Pakistan Economy - News & Updates - Archive

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Raise in uplift spending widens deficit to 0.9 percent of GDP: ADB ​

FAISALABAD (August 19 2007): Rapid rise in development spending in Punjab has widened the FY2006 deficit to 0.4 percent of provincial GDP, while more increases in development spending are expected in FY2007, disclosed study report of West Asia Department (CWRD) of Asian Development Bank.

From FY2001 to FY2006, ADB study mentioned, Punjab government has increased development spending by 31 percent per year, addressing gaps in social services and infrastructure development that had accumulated during a period of low expenditure in the 1990s.

This rapid rise in development spending widened the FY2006 deficit to 0.4 percent of provincial GDP. More increases in development spending are expected in FY2007, including the capitalisation of the pension and the general provident fund (GPF) and financing for the special infrastructure programme recently launched by the government. This will further widen the fiscal deficit to 0.9 percent of provincial GDP in FY2007.

According to report, the special infrastructure programme will continue to receive large allocations until FY2009, when increases will taper off. As the federal government pushes to sustain economic growth, the Punjab government has also positioned itself to boost economic development.

The Punjab's performance is essential to national economic growth, since the province accounts for about 57 percent of Pakistan's GDP. World Bank estimates show that between FY2002 and FY2006, the annual GDP growth of the Punjab ranged from 4.7 percent to 10 percent.

Underlying this have been the sound economic policies and fiscal management of the Punjab government, which have enabled it to increase development spending. Government revenues have increased by 15 percent annually, while the annual growth rate of recurring expenditures has been maintained at 10 percent.

Fiscal reforms have reduced untargeted subsidies by 28 percent annually. Replacing federal government debt with foreign debt has lowered interest payments to 4.2 percent a year in FY 2007 from 11.3 percent in FY 2003, enabling the Punjab government to implement wide-ranging reforms.

With the deficit kept below 1 percent of GDP, ADB report observed that the increases in development spending do not pose an immediate risk to fiscal stability. Nonetheless, the Punjab government is fully aware that projected expenditures cannot be funded solely by the provincial budget.

It is therefore exploring public-private partnerships for project financing and implementation. If its fiscal stability is threatened, the Punjab government is ready to implement measures to reallocate expenditures toward priority sectors and to cap the development budget at the FY2007 level.

While there has been an increase in the public debt in the Punjab, as a percentage of provincial GDP the debt burden eased from 7.7 percent in FY2001 to 5.9 percent in FY2006. Further declines are anticipated in the future, reducing the public debt to 3.7 percent of provincial GDP by FY2010.

The Punjab government has also made headway in structural reforms supported by the PRMP. It has successfully introduced a medium-term budgeting framework and preparations are fairly advanced for rolling 3-year projections for fiscal resources and broad sectoral ceilings that will start in FY2008. The Punjab government is also moving ahead with pension reforms.

On March 7, 2007 the provincial assembly passed the Pension Fund Act 2007 and earmarked funds totalling Rs 12 billion ($198 million) for both pension and GPF reforms. These positive developments, coupled with the government's strong fiscal position, have prepared the Punjab for the next generation of reforms.

The province of the Punjab is poised to move forward with the introduction of a medium-term expenditure framework to link expenditures closely with results, implementation of further pension reforms, civil service reforms to enhance government responsiveness to the public and to improve the delivery of public services, and the creation of an enabling environment conducive to private sector growth, ADB report added.

The ADB experts observed that the Punjab government has demonstrated strong commitment to the PRMP reforms and has also strongly supported the capacity building initiatives under the TA loan and other TA grants. The government has made considerable progress in implementing the reforms agreed under the PRMP, despite the technical complexities inherent in public sector adjustment programmes.

Of the 39 second-tranche policy achievement targets, 26 have been fully complied with, six have been substantially complied with, six have been partially complied with, and one requested to be waived. All other reform directions have been broadly on track.

Business Recorder [Pakistan's First Financial Daily]

 

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Sindh Vision 2030 Cell established ​

KARACHI (August 19 2007): Sindh government has decided to establish a Sindh Vision 2030 Cell at an estimated cost of Rs 12 million to finalise the draft of Sindh Vision-2030. Sources in Sindh Planning and Development Department told Business Recorder here on Saturday that department had already prepared draft of Sindh Vision 2030.

It encompasses all sectors of the life including agriculture, forest, wildlife, industries, mines and mineral development, water and power, physical planning and housing, transport and communication, rural development.

The other sectors for which next 20-year planning has almost been completed keeping every aspect of the respective sectors are education, health, culture and tourism, statistical and economic research, IT, poverty alleviation, women development, population welfare, law and order and others.

The main focus of the vision would be on growing environmental pollution including air, noise and marine in the province. The measures are suggested in the draft to combat the degradation of environment in the province in general and in Karachi in particular after evaluating local and international research reports.

Additional Chief Secretary (Planning and Development) Ghulam Sarwar Khero also confirmed that provincial government was working to chalk out a full fledge future planning for the province. No sector would be left in Sindh Vision 2030 and viable solutions would be suggested to resolve the problems of every sector, he added.

Sources said that after the finalisation of recommendations presented in draft of Sindh Vision it would be sent to Sindh Chief Secretary and then to Sindh Chief Minister for final approval for its implementation.

Business Recorder [Pakistan's First Financial Daily]

 

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'Unemployment rate declines to 6.2 percent' ​

KASUR (August 19 2007): Unemployment rate in the country has declined to 6.2 percent from staggering 8.3 percent after employment of one million people during the last four years. Chairman National Assembly's Standing Committee for Railways and Pakistan Muslim League, Kasur district President Tufail Ahmed Khan observed while addressing a meeting largely attended by PML workers, nazims and local press in Kot Radha Kishen.

PML president said a grant of Rs 50 million had been approved by Chief Minister Chaudhry Pervez Elahi for the construction of a Tehsil complex in Kot Radha Kishen with a total area of 25 acres, adding that construction would start soon.

Paying rich tributes to President General Pervez Musharraf, he said PML and its allied parties would undertake all out efforts to ensure re-election of President Musharraf for a five-year term and hinted that some opposition members would also vote for the president.

Business Recorder [Pakistan's First Financial Daily]

 

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Foreign firm ready to invest in desalination project

KARACHI (August 19 2007): G.E Water and Process Technologies, a prominent Saudi and UAE-based company has showed interest to make investment in water desalination project.

A company's delegation led by its Sales Manager Ali Bin Haj Hamida, met City Nazim Syed Mustafa Kamal here on Saturday and informed that the company is already working in Saudi Arabia and UAE on similar projects and is prepared to make huge investment here as well.

Speaking on the occasion Nazim Mustafa Kamal said that Haq Parast leadership has carried a positive image about Karachi to the world through its vision of fast development activity and implementing policy of concrete development projects and as a result investors world-over have started focussing on Karachi.

He pointed out that Karachi's population is fast growing and as a result demands for water and power was also rising.

The City government, he informed, is exploring new water resources and planning to establish a power plant and such projects would be completed under public-private partnership for which direct agreements are being made with reputed international companies.

He said the city government is encouraging all such companies, which are ready to invest under public-private partnership. He assured that the company planning to setup desalination plant here would be provided all necessary facilities as per law.

He said with fast increase in the demand for water in Karachi, water board should focus on exploring alternate water resources, particularly projects of water desalination.

Business Recorder [Pakistan's First Financial Daily]

 

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Under-served areas to get telecom facility ​

KARACHI: Minister for IT and Telecom Awais Ahmad Khan Leghari on Saturday unveiled a plan to provide telecommunication services to six under-served areas of the country, said a ministry statement.

“The six geographical areas marked out in the divisions of Malakand, Sukkur, Sibi, Chaghai, DG Khan and Attock due to a large part of the population in these areas still in want of telecommunication services, will be covered under a project to be launched within the next few weeks,” the statement quoted the minister as saying.

The minister also chaired the fifth meeting of the Universal Service Fund’s Board of Directors. The meeting was attended by IT Secretary Farrakh Qayyum, Member Telecom Nooruddin Baqai, Telenor Pakistan’s CEO Tore Johnson, WOL CEO Azfar Manzoor and USF CEO Parvez Iftikhar.

“The funds for the project will be provided by the multi-billion Universal Service Fund instituted within the Ministry of IT through annual contributions received from telecom operators,” said the statement.

“The auction of the funds to be provided to the existing telecom operators, which will implement the project, is already under way.”

The minister said the designated under-served areas to be covered under the first phase of the project constituted approximately three per cent of the total population and 23 per cent area of the country.

He said the USF had prepared a plan to achieve 85 per cent population coverage and increase rural teledensity to five per cent by the year 2010.

He said another goal the USF had set to achieve was nationwide broadband penetration, by adding 1.5 million new users by the year 2010.

“Today, our teledensity is 42 per cent and our mobile phone subscribers’ base has gone beyond 60 million, prompting the government to introduce mobile phone banking which will further facilitate the subscribers in transferring their money from one place to another with a click of their handsets,” Leghari said.

He said the benefits of growth in the telecom sector were myriad and the whole economy had benefited with over 200,000 jobs created directly or indirectly during the last few years.

He stressed the exponential growth in the telecom sector owed a lot to consistent backing from the president and the prime minister to the ministry in its efforts to liberalise and deregulate the sector to ensure open competition.

Under-served areas to get telecom facility

 

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Foreign funds pull out $138.5m amid global sell off ​

KARACHI: Foreign divestment from the local equity markets was witnessed throughout the week. Foreign investors are withdrawing their capital from Pakistani stock markets along with other global bourses amid persisting financial crisis in the US economy.

There was an out flow of $138.5 million from the Pakistani stock markets according to State Bank of Pakistan SCRA balances as updated on August 16th 2007.

Analysts told that if the US sub-prime mortgage muddle were not brought under control, the foreign investors would further offload their position in Pakistani and other stock markets across the world.

However US Federal Reserve has discounted its interest rates and it is expected that the global markets will settle down with this so the local market is also expected to bounce back once the situation is clear.

The Karachi bourse benchmark KSE-100 index fell 750 points or 5.5 percent last week. Market capitalization stood at Rs3.721 trillion. On week-on-week basis KSE-100 plunged 2.42 percent (315 points) to close at 12,698 points. The KSE 30 index closed at 15,148.22 with a loss of 459.79 points.

Average daily volumes on ready counter were on the lower side and it stood at 182.844 million shares as compared to the last week 285.027 million shares.

Average future volume market increased and stands at million 47.328 shares as compared to the 45.913 million shares last week.

Sell off in global markets had its clear impact on the local equity market as well.

This week was marked by massive sell-off in global stock markets due to concerns on weakening US housing market and default of some funds exposed to this market. However, major central banks pumped massive liquidity into the system, giving some relief to the investors. During the week Dow Jones, Straits Times, Hang Seng, Nikkei and BSE-India Indices declined sharply by 3.0 percent, 6.2 percent, 5.1 percent, 3.7 percent & 3.4 percent, respectively.

Despite the clarification from the government last week that emergency would not be imposed in the country Pakistan equity market did not look comfortable with deepening political uncertainty amid the upcoming presidential election and possible return of exiled political leaders.

Another concern for the local market was over cash margins on the CFS counter which was not appreciated by the market. As a result, investors stayed sidelined and confused as market direction was not clear pushing the average daily volume this week to its 19-week low of 183 million shares worth Rs16 billion versus 213 million worth Rs18 billion last week.

During the week sector wise decline in Telecom, Banks, Fertilizer, Insurance, Cement, sectors were down by 5.2 percent, 3.7 percent, 3.5 percent, 3.0 percent, 2.8 percent respectively.† †

CFS rate closed at 10.8 percent this week and CFS value increased by 0.74 percent. CFS value stood at Rs54 billion versus Rs52 billion last week. Similarly, the spread between ready and futures ended this week at 4.21 percent versus 3.01 percent on previous Friday, a jump of 120 bps. The highest CFS scrips were OGDC, PPL, NBP and POL.

Foreign funds pull out $138.5m amid global sell off

 

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Government borrows $15 billion in 4 years: $40bn debt, liability​

KARACHI, Aug 18: The government has borrowed a staggering amount of over $15 billion in the last four years as country’s total debt and liabilities reached $40 billion mark, reveals the latest data issued by the State Bank.

Pakistan paid $9.706 billion as principal during 2003-07 and still the total external debt of the country increased by over $5 billion to push the total debt to $38.699 billion.

In 2003-04, the total external debt was $33.352 billion.

Had the government stopped borrowing, the country’s total debt would have declined to $23.646 billion after payment of principal as debt-servicing at the end of June 2007.

The data showed that the country’s total debt and liabilities rose to $40.172 billion at the end of June 2007 while it was $35.474 billion in 2003-04.

Pakistan borrowed over $3 billion during 2006-07 alone which was a sharp jump and was in contrast with other three years when it made moderate borrowing.

The figures reveal that the huge borrowing was made to make payment of debt-servicing and continuous current account deficits.

The massive borrowing raised the debt-servicing which had started rising after a substantial decrease in 2004-05 to $2.715 billion from $4.969 billion in 2003-04.

State Bank’s latest figures showed that Pakistan paid $13.258 billion as debt-servicing, including $3.553 billion as interest during the last four years.

The paid amount is close to the borrowing the country made during the same period.

Though the government has been claming of breaking the “debt bowl,” the figures showed the borrowing had been made regularly and aggressively during the period.

The cost of borrowing could be a threat to economy as average annual payment of debt-servicing reached $3.314 billion.

The government claims that the debt-to-GDP-ratio has declined as size of the GDP has substantially increased, but the ratio is not considerable while making payments for debt-servicing.

The State Bank has been purchasing billions of dollars from local market by flooding the local currency and creating inflation in the country.

Also, the current account deficit has taken a difficult shape to deal with. The current account deficit for the year ended on June 30, 2007, increased by 41 per cent to $7.016 billion.

In the wake of rising debt and liabilities, the current account deficit has become more tricky, posing a risk to the growth of economy.

Pakistan has been relying on sources of foreign exchange which are not dependable, like foreign direct investment, remittances by overseas Pakistanis and privatisation proceeds.

Despite record inflow of FDI (87 per cent -$8.42 billion) and remittance of about $6.5 billion in 2006-07 the government borrowed $3.044 billion.

Pakistan’s dependence on multilateral donors has significantly increased as the country borrowed $2.157 billion last year.

The borrowing rose also because the government failed to raise dollars through privatisation and now its dependence on Global Depository Receipts (GDRs) has increased.

It has a plan to launch GDRs of National Bank, Habib Bank and KAPCO during the current fiscal.

It may help raise foreign exchange needed to meet the widening current account deficit. At the same time, reverse remittances from the country are also taking a solid shape, in result of foreign investment in Pakistan.

The outflow of foreign exchange in the form of profits and dividends has sharply increased by 60 per cent reaching close to $1 billion during the last fiscal.

If the government fails to materialise its plan for GDRs, it would have to borrow more from abroad and it would add more burden to the economy yet not able to feed its 33 per cent poor of the country.

Government borrows $15 billion in 4 years: $40bn debt, liability -DAWN - Business; August 19, 2007

 

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Foreign firm to invest in mining​

ISLAMABAD, Aug 18: Tethyan Copper Company is willing to invest in mining sector in Balochistan and has sought official permission for opening up its liaison offices there to execute business activities.

This interest was shown by CEO of the company Mr Eduardo Flores in a meeting with Secretary Board of Investment (BoI) Mushtaq Malik here on Saturday.

An official announcement said that Mr Flores said that the province had quite large deposits of copper offering massive business opportunities.

The secretary BoI informed him that there were numerous opportunities in mining sector and assured all possible support and assistance to the company.

Foreign firm to invest in mining -DAWN - Business; August 19, 2007

 

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Service sector exports up 9.4 per cent​

ISLAMABAD, Aug 18: The services sector exports went up by 9.44 per cent in 2006-07 over last year, Federal Bureau of Statistics (FBS) said on Saturday. The services export proceeds totalled to $4.125 billion as against $3.769 billion last year. It witnessed a robust growth of 90.93 per cent to $811.400 million in June 2007 as against $424.982 million over the same month last year.

Export of goods recorded a negligible growth of around four per cent during 2006-07.

Imports of services climbed by 0.63 per cent to $8.250 billion during 2006-07 as against $8.198 billion over the same period last year.

On a monthly basis, the import of services declined by 7.15 per cent to $708.885 million during June 2007 as against $763.445 million last year.

The deficit in the trade of services reached $4.125 billion during 2006-07 as against $4.429 billion over the same period last year, indicating a growth of 6.87 per cent.

The deficit in services declined by 130.29 per cent to $102.515 million in June 2007 as against $338.463 million over the same month last year.

Service sector exports up 9.4 per cent -DAWN - Business; August 19, 2007

 

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Pakistan working hard to improve image: US report​

WASHINGTON, Aug 18: Pakistan has launched a major effort to combat its image problem and promote the advantages of its highly skilled, English-speaking people to get a larger share of the outsourcing business, says a report.

The report by the International Data Group notes that some multinational companies have centres in Pakistan while others are outsourcing work to IT and services companies in the region.

The IDG is the world’s largest technology media, research and event management company based in Boston.

The report notes that salaries in Pakistan are lower by 30 per cent than in India. On the downside, the country has an image problem which scares away potential customers, but there are major multinationals that overcame their initial fear and are doing business with Pakistan. These include two major US firms -- Bank of America and Citigroup.

Software, BPO (business process outsourcing) and call-centre companies have in place disaster recovery strategies and centres in many locations to ensure that work does not get disrupted, the report notes.

Pakistan’s IT and services exports have grown by 50 per cent year-on-year for three years.

The Pakistan Software Export Board (PSEB), a government agency set up to encourage multinationals to do business with Pakistan, has an ambitious target: to boost exports of software, IT services, call centre and BPO from $1.4 billion in the fiscal year 2006-07 to about $4.5 billion by 2010. By then, the overall IT and services industry in the country is also expected to grow to $10 billion from the current $2.4 billion a year.

In computing its IT and services export figure, Pakistan includes exports by Pakistani companies, salaries of its people with work permits working on IT jobs abroad, as well as sales of services to operations in Pakistan of foreign companies and foreign government agencies.

The report, however, points out that Pakistan faces several challenges in achieving these targets. The country has similar characteristics that have made India successful as an outsourcing hub, such as its low-cost, skilled, English-speaking staff, but the IT industry in Pakistan is still in its early stages and companies have very little experience in the business and lack the ability to scale their operations.

To boost the country’s outsourcing industry, PSEB and other agencies have launched a strategy covering infrastructure, cheaper communications, investment in education, quality certifications and a data confidentiality law, the report adds.The board is also investing in promoting Pakistan as an offshore location to European and US companies. Most of the media coverage of the country so far has focused on law and order problems rather than on its thriving economy.

Pakistan working hard to improve image: US report -DAWN - Top Stories; August 19, 2007

 

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Kinow export likely to double in 2007-08​

KARACHI: Pakistan is likely to export 200,000 tonnes kinow in 2007-08, which is almost double as compared to 100,000 tonnes exported during the previous season.

“For the upcoming season, there are encouraging reports of good crop of kinow and there are strong prospects that the country’s exports would touch 0.2 million tones,” said Chairman Fruit Exporters Association of Pakistan, Abdul Wahid on Saturday while talking to Daily Times about anticipation for the export target of kinow.

He said we are expecting a good crop of citrus fruit as the growers used modern techniques and methods under the directives of technical and farm fruit experts.

He said in 2006-07, torrential rains have hit hard the kinow crop leaving the juicy citrus with blemishes on its skin.

Mr Wahid said, due to these blemishes we could not get a good price and kinows exports remained confined to 100,000 tonnes. Mr Wahid said kinow crop, despite heavy rains remained unaffected, which has evoked hope for realisation of double export goals for current season.

Kinow season starts in mid-October and lasts till mid-April, while exports would start some time by mid-December.

Replying to a question, he said Pakistan Horticulture Development and Export Board (PHDEB) was also working on the proposals of the stakeholders to improve and maintain the quality of the fruit.

He said these proposals include enforcement of quality and grading standards, pre-shipment inspection and some incentives like subsidies on airfreights etc for those exporters who would voluntarily present their goods for inspection. According to him, training programmes would also be organised for the growers, processors and exporters by holding various seminars and workshops and creating awareness among the stakeholders on the EurapGap and HACCP (hazardous analysis for critical control point) and motivating them to implement these standards. He said major markets for kinows are Middle Eastern countries, Iran, Eastern Europe, Russia and Ukraine. He said the importers from Indonesia and Malaysia also entertain great demand for Pakistani kinows.

“In order to fetch more orders for our citrus fruit, an eight-member Pakistani delegation has gone to Russia in mid August to allay the concerns of importers in Moscow on Pakistan’s agricultural commodities.” He hoped that the visit of Pakistani delegation will help do away with the ban placed by the Russian government on fruit import from Pakistan and the export to the country would soon be resumed.

Daily Times - Leading News Resource of Pakistan

 

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LSM growth: who to believe? Govt agencies differ on manufacturing data​

KARACHI: Two different government organisations have differences over the growth recorded by the Large Scale Manufacturing (LSM) sector during the financial year 2006-07.

According to the consolidated figures released by Federal Bureau of Statistics (FBS) on Saturday, data provided by Ministry of Industries, Production & Special Initiatives shows that LSM growth during the last financial year was 9.14 percent. While the figures released by ministry itself about one week ago indicated that LSM growth was 9.46 percent during the financial year 2006-07.

The difference in the data of both departments is not so wide, however it puts a question mark on the abilities of our government agencies to compile and provide accurate and authentic data about the various sectors of our economy.

According to an official of FBS, whatever details provided by the ministry were incorporated in the consolidated growth in LSM, so the ministry concerned should be asked about the difference between the two figures.

Final figures of LSM growth by FBS show that overall growth in LSM stood at 8.41 percent during the last financial year, falling short of whole-year target of 12.5 percent. The figures released by the FBS include the data received from Ministry of Industries, Production & Special Initiatives, Oil Companies Advisory Committee (OCAC) and Provincial Bureau of Statistics (BOS).

LSM in the OCAC category posted a negative growth of 1.76 percent during 2006-07, Ministry of Industries category registered 9.14 percent growth and industries falling in the ambit of provincial BOS recorded a growth of 8.98 percent in the year under review.

In month of June alone, the OCAC category grew by 7.41 percent, provincial BOS registered 9.05 percent growth and ministry of industries category registered growth of 3.45 percent whereas the overall growth during month of June remained 6.01 percent.

In the OCAC category, jet fuel production dipped by 6.83 percent in July-June 2006-07. Kerosene oil production was down by 5.41 percent; motor spirit production was up by 2.72 percent, high-speed diesel production was down by 1.97 percent, furnace oil down by 4.72 percent, lubricants up by 1.20 percent and LPG production up by 3.70 percent.

In Ministry of Production & Industries Index, sugar production was up by 19.13 percent, cigarette up by 2.87, cotton yarn was rose by 11.75, cotton cloth was higher by 6.75 percent, jute goods were up by 12.97, paper and board fell by 2.21 percent, soda ash up by 3.74 percent, caustic soda increased by 10.45 percent, cement production was up by 22.49 percent, steel products up by 10.69, tractors up by 10.46 percent, trucks down by 2.39 percent, buses up by 20.36 percent, jeeps and cars up by 0.42 percent and motorcycle manufacturing grew by 11.65 percent.

In the index of provincial bureau of statistics, in 2006-07, cooking oil production was up by 7.04 percent, starch and its products by up by 7.48 percent, beverages up by 33.95 percent, cycle tyres up by 0.37 percent, cycle tubes by 2.12 percent, motor tyres by 18.27 percent, air conditioners by 23.24 percent, diesel engines by 37.12 percent.

Daily Times - Leading News Resource of Pakistan

 

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‘10% software piracy reduction can generate 30,000 jobs'​

ISLAMABAD: Intellectual Property Rights (IPRs) protection drives the growth of Pakistan’s advanced manufacturing as well as its local software, biotechnology and cultural industries.

This was stated by the US Charge d’ Affairs Peter Bodde on Saturday. US envoy spoke at the concluding session of a week-long ‘IPR Law Enforcement and Cyber Investigation Training’, organised by American Embassy here at a hotel. Protection of IPR is not just important for Pakistan’s economic growth and development, but it is also essential for its singers, writers and movie producers to thrive, he added. Tariq Parvaiz, Director General, Federal Investigation Agency (FIA) noted that this is a new dimension of cooperation between FIA and the United States. He said that IPR crimes deprive the owners of legitimate profits, defraud the government of its rightful revenues and causes serious and irreparable damage to public health and safety.

Earlier, speaking on the occasion Farhan Junejo, License Compliance Manager, Microsoft-Pakistan said Pakistan could create 30,000 jobs in the IT sector by reducing its software piracy rate by only 10 percent.

“Pakistan can easily cut its piracy rate from the current 86 percent to 76 percent, to generate 30,000 jobs for the unemployed youth in the Information Technology (IT) sector.”

The law enforcement personnel from FIA, police and judiciary are being trained to help them investigate and prosecute IPRs related crimes in the country.

Quoting an International Data Corporation (IDC) report, Mr Junejo said a 10 percent reduction in the global software piracy rate could in fact add 1.5 million jobs, increase economic growth by $400 billion and generate $64 billion in new taxes to help governments fund public programmes like education, health care and law enforcement. He said that in 2006 the IT industry provided almost a trillion dollars in the shapes of revenues to the global economies. The hardware sector contributed $330 billion, packaged software $180 billion and the services generated $420 billion in revenues.

However, Mr Junejo said in 2006, about four out of 10 software programmes or 35 percent software, were also pirated globally incurring a loss of $39.58 billion to the software industry.

Daily Times - Leading News Resource of Pakistan

 

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Foreign investment reaches to $8,416.6 in 2006-07 ​

ISLAMABAD (August 20 2007): During the financial year 2006-07, the aggregate value of foreign investment in the country has reached up to $8,416.6 which is 88 per cent more as compared to the financial year 2005-06.

According to a private channel, statistics of the State Bank reported that the foreign investment of $4,485.5 million was made during the financial year 2005-06 whereas the new foreign investment of $1,820 million with an increase of 418 per cent as compared to the previous financial year has been made in Pakistani stocks market during the financial year 2006-07.

During the financial year of 2005-06, the external investors had made an investment of $351.5 million in Pakistan stocks market.

Business Recorder [Pakistan's First Financial Daily]

 

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Sustained economic growth must for progress: Shaukat ​

LAHORE (August 21 2007): Prime Minister Shaukat Aziz has said that Pakistan is one of the fastest growing economies in Asia and its growth has to be sustained for future progress. The PM said this while chairing a meeting here at Governor House on Monday.

He said that the continuity and transparency in the economic policies is well recognised by all the major international financial institutions and hoped that it would usher in a new era of progress and prosperity in the country.

The PM said that the armed forces of Pakistan are fully capable of defending the sovereignty and territorial integrity of the country and would not allow any country to violate its geographical boundaries. He added that Pakistan's nuclear assets are fully secured and the command and control structure is fully alive to protect these assets.

He further said that Pakistan Muslim League (PML) and its allied parties would contest the forthcoming elections on one platform and expressed confidence to win these polls based on their performance.

The meeting was attended by Punjab Governor Lieutenant General (Retd) Khalid Maqbool, Chief Minister Chaudhry Pervaiz Elahi, Federal Minister for Information and Broadcasting Muhammad Ali Durrani, Federal Minister for Defence Production, Habibullah Warriach, Minister of State for Health Shehnaz Sheikh, Advisor to Prime Minister on Finance Dr Salman Shah and Advisor to Prime Minister on Political Affairs Commander Khalil-ur-Rehman.

The meeting reviewed the ongoing projects initiated by the Punjab government and expressed hope that the completion of these projects would open new vistas of job opportunities and help improve the living standards of the people.

Business Recorder [Pakistan's First Financial Daily]