role of
the evaluator.
Mansoor-ul Arifeen, counsel
for four banks including HBL,
NBP, Standard Charters and
NIB, apprised the court that
Circular 29 under which loans
were waived off, had been
issued faithfully but it was mis-
used.
During the hearing, the State
Bank of Pakistan proposed the
formation of a committee to
look into the written off loans.
The counsel of a private bank
said that the State Bank
Governor was consulting vari-
ous banks to formalise the sug-
gestion.-Agencies
Panel to get to bottomof written-down loans
SBP to incentivisefinancial innovatorsBAHAWALPUR: The DeputyGovernor, State Bank ofPakistan, Yaseen Anwar hasdisclosed that the central bankwill soon launch a 10 millionUK pound Financial InnovationChallenge Fund to spur innova-tions in the financial servicesproducts and delivery channelsin the country.
Speaking at the inauguralceremony of NRSPMicrofinance Bank Limited(NRSP MFB) here, he saidSBP has also launchedImproving Access to FinancialServices Fund (IAFSF), forimproving financial literacyamongst existing and potentialmicrofinance clientele whichwill enhance their capability toaccess and make productiveuse of financial resources.
"A nationwide FinancialLiteracy Program will belaunched shortly in various dis-tricts on a pilot basis," headded.
Yaseen Anwar said the StateBank of Pakistan will continue toencourage mainstreaming ofmicrofinance into formal bank-ing system to achieve financialinclusion in a sustainable man-ner.
"SBP believes that in thelong run institutional develop-ment is the most critical factorfor sustainable growth ofmicrofinance in the country,"he added.
SBP Deputy Governor saidthat the setting up of NRSPMFB was a result of successfultransformation of NationalRural Support Program(NRSP) into microfinancebank. "At SBP, we look for-ward to the success and posi-tive outcomes of this transfor-mation," he said.
He however, emphasized thatthe 'transformation' of anymicrofinance institution into amicrofinance bank is not a one-time move. "It's a long termand rigorous process in whichthe organizational behaviorshave to be constantly modifiedto a new environment charac-terized by competitiveness andregulatory compliance," hesaid and added that with thistransformation, the NRSP willnow be exposed to new set ofchallenges which will haveconsequences for the financial,operational, and strategic risks.
Yaseen Anwar said that sinceNRSP holds a market share of
almost 22%, its commence-ment of business will result ina substantial increase in themarket share of regulatedmicrofinance banks within theoverall microfinance sector.
Besides micro-credit, thistransformation will also lead tothe provision of other impor-tant financial services (such asdeposits, remittances etc.) inthe rural areas of our country,he added.
"We foresee NRSPMicrofinance Bank operatingsuccessfully in all the districtsof Pakistan in near future. Ibelieve that NRSP experiencewill act as a change agentwhich will facilitate the trans-formation of other larger MFIsinto formal banking system,"he added.
He said that the State Bankhas taken a number of policyand program initiatives to pro-mote microfinance in the coun-try.
"To facilitate the microfi-nance industry's growth on asustainable basis, SBP main-tains fine balance in regulatingthe sector and allowing spacefor innovation and experimen-tation," he added.-APP
10mn pound Financial Innovation Challenge Fund soon
KARACHI: The InternationalFinance Corporation (IFC), amember of the World BankGroup, is raising awareness inPakistan's financial sectorabout the needs of small andmedium-sized enterprises thathelp drive the country's econo-my and pull the people out ofpoverty.
In partnership with the StateBank of Pakistan, IFC hosted aconference here that broughttogether bankers involved inlending to small and medium-sized businesses, representa-tives of such businesses, andmembers of organisationsdevoted to supporting thosefirms.
The participants discussedthe challenges and opportuni-ties of mid-scale commercialbanking in the country.
"Through this conference,the IFC is building awarenessof both the financial and nonfi-nancial needs of small andmedium-sized companies,highlighting opportunities andsharing best practices," saidKaiser Naseem, Head of IFC's
Bank Advisor/ Services in theMiddle East and North Africa.
"Small and medium-sizedcompanies are very importantcontributors to job creation,income generation and povertyalleviation, and therefore theyneed special focus and servic-es", he added.
The conference includedworkshops about the regulato-ry framework for such compa-nies in Pakistan, global andregional banking trends, andhow to leverage non-financialservices to increase bankingfor small and medium-sizedcompanies.
Presenters included interna-tional bankers from Turkeyand senior officials of the StateBank of Pakistan and IFC, andthe Business Support Fund.
IFC shared success storiesfrom its small and medium-sized companies managementprograms-Business Edge andthe SME Toolkit-whichimprove the business perform-ance of small and mediumenterprises and enable banks togrow such portfolios.
IFC has big ideaabout small cos
JAKARTA: Malaysian palm oilfutures dipped as much as 1 percent on Thursday, as persistentuncertainty surrounding the eco-nomic impact of the devastatingJapanese earthquake and tsuna-mi weighed on prices.
The benchmark May 2011crude palm oil contract on BursaMalaysia Derivatives closed at3,338 Malaysian ringgit($1,094) a tonne, down 0.27 percent after earlier touching a lowof 3,305 ringgit.
Prices of the vegetable oil,used in products such as food,cosmetics, tyres and biofuels, hita near four-month low of 3,250on Tuesday. Traded volume onthe Malaysian benchmark stoodat 12,847 lots of 25 tonnes each,compared with a near three-
week high of 25,206 lotsnotched on Wednesday.
ICDX's May CPO futures con-tract was at 9,835 rupiah per kg,compared to 9,770 rupiah per kgwhen it opened. Market volumewas 495 lots of 10 tonnes each.
Japan imports around 500,000tonnes of palm oil each year.Global palm oil production wasabout 45 million tonnes in 2010.
"Since February, the markethas gotten worse because of sup-plies increasing, while demandhas not," said Leonardo Gavaza,
an analyst at Bahana Securities."Japan will make demand for
palm oil worse," he added.In comparable vegetable oil
markets, the most-activeSeptember 2011 soyoil on theDalian Commodity Exchangetraded up more than a per cent at9,872 yuan. Palm oil is seenheading for record highs in 2011on expectations for costly crudeoil to bolster biodiesel demandand offset better harvests, partic-ipants at a Malaysia conferencesaid this month. -Reuters
Japan worries weighon palm oil prices
9Friday, March 18, 2011
POLYPROPYLENE(PP) LINEAR LOW (LL)
Cash & Settlement 1310 1255
December (3rd Wednesday) 1310 1260
January (3rd Wednesday) 1310 1260
LONDON METAL EXCHANGE (PLASTIC)
LME Official Prices, US$ per tonne for March 16 2011
LME Official Prices, US$ per tonne for March 16 2011
ALUMINIUM ALUMINIUM COPPER LEAD NICKEL TIN ZINC NASAAC
NEW YORK: Oil prices rosenearly 3 per cent on Thursday asunrest in the Middle East andNorth Africa added more wor-ries about supply disruptionseven as investors weighedimpact on demand of Japan'searthquake disaster.
Bahrain's ongoing crackdownon Shi'ite protesters after SaudiArabia sent introops on Mondayhas provoked acomplaint fromIran lodged beforethe UnitedNations, sparkingworries of a widerregional unrest thatcould stifle oil production.
At the same time, analysts saiddamage to Libya's oil infrastruc-tures in the wake of a rebellionmay require a long period ofrepairs before it can recover pro-duction currently down abouttwo-thirds of its normal 1.6 mil-lion barrel per day output. InJapan, the government mounteda desperate bid to avert a catas-trophe at a crippled nuclear com-plex, on the sixth day after a dis-astrous earthquake and tsunamistruck its northern region,severely affecting demand in the
world's third largest oil con-sumer.
"With the Japanese crisis weare starting to enter an area ofsystemic risk where assets cansee extreme fluctuations withoutnecessarily a fundamental justi-fication," Olivier Jakob, oil ana-lyst at Petromatrix, said in anote. By 1535 GMT, Brent crude
for May delivery rose $3.04 to$113.64 a barrel, after hitting asession high of $114.20.
US crude for April deliverygained $2.45 to $100.43, afterrallying to an early high of$100.78. US crude's sharp risewas also aided by upbeat data onjobless benefit claims and facto-ry activity in the Mid-Atlanticregion. Data showing that infla-tion remained contained despiterising prices also helped boostinvestor mood.
The state-owned BahrainPetroleum Co (BAPCO) has
partly shut down production dueto staff shortages caused bypolitical unrest in Bahrain, tradesources said.
Libyan troops pushed forwardtowards the insurgent strongholdof Benghazi and launched airraids on its outskirts asWashington raised the possibili-ty of air strikes to stop
M u a m m a rG a d d a f i ' sforces.
S a u d iS h i ' i t e smarched in thekingdom's oil-producing easton Wednesday,
demanding the release of prison-ers and voicing support forShi'ites in nearby Bahrain, anactivist and witnesses said.
"The focus is back on continu-ing unrest in the Middle East andwhat will be a lot of disruption inLibya for a long time," saidChristopher Bellew, an oil traderat Bache Commodities.
"The risk is more to the upside-- there was a lot of long liquida-tion on that sharp sell off at thebeginning of the week so we willwork our way a bit higher prob-ably." -Reuters
Oil up nearly 3pc onMiddle East unrest
Europeanvegetableoil prices
ROTTERDAM: The follow-ing were the Thursday'sRotterdam vegetable oil price'sat 22:00 PST.
SOYOIL: EU degummedeuro tonne fob exmill Mar11900.00+15.00, Apr11903.00+18.00, May11/Jul11906.00+13.00.
Note: Traded Volume reflects the trades from 06:00 pm of previous day to 06:00 pm of current day
Tokyorubber jumpsBANGKOK: Tokyo rubberfutures hit a one-week high onThursday, jumping at one stageby the 30 yen limit as buyingby investment funds helpedpush the price through resist-ance at 390 yen, dealers said.
The benchmark rubber con-tract on the Tokyo CommodityExchange for August deliveryeventually settled 27.9 yenhigher at 396.9 yen ($4.91) perkg. It had risen as much as 8 percent to 399.0 yen per kg, thehighest since March 11.
The most active rubber con-tract on Shanghai CommodityExchange for May delivery rose90 yuan to finish at 34,335 yuan($5,224) per tonne. The govern-ment of Thailand, the world'sbiggest exporter, has askedexporters to halt shipments inan effort to support prices andthey have around 300,000tonnes of rubber sheet in stocks.
A meeting of the world's topthree rubber producers --Thailand, Indonesia and Malaysia-- due this week to find ways tostabilise prices has been pushedback but is still expected thismonth. Brent reversed early loss-es to hold above $111 onThursday as tensions in theMiddle East kept a floor underprices, while investors continuedto assess the impact on energydemand from a worsening nuclearcrisis in quake-hit Japan. -Reuters
SAN FRANCISCO: Customers pick through fresh vegetables at a farmers marketin San
Francisco, California. -Agencies
NEW YORK: US cotton futuresfinished near a three-week lowWednesday, dropping for the 6thtime in seven sessions asinvestors exited positions afternews Japan's nuclear emergencywas getting worse.
Europe's energy chief warnedthe situation at the earthquake-damaged plant was 'out of con-trol' and urged people to leave thecountry.
The key May cotton contracton ICE Futures US dropped5.82 cents to close at $1.8512per lb, trading from $1.8501 to$1.9794. It was the lowest close
since Feb. 25.Since hitting a record top at
$2.27 last month, cotton has lostnearly a fifth of its value,Thomson Reuters data showed.
Open interest in the market, anindicator of investment exposurein cotton, stood at 174,801 lots asof March 15, compared with172,588 lots in the previous ses-sion, which was the lowest sinceJuly 29, 2010, data from ICEFutures US showed.
Volume traded stood at 27,500lots, about 15 per cent below the30-day norm, Thomson Reuterspreliminary data showed.
'It's pandemonium (selling)over Japan,' said Keith Brown,the president of commodity firmKeith Brown and Co. inMoultrie, Georgia.
He said a vacuum of news overwhat is happening in Japan'snuclear reactors was filled in bythe European declaration and thisprompted already skittishinvestors to dump cotton late.
The next bit of informationwhich will provide direction forcotton futures would be thepotential plantings report by theUS Agriculture Department dueout on March 31. -Reuters
US cotton shriveled byJapan radiation fears
LONDON: Copper hit its high-est in over a week on Thursdayas buyers moved back into themetal after Japan's nuclear crisisdrove it to three-month lows thisweek, with positive US data giv-ing an additional lift to prices.
London Metal Exchange three-month copper hit $9,565 a tonne,it highest since March 9 after USdata. The metal held gains toclose at $9,565 fromWednesday's $9,260 close.
Copper used in power and con-struction tumbled to as low as$8,944.50 on Tuesday asinvestors dumped risky assetsbecause of the nuclear crisis inJapan -- a major manufacturer --following Friday's earthquakeand tsunami there.
"The risk aversion is not as itwas. There is this assumptionthat conditions will revert backto normal reasonably quickly,"Deutsche Bank analyst DanielBrebner said. "US economic datalooked quite strong," he said,adding signals from top con-sumer China also helped. ThePeople's Bank of China signalledit may not raise interest rates orbank reserve requirement ratiosimmediately.
Meanwhile, rising oil pricesthat boosted inflation concernskept alive worries about eco-nomic growth, with unrest esca-lating in oil-exporting Libya andin Bahrain, which is neighbourto top oil exporter Saudi Arabia.
"The financial markets remain
volatile and nervous as the Japanquake situation is scrutinised inevery detail and the MENA(Middle East and North Africa)tensions continue to worry theworld's political leaders and eco-
nomic analysts," Sucden said ina note.
Stocks of copper in LMEwarehouses last rose 1,825tonnes to 428,800 tonnes, theirhighest level since July.
Aluminium ended at $2,523 atonne from a close of $2,458.LME stocks of the metal used intransport and packaging last fell1,050 tonnes to 4,619,400tonnes, but a record-high4,640,750 tonnes hit in January2010 remains within reach.
Tin ended at $29,375 from$28,600 a tonne, zinc wasuntraded but bid at $2,333 from$2,288 a tonne and nickel endedat $25,925 from $24,950 a tonne.
Lead ended at $2,651 a tonnefrom $2,580. -Reuters
Copper backat wk-high,
US data help
Robusta coffee
hits 3-yr high;
sugar firmLONDON: Robusta coffeefutures soared 5 per cent to athree-year high on Thursday,driven by heightened concernabout the availability of sup-plies to deliver against the Maycontract.
Sugar also jumped, but deal-ers said the price risk was to thedownside as more of the cropthan expected was awaitingharvest in Thailand, and Indiacould be set to export surplussugar to the world market.
Robusta coffee futures hit athree-year high of $2,615 a tonnefor the benchmark second posi-tion as dealers talked of a leadingtrade house holding a large longposition and of a shortage ofavailable deliverable coffee.
Liffe May robusta coffee trad-ed up $119 or 4.8 per cent at$2,606 per tonne in heavy vol-ume of 12,525 lots at 1537 GMT,having earlier touched a three-year peak of $2,615 per tonne.
ICE May arabica coffee trad-ed up 6.6 cents or 2.5 per centat $2.7195 per lb at 1538 GMT,below the 34-year high of$2.9665 a lb touched last week.
Cocoa prices rose as violencein Ivory Coast intensified, sup-porting the market.
ICE May cocoa extendedgains, trading up $73, or 2.3 percent, to $3,288 a tonne at 1539GMT, below the 32-year peakhit earlier this month of $3,775.
London May cocoa traded up23 pounds, or 1.1 per cent, at2,125 pounds a tonne in modestvolume of 6,116 lots.
ICE raw sugar futuresjumped in a technical bounceafter a steep sell-off this weektriggered by the nuclear crisisin Japan after the earthquakeand tsunami.
ICE May raw sugar futurestraded up 1.02 cent or 4 percent at 26.87 cents a lb at 1540GMT, well below last month's30-year high of 36.08 cents alb. London May white sugarwas up $20.90 or 3.1 per cent at$689.50 per tonne in low vol-ume of 2,423 lots. -Reuters
LONDON: Gold rose onThursday, sustained by anincrease in exchange tradedproduct (ETP) holdings,stronger physical demand anda weaker dollar, but investorselling to cover losses in othermarkets limited gains.
Platinum and palladium fell asthe market fretted about a loss ofdemand due to car plant closuresin Japan after the earthquake.Platinum and palladium tumbledto 3-1/2 month lows of $1,654and $684.50 an ounce respec-
tively, before recovering.Spot gold was bid at
$1,401.45 a troy ounce at 1516GMT from $1,398.70 late inNew York on Wednesday.Earlier this week gold fell to aone-month low of $1,380.90.
US gold futures for Aprilwere up $5.9 an ounce to$1,402 an ounce.
Gold was little moved by USdata that showed higher infla-tion, falling jobless claims and adip in industrial production (IP)."Gold is pretty much movingalong with the dollar," RBS ana-lyst Daniel Major said.
"And I think certainly whenwe've got a number of muchlarger concerns than a smallmiss on IP...that's the reasonwhy asset prices aren't reacting
to the data itself."The world's largest gold-
backed exchange-traded fund,SPDR Gold Trust, said itsholdings edged up to 1,217.295tonnes by March 16 from1,212.745 tonnes by March 15,their lowest since May of lastyear.
"With gold dropping below$1,400 we continue to see gooddemand in the physical market.At levels above $1,430 we seescrap coming to the market,"said Walter de Wet, analyst at
Standard Bank. "There's beenconsistent liquidation ... sincelast week, following the earth-quake."
Premiums for gold bars roseto as much as $2 an ounce inTokyo, double from earlier thisweek, as a record-high yenboosted demand and supplytightened. Spot silver was at$34.18 an ounce from $34.20late on Wednesday. Platinumwas at $1,700.49 an ouncefrom $1,686.50 and palladiumat $714.72 from $694.50.
Part of the reason for therecovery in the platinum groupmetals (PGM) was news onWednesday that car makerNissan Motor said it wouldrestart operations at a plant inJapan. -Reuters
Gold rises supportedby inflation worries
Shanghai copper
declinesCopper prices lost 1 per cent
in Shanghai on Thursday,reversing a 3 per cent gain inthe previous session, on fearsthat a worsening nuclear crisisin Japan would hurt the globaleconomy.
Shanghai's most-active cop-per futures contract lost 1 percent at 69,810 yuan ($10,623),while aluminium lost 0.8 percent at 16,525 yuan.
India sugar
rises on
higher
demandMUMBAI: India spot sugarprices rose for the second dayon Thursday as stockistsstepped up purchases to meetdemand from cold drink mak-ers and on hopes the govern-ment may allow exports, deal-er said.
"Prices are likely to go up astemperature is going up andexpectations are that the gov-ernment may allow export ofsugar under open generallicence (OGL)," said MukeshKuvadia, secretary BombaySugar Merchants Association.
Demand for the sweetenerfrom ice-cream and cold-drinkmakers typically goes up dur-ing the summer.
In Kolhapur, a key marketin top producing Maharashtrastate, the most traded S-vari-ety closed up by 0.44 per centto 2,695 rupees ($59.8) per100 kg.
Sugar contract for Aprildelivery on India's NationalCommodity and DerivativesExchange (NCDEX) closedlower by 0.31 per cent at 2,812rupees per 100 kg. -Reuters
US jobless claims, factory data help lift prices
Friday, March 18, 2011
B’desh’sbest yetto come,
Tamim saysDHAKA: Bangladesh are onthe verge of achieving theirWorld Cup target of reachingthe quarter-finals despite notplaying their best cricket, open-ing batsman Tamim Iqbal said.
The Tigers, with six pointsfrom five matches, will advanceto the knockout rounds if theWest Indies defeat England inChennai on Thursday.
But if England win,Bangladesh will have to upsetpowerful South Africa in theirlast league match at the Sher-e-Bangla stadium on Saturday toqualify.
"If we can make the quarter-finals, it will be great becausethat was the team's targetbefore the tournament," theaggressive left-hander said.
"We have not played our bestcricket yet. We can do betterthan that and we will try to dothat against South Africa."
Bangladesh, the only team inthe competition with theadvantage of playing all theirleague matches at home,defeated England and the twominnow sides, Ireland and theNetherlands.
But they lost the tournamentopener to India and thencrashed to their lowest one-day total of 58 against theWest Indies.
"Even if we don't play thequarter-finals, it will not takeanything away from us," saidTamim. "Our aim was to win atleast three matches and we havealready achieved that target.
"If we can get one more thatwill be fantastic."
Tamim, the team's leadingbatsman, was not worriedabout his own form withscores of 44, 0, 38 and 0 aftermaking 70 against India.
There have been no hun-dreds or century partnershipsby the Bangladesh batsmen inthe series.
"I have scored 70 and twoinnings of around 40," saidTamim. "Three years backeveryone would have beenhappy with that. But I haveraised my own standards, soyou now see my 40s as a failure.
"I am not really worried.There is nothing wrong withmy technique. People keeptelling me that I have notscored a century in the WorldCup. I dream of a hundredeven in my sleep.
"I am sure you will see itsoon. At least a century standis not too far away," he said.
Tamim, who turns 22 onSunday, went into the WorldCup determined to be histeam's top scorer in everymatch and achieved that targetonly in the first two gamesagainst India and Ireland.
Tamim has scored 2,792 runsin 94 one-dayers at a strike rateof almost 80, with three hun-dreds. -APP
Most Runs
Players Mat Runs HS Ave SR
Jonathan Trott(Eng) 6 336 92 56 82.55
Andrew Strauss(Eng) 6 329 158 54.83 97.33
Virender Sehwag(India) 5 327 175 65.4 125.28
Most Wickets
Players Mat Wkts BBI Ave Econ
Shahid Afridi(Pak) 5 16 38853 10.06 3.5
Kemar Roach(WI) 5 13 38895 12 3.88
Harvir Baidwan(Can) 6 13 12844 23.61 5.58
RECORD BOARD
10
GROUP A
Teams Mat Won Lost Tied N/R Pts Net RR
GROUP B
Teams Mat Won Lost Tied N/R Pts Net RR
Australia 5 4 0 0 1 9 1.693
New Zealand 5 4 1 0 0 8 1.957
Pakistan 5 4 1 0 0 8 0.729
Sri Lanka 5 3 1 0 1 7 2.705
Zimbabwe 5 1 4 0 0 2 -0.669
Canada 6 1 5 0 0 2 -1.987
Kenya 5 0 5 0 0 0 -3.005
South Africa 5 4 1 0 0 8 1.606
India 5 3 1 1 0 7 0.768
England 6 3 2 1 0 7 0.072
West Indies 5 3 2 0 0 6 1.65
Bangladesh 5 3 2 0 0 6 -0.765
Ireland 5 1 4 0 0 2 -0.881
Netherlands 5 0 5 0 0 0 -2.386
TV Anchor Mr. Mirza Iqbal Baig is conducting PresentationCeremony of NIT Inter Rover Cricket Tournament - 2011.
CHENNAI: England kept themselves in the
hunt for a quarter-final place in the World Cup
with a thrilling 18-run victory over West Indies
in a Group B match on Thursday.
Defending a 243-run total on a wicket that
offered plenty of runs, James Tredwell (4-48)
wrecked the West Indies top order while Ravi
Bopara claimed two vital wickets to bowl out
the Caribbean side for 225 in 44.4 overs.
Chris Gayle (43) and Darren Sammy (41)
made a whirlwind start but West Indies were
unable to keep up the momentum as they lost
regular wickets.
Earlier, the English top order was guilty of
squandering promising starts and not a single
batsman could score a half-century against a
West Indies attack, spearheaded by pace bowler
Andre Russell (4-49) and debutant leg-spinner
Devendra Bishoo (3-34), which bowled them
out for 243 in 48.4 overs.
Andrew Strauss (31) and Matt Prior (21) fell
before their opening stand could really blossom
and even though Jonathan Trott (47) and Luke
Wright (44) down the order got the starts, none
could hang on till the final overs to make it
count. England's quarter-final prospects now
depend on the outcome of the other Group B
matches.
WI gift win to Eng
CHENNAI: England batsman Jonathan Trott (L) watched by West Indies wicketkeeperDevon Thomas plays a shot during the ICC Cricket World Cup 2011 match
between England and West Indies at the MA Chidambaram Stadium.-Reuters
COLOMBO: Ricky Pontinghas played down any concernsover his own form as the mostimportant stage of the WorldCup approaches, after he againfell cheaply against Canada onWednesday.
Australia face Pakistan inColombo on Saturday and thenmove into the knockout part ofthe tournament, and in fivematches so far, Ponting hasn'tmade a contribution of note.
Against Canada, he came inwith 19 runs required for victo-ry and fell to the hook shotonce again. He was hurried byHenry Osinde and lobbed acatch to the on-side. So far inthe tournament Ponting hasmade 28 against Zimbabwe, 12versus New Zealand, 36against Kenya and 7 in the winover Canada, and he hasn'tmade a century for Australia inany format since February2010.
"It would have been good tobe not out but there wasn'tmuch for me to gain going inwith 20-odd to get," Pontingsaid. "I could have been 10 or12 not out and probably have aslightly better taste in mymouth than I have at the
moment. "I must admit I looked up at
the scoreboard and knew thatwe only needed six to win. Iwas hoping I was going to getsomething short and try andpull it for six and I hit itstraight up in the air.Hopefully, I'm saving them forthe big matches."
The seven-wicket win overKenya also meant thatAustralia's hopes of gettingCameron White and StevenSmith plenty of time in themiddle didn't eventuate. Whitehas made only 50 runs from 73balls in the tournament so far,while Smith has faced only 19deliveries, as Australia's depthhasn't been seriously tested yet.
At least they can be confidentthat their openers are in finetouch. Brad Haddin and ShaneWatson started shakily againstCanada but soon found theirform. As the chase hurtledtowards its conclusion, theywere launching the bowlers toall parts of the ChinnaswamyStadium in a 183-run openingstand, breaking a 35-year-oldAustralian World Cup recordset by Rick McCosker andAlan Turner in 1975.-Reuters
Pontinginsists his
form’s fine
Junior camp
for the World
Team Squash
C’ship closesPESHAWAR: The junior campcomprising 10 probables inthree different age groups setupfor the 2012 World TeamSquash Championship con-cluded here at PAF HashimSquash Complex on Thursday.
Secretary Pakistan SquashFederation (PSF) WingCommander Irfan Mehmood,former World ChampionQamar Zaman, coach MohibUllah Khan, Mehboob Khanand players were also present.
According to the trials match-es results Nasir Iqbal took firstposition, followed by TayyubAslam, Bilal Zakir andSaddam-ul-Haq but wheninsisted Wing CommanderIrfan only mentioned the namesof Nasir Iqbal at No.1 andTayyub Aslam at No.2 whilerecently returned from IranDanish Atlas was on injury list.
Danish Atlas was reported tothe camp only to inform thehead coach Mohibullah Khanthat he had pain in his shoulderand that is why he could notattend the six-week long campor the trials matches.
When Mohib Ullah was con-tacted he disclosed that ascoach he fulfilled his coachingresponsibility with camp com-mandant Qamar Zaman andprovided the much requiredcoaching and training to nineplayers.-Agencies
LONDON: Three Pakistancricketers, accused of takingbribes to fix parts of a testmatch in England last year,told police the incidents werecoincidental or badluck, aLondon court heard onThursday.
The trio, former captainSalman Butt, Mohammad Asifand Mohammad Amir, areaccused by British prosecutorsof spot-fixing or rigging thematch by bowling no-balls atpre-agreed times during thefourth test at Lord's lastAugust.
"There is no doubt that theallegations are very serious. Iknow you understand that,"Judge Howard Riddle told themen at a hearing at London'sWestminster Magistrates'court.
Along with a fourth man,sporting agent Mazhar Majeed,
the three players, whoappeared in court wearing darksuits and dark open-neckedshirts, face charges of conspir-acy to obtain and accept cor-rupt payments, and conspiracyto cheat.
Prosecutor Sally Walsh toldthe court Butt and Amir hadsaid in police interviews thatmoney which had been foundwas from appearances at anice-cream parlour owned byMajeed.
Butt told detectives the no-balls were coincidental andAmir said they were the resultof bad luck because theground had been slippery,Walsh said.
The men were ordered toappear again at London'sSouthwark Crown Court onMay 20 and were given uncon-ditional bail, while Majeed wasordered to surrender his pass-
port.Riddle said, while Britain
had no extradition treaty withPakistan, any failure to showup for future court hearingswould end their careers.
"Failing to attend these pro-ceedings will destroy playinginternational cricket in thefuture," he said, describing themen as being of good charac-ter.
"Their reputation is of theutmost importance. They havea very strong incentive toattend trial and to defend this."
In addition to the criminalcase, the men have been givenlengthy bans after having beenfound guilty of corruption bythe International CricketCouncil.
They have all lodged appealsagainst the bans with the Courtof Arbitration for Sport.-Reuters
London court hears Salman,Amir, Asif spotfixing case
AKU T-20event inQ-final
KARACHI: AKU All Karachi
Medical College T-20 Cricket
Tournament enters Quarter
Final stages. Baqai Medical
University will play against
Bahria University Medical &
Dental College, Karachi
Medical & Dental College will
take on Jinnah Medical &
Dental College, Dow Medical
College will play against
Ziauddin Medical University
and Sindh Medical College will
take on host Aga Khan
University Medical College.
Last round match were
played yesterday, Dow Medical
College (DMC) Cricket Team
defeated Liaquat College of
Medicine & Dentistry (LCMD)
Team by 05 wickets at the AKU
Sports Centre Cricket Ground.-
PR
Jayawardenehappy to
be out of SL MUMBAI: Mahela
Jayawardene, the Sri Lanka
vice-captain, has said travel-
ling away from Sri Lanka has
allowed the team to spend
more time together, away
from the distractions they
face back home.
Sri Lanka played their first
five group games at home,
but have travelled to Mumbai
for their sixth match, against
New Zealand on Friday.
"When we are at home as a
team there are so many things
that are happening; we hardly
spend time together,"
Jayawardene told PTI. "When
we were in Kandy and
Hambantota, we spent some
quality time.
But, when we are in
Colombo there is something
or the other happening. We
only practice, come back and
everyone goes away.
"When we came to India,
we had a couple of really
good days when we played
some games together and had
some activities.-Reuters
COLOMBO: Pakistan pacebowler Shoaib Akhtar willretire from international crick-et after the World Cup.
"Yes, he's retiring after thisWorld Cup. He will speak tothe press shortly," team man-ager Intikhab Alam toldReuters on Thursday.
Media reports said that hetold his team mates onThursday before training inColombo ahead of Pakistan'sfinal Group A round robinmatch with Australia onSaturday which could welldecide who tops the group.
It is understood by observershere that fitness concerns werethe reason for his exit. He wasto hold a news conference lateron Thursday.
Reports said that his emo-tional address to his teammates was followed byembraces by team mates andteam staff.
The "Rawalpindi Express"burst on to the scene as thefastest bowler of his genera-tion even though he did notpossess the cleanest of actions.
His long run up -- and hedefied many a coach to persist
with that -- and the albatross-like celebration after everydismissal made him a specta-tors' delight but his tempera-ment often gave team manage-ment headaches.
Ball-tampering allegations,numerous disciplinary issues,hitting team mate MohammadAsif with a bat in 2007, dopingaccusations and several othercontroversies and injuriesnever allowed him to concen-trate fully on his game.
Since his debut against WestIndies in 1997, the 35-year-oldpace bowler featured in just 46test matches, claiming 178wickets and he was perceivedas vulnerable to the rigours ofthe game's longer version.
He was more regular inshorter formats, having played163 one-day internationals sofar, claiming 247 wickets.
His obsession with pace wasoften perceived as detrimentalto the team's cause, especiallyhis long run-up which oftenput Pakistan at risk of penaltyfor their slow over rate.
For most part of his career,Akhtar was not considered ateam man and was rather por-
trayed as the problem child ofPakistan cricket with a pen-chant for pace and night life.
Many observers felt, howev-er, that this World Cup hadshown a new, improved atti-tude from a maturing Shoaib.
Team-mates and formergreats Thursday welcomedpaceman Shoaib Akhtar's deci-sion to quit international crick-et after the World Cup, sayinghe served the country welldespite his controversies.
The 35-year-old announcedhe wanted to put an end to a14-year international careerwhich was plagued withinjuries and by disciplineproblems.
"We feel sad for Akhtar as hehas been a very nice team-mate and we'll always remem-ber him as someone whoalways tried hard for the teamand every player thanks him,"said skipper Shahid Afridi.
Team-mates embracedAkhtar before Thursday'spractice at R. Premadasa stadi-um where Pakistan playAustralia on Saturday in theirfinal group game ahead of thequarter-finals. -Reuters
Akhtar singinghis swan song
Rawalpindi Express retiring after WC
11Friday, March 18, 2011
International & Continuation
CONTINUATION
WASHINGTON, March 17(Reuters) - U.S. consumerprices rose at their fastest pacein more than 1-1/2 years inFebruary, driven by higherfood and energy prices, butunderlying inflation pressuresremained generally contained.
Other data on Thursdayshowed economic growth wasaccelerating, with claims fornew unemployment benefitsfalling last week and factoryactivity in the country's Mid-Atlantic region expanding at itsquickest rate in 27 years.
Economists said Thursday'sreports would be an encourag-ing sign for Federal Reserveofficials whose efforts tostimulate the economythrough bond purchases wereaimed at preventing pricesfrom declining and boostingthe labor market.
"There are signs here thepace of growth has picked upand if the Fed was worriedabout inflation being too slow,they can forget about it," saidStuart Hoffman, chief econo-mist at PNC Financial Servicesin Pittsburgh. "What the Fedneeds to worry about is infla-tion expectations because theyare much more fickle."
Large gains in food and ener-gy costs have propelled infla-tion sharply higher over thepast three months.
The Consumer Price Indexrose 0.5 percent in February,the largest increase since June2009, the Labor Departmentsaid.
Other prices, however, havebeen largely muted and thecore CPI excluding food andenergy rose just 0.2 percent.
Though the increase in coreprices was slightly above econ-omists' expectations, it sug-gested surging commoditycosts had yet to generate the
type of broad inflation thatwould spur the Fed into action.
The Fed said on Tuesday itexpected the upward pricepressure from commodities tobe temporary but it wouldclosely monitor inflation andinflation expectations.
The Labor Department saidinitial claims for state unem-ployment benefits fell 16,000to 385,000 last week, hinting ata strengthening in the labormarket. A four-week movingaverage of new claims -- a bet-ter measure of underlyingtrends dropped to its lowestlevel since mid-July 2008.
The closely watched averagehas now stayed below the400,000 level for a thirdstraight week. Economists sayclaims below that level indi-cate improving labor marketconditions.
Rising food and energy costshave put monetary authoritieson edge in some majoreconomies, but high unem-ployment in the United Statesis restraining wage growth andtempering the inflation pres-sure coming from strong com-modity prices.
Adjusted for inflation, aver-age hourly earnings fell 0.5percent in January, the depart-ment said. Over the past year,they have fallen 0.4 percent.
In another sign the economywas strengthening, thePhiladelphia Fed's businessconditions index rose to 43.4 in
March the highest sinceJanuary 1984 from 35.9 inFebruary. For details seeThat helped to assuage fears ofa slowdown in production afteran earlier report on Thursdayfrom the Fed showed industrialoutput slipped 0.1 percent dipin February, pulled down by a4.5 percent plunge in utilityproduction that the central
bank pinned on unseasonablywarm weather.
Manufacturing output rose0.4 percent, showing the sectorwas still helping to drive theeconomy's recovery.
For details see However,economists are worried thedevastating earthquake andtsunami in Japan could hampereconomic growth.
"To the extent that confi-dence and household wealth,via equities are negativelyimpacted, some firms may beinclined to scale back produc-tion plans," said MichelleGirard, an economist at RBS inStamford, Connecticut. "In theauto sector, while assemblies atsome plants may be hurt bysupply-chain disruptions, thoseautomakers unaffected by theJapanese situation may boostdomestic production in aneffort to gain market sharewhile imports are restrained."
Separately, the ConferenceBoard's index of leadingindicators rose 0.8 percent inFebruary, following a 0.1percent gain in the priormonth.
While core inflation hasremained subdued, the reporton consumer prices offeredfresh evidence that it had bot-tomed after a long slide lower.
Core consumer prices werelifted by increases in airlinefares, new vehicles, shelter andmedical care. Shelter costs,which account for about 40percent of core CPI, rose 0.1percent for a fifth straightmonth.
Over the past year the coreCPI was up 1.1 percent, thelargest increase in a year. Fedofficials, who view the coreindex as a good predictor offuture inflation, would like tosee that figure closer to 2 per-cent.-Reuters
Energy lifts America inflation, jobless
claims declinen Industrial output slips on utilities; manufacturing up
TOKYO/PARIS: Japan dis-missed the need for joint actionto curb the soaring yen aheadof a conference call of G7finance ministers and sourcessaid the group of rich nationswas more likely to offer gener-al pledges of solidarity asTokyo struggles to contain anuclear crisis.
Rising alarm over the unfold-ing disaster in the world's thirdlargest economy has sent shud-ders through world markets,hitting shares and commodi-ties, while pushing investorstowards the safe haven of gov-ernment debt.
The yen soared overnight toa record high against the dollaramid speculation Japanesefirms would repatriate billionsof dollars in overseas funds topay for a reconstruction billthat is expected to be muchcostlier than the one that fol-lowed the Kobe earthquake in1995.
A strong yen could make itmore difficult for the heavilyexport-dependent Japaneseeconomy to recover from thetriple blow of last week's earth-quake, tsunami and nuclearthreat.
But Japanese EconomicsMinister Kaoru Yosano toldReuters that neither currencynor stock markets were in astate of turmoil that wouldwarrant G7 action and saidTokyo was more interested in"psychological support" fromits partners.
Sources from G7 countrieswho requested anonymity, alsosaid the call, which is expectedto take place around 2200GMT and include both financeministers and central bankchiefs, was unlikely to result inconcrete decisions.
"It's a demonstration of soli-darity and a general review ofthe situation," one source said.
Still, analysts said thechances of coordinated inter-vention in the foreignexchange market remainedhigh and predicted that otherG7 countries were unlikely tooppose selling of the yen if
Tokyo decided to press ahead.The IMF declined to com-
ment on the yen's rise andvoiced confidence that the gov-ernment in Tokyo could cope.
"We believe the Japaneseeconomy is a strong andwealthy society and the gov-ernment has financialresources to address (its)needs," IMF spokeswomanCaroline Atkinson told a regu-lar news briefing inWashington.
U.S. President BarackObama told reporters that hewould make a statement onJapan later in the day.
Japanese military helicoptersand fire trucks doused an over-heating nuclear plant in thenortheast of the country withwater on Thursday to try tolimit the damage from theworld's worst nuclear accidentsince Chernobyl in 1986.
The G7 call and Obama'sstatement suggest a heighteneddegree of concern among toppolicymakers at the threatposed by the disaster at a timewhen the global economy isstill recovering from its worstdownturn in nearly 80 years.
Europe is still wrestling witha crippling debt crisis and theU.S. Federal Reserve is buyingup domestic government debtto safeguard a stop-start eco-nomic bounceback there.
"I think the world economyis going to go right down and ithas happened at a time whenfinancial markets are still frag-ile," said a central banker of aG7 country who declined to benamed.
Japan's triple disaster,unprecedented in a majordeveloped economy, is alreadydisrupting global manufactur-ing.
Makers of equipment formobile telephones to carmak-ers and chipmakers havewarned of a squeeze on theirbusinesses given Japan's cru-cial role in many supply chainsthat keep global commerceticking over.
The technology sector felt animmediate impact after
Friday's quake and tsunamisince Japan makes around afifth of the world's semicon-ductors.
On Thursday, electronic con-glomerate Toshiba Corp saidan assembly line that makesLCD displays for smartphonesand other devices would beshut for a month to repairmachinery damaged by thequake.
The company's shares arealready reeling on speculationits nuclear power business willsuffer after governments glob-ally have raised doubts aboutthe industry's future.
China suspended approvalsfor new nuclear plants onWednesday, effectively puttingon hold the world's most ambi-tious expansion plan.
Economists fear an extendedslump for the world's third-biggest economy with a reces-sion possibly lasting two orthree quarters. The costs fromthe disaster are expected toreach up to $200 billion.
"The economic cost of thedisaster will be large," econo-mists at JP Morgan said."There has been substantialloss of economic resources andeconomic activity will beimpeded by infrastructuraldamages in the weeks andmonths ahead."
The effect on global growthmay be more limited. BNPParibas estimates the disasterwill shave 3 percent fromJapan's projected GDP thisyear. That would account forjust 0.2 percent of world out-put. But G7 financial leadersmay be worried that a surge inyen repatriation could unsettleglobal markets, creating a cri-sis of confidence that spreadsfrom Asia to Europe and theUnited States.
The yen soared to a recordhigh of 76.25 per dollar, flyingpast its historical peak of79.75, hit in the aftermath ofthe Kobe earthquake. The yenlater back tracked to just below79 per dollar.
Japan plays downany need for yen
action from the G7n Japan minister says market moves do not warrant G7 action
MUMBAI: India's central bank raised interestrates on Thursday for the eighth time since lastMarch, in line with expectations, and warnedboth of inflationary pressures and emergingrisks to growth.
The Reserve Bank of India (RBI) said it waslikely to maintain its anti-inflationary bias, rein-forcing market expectations that further rateincreases are in the pipeline, and raised its fore-cast for headline inflation at the end of March to8 percent, from its earlier 7 percent.
"The underlying inflationary pressures haveaccentuated, even as risks to growth are emerg-ing. Rising global commodity prices, particular-ly oil, are a major contributor to both develop-ments," the central bank said in its mid-quarterpolicy review statement.
India's finance ministry expects economicgrowth of about 9 percent in the fiscal year start-ing in April, significantly higher than many pri-vate forecasts, and several economists have low-ered their growth expectations in recent weeks.
India is on track to grow at 8.6 percent in thefiscal year ending this month, but inflation hasproven naggingly persistent, adding pressure ona Congress party-led government that is alsoreeling from a spate of corruption scandals.
The RBI raised the repo rate its main lendingrate, by 25 basis points to 6.75 percent, andraised the reverse repo rate or borrowing rate, by25 basis points to 5.75 percent , in line withexpectations in a Reuters poll.
"The stance of the policy has become morehawkish," said Gaurav Kapur, senior economistat Royal Bank of Scotland in Mumbai.
"While it is clear that the RBI will continue toraise rates 25 bps each over the next two policymeetings, it would be crucial for the central bank
to start paying attention to growth conditionsalso. Investment activity has slowed down andconsumption too would slow down going for-ward," he said.
The benchmark five-year swap rate rose 8basis points to 7.88 percent after the rate rise,while the one - year rate rose as much as 6 bpsto 7.39 percent.
The yield on the most-traded 8.08 percent2022 bond climbed 3 basis points to 8.09 per-cent after the statement in expectation of moretightening to come. The benchmark 10-yearbond yield rose 4 bps to 7.95 percent.
The partially convertible rupee held steady at45.24/25 per dollar but later strengthened to45.14 on hopes higher rates would lure foreignfunds into the country, while a decline in bankstocks helped drag stocks down.
"We have penciled in plus-25 basis points hikeevery quarter, with risks that they could domore," said Radhika Rao, economist at ForecastPte in Singapore.
"Unfortunately, monetary policy faces thecomplete burden of anchoring inflationaryexpectations, and risks of generalisation in pricepressures seems more glaring than earlier," shesaid.
While inflation in India has been driven formuch of the past year by rising food prices, ithas spread into the broader economy, and theprospect that global oil remains above $100 abarrel for a prolonged period adds to inflation-ary pressure.
The RBI raised rates despite the uncertaintyposed by the unfolding disaster in Japan,which has prompted some investors to scaleback expectations for rate rises elsewhere.-Reuters
India tightens rate;further moves seen
Swiss cbank
holds rate
as Japan
fuels risksZURICH: The Swiss National
Bank kept interest rates ultra-
low on Thursday despite an
overall improved outlook for
the economy, citing risks from
Europe's debt crisis and the
devastating earthquake in
Japan.
The central bank dropped any
reference to deflation risks in
its statement and raised its
growth forecast, adding that
interest rates could not stay this
low forever as inflation is set to
breach its price stability thresh-
old by mid-2013.
Economists said the more
optimistic outlook opened the
door for interest rate increases
later this year but the record-
high Swiss franc remains an
obstacle.
"I would consider it playing
for time. They want to see oth-
ers move first," said UBS econ-
omist Reto Huenerwadel said
about the SNB's assessment.
The SNB held its target for
the 3-month franc LIBOR
unchanged at 0.25 percent, as
had been expected by all 37
economists in a Reuters poll.
It said Europe's debt prob-
lems and high oil prices pose a
considerable threat to global
growth, while the disastrous
earthquake in Japan has added
a new element of risk.
Markets have pushed back
their expectations for the SNB's
first post-crisis rate hike to
December following the Japan
disaster, which has driven the
safe-haven Swiss franc to
record highs.
"We next forecast a rate hike
in December, but things can
change quickly if the situation
in the euro/Swiss franc
changes," said Credit Suisse
economist Fabian Heller. "If
the Swiss franc weakens, we
could see an earlier hike."
Following the SNB state-
ment, markets raised their bets
somewhat for a move in
September.-Reuters
on hold the world's most ambitious expansion plan.Economists fear an extended slump for the world's third-
biggest economy with a recession possibly lasting two or threequarters. Billions of dollars have already been wiped off thestock market, a surging yen is threatening the economy's keyexports industry and an electricity gap that could last months.
The economy bounced back quickly after the Kobe earthquake.Industrial output fell for one month but the overall economy con-tinued to expand.
"The economic cost of the disaster will be large," economists atJP Morgan said. "There has been substantial loss of economicresources and economic activity will be impeded by infrastruc-tural damages in the weeks and months ahead."
A big concern for G7 financial leaders will be the potential fora surge in yen repatriation to Japan to unsettle global markets.
In addition, many investors borrow in yen to fund investmentsin other currencies, so may be vulnerable if their positions aresqueezed. That also would push the yen higher.
"And if that involves the authorities helping to smooth finan-cial markets, under the circumstances I think that is very under-standable," he said.
The G7 talks will address the impact of the crisis on economicgrowth, energy output, the supply chain and financial markets, aFrench government source said on Wednesday.
Japan's central bank has pumped billions of dollars in cash intoits banking system to help stabilize jittery markets and govern-ment leaders have called for calm.
Premiums on retail prices of gold bars in Tokyo rose onThursday to $2 an ounce over London spot prices from par beforethe quake. -Reuters
Continued from page 12No #1
On Thursday, natural resource stocks helped lead the market ascommodity prices rebounded. Tensions in the Middle East andNorth Africa drove oil prices up nearly 3 per cent. Brent crude forMay delivery LCOc1 gained $3.41 to $114.01 a barrel.
Cliffs Natural Resources Inc rose 5.5 per cent to $88.36, whileChevron Corp gained 2.5 per cent to $102.02.-Reuters
Continued from page 5No #2
and keeping alive the risk of intervention by the Japanese tostem the yen's rise.
Japanese military helicopters dumped water on an overheatingnuclear plant, while the top US nuclear regulator warned that thecooling pool for spent fuel rods at reactor No.4 may have run dryand another was leaking.
Reliance Communications , the No. 2 mobile services operator,jumped 3.5 per cent after Citigroup upgraded the beaten downstock to "buy" from "sell", saying a "good" asset was available ata discount.-Reuters
Continued from page 5No #3
"Volatility is horrendous," said Neil Tong, head of UK equi-
ties at the 800 million pound ($1.29 billion) Alliance Trust.
"There are a lot of unknowns, risks have gone up, the invest-
ment backdrop has deteriorated further and there are headwinds
ahead in terms of oil and gas prices."
Energy stocks were strong gainers, benefiting from strength
in the oil price, with Royal Dutch Shell up 2.4 per cent.
Credit Suisse raised its estimates and target prices across the
global sector based on strong crude price forecasts.
Oil rose by around $3 as unrest in the Gulf and Libya height-
ened supply disruption worry and investors weighed the impact
on energy demand from quake-hit Japan.
The FTSE 100 has had over 50 billion pounds ($80.61 billion)
wiped off its value in the slide since Japan suffered a devastat-
ing earthquake on Friday, which left the index looking oversold
on a technical basis.
The index ended below its 200 day moving average around
5,611 on Wednesday and traders said other technical indicators
pointed to the FTSE 100 looking cheap too.
"The FTSE at the moment is ridiculously oversold. RSIs (rel-
ative strength index) are running very low, signalling an over-
sold situation," a London-based trader said.
Miners, seen as benefiting once Japan begins to rebuild,
advanced against a backdrop of firmer metals prices. BHP
Billiton rose 3.1 per cent.
Elsewhere, Vodafone climbed 2.6 per cent, boosted by an
upgrade to "neutral" by Evolution after an investor day.
Meanwhile, on the downside, Insurer Legal & General fell 1
per cent to 110 pence after results which came in slightly below
forecasts, against a 1.5 per cent rise for the European insurance
sector.-Reuters
Continued from page 5No #4
leave here.According to a local TV, Session Judge Yousaf Ojala who con-
ducted Raymond Davis' double murder case didn't appear in thecourt on Thursday.
Initially he submitted one day leave however according tosources his leave may extend to indefinite time period.
The apparent reason for his leave at this juncture is said to bemere coincidence but the real reasons for his leave has not sur-faced.
Furthermore, the religious and social organisations stagedprotests in Lahore, Karachi and Peshawar against release ofRaymond Davis, here on Thursday.
According to media reports, release of Davis triggered country-wide protests while several protestors sustained injuries duringbaton charge.
The enraged protestors were holding placards inscribed withslogans against Raymond Davis. The police started baton chargeand tear gas to disperse the protestors.
Meanwhile, protests were also staged in Lakki Marwat,Charsadda, Mirpur Azad Kashmir, Muzaffargarh, Naushehra andTimargara against Raymond's release. -Agencies
Continued from page 1No #5
here, those are realities but there are also opportunities whichpeople don't look at and recognise and therefore miss out," saidUmar.
According to Topline Securities, Engro is part of the top fivecompanies foreigners prefer to invest in with an estimated holdingworth $125 million.
But Engro recognises the larger macro economic problems ofthe country as a real challenge especially the fiscal deficit.
"You just cannot survive with the current status quo in a broadperspective, you need to re-prioritise the state, on how it collectstaxes and revenues, from whom it does so, in what form and howdoes it spend the money," said Umar.
"I am very bullish on Pakistan in the long run, but very con-cerned in the short to medium term," said Umar. -Reuters
Continued from page 1No #6
According to a tribal elder who asked to remain anonymous in a telephone interview to a foreignnews agency from Miranshah the tribesmen from Datta Khel tribe were holding a meeting at NawaiAdda area when two US drones fired four missiles at the participants of the tribal council.
The elder said that the strike killed 41 people including six tribal elders and some children.The injured were later transferred to the hospital in Miranshah and some of them were in critical
condition, said hospital sources.The tribal elder rejected the reports that the target was a meeting held by militants.Member of National Assembly from the region, Kamran Khan, condemned the drone strike and
said that mostly innocent people were killed and injured in the Thursday's strike.Residents said that they had seen four drones hovering over the area before and after the attack.
Printed & Published by Amir Abbas Ashary at DRC Printing Press for Data Research Communication (PVT) LTD, 111-C, Jami Commercial Phase VII, DHA Karachi.
RIKUZENTAKATA: A picture shows the wreckage of a house amid debris in Rikuzentakata. -Reuters
ISLAMABAD: UzbekistanMinister for Agriculture andWater Resources Zafar RuzievSharipovich Thursday stressedthe need for promoting freetrade between Pakistan andUzbekistan to enhance tradevolume between the two coun-tries.
He was addressing the 5thsession of Pakistan-Uzbekistan Joint MinisterialCommission which waschaired by Federal Ministerfor Privatization Syed NaveedQamar.
Uzbek minister said that thesessions of Pak-Uzbek JMCwere going on positively,expressing the hope that thecurrent session would result infurther boosting trade between
the two countries.He was of the view that both
the countries were havinghuge trade and investmentpotential, which needed to beexploited for the mutual bene-fit.
"We are working in closerelations with Pakistaniinvestors in order to fullyutilise the potential areas oftrade and investment", he said.
Zafar Ruziev said that PrimeMinister Syed Yousuf RazaGilani was planning to visitUzbekistan, adding the visitwould improve the bilateralrelations and trade between thetwo countries.
On the occasion, Qamar saidPakistan and Uzbekistan wereenjoying friendly relations.
"We want to further deepen therelations by enhancing tradewith Uzbekistan", he added.
He said tourism industry hasa big potential where both thecountries could work jointly totake benefit of the potentialand earn foreign exchange.
Pakistan and Uzbekistan hadsigned a protocol to cooperatein water, power, agriculture,leather, textile, tourism andpharmaceutical sectors and toenhance bilateral tradebetween the two countries.
The agreement was signed inTashkent after the conclusionof 4th session of Pak-UzbekJMC in April 2009 and in the5th session the two sideswould also review the progressof the agreement. -APP
Pak-Uzbek morefree trade urged
5th Session of Joint Ministerial Commission
ISLAMABAD: Despite caus-ing loss of Rs600 million tothe national exchequer,National AccountabilityBureau has ended investiga-tions into investment of Rs onebillion by CDA in stock mar-kets.
According to documentsavailable with Online, in 2006CDA on the directives of for-mer Prime Minister ShaukatAziz had acquired shares ofvarious companies at stockmarket worth over Rs1.26 bil-lion.
CDA suffered losses of Rs62million when the prices of
shares dropped due to stock-market-crash in 2008, in spiteof this huge loss former CDAChairman Kamran Lasharikept investing.
PML-N MNA Raja Asadraised this issue in theNational Assembly which wasreferred to StandingCommittee for Rules andRegulations.
While Nab also conductedprobe into why and withwhose permission, the CDAinvested the surplus funds inthe stock market.
The committee sought reportfrom both Nab and Law
Ministry and both declared thedecision of Shaukat Aziz andKamran Lashari as correct anddespite heavy loss didn't rec-ommend any action againstthem.
The Nab stopped the investi-gation and the committee alsodisposed the issue.
Raja Asad submitted privi-lege motion against LawMinister Babar Awan and for-mer Advisor Ghazanfar Gul inthe National Assembly asthese two also termed theinvestment as illegal buteveryone surrendered beforethe bureaucracy. -Online
Probe into CDAstock scam ends
NAB says investment decision right
TOKYO: Financial leaders ofthe world's richest countrieswill hold talks on Friday(today) on ways to calm glob-al markets roiled by Japan'snuclear plant crisis and con-cern it will unravel the worldeconomy's fragile recovery.
Rising alarm over theunfolding disaster in Japan fol-lowing an earthquake andtsunami has sent shiversthrough world markets, hittingshares and other riskier assets,such as commodities, whileprompting investors to scurryfor the safety of governmentdebt.
The yen soared in disorderlytrading to a record high againstthe dollar on speculation Japanwill repatriate billions of dol-lars in overseas funds to payfor massive reconstruction thatis expected to be much costlierthan the bill following theKobe earthquake in 1995.
"I think the world economyis going to go right down andit has happened at a time whenfinancial markets are still frag-ile," said a central banker of aGroup of Seven country.
The comments, made oncondition of anonymity, are atestimony to the degree of con-cern among top policymakersabout the potential impact ofJapan's triple disaster and inparticular its race against timeto prevent a nuclear meltdown.
The G7 financial ministersand central bankers will hold atelephone conference callaround 2200 GMT onThursday (7 am Tokyo timeFriday), Japan's finance minis-ter, Yoshihiko Noda, said asfinancial markets braced forpotential currency interventionfollowing the yen's surge.
"I don't think stock and cur-rency markets are in a state ofturmoil," Japan's economy
minister, Kaoru Yosano, saidin an interview with Reuters.
"We would like to get psy-chological support from theG7," he said.
The triple disaster, unprece-dented in a major developedeconomy, is already disruptingglobal manufacturing.
Makers of equipment formobile telephones to carmak-ers and chipmakers havewarned of a squeeze on theirbusinesses given Japan's cru-cial role in many supply chainsthat keep global commerceticking over.
The technology sector felt animmediate impact afterFriday's quake and tsunamisince Japan makes around afifth of the world's semicon-ductors.
China suspended approvalsfor new nuclear plants onWednesday, effectively putting
See # 1 Page 11
Group-Seven aimsat mollifying mkts
LAHORE: Lahore HighCourt (LHC) Thursday can-celled the interim bail ofMonis Elahi, son of formerPunjab Chief MinisterPervaiz Elahi, in the NationalInsurance Company Ltd(NICL) scam after which theFederal Investigation Agency(FIA) arrested him from thecourt.
A two-member bench ofthe LHC headed by ChiefJustice Aijaz AhmedChaudhry heard the case.
Additional Director FIAZafar Qureshi told the courtthat Monis Elahi was alsoinvolved in the fraud of pur-chase of Rs1.6 billion landnear the airport.
He told the court thatMuhammad Malik, Managerof Monis Elahi owned Al-Tahoor International, hasconfessed during the investi-gation that he had taken outRs320 million obtained fromthe land sale from the twobank accounts of MonisElahi.
Zafar Qureshi also present-ed the relevant record in thecourt with proofs.
SM Zafar, lawyer of MonisElahi, told the court that hisclient was implicated in thecase on political grounds. Hesaid the FIA had no proof toprove Monis Elahi's involve-ment in the scam.
The court after hearingarguments from both sidesdismissed the interim bail ofMonis Elahi after which theFIA arrested him.
A large number of policeand Rangers personnel weredeployed at the court duringthe hearing to avoid anyuntoward incident.
Talking to media personsafter the court hearing,Monis reiterated his inno-cence and said he was impli-cated in the case on politicalgrounds.
He said he will uncover allthe faces involved in conspir-acy against him. He said hewill prove his innocence. -Agencies
Monis detainedas bail revoked
ISLAMABAD: Minister forLaw and Justice Babar Awanhas said that All PartiesConference (APC) to discussand find solution to allnational issues would besummoned after thePresident's address to thejoint sitting of theParliament.
Talking to media inside theParliament House onThursday Babar Awan saidthat President during hisaddress to the Parliament onMarch 22 would highlightthe achievements of the PPPgovt and would announce atwo-year developmentroadmap.
He said in accordance tothe plan the down troddenareas of Pakistan would bebrought in par with devel-oped areas.
Babar Awan saidParliament has completed itsthree years, and many Billswere passed under the recon-ciliatory policy and recordlegislations were made.
Opposition was included inthe legislation process andrecord standing committeeswere established to make the
Parliament stronger.He said that under Charter
of Democracy, for the firsttime, an opposition leaderwas made Chairman ofPAC.
He said we are still follow-ing the CoD but unfortunate-ly some of our friends havemoved away from this char-ter, added 10-point agenda ofPML-N has been made partof economic policy.
He said PPP does notbelieve in the policy of vin-dictiveness during our tenureno reference was filedagainst any political party.
He said in accordance withthe Parliamentary calendarboth Houses have completedthe required number of ses-sions and for the 1st timeopposition tax demandswere accepted.
He said that performancereport on PML-N 10-pointagenda and other parties'agenda have been presentedin the house and cabinet.
Meanwhile speaker KPalso met Babar Awan anddiscussed provincial mattersand law and order situationof the province. -Online
2-yr developmentplan soon: Awan
APC to be summoned after President's address
ISLAMABAD: The AsianDevelopment Bank (ADB)will provide an assistance of$35 million for exploring ener-gy potential of Gilgit-Baltistan.
"I am pleased to note theADB has a planned assistanceof $35 million for develop-ment of two mini-hydropowerprojects included in its 2011assistance pipeline forPakistan," the bank's countrydirector, Pakistan ResidentMission Rune Stroem saidwhile addressing at a launch-ing ceremony of economicreport on GB on Thursday.
He said these energy-orient-ed initiatives included 26MWShigar Thang project and4MW project of Chilas.
He said the ADB was thelargest development partner ofthe government of Pakistan asreflective in the PartnershipStrategy-2009-13 to provideassistance in different areasincluding infrastructure, waterand transport besides othersectors. Stressing collective
efforts for GB's uplift, the dig-nitary said "Gilgit-Baltistan isimportant not just to elevateliving standards and createeconomic opportunities for itslocal people. It is equally criti-cal in furthering Pakistan'sown economic prospects andensuring water and energysecurity for the country."
Highlighting the region'seconomic potential, the coun-try director said the Gilgit-Baltistan had important loca-tion which was the gateway toPakistan's regional coopera-tion and trade route with Chinaand eventually with theCentral Asian countries.
He underlined the need forworking out a policy taking allstakeholders on board toensure more investments forthe GB as it could transforminto an attractive transit hub,catalysing greater regionaltrade cooperation and econom-ic integration.
He also appreciated the gov-ernment for its measures forutilising the GB natural
resources.He said the major water stor-
age and hydel generation proj-ects of Bhasha and BunjiDams demonstrated andrecognised potential of powergeneration of the areas, whichwould go a long way in tideover the country's power cri-sis.
He said Pakistan's economicand energy security in this waywas interconnected withdeveloping GB's naturalresource base, protecting itsecology and environment,upgrading its infrastructurebase, raising the level andquality of its human resources,and creating livelihood andemployment opportunities forits people.
The GB report, while recog-nising the recent transforma-tion in the GB area, highlightsseveral challenges, which arehampering its economicgrowth, obstructing its socialdevelopment as well as affect-ing the employment genera-tion. -APP
$35mn for 30MWplants endorsed
Govt saysSC rulings
fulfilledISLAMABAD: Despite a neg-ative picture being painted bycertain quarters, the FederalGovernment has implementeda number of Supreme Courtdecisions on various importantissues.
The orders ranged from con-stitutional issues to humanrights.
The government often wonkudos from the sitting judges,especially from Chief Justice ofPakistan Iftikhar MuhammadChaudhry.
Soon after a 14-member larg-er bench of the restored judici-ary in 2009 decided that thosejudges who had taken oathunder the ProvisionalConstitutional Order 2007,were no more judges, the gov-ernment issued notificationssending a number of judges ofthe superior judiciary to home.
In the much highlighted issueof National ReconciliationOrdinance (NRO) which wasnot even supported by theFederation, the Court gave aruling that the cases stoodrevived against those peoplewho had taken benefit of theOrdinance.
The government implement-ed the verdict making the bene-ficiaries holding positions invarious ministries, departmentsand divisions to immediatelypack up.
The most prominent casetaken up by the apex Court in2010 was a challenge to 18thConstitutional Amendment,which was unanimously passedby the Parliament.
The case assumed great valueas it was one of the major con-stitutional issues after the 17thAmendment decided by theapex court. During the courseof hearing on several occasionsthe Chief Justice lauded thegovernment and the Parliamentfor not endorsing unconstitu-tional steps of former presidentPervez Musharraf.
Then came the verdict overpromotion notification of 54bureaucrats, who were servingas federal secretaries, to Grade22. The SC directed the gov-ernment for appointments onthese posts on merit, besideslaying down rules and regula-tions. Again the apex Court'sdirective was obeyed without ahitch on part of the governmentand the whole process wasreversed. It also ruled forimmediate appointment ofNAB Chairman within onemonth which was also doneaccordingly. The missing per-sons issue also remained in thespotlight and the apex Courtorders for the constitution of ajudicial commission to probethe issue was done on prioritybasis. -Agencies
Gen Wynemeets TurkPresident
ANKARA: Chairman JointChiefs of Staff Committee,General Khalid ShameemWyne, who is on an officialvisit to Turkey, called onTurkish President Abdullah Gulon Wednesday.
General Khalid apprised thePresident about the ongoingefforts of Pakistan in the fightagainst terrorism and extrem-ism. "Both Pakistan and Turkeyhave unanimity of views onregional and internationalissues," said General Khalid.
Both Turkey and Pakistandesires to further strengthen therelationship through bilateralexchanges, he added.
The Chairman earlier visitedthe Turkish General StaffHeadquarters where he wasreceived by Commander ofTurkish Armed Forces IsikKosaner.
A smartly turned out Tri-Service guard of honor present-ed salute. The Chairman and hisTurkish counterpart discussedmatters of mutual interest andreiterated strengthening of mili-tary cooperation between thetwo countries. Earlier,Chairman Joint Chiefs of staffCommittee visited Anitkabir,Ataturk's Mausoleum to payhomage to the Great TurkishLeader and founder of modernTurkey. -Agencies
Japanesechoppers
dump water onstricken reactorZAO: Japan tried high-pres-sure water cannons, fire trucksand even helicopters thatdropped batches of seawater inincreasingly frantic attemptsThursday to cool an overheatednuclear complex as U.S. offi-cials warned the situation wasdeteriorating.
The top U.S. nuclear regula-tory official gave a far bleakerassessment of the crisis thanthe Japanese, and the U.S.ambassador warned U.S. citi-zens within 50 miles (80 kilo-meters) of the Fukushima Dai-ichi plant on the northeast coastto leave the area or at leastremain indoors.
The Japanese governmentsaid it had no plans to expandits mandatory, 12-mile (20-kilometer) exclusion zonearound the plant along thenortheastern coast, while alsourging people within 20 miles(30 kilometers) to stay inside.
The troubles at the nuclearcomplex were set in motion bylast week's 9.0-magnitudeearthquake and tsunamiknocked out power anddestroyed backup generatorsneeded for the reactors' coolingsystems. That added a nuclearcrisis on top of twin natural dis-asters that likely killed wellmore than 10,000 people andleft hundreds of thousandshomeless. Chopper crews flewmissions of about 40 minuteseach to limit their radiationexposure, passing over thereactor with loads of about7,500 liters (about 2,000 gal-lons) of water. -Reuters