over $ 200bn to be ‘legally transferred outside Pakistan from 1992 to 2018 - Shabbar zaidi

[AZ1]

https://twitter.com/x/status/1515030240338202624

 

[Sulman Badshah]

can we expect further 200 B USD in next 15-20 years

 

[Black.Mamba]

Who were the people in power from 1992 to 2018?

@Chak Bamu come fast PML N defense is needed

 

[Ghazwa-e-Hind]

Yes,

In 1990's PMLN passed laws to legalize money laundering,

anyone could send any amount outside of Pakistan, no questions asked.

Imran Khan stop this loophole after coming in power.


PMLN = Pakistan Money Laundering Network.

In coming days, good people in state bank will be told to resign and stop documenting the economy and bank accounts, so corruption and money laundering resumes.

There was a photo circulating in social media, where Miftah Ismail sitting besides Crime Minister in a Jet and writing a list of top private bankers. So they can pull their strings later on

 

[mudas777]

https://twitter.com/x/status/1515030240338202624

Every one in Pakistan is master of everything and blares it out loud like drums playing out but don't want to contribute to their due taxes.
If money is legal then shouldn't be any restrictions as illegal mafia like Nawaz transferred the money abroad without having any accounts of their own. If you restrict legal transfers then Hundi plays a big part so you are better off doing it through the banking system.

 

[Imran Khan]

These were our foreign reserves .think indiaa with 500bn$ and pakistan with 225bn$ reserves .

 

[Menace2Society]

No wonder you're so poor. I always wondered how can such a big country like Pakistan have no money or development. Zardaris and Sharifs must be very wealthy now.

 

[SuvarnaTeja]

can we expect further 200 B USD in next 15-20 years

It should be in trillions now as PKR has depreciated.

 

[Wood]

What was the repealed law?

 

[ACE OF HEARTS]

Roshan Digital Account and similar schemes enabled billions of dollars to be channeled to Pakistan.

Remittances reached an all time high because they trusted Imran Khan.

Everything will be reversed UNLESS the "SERVANTS OF THE PEOPLE" are taught a lesson.

How can Pakistan come out of the Grey List of FATF , when the Prime Minister and his whole family is involved in PROVEN MONEY LAUNDRRING CASES?

 

[SuvarnaTeja]

What was the repealed law?

Laws designed deliberately for forex misuse, say experts | The Express Tribune

Estimates suggest undocumented economy amounts to $300 billion

tribune.com.pk

Laws designed deliberately for forex misuse, say experts​

Estimates suggest undocumented economy amounts to $300 billion

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Salman SiddiquiMarch 06, 2018

Laws designed deliberately for forex misuse PHOTO: REUTERS

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KARACHI:Authorities have deliberately designed laws in the past that allow misuse of foreign exchange reserves of Pakistan inside the country and abroad, experts said on Monday.

The misuse of reserves has led to serious consequences and will drag the country to the terror financing watch list of the Financial Action Task Force (FATF) in June. Moreover, it has given birth to issues like Panama Papers leaks that paved the way for disqualification of former premier Nawaz Sharif, they added.

Top court forms committee to suggest guidelines for bringing foreign money in Pakistan

“Continuation of the present system … is suicidal,” said tax expert SM Shabbar Zaidi in his presentation on ‘Closing the Loopholes, Section 111(4) and Foreign Currency Accounts’.

He was speaking at a seminar on ‘Documenting the Economy’ jointly organised by the Pakistan Business Council (PBC) and the Institute of Chartered Accountants of Pakistan (ICAP).

Zaidi said privately run foreign currency accounts owned by individuals were the root cause of the problem as no authority including the State Bank of Pakistan (SBP) had the right to question the individuals about their source of income parked in foreign currency accounts and the use of currency under Section 111(4) of the Income Tax Ordinance, 2001.

“The SBP claims that it has the right to question individuals under its circular FE12/2001 (issued sometime in January/February 2001)…the circular has become outdated after implementation of the Foreign Currency Accounts (Protection) Ordinance 2001, which provides (full) immunity for individual foreign currency accountholders and exempts them from disclosing their income and expenditures,” he elaborated.

He proposed that “immunity provided under the Foreign Currency Accounts (Protection) Ordinance 2001 should be removed…authorities should be empowered to question individuals’ income and expenditure through their foreign currency accounts above a certain limit”.

ICAP member Ashfaq Yousuf Tola estimated the misuse of $6-6.5 billion under Section 111(4) of the Income Tax Ordinance 2001. “We cannot afford a hit of $6.5 billion,” he added. “The purchase of dollars from the open market should be banned,” he suggested.

Another tax expert Abid H Shaban added only taxpayers should be allowed to open and maintain foreign currency accounts including those who finance their children studying abroad or families living in foreign countries.

Shaban added that the OECD Convention on Exchange of Information was going to be a real deterrent to maintaining undeclared assets abroad.

Informal economy

Zaidi estimated that the size of undocumented economy and untaxed income stands equal to the size of recorded GDP of around $300 billion.

“Real estate remained the single largest sector for attracting black economy inside Pakistan and abroad…to invest in real estate, people do convert their white currency into the black one,” he said, adding authorities at federal and provincial levels should fix property valuation and taxation issues to end misuse of the real estate sector.

He also urged authorities to keep a strong check on foreign gifts, which opens another window of corruption in Pakistan. He said documentation of the economy was the answer to majority of the problems the country was facing these days.

Forex: Dollar falls to end worst year since 2003

Leading stock broker and businessman Arif Habib estimated Pakistanis living abroad may declare their assets up to $20 billion under the amnesty scheme against an estimated $150-200 billion illegally parked outside the country in various forms. “The scheme may help the country in attracting $4-5 billion,” he said.

Besides, the government should announce incentives to attract additional $6-7 billion in remittances per year through banking channels which at present come through hawala/hundi system.

Published in The Express Tribune, March 6th, 2018.

 

[Sulman Badshah]

It should be in trillions now as PKR has depreciated.

Having saffron eyeballs didn't let you see that I've written it in USD terms

 

[Luosifen]

Are most of your central bank gold reserves kept in Pakistan or in a US bank? I think I'd be a good idea to repatriate as much of your holdings into Pakistani banks considering they can just freeze/confiscate it anytime they feel like.

 

[Chak Bamu]

Who were the people in power from 1992 to 2018?

@Chak Bamu come fast PML N defense is needed

Dude get your head checked first.

1. This is Shabbar Zaidi speaking. So take this with a mountain of salt.

2. Conspiracy buffs are so very fond of a figure of 200 Billion, whether of dollars or rupees. I dunno why?

3. Chances are that you or people around you were/are Mushy lovers. You should ask them about this.

4. A lot happened over the last 4 years. Focus on that.

Are most of your central bank gold reserves kept in Pakistan or in a US bank? I think I'd be a good idea to repatriate as much of your holdings into Pakistani banks considering they can just freeze/confiscate it anytime they feel like.

Don't take any of this seriously.

The tweet is someone who touts his services for government by throwing about improbable numbers to impress people. This guy was an abject failure as head of Federal Bureau of Revenue. He wants another shot.

In Pakistan there are no consequences for lying & peddling conspiracy theories. This figure has its origins in a typo where someone wrote that $200 millions in Swiss Banks belonged to Pakistan. Instead of million, the word billion was typed. Its been 5 or so years now, but every charlatan quotes that figure as though it is the holy truth.

 

[PradoTLC]

https://twitter.com/x/status/1515030240338202624

Same figure $200B that noon league crook stated... perhaps the only truth that noonie spoke?

$200bn of Pakistan in Swiss banks: Dar

Meeting with Swiss authorities likely in August

www.dawn.com