Pakistan Economy - News & Updates - Archive

[Owais]

BP to explore offshore blocks for oil, gas reserves ISLAMABAD: British Petroleum announced on Friday it has signed an agreement with the Ministry of Petroleum, accoriding to which the company will explore blocks of offshore Indus Delta, covering an area of 21,000 km for oil and gas reserves, with the right to operate any commercially viable discoveries.

"The offshore Indus Delta is a very exciting prospect for us, with a geology that our experience tells us has a strong potential for containing hydrocarbons resources," explained Tariq Khamisani, President, BP Pakistan.

Any natural gas finds will be used to meet growing demand in Pakistan, which enjoys a sizeable and growing domestic market and a comprehensive distribution infrastructure.

British Petroleum is one of the largest foreign investors in Pakistan and currently producing 22% of the country's oil and 6% of its gas.

The company operates the Badin and Mehran Concessions in a joint venture with Oil and Gas Development Company Limited, Occidental Petroleum (Pakistan) Inc., and Government Holdings Private Limited.

 

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RAWALPINDI (updated on: July 23, 2006, 02:10 PST): President General Pervez Musharraf on Saturday underscored the need for making the education curricula in the country in conformity with the advancements in modern-day science and technology.

The president made these remarks at a meeting here to review the draft curricula of major subjects from classes one to twelve.


The Federal Minister for Education, Lt Gen (Retired) Javed Ashraf Qazi briefed the president in detail about the salient features of the revised curricula.

The president said it was also important that the presentation of the subjects be made interesting and special care be exercised so that revised text are free from all sorts of syntax, typographical and other errors.

The education minister said that a team of experts had revised the major compulsory subjects.

He said the revised curricula would be sent to the provinces for their comments after which it would be finalised.

 

[Neo]

Bio-gas plant under study

By Fasahat Mohiuddin

KARACHI: The city has been facing acute power shortages these days and continued load-shedding has made life miserable for citizens. Under these circumstances, one should look for some alternate source of power, which should come through local resources.

City Nazim Mustafa Kamal is considering installing a ‘bio-gas’ plant in Cattle Colony, Landhi, where tons of buffalo manure is generated daily and is just drained in nullas.

Some New Zealand and US firms have started doing surveys in the Cattle Colony for installing a bio-gas plant in order to generate electricity through animal waste.

It is high time that some cheap source of electricity is found, so that power can be supplied to Karachi residents without any interruption.

Natural gas currently accounts for more than 50 per cent of the country’s primary energy supplies. With accelerating economic growth, the demand for gas is increasing sharply while the existing recoverable gas reserves are either declining or are incapable of meeting the rising demand. Hence, the country will face acute gas-energy shortages in the near future.†

In order to overcome the projected shortfall, energy experts have recommended the use of imported Liquefied Natural Gas up to 2010 and beyond. Facilitating the LNG importing companies, the government has granted a 10-year complete tax and duty holiday on the import of LNG.

The government also expects to meet further shortages through cross-border gas imports by laying transnational pipelines from Iran, Turkmenistan and Qatar.†

Besides these measures, the country needs to look for alternative energy sources such as bio-gas, wind power and solar energy to substitute natural gas.

Among these options, the most appropriate is said to be bio-gas, which can easily replace natural gas and can be generated from a variety of bio-mass material that is easily available all around Karachi.

The primary sources of bio-gas are buffalo dung, municipal solid waste and sewage sludge. The process of conversion to bio-gas is simple and yields a gaseous product consisting of 55-60 per cent methane and the remaining carbon-dioxide gas.

The heating value of bio-gas is approximately 600-800 btu/ft3. Bio-gas of this quality can be used to generate electricity and may also be used as fuel for steam boilers, space heaters and refrigeration equipment. Bio-gas is also combustible which can be used in cooking.

Last but not the least, bio-gas can be used in vehicles as fuel. Bio-gas production is possible virtually in every city and village of the country.

Electricity can be generated from bio-gas for on-farm use or for sale to the local electric power grid. The most common technology for generating electricity is an internal combustion engine with a generator.

In order to implement measures for replacing natural gas with renewable energy sources, ATCO International Inc, a Texas-based company owned by a Pakistani, has already begun a feasibility study on buffalo manure-based bio-gas plant to be located at Cattle Colony, Landhi. The 500,000 cattle heads in the area produce 5,000 metric tons of dung every day.

The buffalo manure emits large quantities of methane, carbon-dioxide and hydrogen sulfide into the atmosphere. This pollutes the air and atmosphere around Cattle Colony where pollution level has exceeded those laid down by NEQS (National Environmental Quality Standards).

Urgent action is required to tackle this problem because Pakistan is one of the earliest signatories to the Kyoto Protocol, which makes it necessary for the country to reduce the quantum of green house gases to levels laid down by the protocol dealing with climate change.

How is bio-gas made: Bio-gas is produced by anaerobic (in absence of oxygen) decomposition of organic matter (cattle dung). Decomposition of cattle dung is carried out by bacteria in two phases: In the first phase, bacteria decompose organic matter ie proteins and fats to form acidic compounds. In the second phase, methane-forming bacteria further decompose these acidic compounds to produce methane (CH4), carbon-dioxide (CO2), water vapours (H2O), ammonia (NH3) and hydrogen sulfide (H2S).

The smell and odour in animal dung comes from the emission of ammonia and hydrogen sulfide while all other components of bio-gas ie methane and carbon-dioxide are absolutely odourless and tasteless.

Methane produced from cattle dung can be recovered in a bio-gas plant and used for power generation. This will not only help meet power shortage but will also help in reducing green house gas emissions.

Pakistan has one of the world’s largest animal populations. According to an estimate, around 1 million cattle are present in three different locations of Karachi. Brief data analysis shows that a 38MW power plant can be installed by using cow dung.

 

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WASHINGTON: America will provide support to Pakistan to improve its trade sector, aimed at training the experts in Quality and Control and Standard sector, sources said Saturday.

This accord was reached in Pak-American negotiations on science and technology sector.

During the dialogue between chairman Higher Education Commission Dr. Ataur Rehman and US officials, America also assured scientists of its support for research and training in Pakistani educational institutions.

Both the countries also agreed upon the exchange of educationists and interaction between the centres of excellence of the both countries.

In biotechnology and water management sectors, Pakistan and America will finalise the bilateral memorandum of agreement for cooperation.

During the negotiations, chairman Higher Education Commission Dr. Ataur Rehman identified for cooperation the sectors of engineering and technology, agriculture, medical and higher education.

The US delegation assured their counterparts to consider Pakistani proposals for cooperation in the science and technology sector.

The next round of dialogue will be held in Pakistan during the current year in October. Besides, in the beginning of next year in Washington, special session of joint committee for science and technology will be held. Which would be attended by heads of all eminent science and research institutions of America as well as individuals from the private sectors.

 

[Neo]

ISLAMABAD (July 23 2006): The Sensitive Price Indicator (SPI) year-on-year of 53 essential daily use items for week ending on July 20 has shown 8.55 percent increase as compared to corresponding week of last year. However, according to Federal Bureau of Statistics (FBS) bulletin, the SPI of this week remained unchanged as compared to last week.

The weekly bulletin of FBS shows that year-on-year, the rise in the prices of some necessities and kitchen items including sugar, gur, pulses, potatoes, curd, salt, tea, milk fresh, beef, diesel, petrol, gas, kerosene oil, LPG, and firewood, which directly hit the low-income group, had been excessive.

The bulletin on SPI, based on data of 53 items from 17 urban centres, showed that 21 items registered marginal increase, and 5 items showed decline, while prices of 27 items remained unchanged with reference to last week's prices.

However, further analysis of the data showed that year-on-year basis, 20 items show double-digit increase. These included gram pulse (washed) 29 percent, moong pulse (washed) 50 percent, mash pulse (washed) 67 percent, gur 22 percent, sugar 24 percent, curd near 10 percent, tomatoes 67 percent, potatoes 10 percent, mutton 15 percent, beef 13 percent, chicken farm 20 percent, fresh milk 10 percent, salt powdered 18 percent, match box 10 percent, firewood 23 percent, petrol 18 percent, diesel 22 percent, LPG 42 percent, kerosene 19 percent, and gas increased by almost 20 percent.

The FBS figures further showed that though the prices of 27 items posted no change during the week, several items were costlier when compared to the corresponding week of last year. For example, diesel 22 percent, petrol 18 percent, gas 20 percent, salt powdered 18 percent, kerosene 18 percent, firewood 23 percent, tea (packet) 7 percent and beef by 13 percent.

The bulletin further indicates that though the prices of 5 items decreased from last week, still they were on the higher side compared to last year's figures. Tomatoes, which decreased by 18 percent from last week were dearer by 67 percent, potatoes 10 percent, and LPG (11 kg cylinder) by 42 percent from last year's corresponding week, whereas masoor washed and eggs were substantially low by 10 and 35 percent, respectively, from last year.

According to this week's FBS report, for people in lowest income group of up to Rs 3000, the SPI was 8.9 percent, Rs 3001 to 5000 (8.54 percent), Rs 5001 to 12000 (8.75 percent), whereas for above Rs 12000 income group, it was 9.93 percent. The average SPI was 8.55 percent for the corresponding week of last year as compared to 8.83 shown this week.

The progression of SPI for the past few years 2003-04, 2004-05, and 2005-06 shows continuous increase ie 114.38, 127.59 and 136.56, respectively.

The bulletin also shows that cement prices were showing 2.56 percent increase from corresponding week of last year has fallen by 2.23 percent as compared to last week's prices, which is Rs 285.50 per bag. Karachi was observing maximum price of Rs 300, whereas Multan minimum Rs 275 per bag.

 

[Neo]

LAHORE (July 23 2006): German Ambassador Dr Gunter Mulack termed the city of Lahore as an important city having important historical and cultural bearing, and said there was a large potential for investment in the province. He said this during a meeting with Punjab Chief Minister Chaudhry Pervaiz Elahi here on Friday.

While talking to German Ambassador, the CM said trade relations between Germany and Pakistan were based on solid footings and would be cemented further in the times to come.

Speaking on the occasion, Elahi said that 150,000 samplings were being planted in the city during the current monsoon, adding the provincial government was implementing a master plan to check pollution.

 

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ISLAMABAD (July 23 2006): Poverty in the country has declined sharply to 23.90 percent from 34.46 percent during the last four years due to prudent policies of the government, Adviser to the Finance Ministry Dr Ashfaq Hassan Khan said.

Talking to a private TV channel he said international organisations like World Bank and United Nations Development Programme (UNDP) has validated it in their recent reports.

He said the increased buying powers in rural areas showed that the poverty in rural areas has registered declining trend, as the increase in support price of wheat, cotton etc has enhanced their buying power. Tractor production has also registered tremendous increase. It forced the government to allow duty-free import of tractor to meet the growing demands.

Living standard of common man also increased due to the presence of more than 34 million mobile telephones in the country. Per capita income in the country has also increased to $847 from $438.

 

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LAHORE (July 23 2006): With a view to providing essential items to people at reasonable rates, the government has asked the Utility Stores Corporation (USC) to open over 100 outlets of utility stores across the country by the end of the current month.

Sources in the USC told Business Recorder, here on Saturday that pursuant to directions of the government the number of Utility Stores would be enhanced up to 1,000 from existing 560 by the end of current calendar year.

According to sources, the government has asked the high-ups of Utility Stores Corporation (USC) to evolve a comprehensive strategy for ensuring provision of essential commodities at each union council level on low rates.

The USC management is working on a comprehensive plan to expand the network of utility stores at all the 6,279 union councils. The USC has planned to extend loaning facility under proposed 'Rozgar Pakistan Scheme' to open franchised and static stores at the union council level, the sources added.

According to them, the Utility Stores at Tehsil level would work as distribution centres for mobile franchised stores, while distribution centres would supply essential commodities to static stores. The infrastructure of USC would be completed within a period of six months, while franchised and other schemes would be completed in three phases. Educated youth would also be involved in the expansion programme.

The sources further said that the number of distribution centres of utility stores has already been increased up to 20 from 12 while 10 more distribution centres would be opened in far-flung areas of the country including Gwadar, Khuzdar, Quetta, Nawab Shah, Dera Ghazi Khan and Bahawalpur.

 

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KARACHI (July 23 2006): China has shown keen interest in various development projects of Karachi Port Trust (KPT). The projects includes, construction of Pakistan Deep Water Container Projects and Cargo Village to be constructed at the Western Backwaters as an off dock facility.

In a statement issued here on Saturday, a Chinese delegation led by Gou Husheng, Vice President and Chief Economist of China International Engineering Consulting Corporation (CIECC), also accompanying Zhao Qingmao, Commercial Counsellor, Economic Commercial Office of the Consulate General of China, visited the KPT head office to explore investment opportunities. Husheng said that he was impressed with the vision of Karachi Port and its numerous development projects.

 

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QUETTA, July 22: Balochistan Chief Minister Jam Mohammad Yousuf has said that the provincial government cannot complete work on its projects because of lack of funds and Prime Minister Shaukat Aziz will be requested for grant for the purpose.

Speaking at a briefing of the communication and works department on Saturday, he directed the departments concerned to prepare a report to be presented to the prime minister.

He said the provincial government had launched the projects from its resources but funds from the centre were needed for their completion.

He expressed the hope that the federal government would cooperate and ensure completion of the work.

He said the projects of Quetta College of Arts, College of Home Economics and Culture Complex had been planned to provide facilities to students near their homes.

During his visit to the Girls’ Intermediate College, Brewery Road, the chief minister announced that it would be upgraded to degree level and directed the education department to appoint teaching staff in the institution.

LOCAL GOVTS: Balochistan Chief Secretary K. B. Rind, speaking to town and tehsil nazims here at the district council hall, said the government would take steps to redress their complaints.

He said the nazims must ensure maintenance of financial discipline.

Earlier, Chiltan Town Nazim Mir Ismail Lehri apprised the chief secretary of the problems faced by the nazims.

 

[Neo]

KARACHI, July 22: The final figure of trade deficit touched $12 billion for the fiscal year 2005-06, creating serious concerns for economic mangers of the country.

The figures posted on State Bank website showed that exports earned $16.468 billion while imports consumed $28.581 billion during the last fiscal year. It is a record trade deficit that puts immense pressure on country’s foreign exchange reserves. The import was dominated by high oil prices that hit the economies of developing countries like Pakistan.

Food items and auto sector also got massive weight in the list of imports. The country also failed to achieve the export target of $17 billion, while the import target exceeded by over $6 billion.

The Trade Policy 2006-07 announced last week set an export target of $18.6 billion and the import target at $28 billion. The import surpassed the figure of $28 billion in 2005-06.

Experts and economists do not see any decline in oil prices in the international market in the near future which means that the government will not be able to limit its import target to $28 billion for the fiscal year 2006-07.

The huge trade deficit also put immense pressure on current account deficit which was financed by selling local units through privatisation, foreign direct investments and remittances sent by overseas Pakistanis.

Analysts said the sale of local units would be more difficult this year after the Supreme Court annulled the sale agreement of Pakistan Steel on June 24 this year. They believe that the privatisation could hardly bring foreign exchange for the country. The amount of PTCL sale had a major share in the FDI in 2005-06.

The telecommunication sector, which played a key role in the increase of FDI volume, has reached a saturation point and more investments in this sector are not in sight.

“Those telecom companies which came late in Pakistan are struggling to earn high profit despite growth in the sector,” said Abid Anis, a telecom expert. He said only new innovations could bring some investment in this sector.

Analysts have been identifying the weakness in the policy and urging the government to improve the trade balance which could eat up the hard-earned foreign exchange reserves of the country.

The government has been relying on financing trade deficit instead of making strategy to bridge the gap.

“Financing trade deficit is not sustainable, as the resources of the country are going to be exhaust in the next two years. After that the government will start borrowing to meet the rising trade deficit,” said a researcher at a local brokerage house.

He said if the rising gap was not arrested, the country would again fall in debt trap and debt servicing would increase that would hit development expenditure. “This is not an assumption that the country is heading towards debt trap. In reality, trade deficit has forced us to borrow from donors or the market,” the researcher said.

The Trade Policy 2006-07 has already set a trade deficit of $9.4 billion. Even if the deficit is restricted to this figure, it would be difficult for the government to arrange financing if privatisation and FDI fail to respond.

 

[Neo]

By Farhan Bokhari, Special to Gulf News

In a week when the Pakistani government had cause for celebrating its victory over dissident tribesmen in the country's gas rich western Baluchistan province, events in the Middle East promise to undermine the south Asian country's economic outlook.

On the one hand, its indeed a consolation for policy makers in Islamabad to see up to 500 well armed tribesmen surrender to government officials on Friday, after waging a fierce battle against government troops for almost two years.

The clash had intensified worries over the future of efforts for not only continuity of gas supplies from Baluchistan but also efforts to develop new supplies from the region.

In the past two years, Pakistanis have tasted the consequences of disruption to gas supplies when Baluch dissidents attacked gas supply lines coming out of the embattled region.

As a result, stoves and heaters across central Pakistan turned cold right at the peak of the winter months amid an unprecedented step by the authorities to manage the fall in supply, through offering gas flows to different regions and suspending it to others.

Now, events in the Middle East promise to inflict a similar pain upon Pakistan's economic prospects.

Futile war

In addition to the human cost of an otherwise futile war which has further pushed away the prospects for enduring peace, the conflict also promises to raise the price of oil globally and force economies such as Pakistan to brace for eventual consequences.

For Pakistan, there is no easy way out of what is clearly one of the most profound challenges faced once again by the muslim world.

There are set to be at least two direct consequences from the effects of the conflict. On the one hand, higher oil prices must translate into further inflation at a time when high oil prices of the past two years have already undermined the quality of life for many.

On the other hand, the anti-US and anti-western sentiment which emanates from the conflict must further reinforce the view that countries like Pakistan and others in the region surrounding the Middle East, are perhaps going to become further insecure for high profile western investments.

By contrast, its also likely that investors from the Arab world including the many who chose to invest closer to home after the New York terrorist attacks triggered an anti-muslim sentiment in the US-led western world, would find further cause to remain wary of investing in the western world.

Can Pakistan benefit from this trend and eventually have more success in wooing such investors to its soil?

That question may well be central on the minds of at least some policy makers as turmoil in the Middle East forces new questions upon them.

In the short term, its indeed possible that affluent Arab investors may head increasingly towards countries such as Pakistan, armed not just with additional petrodollars earned through the ongoing conflict, but also driven by a sense of defiance of the US-led western world.

However, its then up to countries which host such prospective investors to create the necessary environment which retains their interest for the long run.

In Pakistan's case, dealing with a host of issues which are directly relevant to interests of investors, holds the key to the country's success in turning an immediate opportunity in to an avenue for long-term sustainable growth.

Immediate victory

A case in point is indeed the follow up to events in Baluchistan where an immediate military victory now must be followed up by consolidation on the ground to create the basis for long-term growth and prosperity.

The victory must be followed up with the creation of a host of comforting features such as a mechanism for law enforcement and policing, a network for the flow of important utilities such as electricity and gas, and creation of mechanisms for the fast-paced resolution of legal disputes.

All these factors are fundamentally relevant to investors if their interest is to be retained over a long period of time.

This is all the more essential as the fallout from the conflict in the Middle East would not necessarily tilt the circumstances in favour of countries like Pakistan for the long run.

Ultimately, investors may consider returning to the relative comfort of the mainstream western world once the conflict dies down, and a cold calculation leads many to believe that the returns in countries like Pakistan are not significantly ahead of the western economic environment.

http://www.gulfnews.com/business/Co...s/10054113.html

 

[Neo]

ISLAMABAD, July 22: Vice-president of British Petroleum (BP) lan Vann and vice-president Exploration Mike Daly called on Minister for Petroleum and Natural Resources Amanullah Khan Jadoon on Saturday and discussed with him matters pertaining to investment prospects in the oil and gas sector in Pakistan.

They exchanged views on further promoting cooperation in the oil and gas sector between Pakistan and British Petroleum for mutual advantage.

The minister briefed the BP’s executives on the investment opportunities in the upstream and downstream petroleum sector, including onshore and offshore exploration.

He said that the British company's expertise in offshore exploration would help Pakistan to tap hidden oil deposits in the sea.

He said that relations between Pakistan and BP spanned over a long time and appreciated the company's role in promoting oil and gas industry of the country.

The minister said that the government was providing a package of incentives and facilities to the prospective investors in oil and gas sector to attract investment.

He said that the execution of new production sharing agreements indicated government's clear and firm commitment to attract private investment, particularly foreign direct investment in the oil and gas sector to boost Pakistan's economy by substituting imported fuel oil.Vice-president British Petroleum, lan Vann said that his company would continue to avail the investment opportunities in Pakistan's oil and gas sector.

He said BP had been operating in Pakistan since 1977 with a focus in Badin where they had over 2,300 sq km area. He added the company had so far drilled 159 exploratory/appraisal wells resulting in 62 oil and gas discoveries with current production of 13,000 barrels of oil and 220 million cubic feet of gas per day.

He said BP Pakistan had so far made an investment of about $800 million in Badin’s joint venture. The company was renowned for its experience in offshore deep-water exploration and had best exploration records in the world.

After achieving leading position in Alaska, the North Sea and in North American gas production, the BP is now developing new fields in the deep-water off the Gulf of Mexico, Angola, Azerbaijan, and in Trinidad, he added.

Minister of State for Petroleum Mir Muhammad Naseer Mengal, Secretary Petroleum Ahmed Waqar, director general (Petroleum Concessions) Naeem Malik and BP president in Pakistan Tariq Khamisani were also present on the occasion.

 

[Neo]

Sunday, July 23, 2006

KARACHI: A severe shortage of rain around the country this year has left 95 percent of the cotton belt hot and dry.

Traders said on Saturday that showers were only reported in eastern lower Sindh during the second and third week of July. In Punjab, a few isolated monsoon showers have been forecast for Lahore, Jhelum and Sialkot in the forthcoming days, they added. There are reports that rain will also reach Hyderabad in lower Sindh. A small volume of new crop is now moving in the Mirpurkhas and Shahdadpur districts of lower Sindh. Ghulam Rabbani, a senior trader, said crop production would be adversely affected if forecasts turn out to be incorrect.

He said a shortage of canal water was present throughout the cotton belt. In Sindh, the government has moved to install tube wells to aid farmers.

Rabbani added that the weather would play a pivotal role in shaping the future size of the cotton crop, as the last two months of the harvest remained crucial, he added. He said at present one could not say anything about the size of the 2006-07 crop, the rains will shape the future of the lint market. More rains will result in a bullish market.

He added that the Pakistani market was facing difficulties as the new harvest was sold at lower than expected rates. Rabbani expected seed cotton to become a precious commodity as an increase in supplies would result in ginners being unwilling to buy seed cotton at dear prices meaning that lint will need to be sold at cheaper rates.

He said in India, monsoon activity had now diminished over much of East India. Gujarat State is dry and it is likely to be dry for much of this week. The heaviest rains this week have been forecast for Madhya Pradesh, coastal Karnataka and the Madhya Maharashtra and Vidarbha areas of Maharashtra. Some concern is building over the sporadic nature of rain in Gujarat. The total rains in 2006 season were near normal but the volume of rainfall amounts was approximately half of last year's total at this date and could become an issue if this pattern continues. Rainfall is also proving disappointing in Andhra Pradesh.

 

[Neo]

Sunday, July 23, 2006


LAHORE: Speakers at a seminar entitled "Mutual Funds - An Investment Tool for General Public" on Saturday said the prevailing interest mutual funds proved that the sector had immense growth potential.

The seminar was organised by the Institute of Cost and Management Accountants of Pakistan (ICMAP), Lahore Branch Council. Provincial Minister for Finance Hasnain Bahadur Dreshakwas the chief guest at the seminar.

Speakers said mutual funds provided investors with an opportunity to participate in the Pakistani capital market with the help of professional experts. Mutual fund operators are also becoming more competitive and flexible and are offering a wide range of funds. They stated that the growth of the mutual fund industry depended upon retail investors and concluded that it was important to target retailers. Educating retail investors about the risk factor and about different products available is also very important, they added.

Speakers pointed out that the Karachi Stock Exchange (KSE) share index and aggregate market capitalization (AMC) had increased by 41.1 percent and 48.3 percent respectively in 2005-06 and was one of the best performing markets in the world in the last two years. In the 2004-05 fiscal year, 15 new companies listed their shares, worth Rs 26.06 billion, on the KSE. Some mega offerings of Pakistan Petroleum, Kot Addu Power and United Bank were made through the privatisation process, they stated. Likewise, debt securities also witnessed 7 new listings worth Rs 9.13 billion. In spite of the high volatility experienced at the end of the third quarter of the 2004-05 fiscal year, the market gained momentum and remained one of the "best performing stock markets" among some of the top equity markets of the world in 2005. The said the Pakistani stock market had emerged as an important source of new capital for the industrial and commercial establishment. It has maintained its previous strong performance in the 2005-06 fiscal year and is achieving new heights. The KSE-100 index crossed the 12,000 barrier for the first time in the history of capital market and touched an all-time high on April 13. The KSE-100 index made further progress and reached 12,274 points on April 17 showing a growth of 64.7 percent over the level of une 2005.