Economic Review articles from May 2003

Economic Review archives from May 2003

Issues in Pakistan-India trade.(Editorial)
May 1, 2003... Crossing the Rubicon, ground is being prepared for a composite dialogue with a recent thaw in relation between Pakistan and India. Trade is given priority in the discussions for which India has been eagerly waiting. In a recent dramatic move,...

Comments on the federal budget.(Comments)
May 1, 2003... The Budget for fiscal 2003-04 contained only one major surprise and that too a pleasant one. Finance Minister Shaukat Aziz was able to read out his speech, albeit a drastically abridged version, and the worst fears of pandemonium in the...

Comments on Economic Survey (2002-03).(Comments)
May 1, 2003... The Pakistan economy seems to have done exceptionally well during the current year. According to the Economic Survey for 2002-03 released by the Finance Division, all the macro-economic indicators recorded significant improvements. Major...

Highlights on forthcoming budget (2003-04).
May 1, 2003... This is budget season and the mandarins at Islamabad are busy formulating the forthcoming budget for 2003-04. Attempt has, therefore, been made here to review the performance of the economy during the current fiscal year and highlighting the...

Executive summary of the economy (2002-03).
May 1, 2003... The outgoing fiscal year 2002-03 has witnessed a sharp recovery in economic growth accompanied by equally impressive performance of agriculture and large-scale manufacturing. Other significant achievements have been the impressive growth in per...

Budget "as usual"--analysis of federal Budget for 2003-04.
May 1, 2003... The federal Budget (2003-04) presented by finance minister Shaukat Aziz on June 7, has been described as pro-rich (or anti-poor) on the one hand and pre-poor on the other. The reality lies in--between. The budget is "as usual" as widely...

Engro wins highest number of KSE awards.(Press Release)(Karachi Stock Exchange)(Brief Article)
May 1, 2003... Engro has won the Top 25 Companies Award for the year 2001. The award instituted by the Karachi Stock Exchange in 1978 has been distributed annually for 24 times. This is the 20th time that Engro has won this award, more times than any other...

Provincial budgets.(Punjab)
May 1, 2003... PUNJAB Punjab Finance Minister Sardar Hasnain Bahadur Dareshak presented the provincial budget for the year 2003-04 with total outlay of Rs.159.695 billion showing a surplus of Rs.22.111 billion, in Punjab Assembly on June 14. The...

Budget proposals: budget speech by Finance Minister Shaukat Aziz.
May 1, 2003... Federal Finance Minister Shaukat Aziz on June 7 presented in the National Assembly amidst a persistent opposition uproar the first budget (2003-04) of the military-led elected government, envisaging a total expenditure of Rs.805.2 billion which...

Reactions on budget.
May 1, 2003... The trade and business fraternity gave varied reactions on the announcement of the federal budget by Federal Finance Minister, Shaukat Aziz recently. The president of the Karach Chamber of Commerce and Industry (KCCI), Naseer Hayat Maggo...

Health and Pharmaceuticals.
May 1, 2003... Health Policy There has never been any effective Health Policy in Pakistan since inception which is most unfortunate for a country of 140 million people claiming to be on its way to development. It is a well known fact that only a healthy...

Hazards of food colours.
May 1, 2003... INTRODUCTION There are eight rights that have been granted to consumers by the United Nations and the Consumer International. These eight include the Rights to Safety, i.e. to be protected against services, production processes which are...

Doctors demand immediate ban on 'Chhalia'.
May 1, 2003... Unable to comprehend the adverse and disastrous impacts of utilisation of beetle (Chhalia) and cigarette, which is gaining immense popularity among all segments of society, the government media in the lust to drive financial mileage, has been...

Quarantine is direly needed to counter SARS.
May 1, 2003... For years, the public health quarantine has been used effectively, all over the world, to control dangerous human diseases, such as diphtheria, small pox, plague or any other disease capable of causing devastating epidemics. Indeed, the...

Uncertain prospects: new ILO report of world employment.(International Labour Office)
May 1, 2003... A new ILO report, "Global Employment Trends" (1), says 180 million people around the world were estimated unemployed at the end of 2002, an increase of 20 million since the year 2000 (2). Without strong economic recovery in 2003, prospects for...

What a difference clean water makes.
May 1, 2003... Imagine living in a village in Pakistan and getting your water for drinking, bathing and washing clothes--from a stagnant rainwater pond, or a muddy irrigation and drainage canal contaminated with pesticides. This is what villagers in rural...

US economy faces much uncertainty.(Gleanings from the Press)(Brief Article)
May 1, 2003... Chicago Federal Reserve Bank President Michael Moskow said on April 2 the US economy faces great uncertainty but monetary policy is still supporting growth. "We are in a sluggish period, primarily starting in February, continuing in March, and...

US jobless claims highest in nearly one year.(Gleanings from the Press)(Brief Article)
May 1, 2003... The number of new US jobless claims last week jumped to its highest in nearly a year, the government said on April 3, offering little hope for a turnaround in the grim labour market picture. First-time claims for state unemployment insurance...

US Congress approves $3b aid for airlines.(Gleanings from the Press)(Brief Article)
May 1, 2003... Despite White House objections, the US Congress on April 3 approved more than $3 billion in aid for airlines still reeling after 9/11 attacks and facing more losses due to war in Iraq. The Bush administration called the price tag excessive...

Snow asks Congress for hike in debt limit.(Gleanings from the Press)(Brief Article)
May 1, 2003... US Treasury Secretary John Snow on April 4 again asked Congress to raise the limit on governmental borrowing, even as he unveiled another step to stay below the debt ceiling.

Europe wins over SE Asia with free trade scheme.(Gleanings from the Press)(Brief Article)
May 1, 2003... The European Union and Southeast Asian countries took the first step towards a far-reaching free trade agreement on April 4 by agreeing to a scheme to whittle away barriers to two-way trade. EU Trade Commissioner Pascal Lamy and economic...

No economic action plan at G7.(Gleanings from the Press)(Brief Article)
May 1, 2003... Bank of England Chief Eddie George said on April 5 that there was general consensus that economic growth would recover once the war in Iraq was over. But he warned that risks existed to this outlook.

EU ministers criticise US twin deficits.(Gleanings from the Press)(Brief Article)
May 1, 2003... European finance chiefs on April 5 escalated their criticism of the twin US budget and current account balance of payments deficits, saying these matters would be, raised at the upcoming meeting of the G7 in Washington.

Little hope for post-war boom in US economy.(Gleanings from the Press)(Brief Article)
May 1, 2003... The US economy has all but stalled out in recent months--or perhaps even contracted--and a raft of gloomy data has economists worried a revival may be difficult even if the Iraq war ends swiftly.

Iraq reconstruction--if oil can't pay who will.(Gleanings from the Press)(Brief Article)
May 1, 2003... The reconstruction of Iraq will be the most expensive aid operation since the Marshall Plan for rebuilding Europe after the War, but wrangling between the US and Europe means it is unclear the funds can be raised. Any dream that Iraq,...

US stocks up on hopes for war's end.(Gleanings from the Press)(Brief Article)
May 1, 2003... Stocks were up on April 7 as US forces stormed into the centre of Baghdad, boosting hopes on Wall Street that the war in Iraq will not drag on for too long. Stocks in Japan, India, Indonesia and South Korea also jumped as a result of...

World 2002-03 sugar output at 142.6m tonnes.(Gleanings from the Press)(Brief Article)
May 1, 2003... World sugar output in 2002-03 is seen at 142.6 million tonnes (Sept-Aug), raw value down from 143.1 million tonnes seen in a previous November forecast. The latest figures suggest that world sugar production in 2002-03 will jump to 142.6...

OPEC aims to keep oil price at $25/barrel.(Gleanings from the Press)(Brief Article)
May 1, 2003... OPEC oil exporters, including cartel leader Saudi Arabia, are ready to do whatever it takes to keep world oil prices around current levels of $25 per barrel, a Gulf source close to Saudi Arabia said on April 8. The 11-member oil exporters group...

EIA sees higher world oil demand.(Gleanings from the Press)(Energy Information Administration)(Brief Article)
May 1, 2003... The US Energy Information Administration on April 8 upwardly revised its forecast for world oil demand during the current second quarter and forecast demand also would surge in the third quarter. In its latest monthly energy forecast, Energy...

India to import up to 800 tonnes of cotton.(Gleanings from the Press)(Brief Article)
May 1, 2003... State owned Cotton Corporation of India (CCI) said on April 8 it was calling bids to import up to 800tonnes of cotton, which traders said was to make up for a shortfall in domestic production Traders said output in the current year to September...

Argentina cotton imports seen surging US attache.(Gleanings from the Press)(Brief Article)
May 1, 2003... Cotton imports for MY2002 are estimated at a record high of 45,000 tonnes. This is due to a strong reactivation of the local textile sector and the fact that domestic cotton output will be the lowest in 50 years.

Bank of England keeps rates steady.(Gleanings from the Press)(Brief Article)
May 1, 2003... The Bank of England left interest rates steady on April 10 at their 48-year low of 3.75 per cent for the second month in a row but business demanded that the central bank cut borrowing costs next month.

Indian inflation hits 6.24%.(Gleanings from the Press)(Brief Article)
May 1, 2003... Robust demand for manufactured products and high food and fuel prices pushed India's wholesale price inflation to a new two-year high in the week ending March 29. But analysts said they expected prices to ease in the months ahead as the war in...

SARS giving Asian governments economic headache.(Gleanings from the Press)(Brief Article)
May 1, 2003... Asian government are facing their greatest challenge since the 1997-98 financial crisis as the human toll from the deadly SARS virus mounts, raising the spectre of long-term structural damage to the region's economies. While most analysts...

Oil eases as US sees 1.6 mbpd Iraq oil capability in 8 weeks.(Gleanings from the Press)(Brief Article)
May 1, 2003... Oil prices eased April 16 after the US military said Iraq's oilfields could be pumping at two-thirds of pre-war levels within weeks. Oil prices have fallen by 30% in a month, as Middle East oil flows have suffered less disruption than...

Chinese economy grows 9.9%, SARS looms.(Gleanings from the Press)(Brief Article)
May 1, 2003... China said on April 17, its economy grew 9.9 per cent year-on-year in the first quarter of 2003 the fastest pace in six years but the deadly flue-like SARS virus cast a pall over future growth. The eye popping rise in gross domestic product was...

Doha round must not ignore poor countries: India.(Gleanings from the Press)(Brief Article)
May 1, 2003... Talks to tear down barriers to global trade will go nowhere unless rich countries get serious about meeting the needs of developing countries, Commerce and Industry Ministry Arun Jaitley said on April 21. Jaitley said ensuring access to low...

Indian economy to grow 6% in 2003-04: Jalan.(Gleanings from the Press)(Brief Article)
May 1, 2003... India's central bank governor Bimal Jalan said on April 21 the economy was likely to grow 6 per cent in 2003-04 on the back of higher farm sector output. The Indian economy, Asia's third largest, grew a meagre 4.4% in 2002-03 following the...

US economy poised for rebound.(Gleanings from the Press)(Brief Article)
May 1, 2003... Federal Reserve Chairman Alan Greenspan on April 30 said the US economy is poised to grow at a "noticeably" better pace in the second half of 2003 now the Iraq war is over, provided business spending picks up. The Fed chief told a House of...

India approves 2003-04 budget but VAT delay seen.(Gleanings from the Press)(Brief Article)
May 1, 2003... India's lower house of parliament approved the 2003-04 budget with minor changes on April 30 but the finance minister said the value added tax system could not be launched until details were thrashed out. The finance minister unveiled a...

International commodity prices.(International Round-up)
May 1, 2003... Alarm over the spread of the deadly SARS virus rattled world commodity markets, undermining demand for many raw materials and helping to bolster the price of "safe-haven" gold. Oil prices fell on news of a big increase in US crude oil stock...

CNG buses.(International Round-up)
May 1, 2003... As a regular traveller to I. I. Chundrigar on tile 2B route, I have had the chance of using both the Chinese CNG and tile Swedish green buses. The Swedish buses are providing a better service and are more organized with uniformed bus operators...

Rupee maintains stability.(Currency Market)
May 1, 2003... During April like the previous months, the rupee has continued to maintain stability vis-a-vis US dollar. Dollar remained under selling pressure due to the Gulf war situation. Over the month, in the inter-bank market, the rupee gained 5 paisa...

Price situation (April 2003).
May 1, 2003... The Karachi wholesale commodity market remained firm with the end of Iraq war. Increasing trend was witnessed under the lead of wheat and sugar. There were reports of rise in support price of wheat. Sugar, which remained under pressure, showed...

Stocks undisturbed by Iraq war.(Stock Market)
May 1, 2003... Stocks maintained an uptrend during April, notwithstanding Iraq war as KSE-100 index gained more than 200 points or 7.7 per cent and aggregate market capitalisation Rs.53 billion or 9 per cent when it crossed Rs.600 billion mark. Over the...

Polyester fibre price cut by Rs.5/kg.(Corporate Briefs)(Brief Article)
May 1, 2003... Polyester Fibre Price Cut by Rs.5/kg: The local manufacturers of polyester staple fibre reduced from April 1, the price by Rs.5 per kg, bringing it to Rs.75. The reduction in fibre price has been attributed partly to the slackened price of raw...

Cotton output 4.3 pc short of last year's production.(Corporate Briefs)(Brief Article)
May 1, 2003... Cotton Output 4.3 pc Short of Last Year's Production: Cotton season has ended with significantly short of last year's output, sending the message for textile millers to import more lint to meet their requirements. Pakistan Cotton Ginners...

TCP exports 14,000 tonnes sugar.(Corporate Briefs)(Brief Article)
May 1, 2003... TCP Exports 14,000 tonnes Sugar: The Trading Corporation of Pakistan (TCP) sold 14,000 tonnes of refined sugar for export at $247 a tonne ex-mill. "We have accepted an offer of $247 per tonne made by a UAE-based trade for the purchase of 14,000...

Vital statistics at a glance.(Corporate Briefs)(Illustration)
May 1, 2003... Vital Statistics at a Glance March April Companies Listed on KSE (Nos.) 707 705 Paid-up Capital (Rs. billion) 295.477 299.211 Aggregate...

Jewellery export finance facility extended.(Corporate Briefs)(Brief Article)
May 1, 2003... Jewellery Export Finance Facility Extended: The State Bank has decided to continue extending the facility of refinance for export of gold jewellery (embedded with or without precious, semi-precious stones) on self-consignment basis.

PC Board approves privatisation of 30 entities.(Corporate Briefs)(Brief Article)
May 1, 2003... PC Board Approves Privatisation of 30 Entities: The newly constituted Privatisation Commission's Board on April 7 approved the privatisation of 30 major public sector entities. These include PSO, PTCL, National Construction Company, Habib Bank...

OGRA to regulate oil, gas prices.(Corporate Briefs)(Oil and Gas Regulatory Authority)(Brief Article)
May 1, 2003... OGRA to regulate Oil, Gas Prices: The government has decided to regulate the prices of oil and gas through the Oil and Gas Regulatory Authority (OGRA) in addition to curtailing interest rate government loans to WAPDA.

PSF price further cut by Rs.5/ kg.(Corporate Briefs)(Brief Article)
May 1, 2003... PSF Price Further Cut by Rs.5/ kg.: The local producers of polyester staple fibre have further cut the price by Rs.5 a kg. with immediate effect-(April 8) bringing down the level from Rs.80 to Rs.70 per kg in just a week. The textile industry,...

Difficult times foreseen for sugar industry.(Corporate Briefs)(Brief Article)
May 1, 2003... Difficult Times Foreseen for Sugar Industry: The Secretary General of Pakistan Sugar Mills Association (PAMA), K.A. Qazalbash has foreseen more difficult time for the industry despite having crashed a bumper crop with relatively good recovery...

TCP buys 87,000 tonnes sugar for export.(Corporate Briefs)(Brief Article)
May 1, 2003... TCP Buys 87,000 Tonnes Sugar for Export: The Trading Corporation of Pakistan has purchased 87,000 tonnes of sugar for export at fair different rates from 120 parties. The purchase prices were slightly less than retail prices reported by...

Protection to auto industry to be reduced gradually, Humayun.(Corporate Briefs)(Humayun Akhtar)(Brief Article)
May 1, 2003... Protection to Auto Industry to be Reduced Gradually, Humayun: Commerce Minister Humayun Akhtar has said that protection to the automobile industry will be reduced gradually under a long-term plan, prepared in consultation with the stakeholders....

KESC tariff raised by 12-20 paisa per unit.(Corporate Briefs)(Brief Article)
May 1, 2003... KESC Tariff Raised by 12-20 Paisa per Unit: The National Electric Power Regulatory Authority on April 12 raised KESC tariff by 12 to 20 paisa per unit for all consumers groups, excluding residential and agriculture.

CBR formulating new sales tax refund verification system.(Corporate Briefs)(Brief Article)
May 1, 2003... CBR Formulating New Sales Tax Refund Verification System: Changing the mode of refund payment to facilitate the exporters, the CBR is formulating a new sales tax refund verification system, empowering exports' associations to verify refund...

Cement output up, consumption down.(Corporate Briefs)(Brief Article)
May 1, 2003... Cement Output up, Consumption Down: The volume of cement production is going up but the consumption is declining due to slump in the construction industry, mainly owing to short supply of water power. There are 24 cement plants, having a...

Investors scared by poor law, order: WB report.(Corporate Briefs)
May 1, 2003... Investors Scared by Poor Law, Order: WB Report: The World Bank has said that foreign and local investors including small medium enterprises are facing uncertain business environment due to deteriorating law and order situation. "One of the...

PSF makers further reduce product prices.(Corporate Briefs)(Brief Article)
May 1, 2003... PSF Makers Further Reduce Product Prices: Polyester Staple Fibre (PSF) manufacturers have reduced their product prices in the range of Rs.5 to Rs.7 per kg. in a third revision in a month as internationally its raw material prices have fallen....

PM announces 33% cut in farm sector power tariff.(Corporate Briefs)(Brief Article)
May 1, 2003... PM Announces 33% Cut in Farm Sector Power Tariff: Prime Minister Zafarullah Khan Jamali has announced on April 17, 33 per cent reduction in electricity tariff for the agriculture sector in Kharif season. The loss to be incurred to WAPDA due to...

Rs.50 billion spent to make HBL, UBL viable.(Corporate Briefs)(Brief Article)
May 1, 2003... Rs.50 Billion Spent to Make HBL, UBL Viable: The government has spent Rs.50 billion in repair of Habib Bank and United Bank to make these viablefinancial units, said finance minister Shaukat Aziz on April 20 addressing the International...

Rs.3b lost yearly due to cigarettes smuggling.(Corporate Briefs)(Brief Article)
May 1, 2003... Rs.3b Lost Yearly Due to Cigarettes Smuggling: Pakistan loses nearly Rs.3.2 billion every year due to tax evasion and smuggling of cigarettes.

Pak Refinery's profit up.(Corporate Briefs)(Brief Article)
May 1, 2003... Pak Refinery's Profit up: Pakistan Refinery Ltd. (PRL), one of the largest refining companies in the country, said its profit rose to almost 12 times in nine months ending March 31, 2003 after rise in oil prices. Net profit rose to Rs.920...

PSO declares 30% second interim dividend.(Corporate Briefs)(Pakistan State Oil)(Brief Article)
May 1, 2003... PSO Declares 30% Second Interim Dividend: Pakistan State Oil (PSO) declared the second interim dividend of 30% for the third quarter ending March 31, 2003, whereas its profit recorded an increase of 91% in nine months.

WTO pressure for import of luxurious cars.(Corporate Briefs)(Brief Article)
May 1, 2003... WTO Pressure for Import of Luxurious Cars: The local automobile industry finds Pakistan under pressure of the WTO to allow import of brand new luxurious cars from Europe and elsewhere. Industry sources say "If the WTO does not give an extension...

Sugar output likely to hit 3.65m. tons.(Corporate Briefs)(Brief Article)
May 1, 2003... Sugar Output Likely to Hit 3.65m. Tons: The refined sugar output rose to record high of 3.58 million tonnes during the current production year of 2002-03 (November-April), industry officials said on April 26. "The production up to April 15...

Export refinance rate further cut by 0.5%.(Corporate Briefs)(Brief Article)
May 1, 2003... Export Refinance Rate Further Cut by 0.5%: The State Bank on April 30 further cut the rates of export refinance by 0.5 percent, under the Export Finance Scheme for exporters. After the change, the new rate would be 3.5 per cent per annum...

Unemployment rate doubles in 1990-2000.(Corporate Briefs)(Brief Article)
May 1, 2003... Unemployment Rate Doubles in 1990-2000: The unemployment rate has grown more than double from 3.1% to 7.8% during the decade from 1990-2000.