Latest Draw (41st): The Results of P.B. Rs. 200/- have been announced, draw held at City Faisalabad: 1st Prize of Rs.750,000/- PB# 349928, 2nd Prize of Rs.250,000/- PB# 509493, PB# 695667, PB# 785280, PB# 579777, PB# 139854, Complete results of other prizes are available Soon.

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Wednesday, September 02, 2009

KARACHI: The result of P.B Rs. 40,000/- has been announced in Quetta today: 1st Prize of Rs.75000000/- went to PB# 305472, 2nd Prize of Rs.25000000 /- won by PB# 676795, PB# 869657, and PB# 236725. Complete results of other prizes are AVAILABLE NOW ! Click Hereto Check Your Results...!

d, draw held at QUETTA:

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Tuesday, September 01, 2009

KARACHI: The result of P.B Rs. 40,000/- has been announced in Quetta today: 1st Prize of Rs.75000000/- went to PB# 305472, 2nd Prize of Rs.25000000 /- won by PB# 676795, PB# 869657, and PB# 236725. Complete results of other prizes are AVAILABLE NOW ! Click Here to Check Your Results...!

d, draw held at QUETTA:

You can check your prize bond draw result within a few hours of every draw on Finance.Kalpoint.Com or by simply clicking this link :"Check your Prize Bond Draw Result", on this blog. By clicking on the link you will land on a webpage that will ask you to select the prizebond denomination (which is Rs.7500 for this draw), and enter your email address. Its simple as that...!

Finance.Kalpoint.com, has long been enjoying the privilege of making the prize bond draws available for its users online within 4 hours of the draw. No other source can make available the online prize bond draw results that quickly....! It's the Brilliance of Finance.KalPoint.Com that makes it possible for you...!

Need more financial stories?? Visit Finance.KalPoint.Com

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Saturday, August 15, 2009

KARACHI: The result of P.B. Rs. 1500/- held at Bahawalpur has been announced: 1st Prize of Rs.3000000/- PB# 419264, 2nd Prize of Rs.1000000 /- PB# 942735, PB# 356152, and PB# 198769. Complete results of other prizes are AVAILABLE NOW !

Check your prize bond draw result within a few hours of every draw on Finance.Kalpoint.Com or by simply clicking this link :"Check your Prize Bond Draw Result", on this blog. By clicking on the link you will land on a webpage that will ask you to select the prizebond denomination (which is Rs.7500 for this draw), and enter your email address. Its simple as that...!

Finance.Kalpoint.com, has long been enjoying the privilege of making the prize bond draws available for its users online within 4 hours of the draw. No other source can make available the online prize bond draw results that quickly....! It's the Brilliance of Finance.KalPoint.Com that makes it possible for you...!

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Monday August 03, 2009

KARACHI: The Results of P.B. Rs. 7500/- held at Sukkur have been announced: 1st Prize of Rs.1500000/- PB# 487306, 2nd Prize of Rs.5000000 /- PB# 880206, PB# 553222, PB# 011297. Complete results of other prizes are available now., Click here to check your draw result!!

Check your prize bond draw result within a few hours of every draw on Finance.Kalpoint.Com or by simply clicking this link :"Check your Prize Bond Draw Result", on this blog. By clicking on the link you will land on a webpage that will ask you to select the prizebond denomination (which is Rs.7500 for this draw), and enter your email address. Its simple as that...!

Finance.Kalpoint.com, has long been enjoying the privilege of making the prize bond draws available for its users online within 4 hours of the draw. No other source can make available the online prize bond draw results that quickly....! It's the Brilliance of Finance.KalPoint.Com that makes it possible for you...!

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Thursday July 16, 2009

KARACHI: The Results of P.B. Rs. 750/- held at Peshawar have been announced: 1st Prize of Rs. 1500000/- PB# 103583, 2nd Prize of Rs. 500000/- PB# 355235, PB# 878270, PB# 578460 Complete results of other prizes are available now, Click here to check your draw result!!

Check your prize bond draw result within a few hours of every draw on Finance.Kalpoint.Com or by simply clicking this link :"Check your Prize Bond Draw Result", on this blog. By clicking on the link you will land on a webpage that will ask you to select the prizebond denomination (which is Rs.15000 for this draw), and enter your email address. Its simple as that...!

Finance.Kalpoint.com, has long been enjoying the privilege of making the prize bond draws available for its users online within 4 hours of the draw. No other source can make available the online prize bond draw results that quickly....! It's the Brilliance of Finance.KalPoint.Com that makes it possible for you...!

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Wednesday July 15, 2009

KARACHI: The Results of P.B. Rs. 750/- held at Peshawar have been announced: 1st Prize of Rs. 1500000/- PB# 103583, 2nd Prize of Rs. 500000/- PB# 355235, PB# 878270, PB# 578460 Complete results of other prizes will be available shortly at Finance.kalpoint.com.

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Thursday, June 18, 2009

Karachi: The Results of latest draw of P.B. Rs. 200 has been announced in Hyderabad on Monday, June 15, 2009. According to the details, PB # 055127 has won the 1st Prize of Rs. 750,000 , 2nd Prize of Rs. 250,000 is won by to PB# 889419, PB# 668785, PB# 523394, PB# 246922, and PB# 914331.

Complete results of other prizes are available NOW. You can check your prize bond draw on Finance.Kalpoint.Com or by simply clicking this link :"Check your Prize Bond Draw Result", on this blog. By clicking on the link you will land on a webpage that will ask you to select the prizebond denomination (which is Rs.200 for this draw), and enter your email address. Its simple as that...!

Finance.Kalpoint.com, has long been enjoying the privilege of making the prize bond draws available for its users online within 4 hours of the draw. No other source can make available the online prize bond draw results that quickly....! It's the Brilliance of Finance.KalPoint.Com that makes it possible for you...!

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Wednesday, June 17, 2009

Karachi: The Results of latest draw of P.B. Rs. 200 has been announced in Hyderabad on Monday, June 15, 2009. According to the details, PB # 055127 has won the 1st Prize of Rs. 750,000 , 2nd Prize of Rs. 250,000 is won by to PB# 889419, PB# 668785, PB# 523394, PB# 246922, and PB# 914331.

Complete results of other prizes are available now. You can check your prize bond draw on Finance.Kalpoint.Com or by simply clicking this link :"Check your Prize Bond Draw Result", on this blog. By clicking on the link you will land on a webpage that will ask you to select the prizebond denomination (which is Rs.200 for this draw), and enter your email address. Its simple as that...!

Finance.Kalpoint.com, has long been enjoying the privilege of making the prize bond draws available for its users online within 4 hours of the draw. No other source can make available the online prize bond draw results that quickly....! It's the Brilliance of Finance.KalPoint.Com that makes it possible for you...!

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Karachi: The Results of latest draw of P.B. Rs. 200 has been announced in Hyderabad this morning. According to the details, PB # 055127 has won the 1st Prize of Rs. 750,000 , 2nd Prize of Rs. 250,000 is won by to PB# 889419, PB# 668785, PB# 523394, PB# 246922, and PB# 914331.

Complete results of other prizes will be available very soon. You can check your prize bond draw on Finance.Kalpoint.Com or by simply clicking this link :"Check your Prize Bond Draw Result", on this blog. By clicking on the link you will land on a webpage that will ask you to select the prizebond denomination (which is Rs.200 for this draw), and enter your email address. Its simple as that...!

Finance.Kalpoint.com, has long been enjoying the privilege of making the prize bond draws available for its users online within 4 hours of the draw, so stay tune, the complete results of the draw will be available here within a few hours !!

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Monday, June 15, 2009


KARACHI : The Sindh government has allocated Rs 1,233 million for the development of industrial sector under the Annual Development Programme (ADP) in the fiscal year 2009-10. The funds earmarked for the industrial development have been increased by Rs 104 million as compared to the last year's allocation of Rs 1,129 million for some 16 new and ongoing schemes, official sources told Business Recorder.

Of these schemes, development work on ten projects is under way, while only six new schemes have been included in the next year's ADP, they added. The sources said Rs 73.884 million has been earmarked for the ongoing schemes of the Sindh Small Industries Corporation, and Rs 150 million for new projects.

Break-up of the allocations is as follows: Rs 34.457 million for extension of Small Industrial Estate, Hyderabad, Rs 11.854 million for establishment of Small Industrial Estate in Ghotki district, Rs 5.639 million for setting up of Small Industrial Estate in Mithi, district Tharparkar. While Rs 21.934 million has been earmarked for the up-gradation of nine Small Industrial Estates in districts Thatta, Sanghar, Dadu, Hala, Badin, Nawabshah, Rohri, Sehwan Sharif, and Mirpurkhas.

The new schemes include extension of Small Industrial Estate in Larkana district with an allocation of Rs 50 million, and Small Industrial Estate Power Looms, Hyderabad with an amount of Rs 100 million. The SITE Ltd will give Rs 100 million as its share.

Rs 29.053 million has been earmarked for the improvement of infrastructural facilities in five estates - SITE Limited in Karachi, Nooriabad, Kotri, Hyderabad and Sukkur. Rs 100 million has been allocated for the development of infrastructure at SITE Benazirabad (Nawabshah).

Rs 100 million for laying of water supply line from Keenjhar Lake, Thatta to SITE Nooriabad. The scheme is being undertaken on 50:50 basis between the provincial government and SITE Ltd. Rs 70 million for the construction of 5.0MGD filter plant at SITE Hyderabad on 50:50 basis between the Sindh government and SITE Ltd. The new scheme includes consultancy service for combined effluent treatment plants in Karachi with an allocation of Rs 20 million.

Rs 100 million has been allocated for water connection to industrial and economic zone at Dhabeji and adjoining areas under public-private partnership. Rs 400 million has been earmarked for establishment of development and management companies for SITE Karachi, Nooriabad, Kotri and SITE Sukkur. Rs 3.557 million has been allocated for the improvement of the office of the deputy director industries and residential accommodation in Hyderabad district, and Rs 14.273 million for up-gradation of Sindh Government Press in district Khairpur.


(BRecorder)

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Monday, June 15, 2009

Foreign direct investment in China fell for an eighth month from a year earlier as companies cut spending to weather the worst economic slump since the Great Depression.

Investment slid 17.8 percent in May to $6.38 billion, the commerce ministry said at a briefing in Beijing today, after falling 22.5 percent in April.

China is relying on government-led spending under a 4 trillion yuan ($586 billion) stimulus plan to revive growth. Investment from abroad may increase when the global economy recovers from what the World Bank forecasts will be a contraction of almost 3 percent this year.

“Companies have just been trying to survive the crisis, I don’t think they’re in the mood for aggressive overseas expansion,” said Wang Qing, chief Asia economist for Morgan Stanley in Hong Kong. “It’s too soon to see a pick-up.”

For the first five months of the year, foreign direct investment declined 20.4 percent.

Premier Wen Jiabao cautioned during a tour of Hunan province on June 12 and 13 that the world economic outlook remains unclear, the government said in a statement on its Web site yesterday. China has yet to establish solid foundations for a recovery, he added.

The Chinese economy expanded 6.1 percent in the first quarter from a year earlier, the slowest pace in almost a decade. Full-year growth may be 7.5 percent, according to a Bloomberg News survey of economists last month.

Overcapacity, Unemployment

The nation’s economic problems include slumping exports, falling profits, industrial overcapacity, unemployment and potential budget shortfalls, the premier said. Positive signs include a bumper summer harvest, gains in retail sales, rebounding industrial output, improving market confidence and faster growth in urban fixed-asset investment, Wen said.

China “mustn’t underestimate” the difficulties and needs to prepare to tackle them over “a long-term,” the premier said.

Foreign-invested businesses account for 30 percent of industrial output, 55 percent of trade and 11 percent of urban jobs, according to the commerce ministry.

China will further relax and streamline procedures for investment from abroad, commerce ministry spokesman Yao Jian said at today’s briefing. The nation wants to create jobs and to attract money for high-technology industries, backward regions, and environmental protection, Yao said.

Tesco Plc , the biggest U.K. retailer, is among foreign companies still expanding in China, saying it will spend an average of 500 million yuan ($73 million) on each of four new shopping centers.


(Bloomberg)

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Friday, June 12, 2009

European industrial production dropped by the most on record in April as the worldwide recession ravaged demand for goods.

Production in the euro region plunged 21.6 percent from a year earlier, the most since the data series started in 1986, the European Union’s statistics office in Luxembourg said today. Economists expected a 19.8 percent decline, according to the median of 14 estimates in a Bloomberg News survey. From March, output declined 1.9 percent.

The global economy will contract for the first time since World War II this year as the fallout from the financial crisis leads companies to scale back production and run down stocks, the World Bank predicts. The European Central Bank this month kept its benchmark interest rate at a record-low 1 percent and will soon buy bonds in a bid to improve the flow of credit.

“The region has simply been hammered by the downturn in global demand and hampered by the run-up in the euro,” said Peter Dixon, an economist at Commerzbank AG in London. “We see interest rates on hold right through next year. The euro zone has been especially badly hit compared to the more service- oriented economies of the U.K. and the U.S.”

Production of durable consumer goods such as washing machines in the 16-member euro region declined an annual 22.4 percent in April, and output of capital goods such as factory machinery dropped 26.7 percent, according to today’s report.


Courtesy: Bloomberg

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Friday, June 12, 2009

The International Monetary Fund has revised its 2010 growth forecast sharply upwards, a source said on Thursday, and surging Chinese investment in May fuelled hopes of a global recovery. But underscoring the unclear outlook, World Bank President Robert Zoellick said the global economy is set to contract by close to 3 percent this year, worse than the previous estimate of a decline of 1.75 percent.

-- China investment surges, adding to recovery hopes

-- Japan Q1 GDP record low, slow rebound seen

"Although growth is expected to revive during the course of 2010, the pace of the recovery is uncertain and the poor in many developing countries will continue to be buffeted by the aftershocks," Zoellick said ahead of the Group of Eight finance ministers meeting in Italy. The IMF has raised global growth estimates for 2010 to 2.4 percent from 1.9 percent in April, a G8 source who has seen the latest figures said.

"The estimate has improved thanks to the impact of stimulus measures taken in recent months," said the source, who had access to an IMF briefing note, containing the figures, prepared for the G8 meeting this weekend. Global data has given increasing signals of a rebound from the deepest recession in six decades, driving stock markets sharply higher from a March trough.

However, financial markets remain concerned that huge government spending and central bank cash injections, led by the United States but mirrored in Europe and Japan, will spark inflation and undercut any budding rebound. Analysts also expect job losses to remain high even as the economy begins to recover, as companies remain wary of hiring.

A record slump in Japan's first quarter GDP also highlighted expectations that any rebound would be slow, and European officials said jobs would lag any return to growth. "The (global) economy should start to turn into positive territory somewhere between the end of this year and the middle of next year," European Central Bank policymaker Christian Noyer told Hong Kong businessmen on Thursday.

China has sought to cushion the blow from falling exports with a 4 trillion yuan ($585 billion) economic stimulus plan. Data showed annual growth of fixed asset investment in Chinese urban areas accelerated to 32.9 percent in the January-May period from 30.5 percent in the first four months of the year, suggesting the stimulus is working.

Underpinned by this optimism, commodity-related stocks in Asia rose for a third straight day while oil prices extended gains to seven-month highs. The International Energy Agency upgraded its 2009 world oil demand forecast for the first time in almost a year, saying 2009 demand would fall to 83.3 million barrels per day, a less steep decline than previously forecast.

China's need for government pump-priming was underlined by May customs data that showed exports fell 26.4 percent on the year, while imports fell 25.2 percent, resulting in a trade surplus of $13.4 billion, compared with $13.1 billion in April and $18.6 billion in March.

Meanwhile, Japan's economy contracted a revised 3.8 percent in the first three months of the year, less than the initial 4.0 percent estimate, but still the fastest pace since World War Two. Weak capital spending and personal consumption are expected to remain a drag.



Courtesy: BRecorder

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Wednesday, 10 June 2009 11:38

ISLAMABAD: The government has decided to impose 5 per cent central excise duty on equipment for call centres and CNG kits and other related equipment in the coming budget.

Moreover, 5 per cent duty will also be placed on equipment relating to civil aviation. “Earlier the said two items were expected from the central excise duty and now the government has decided to take back the exemptions by levying CED by 5 per cent,” said a document obtained from the FBR containing the agreed tax budget’s proposals.

It said the FBR also recommended the imposition of 15 per cent customs duty on tufted carpets and needles pinches in addition, the 5 per cent duty have been recommended, as per the document, on machinery and equipment for balancing modernization and replacement (BMR) purposes and one per cent on machinery and equipment for hotel industry and 5 per cent on industrial related equipment.

However, the government is to erase the 15 per cent customs duty on fully dedicated CNG buses to encourage the CNG run vehicles in the country to make environment of the country clean. In addition, the government is to levy 5 per cent CED on cryogenic tank and 20 per cent on iron, steel, and compressed LPG gases. The CED is also being increased by 25 per cent on led panels, which are used in the advertising industry.

However, the customs duty on dyes have been reduced by 5 per cent from 10 to 5 per cent and chemicals from 25 to 20 per cent and other related items from 16 per cent to 10 per cent, but duty on spin finish oil will be increased to 5 per cent.


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Tuesday, 09 June 2009 11:09

KARACHI: Khalid Mehmood Chaudhry is a Pakistani businessman who runs a textile company in Riyadh, Saudi Arabia. Every now and then he has to send money back home to his business partners. Last time, he remitted some amount through a local bank to someone in Sialkot, but it got stuck somewhere in the process for four days.

Over four million Pakistanis working abroad face the same problem when they transfer money to their families at home. In these technologically advanced times, such delays are encouraging the use of informal channels for cross-border money transfers.

“All I want is my money to be delivered swiftly,” Chaudhry told The News over telephone from Riyadh, complaining the delay in his case was caused because the bank’s head office sent information to its branch via post. “Can you imagine this is happening when everything is going electronic?”

Pakistan’s banks with their 7,500-plus branch offices spanning across the country should have been the most effective source for expatriates to send remittances. But that is not happening even with incentives for remittance transactions the banks enjoy.

Overseas Pakistanis, who send home remittances, which are now literally supporting the economy by helping to maintain balance of payments, are not getting the government recognition and support they deserve, industry people say.

From little over $2 billion in fiscal year 2001-02, remittances jumped to $6.4bn in 2007-08. The current year has seen a further increase as by April 2009 remittances had already crossed $6.3bn. This makes up 56 per cent of foreign exchange reserves of $11.19bn.

Banking industry officials say remittances coming into Pakistan are required to be filtered through too many cumbersome checks, which drive up human resource and opportunity cost of remittance transactions.

“There is no point in making and marketing products for expatriates,” a branch manager of a local bank said, “especially when banks are conveniently earning higher returns on other financial services.”

Concern over terrorist financing has made the State Bank of Pakistan’s Foreign Exchange (FE) Manual, which governs remittances coming into the country, unworkable. The FE Manual makes it mandatory for banks to report particulars of every transaction to the SBP being made from a remittance account, which is difficult, bankers say.

There are other complicated issues with remittance accounts. An expatriate holding a non-resident rupee account can only use it for remitting money and not for taking deposits.“This means if you are an expatriate who owns a property that has been rented out, you cannot use non-resident rupee account for taking rent from your tenant,” explained an official of a foreign bank.

Such disparities make informal ‘hawala’ channel more favourable and have diluted the effects of the SBP incentive of reimbursing 25 riyals ($7-8) for every transaction to banks for not charging international customers for sending money.

While 80 per cent of the remittances coming into Pakistan are channeled through banks, exchange companies also play a vital role in bringing much-needed foreign exchange.


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Friday, 05 June 2009 10:27

LAHORE: The federal government is likely to reduce SIM activation tax by 40 per cent to Rs300 from Rs500. However, no reduction would be made in general sales tax as the government has no other way of easy collection of GST for revenue generation, The News has learnt.

All stakeholders of the telecom industry had proposed to the government to withdraw SIM activation tax in upcoming budget in order to encourage more investment in the high-growth industry. However, the government has decided to reduce the activation tax and may waive it completely later once revenues from other sectors come.

Sources in the finance ministry revealed that initially the government was considering completely removing the SIM activation tax and reducing the GST from 21 per cent to 18 per cent. However, it was prevented by the economic recession and the Supreme Court’s pressure to cut petroleum product prices, which may make it difficult for the government to achieve its revenue target.

Industry stakeholders say that high tax rates had badly affected the usage of services, leading to a sharp decline in the revenue of the cellular industry. It has also affected revenue contribution of the cellular industry to the national exchequer.

The contribution of telecom sector to the national exchequer declined by 18.7 per cent in the first half year of 2008-09 as compared to 24.6 per cent share of GST, recorded in the same period of previous fiscal year.

A Pakistan Telecommunication Authority (PTA) report also showed that the revenue of telecom sector had sharply declined in the first two quarters of fiscal year 2008-09 as compared to the previous fiscal year. In April-June 2008, the Federal Board of Revenue (FBR) received Rs12.4 billion from the telecom sector at the rate of 15 per cent GST. Whereas, its receipts in the period of July-Sept and Oct-Dec 2008 were recorded at Rs11.4 billion and Rs11.7 billion at 21 per cent GST rate, depicting contraction of eight and six per cent in indirect taxes, respectively. The cellular phone companies contributed a lion’s share to the overall GST amount of telecom sector.

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KARACHI: The State Bank of Pakistan has said agriculture sector growth will be better this financial year because of growth in major crops. In its third quarterly report (Jan-Mar 2009), the State Bank said fertiliser offtake remained low and production of sugarcane was also low, but growth was supported by minor crops along with rice and wheat.

“It could have been even better if sufficient inputs — irrigation water, fertilisers and certified seeds ñ had been used,” said the report. It said less than required irrigation water, concern over high prices and timely availability of fertilisers as well as plantation of substandard seeds restricted possible gains.

It observed that farmers did not get proper prices of paddy crop. “Following a drop in international rice prices and weaker exports, farmers did not get prices as high as anticipated earlier.” In addition, the farmers faced late start of sugarcane crushing and delayed payments despite domestic shortages of sugar. With respect to major crops, the central bank observed that despite less than required irrigation water, rice cultivation increased as the crop was supported by monsoon rains later.

It said wheat sowing area increased mainly due to the higher support price announced before sowing of the crop. Rains at the time of cultivation also helped increase non-irrigated area under wheat during fiscal year 2008-09.

Wheat harvest is provisionally estimated to have reached a record high of 23.3 million tons, slightly higher than 23.29 million tons achieved in FY07.

The State Bank noted that despite a sufficient wheat crop in recent years, there were shortages of the grain domestically because of cross-border smuggling and hoarding. It suggested that in order to provide cheaper bread to the masses checks should be applied to subsidised supply to the mills.....................

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DHAKA: Bangladeshis working abroad sent home a record 890 million dollars in May, defying warnings by international economic experts of a massive downturn in global remittances.

The May figure was up from 730 million dollars the same month a year ago and marked a record monthly high for the impoverished country which relies on remittances to help prop up its economy, said the central bank.

“This is the highest month we’ve ever had. We don’t know the reason. Many people are returning home because of the recession but many more are still leaving,” Bangladesh Bank executive director Khandakar Muzharul Haque said.

“Perhaps later this year or early in 2010 we’ll start to see a downturn.

Every day we are told to expect the worst but the monthly figures keep defying the predictions,” Haque told AFP.

The previous monthly remittance record was set in March when Bangladeshis overseas pumped 881 million dollars into the economy.

The World Bank, the International Monetary Fund and the Asian Development Bank have all forecast lower remittances in 2009.

In 2008, Bangladeshis working abroad sent home nine billion dollars accounting for more than 10 per cent of the country’s gross domestic product.

Remittances represent Bangladesh’s second-highest earner after exports.

According to government statistics, 6.3 million Bangladeshis work in other countries, although unofficial estimates put the figure at around nine million.

Bangladesh, one of the poorest countries in the world with a population of 144 million, counts on the inflow of foreign exchange to fund its imports.

Courtesy: The News

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LAHORE: The federal government is likely to reduce SIM activation tax by 40 per cent to Rs300 from Rs500. However, no reduction would be made in general sales tax as the government has no other way of easy collection of GST for revenue generation, The News has learnt.

All stakeholders of the telecom industry had proposed to the government to withdraw SIM activation tax in upcoming budget in order to encourage more investment in the high-growth industry. However, the government has decided to reduce the activation tax and may waive it completely later once revenues from other sectors come.

Sources in the finance ministry revealed that initially the government was considering completely removing the SIM activation tax and reducing the GST from 21 per cent to 18 per cent. However, it was prevented by the economic recession and the Supreme Court’s pressure to cut petroleum product prices, which may make it difficult for the government to achieve its revenue target.

Industry stakeholders say that high tax rates had badly affected the usage of services, leading to a sharp decline in the revenue of the cellular industry. It has also affected revenue contribution of the cellular industry to the national exchequer.

The contribution of telecom sector to the national exchequer declined by 18.7 per cent in the first half year of 2008-09 as compared to 24.6 per cent share of GST, recorded in the same period of previous fiscal year.

A Pakistan Telecommunication Authority (PTA) report also showed that the revenue of telecom sector had sharply declined in the first two quarters of fiscal year 2008-09 as compared to the previous fiscal year. In April-June 2008, the Federal Board of Revenue (FBR) received Rs12.4 billion from the telecom sector at the rate of 15 per cent GST. Whereas, its receipts in the period of July-Sept and Oct-Dec 2008 were recorded at Rs11.4 billion and Rs11.7 billion at 21 per cent GST rate, depicting contraction of eight and six per cent in indirect taxes, respectively. The cellular phone companies contributed a lion’s share to the overall GST amount of telecom sector.

Sources in government quarters of telecom sector revealed that the main objective of reduction in SIM activation tax is to provide relief for the operators in order to encourage them for further direct investment. It had also proposed to reduce the GST in order to increase the use of cellular services, but this proposal was rejected due to the economic crunch, they added.

Courtesy: The News

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