Pakistan Economy - News & Updates - Archive

[Neo]

Single point mooring project starts at Khalifa Point

KARACHI (January 16 2007): Country's first project of Single Point Mooring (SPM) floating jetty has started at a cost of $60 million in the proximity of Khalifa Point, near Hub Industrial area, Balochistan.

Sources told Business Recorder that the SPM floating jetty would help larger oil tankers to load and discharge crude oil and other petroleum or liquid cargoes to storage areas at the coastline and later pumped through pipelines directly to oil refinery.

In this regard, a land of 20 acres has been acquired for oil storage area. The installation and operation of SPM project is a joint venture between the Coastal Refinery Limited and Bosicor Pakistan Limited. The cost of SPM project also includes foreign direct investment (FDI) from an Italian company.

A United States based (Houston, Texas) company OPE Corporation has been assigned as technical consultant.

The source said, "We are in the process of installing SPM floating jetty with joint venture of Bosicor Pakistan Limited at Khalifa Point, Hub, Balochistan."

In this connection, "We have already imported SPM and have acquired permissions from all the relevant government departments for its installation," the source said.

"This is a unique project of its kind, being the first offshore petroleum project of the country. The SPM will load and unload petroleum products. The project is expected to be commissioned in October 2007," the source said.

http://www.brecorder.com/index.php?id=517560&currPageNo=2&query=&search=&term=&supDate=

 

[Neo]

January 16, 2007

CNG sector attracts Rs44bn investment: No impact of oil price cut

By Aamir Shafaat Khan

KARACHI, Jan 15: The government’s decision to cut petrol price by Rs4 per litre from January 15 is not likely to impact the investment scene in the CNG sector.

The decision will not discourage investors from putting money in the CNG sector while conversion of vehicles to CNG from petrol will continue unabated, observers said.

However, cut in petrol rate will reduce the margin of saving on cars using the CNG. The percentage of saving on a CNG car was 52.70 before a cut in petrol prices.

The saving has now shrunk to 50.7 per cent after Rs4 per litre benefit to the owners of cars running on petrol, chairman CNG Station Owners Association (CNGSOA), Malik Khuda Bux told Dawn on Monday.

But in case the Oil and Gas Regulatory Authority (Ogra) comes out with a decrease in gas prices in coming days, the saving factor could increase again, he said.

“Cut in petrol prices will not affect the conversion of vehicles from petrol to CNG,” Malik said adding that the petrol price depends on the geo-political situation. The government will enhance the petrol price in case world oil prices climb again owing to any uncertain situation in world’s politics.

He ruled out the possibility that investors would refrain from putting money in the CNG industry after petrol price cut. The CNG sector will continue to flourish despite cut in petrol prices, he added.

As many as 1.18 million vehicles have so far been converted into CNG as compared to one million vehicles in April 2006. By April 2005, there were 700,000 vehicles on the roads.

Currently, 1,131 CNG stations exist in the country as compared to 930 by March 2006. He said that some 4,000 licences have been issued to the new investors for setting up CNG stations, while 200 stations are in the process of construction.

Malik said an investment of Rs32 billion had been made in the CNG sector till now. The investment figure will jump by Rs12 billion in case 200 stations, that are being built, are included.

A large number of people have converted their petrol cars to CNG after meteoric rise in petrol prices during the last few years. Even at petrol pumps only motorcycle owners are seen filling their fuel tanks while there is hardly any rush of vehicles there.

People using CNG cars are still seen making long queues at the CNG stations due to problems of low pressure of gas from the gas utility and rising number of vehicles.

An executive in a leading Japanese car assembling unit, who asked not to be named, said that cut in petrol rates will not make any difference in the CNG booking of cars. He said that the company had been rolling out 70-80 per cent units fitted with CNG kit now-a-days as compared to 20 per cent vehicles on petrol.

Since the petrol became costlier there has been 25 per cent growth every year in booking of vehicles fitted with CNG.

“Despite cut in petrol prices, there is still a 50 per cent saving on CNG vehicles as compared to petrol,” he said adding that the CNG maintenance of CNG cars is cheaper as compared to petrol version cars.

http://www.dawn.com/2007/01/16/ebr1.htm

 

[Neo]

Tuesday, January 16, 2007

Linkages with CARs, Middle East, China: Pak developing energy, trade, transport corridors: PM

ISLAMABAD: To establish economical and efficient linkages with the Central Asian Republics, China and the Middle East, Pakistan is working on developing energy, trade and transport corridors, said the prime minister here on Monday.

He was talking to Manfred Boes, President of the International Federation of Freight Forwarders Association (FIATA), world's largest NGO in the field of transportation, who called on him at the PM's House.

The prime minister said that Pakistan is committed to improving and upgrading its logistics chain and infrastructure in order to sustain the present level of growth of its economy. Pakistan's major strategic initiative in the field of infrastructure development is the National Trade Corridor linking Pakistan's major ports in the south with its major cities and trade routes in the north. The ports, roads and railways along this corridor will significantly reduce the time and cost of moving goods and people and improve the productivity and competitiveness of the industry, he said.

The prime minister said Pakistan's strategic position can play a vital role in the logistics of the region.

Mr Aziz said that Pakistan is conscious that upgradation of infrastructure development is critical not only to business and industrial activity but also for human development and reducing poverty.

The prime minister said that the government is engaged in a massive infrastructure development programme to build motorway quality roads, dualizing railway tracks and constructing deep-water ports to support the growth momentum.

He said that apart from expanding the logistics chain, the government is meticulously maintaining the existing infrastructure to meet the current requirements.

Manfred Boes said that the NTC's initiative is timely and will go a long way in improving the logistics chain without which no meaningful economic activity is possible. He said that Pakistan's impressive growth rate will encourage development of a first-class logistics chain in the country.

http://www.dailytimes.com.pk/default.asp?page=2007\01\16\story_16-1-2007_pg5_4

 

[Neo]

Pakistan Jul-Dec Forex Remittances Up 25% At $2.568 Billion

KARACHI -(Dow Jones)- Pakistan received $2.568 billion in foreign exchange remittances in the first half of the current fiscal year that began July 1, up 25% from $2.055 billion the same period last year, the central bank said Tuesday.

The State Bank of Pakistan said in a statement that remittances received in December 2006 totaled $475.21 million, up 28% from $371.24 million in December 2005.

Remittances in the last fiscal year that ended June 30 totaled a record $4.60 billion, compared with $4.168 billion the previous year.

The central bank data reflect only legal remittances made through banks.

Foreign exchange remittances make up the bulk of Pakistan's foreign exchange reserves, which also include foreign currency deposits held at banks.

Latest central bank data showed foreign exchange reserves were at $12.922 billion in the week ended Jan. 6.

More overseas Pakistanis are now using banks to wire home their foreign currency following a crackdown on informal money exchanges after the Sept. 11, 2001, terror attacks in the U.S.

http://www.nasdaq.com/aspxcontent/N...CQDJON200701160904DOWJONESDJONLINE000342.htm&

 

[Neo]

Jan 17, 2007

Chinese eye Pakistan's real estate
By Syed Fazl-e-Haider

QUETTA, Pakistan - Pakistan and China have already entered a five-year economic and trade cooperation framework to increase Chinese investment in the South Asian country. Some important sectors, including real estate, have also been identified for Chinese investors so that the country's industrial production can be enhanced.

Some 20 Chinese companies have committed to investing in the recently proposed Pak-China Industrial Zone, near Kala Shah Kako in the province of Punjab.This would be the first Chinese

industrial zone outside China in which leading Chinese groups would make investments and establish various projects. At a recent meeting with Pakistani Prime Minister Shaukat Aziz, a Ruba Haier Group delegation from China requested that the government of Punjab allocate land to the Chinese Industrial Zone on a deferred-payment basis and also proposed that the cost of the land could be recovered from the developers within 15 years.

Some other major Chinese groups have also visited Pakistan recently and discussed their investment plans with top officials in Islamabad. The government has already set up a steering committee to complete the exercise and come up with a final incentive package, as well as utility agencies to provide the required infrastructure so that work can start as soon as the land has been allocated. The incentive package would help the Chinese investors to finalize their investment plans in the proposed Pak-China Industrial Zone.

The real-estate business has seen a boom in Pakistan in recent years. The property market in the country has benefited from the present government's commitment to promote Pakistan as an investment choice. New real-estate projects in Karachi, Lahore, Islamabad and the future port city of Gwadar have built-in infrastructure to support the rapid development of housing schemes. On the other hand, the real-estate business has also developed rapidly in recent years in China, which has more than 20,000 property-development companies. The Chinese government has worked out policies and measures for the reform of the urban housing system to promote comprehensive development of the real-estate business.

China International Industry and Commerce Co Ltd (CIIC) has shown keen interest in constructing 10,000-15,000 houses for low-income groups and other development projects. The CIIC is currently planning the construction of housing units in the capital, Islamabad, which is considered a relatively safe city because of the presence of international diplomatic missions and government offices. Surrounded by green hills and beautiful landmarks, most housing schemes in the city and in the surrounding areas sell out quickly and have always been considered a good long-term investment.

In Punjab, about 200 hectares of land at M-III Industrial Estate in Faisalabad has been allocated for Chinese investors. The Rs4.25 billion (US$95 million) M-III, which will be the biggest industrial estate in the country, is being established on about 1,820 hectares.

The Xiao Changfu, dean of Chongqing Social Science Academy and deputy director general of the Chongqing government's Development Research Center, recently led a nine-member Chinese delegation to Pakistan to assess the country's investment climate. Xiao said China is keen to invest in real estate in Pakistan and that the delegation would present its report to Chinese chambers of commerce and industries.

Gwadar is another area where China's stake in real estate will prove strategic. After the completion of the deepsea port project, Gwadar is likely to emerge as a South Asian business hub and modern investment center. Property in Gwadar is considered a good investment and the speculative trade in real estate is booming there.

Islamabad has plans to establish hotels, motels, playgrounds, boating clubs, theme parks, marinas and other recreation projects in Gwadar. The future port city will be connected to the rest of the country by land, sea and air links. The government has decided to set up a tax-free industrial zone of international standard in Gwadar and it has acquired about 4,050 hectares of land for this purpose. Housing schemes and highrise construction on commercial plots are planned and will be up to international standards.

Officials in Islamabad claim that leading international investors have shown keen interest in Gwadar because of its strategic location and potential for becoming a major transshipment trade center in the region. Chinese companies are likely to invest in real-estate projects in the second phase of the Gwadar seaport project.

There certainly exists vast potential for Chinese companies to invest in Pakistan's real estate. The free-trade agreement (FTA) recently signed between the two countries also provides a level playing field for Chinese investors in Pakistan. Chinese products are penetrating deeply into the Pakistani market and, as a result, people regard China with suspicion, as these cheap products have driven many local manufacturers out of the domestic market.

Islamabad has welcomed Chinese investment in Pakistan and allowed Chinese companies to exploit the country's real-estate potential. During a visit by Pakistani President General Pervez Musharraf last February, the private sectors of Pakistan and China signed 19 agreements and memoranda of understanding worth $500 million to undertake joint ventures in various sectors of bilateral interest. The projects, mostly related to real-estate development, are to be implemented within the next four to five years.

Besides liberalization of trade in goods, the FTA covers investments, including investment promotion and protection, treatment of investment, expropriation, compensation for damages and losses, and dispute settlement. The deal will enhance economic cooperation between China and Pakistan.

http://atimes.com/atimes/South_Asia/IA17Df03.html

 

[Owais]

'Pakistan implementing plan for modernising three ports'

KARACHI (January 17 2007): Pakistan has started the process of implementing a comprehensive development programme for modernisation of its three ports: Port Qasim, Karachi Port and Gwadar Deep Sea Port. This was an important part of a detailed National Trade Corridor Improvement Programme (NTCIP), focusing on boosting transport capacity and linkages with all neighbouring countries.

The newly appointed federal secretary of ports and shipping, Naheed Haider said this while speaking at inaugurating of 3rd Meeting of Heads of Reference Marine Organisations of Economic Co-operation Organisation (ECO) member states here on Tuesday.

She said after the development and modernisation, the ports would help promoting inter-regional co-operation, trade and tourism between the member states. In view of rapid changes reshaping the ports and shipping industry, the delegates to the third meeting would deliberate on new trends and find ways to enhance co-ordination within the frame-work of ECO charter for the benefit and common interest, Naheed said, adding that the initiatives was taken by the ECO member countries in the field of maritime transport with the assistance of international organisations.

http://brecorder.com/index.php?id=517961&currPageNo=1&query=&search=&term=&supDate=

 

[Janbaz]

Egypt likely to invest in banks

ISLAMABAD: Prime Minister Shaukat Aziz on Tuesday said Pakistan had become a lucrative destination of foreign direct investment in view of the availability of skilled manpower, comparatively low cost of production and a level-playing field for foreign and local investors.

The prime minister stated this while talking to a delegation of Egyptian bankers comprising Ahmed ElBardai and Wagdy Rabat, representing the Orascom group, who called on him at the PM House. Zouhair Khaliq, Chief Executive Officer Mobilink also attended the meeting.

The prime minister said Pakistan attracted foreign direct investment of $3.1 billion last year, which was a manifestation of the growing investors’ interest in the country. The overall rate of investment at 20 per cent of the GDP was the highest ever achieved by the country, he added.

The PM pointed out that comprehensive institutional reforms introduced by the government had put the economy on a high growth trajectory, which “we are determined to sustain.”

He said the government had provided an investor-friendly environment as all sectors of the economy were open for business. With a population of 160 million and a growing middle class, Pakistan was fast turning into a major market economy and a manufacturing and servicing destination in the region, he said.

He said the government’s policies of liberalisation, deregulation and privatization, particularly in the banking sector, had attracted several international investors.

Bardai and Rabat, on the occasion, said the economic policies of Pakistan were well appreciated and recognized all over the world, especially in the investor and financial community. They expressed interest in investing in the banking sector and the hotel industry of Pakistan.
The News.
http://thenews.jang.com.pk/daily_detail.asp?id=39092

 

[Janbaz]

$49m project to develop agri-businesses

ISLAMABAD, Jan 16: The Ministry of Food, Agriculture and Livestock (Minfal) has launched a project for the improvement of horticulture and livestock related business in the country, official sources said here.

About 2,000 agro-enterprises are expected to benefit from the agribusiness support fund operations over the five years of the project life.

Further, a handful of institutions are expected to develop dedicated agribusiness finance functions, which could benefit an additional 10,000 agro-enterprises, (including up to 12,500 farm entrepreneurs) by improving access to finance, providing significant jobs and income generating opportunities.

The total cost of the project is estimated at $49 million to which the government will contribute $6.9 million, the agribusiness enterprises $10.4 million, private sector institutions $600,000, and the beneficiaries $100,000. The Asian Development Bank will provide a concessional loan of $31 million for the project.

The agri-business development project would lead to development of 705 agriculture business enterprises through formation of 1,250 farmers groups involving 12,500 farmers. Additionally, the project will develop 100 business development support companies and 30 research and extension service provider companies as well as supporting 10,000 agriculture business enterprises backed with a strong human resource component.

The project will focus on horticulture business, through actions to improve the livestock and dairy institutional framework, and support to the selected enterprises will be provided.

The agriculture sector accounts for 25 per cent of gross domestic product, almost half of jobs, and about 70 per cent of exports. However, the sector's growth has been on the decline since 1990, and yields of major crops have stagnated in the past decade.

Commercial agriculture and agribusiness development in the country is constrained by poor infrastructure, sector institutions and policies, and governance practices. Limited access to modern technology and to financial and business development services further hampers development, says the project document.

The rationale of the project is to address constraints that impede development of the sector, and exploit domestic and export market opportunities in the agribusiness sector, thereby contributing to increased economic growth and rural employment.

The Dawn.
http://www.dawn.com/2007/01/17/ebr2.htm.

 

[Janbaz]

Japan keen on power sector

SLAMABAD, Jan 16: An eight-member Japanese business delegation, led by Yamada Yoshiki, on Tuesday called on the Senate chairman and discussed with him possibilities of Japanese investment in the field of power generation, jewellery, housing and construction industry came under discussion.

During the meeting Muhammedmian Soomro informed the delegation that "we have a lot of expertise in the field of jewellery and that collaboration between the two countries would be fruitful." The Senate chairman told the Japanese investors that more and more foreign companies were making investments in various fields these days and having good returns.

He told them that there was a tremendous scope for power generation as Pakistan was short of electricity.

Mr Soomro said: "We discourage the use of furnace oil for generation of electricity because of its high cost as production of electricity by using coal would be quite cheaper.”

The Senate chairman called upon the Japanese team to opt for cheaper options, like use of hydropower, solar energy and the wind-mills for power production.

Regarding cooperation in the field of construction industry, Mr Soomro told the Japanese team that there was a shortage of nearly six million housing units in the country, and that Pakistan would welcome Japanese investment in the construction sector.

While welcoming the Japanese investors, the Senate chairman highlighted the cordial and friendly relations between Pakistan and Japan and hoped that the growing ties between Japan and Pakistan would play a significant role in the progress, prosperity and development of the region.

The Dawn.
http://www.dawn.com/2007/01/17/ebr9.htm.

 

[Neo]

Housing backlog to reach 100 million in 20 years: FPCCI

KARACHI (January 17 2007): Pakistan may face a housing backlog of 100 million in the next 20 years against the backlog of 61.9 million at present, if the construction industry is neglected continuously.

Munir Sultan, Co-chairman, Standing Committee on Housing & Construction Industry of the Federation of Pakistan Chambers of Commerce and Industry (FPCCI) told Business Recorder that the World Bank had reported backlog of 61.9 million against the backlog of 4.27 million in 1998.

"If the construction industry is further ignored by the government the shortfall shall keep adding to the accumulation of housing," he said. "I believe that by the passage of 20 years the further shortfall of 10 million houses will be added to the present backlog."

He said that the construction had been neglected and no incentive was given to this job providing industry and delay in regularisation of the frozen lands in Karachi, which was basic raw material for the construction industry.

Sultan said that fiscal year 2004-2005 GDP growth rate of 8.6 percent was realised first time in the history whereas the target was 6.8 percent and the construction industry's growth registered at 18.6 percent unexpectedly on a very higher side due to which the overall economic growth was 8.6 percent. But as per the economic survey report for the year 2005-2006 the GDP rate was 6.6 percent against the target of 7 percent, the construction industry achieved growth of 9.2 percent despite all odds.

It is less than phenomenal growth of 18.6 percent, but higher than the target of 7.5 percent and better than the performances in last 15 years, he said. The State Bank of Pakistan has acknowledged in its annual report that construction was the only sector to have achieved higher than targeted growth, he said.

He said that main impediment in growing housing industry was prolonged frozen lands matter, which should be finalised on emergent basis where the amount of Rs 130 billion from the poor masses has been stuck-up in Karachi. He also suggested that the government should direct the financial institutions to provide house construction loans instead of house purchase loans.

About 600,000 to 700,000 people added to Karachi population annually, which increased the number of katchi abadis from 471 in 1984 to 1,482 till June 2005. "These katchi abadis have encroached land of government and semi-government worth billions of rupees," he said, adding due to this the crime rate had been increased besides getting illegal water and power connections.

He said the present government under the leadership of President General Pervez Musharraf and Prime Minister Shaukat Aziz had taken serious note of housing backlog and accepted the importance of housing and development, which was internationally recognised an important pillar of measuring country's economy.

He said the government had attracted foreign developers and some projects had been finalised in the area of Defence Housing Authority and Coastal Line, which was still beyond the purchasing power of the lower and middle-income families. He suggested that there was need of satellite town and low-cost housing on emergent basis to meet the housing backlog.

He also demanded of the government that the allotment of lands was being banned for long and it should be realloted to genuine builders. He mentioned that the government was sincere to develop the industry but bureaucracy had created obstacles for preventing the growth, which would directly hit 72 other related industries. If the industry collapsed it would result in mass unemployment, he said and adding that millions of people were employed in the allied industries.

http://www.brecorder.com/index.php?id=517987&currPageNo=1&query=&search=&term=&supDate=

 

[Neo]

Textile exporters expect $1 billion orders from Heimtextil fair

KARACHI (January 17 2007): The country's textile exporters are expecting to get foreign orders worth of one billion US dollar from Heimtextil exhibition, "the world largest home textile event held every year in Germany," concluded recently, exporters, who participated the event, told Business Recorder on Tuesday.

This year more than 3,000 textile related exhibitors from 75 countries participated in the exhibition, while around 0.1 million businessmen, buyers and importers visited it from all over the world. Pakistan is also a big participant of the Heimtextil for the last many years and this year 166 Pakistani textile exporters participated in the fair. Exporters of home textile bed-wear and towel manufactures displayed their products in the exhibition.

Although this year, the members of Pakistani delegation were fewer than those of the last year, however Pakistani exporters got a positive response from international buyers, told a visiting exporter. Around 90 percent Pakistani participants have revised export orders worth of approximately of $600 million during the three day of the exhibition while more than $400 million fresh orders are also expected to be finalised soon".

"We have provided new designs and products to our customers for the quality checking and they will finalise new order shortly after the negotiation on the price," he added. He said that our home textile export, which stood at around $3 billion annually depends on this exhibition and leading exports are getting a large number of export orders from this event.

Minister for textile Mushtaq Cheema told Business Recorder that this year there was no price war at the Heimtextil exhibition against our expectations and our exporters had quoted 2 to 3 percent high prices as compared to those of last year.

"In the exhibition our exporters were confident, while the Indian and Bangladeshi exporters failed to receive response but the Chinese exporters dominated the exhibition by giving a tough time to the Pakistani exporters," the minister observed. He said that relief package for exporters in the shape of five-percent research and development (R&D) assistant has provided support to the exporters and make the competitive to get orders.

http://www.brecorder.com/index.php?id=517949&currPageNo=2&query=&search=&term=&supDate=

 

[Owais]

10 EoI received for Heavy Electrical Complex sell-off


ISLAMABAD (updated on: January 17, 2007, 16:56 PST): The Privatisation Commission (PC) has received ten Expressions of Interest (EoI) and Statement of Qualification (SOQ) from the interested parties to participate in the privatisation process of Heavy Electrical Complex (HEC).

The interested parties included 1.ABB (Pvt) Limited, 2. Areva T&D Pakistan (Pvt) Ltd, 3. ICC (Pvt) Limited, 4. Iljin Heavy Industries Co. Ltd, through Seven A's Corporation, 5. Lahore Polypropylene Industries (Pvt) Limited, 6. Pak Elektron Limited, 7. Noor Financial Investment Company, 8. Sahfi Associates, 9. Shahzad International, and 10. Siemens (Pakistan) Engineering Company Limited.

A pre-qualification committee will now evaluate these parties for pre- qualification on the basis of the information submitted by them in the Statement of Qualification.

Heavy Electrical Complex (HEC) is one of the industrial units of State Engineering Corporation (SEC) engaged in the manufacturing of power transformers of different types (total annual capacity 3000 MVA) with primary voltage rating of 66 and 132 KV.

In addition, the HEC undertakes repair and refurbishment of old and damaged power transformers upto 500 KV. HEC was incorporated as a private limited company in 1991 and commenced full-scale commercial operation in 1997.

HEC is located in Hattar Industrial Estate about 65 Km from country's capital Islamabad. HEC is spread over an area of 81.379 acres. A total of 63 acres of land is included in the transaction out of which 20 acres is non-core land for expansion.

Major clients of HEC products include WAPDA, its corporatised entities and KESC. HEC has six main manufacturing shops namely Machine shop, Winding shop, Insulation shop, Core shop, Fabrication shop and Assembly shop.

In addition HEC has an oil purification shop, high voltage test laboratory equipped with 250 tonne overhead travelling crane. HEC can diversify its manufacturing range by including other products such as instrument transformers, high voltage circuit breakers and other grid stations equipped for meeting demand of the products in domestic and foreign markets.

brecorder.com

 

[Owais]

Japanese firm keen to invest in Pakistan

ISLAMABAD (January 18 2007): Satoko Owner Tomato Design Limited, a Japanese company has shown interest invest in power and financial sector and Gawadar port. The CEO of the company showed interest in investing in Pakistan during a meeting with Board of Investment BoI Talat Miyan.

Talat Miyan briefed the delegation about the opportunities for investment in Pakistan and said that there is strong diplomatic relationship between Pakistan and Japan. He said that the investment policies of Pakistan are the most liberal in the whole region and there is unlimited potential in power, tourism and construction sectors fully open for investment.

He briefed them about the investment incentives and opportunities in said sectors and other infrastructure facilities. He assured all support from Government of Pakistan to Japanese Investors and told them that this is the right time to invest as Pakistan is becoming a hub of business in the region.

The members of the delegation are Yoshiki Yamada, President Nihon Sho Koh Inc, Satoko Takahashi, Owner Tomato Design Co Ltd, Ayaki Kawase, President, Construction Project Consultant Inc, Takeo Mogami, GM Overseas Division, Construction Project Consultant Inc, Farida Yahiya Sapphire Gem Co Ltd, Sheikh Umar Frooq, CEO, Habian Solitec, Malik Shahid Ahmed Khan, Chief Operating Officer, Habian Solitec.


http://brecorder.com/index.php?id=518333&currPageNo=1&query=&search=&term=&supDate=

 

[Neo]

Cellphone users jump by 145pc

KARACHI: Cellphone subscriber base grew by more than 145 per cent during calendar year 2006, as continued popularity of the service attracted over 28 million new customers during the period, a senior official said on Wednesday.

Latest figures compiled by the Pakistan Telecommunication Authority suggest total number of cellular service users stood at 48.50 million by December 2006, which were 19.6 million by the end of 2005.

“It shows an increase of 147.44 per cent, which is the highest in a single calendar year,” said the official at PTA. “There is also a 4.5 per cent increase if we compare such figures with the previous month (November 2006). In fact, there is an exceptional jump in cellular subscribers’ number.”

He said during 2006 almost 29 million new connections were sold by the six cellular companies on comparatively cheaper tariffs and increased network reach of the service providers.

“So there was over 28 per cent mobile density rate by November 2006,” said the PTA official. “The four major companies - Mobilink, Ufone, Al Warid and Telenor - earned better market share during 12 months of 2006, which attracted subscribers with different tariff packages and incentives.”

The figures, gathered by the telecom watchdog, show by December 2006 Mobilink led the market share with 22.70 million subscribers, followed by Ufone, which was serving 10.10 million people across the country.

With the arrival of the UAE-based Al Warid Telecom and Norwegian Telenor both competition and subscriber base grew at a much faster pace, as the new entrants attracted 7.6 million and 6.6 million subscribers respectively by the end of December 2006.

The PTA data says by December 2006 Paktel, which offers both AMPS (advanced mobile phone system) and GSM (global system for mobile communications) services enjoyed 1.3 million subscribers and the only AMPS service Instaphone had a share of 0.2 million by the year-end.

The cellular density witnessed phenomenal jump in the last two years as mobile phone subscriber base grew by staggering 170 per cent during 2005-06, outnumbering almost six-decade old fixed line telephony service by more than 500 per cent in 16-year operations.

Analysts see cellular service growth in line with the expectations, but say 2007 appears challenging for the cellular companies, when MNP (mobile number portability) is expected to be in place.

“A cutthroat competition is expected among the operators during 2007, after the MNP is implemented by all the cellular operators across the country,” said Anwaar Ahmed Khan, a telecom analyst at Capital One Equities.

“The MNP would decide the real market leader. After the MNP implementation the companies must have to improve their service quality to keep their subscribers intact.”

The MNP is a system, which enables a mobile phone subscriber to carry the same number while changing the service provider. The system, which requires over Rs500 million, was scheduled to be implemented in November 2005 was delayed for more than a year on unknown grounds.

Now the regulator has set January 2007 as new deadline for the project completion and seems confident to meet it.

“The MNP is almost ready to be launched,” said the PTA official. “There were some complications in the project, which have been removed and proper service would be available to subscribers within newt few weeks.”

http://www.thenews.com.pk/daily_detail.asp?id=39259

 

[salman77]

​

Pakistan, Abu Dhabi to promote trade, defence ties

​

ISLAMABAD: Crown Prince of Abu Dhabi Sheikh Mohammad Bin Zayed Al-Nahyan said his country is greatly impressed by the economic strides Pakistan has made.

He stated this in a meeting with Prime Minister Shaukat Aziz Thursday at Prime Minister House here Thursday. The two leaders discussed bilateral, regional and international matters with special focus on investment, trade, defence and security fields. The two sides agreed to promote bilateral cooperation in all sectors.

The UAE will continue to encourage its private sector to enter into joint ventures with their counterparts in Pakistan, as it is a win-win for all. The Crown Prince, who is also Deputy Supreme Commander of the UAE Armed Forces, said he has no doubt that UAE businessmen will continue to invest in Pakistan.

Investment, he said, comes only to a place where it is considered safe and the people of UAE and its investors have great faith in Pakistan. Pakistan can always count on UAE just as UAE counts on Pakistan.

Shaukat Aziz said he welcomed the fact that the UAE has emerged as the largest single investor in Pakistan, which is reflective of the close relationship between the two countries. Talking about the composite dialogue process with India, the prime minister said Pakistan is a peaceful country and wants to resolve all outstanding issues with India including the Kashmir dispute.

Sheikh Al Nahyan who is also Chairman of the Executive Council of the Emirate of Abu Dhabi said that the UAE welcomes the Pakistan India dialogue and hoped it would lead to resolution of all issues. The prime minister apprised the visiting dignitary about Pakistan’s relations with China, which he described as close and reliable friend of Pakistan.

Regarding the developments in the Middle East, the prime minister said Pakistan believes that peace in the region hinges on an honourable and just solution of the Palestine issue. He said Pakistan will continue supporting the just struggle of Palestinian people for the establishment of an independent state.

Pakistan also supports Iraq’s sovereignty, territorial integrity and unity and is concerned over the worsening security situation and sufferings of the Iraqi people. He said the current visit of the Sheikh Mohammad Bin Zayed Al-Nayhan would further consolidate and expand bilateral ties between our two countries.

The meeting was followed by banquet hosted by the Prime Minister in honour of the Crown Prince and his delegation at the Prime Minister’s House. Speaking on the occasion the prime minister said Pakistan and the UAE have cooperated with each other in every field. We share our mutual desire for peace in the region.

General Sheikh Mohammad Bin Zayed Al Al-Nahyan said that UAE will make its best efforts to maintain and enhance its record high investment in Pakistan. He said the people of UAE appreciate the support Pakistan gave it in developing UAE’s armed forces particularly the Air Force. He also appreciated the services rendered by about half a million Pakistanis living in the UAE in helping the nation develop and prosper.