Government shares strategy for subsidized oil prices to help the poor
The announcement of the program comes just days after the government raised prices for all petroleum products.In a report detailing the pricing strategy behind the prime minister’s oil bailout program,the government announced his two-tiered pricing that splits bailouts into two-wheelers (motorcycles), three-wheelers (rickshaws) and small cars. The report mentioned that it developed a configuration program,Categorize consumers into ‘poor’ and ‘rich’. The program covers about 20 million motorcycles and rickshaws (with 21-liter fuel caps) currently in operation across Pakistan and 1.36 million small vehicles (with 30-liter fuel caps),the report said.Assuming a base price of 300 rupees per liter of fuel, using differential pricing, the ‘poor’ man can afford the ‘rich’ by charging him a surcharge of 102 rupees per liter up to 50 A reduction of Rs is given. The resulting expected price is 250 rupees for the “poor” and 352 rupees for the “rich”. The report states that the program will use two of its models in its implementation; OTP and “fuel cards”.
Japan awards $5 million grant to Pakistan for flood relief project
Dr. Kazim Niaz (Minister of economy) and Yong Ye,(Country Director of the Asian Development Bank ADB) signed the grant agreement at the Ministry of Economy on Tuesday.The ceremony was witnessed by Mr. Takahiro Yasui, ADB’s Executive Director for Japan.Japan offers US $5 million grant to Pakistan as part of an emergency flood relief project.This grant is from the Japan Fund for a Prosperous and Resilient Asia-Pacific, which ADB manages in the Islamic Republic of Pakistan for Emergency Flood Assistance Projects (Additional Funding). Additional funds will be used to expand the scope of the original project. Specifically, it will be used to (i) provide emergency climate-resilient seeds to grow staple crops and (ii) support women-led livelihoods to meet basic household needs. .
The world’s biggest companies say “prices will rise further”
The world’s largest food group says the price of staple items will rise further this year, adding to a string of warnings from consumer giants of more pain to come for stretched households.The maker of Nescafé coffee and KitKat chocolate bars increased prices by 8.2% in 2022, but said this was not enough to offset a rise in its own costs, which had dented its profits.“We are still in a situation where were repairing our gross margin and like all consumers around the world hit by inflation now we are trying to repair the damage that has been done,Nestle CEO Mark Schneider said on call with CNN Reporter. “Price increases will be “targeted” and only implemented where input cost inflation justifies that.Although he declined to say which of the companies 2,000 brands, which span frozen food,confectionery and baby formula, would be affected. Heineken (HEINY),Colgate (CL),Palmolive and Procter & Gamble (PG) which makes Pampers nappies and Pantene shampoo, have all flagged further increases in the prices of their goods this year, as they grapple with elevated commodity, energy and labor costs.Prices for commodities such as energy, dairy and grains have fallen from their peaks but remain high. Labor and logistics costs also increased.This means that the prices of goods in stores will not fall for the time being.“We are probably past the peak of inflation, but we are not yet at peak prices,” Unilever Chief Financial Officer Graeme Pikesley told reporters by phone last week. Groceries, including ice cream, will see significant price increases in 2023, CEO Alan Jope said on the same conference call. Unilever, the British company that makes Hellmann’s Mayonnaise, Knorr Bouillon Cubes and Ben & Jerry’s ice cream, has increased its prices by 13.3% in the last three months of 2022, marking the eighth consecutive quarter of price hikes. According to Unilever, the price hike reduced his sales volume by 2.1% in 2022.Similarly,Nestlé reported a decline in sales volume in the second half of last year, which it said was partly due to pricing. A retailer’s private label could be the winner as shoppers look to keep their grocery bills low. For example, Walmart (WMT) has seen strong growth in sales of its own brands, and the trend is spreading to European retailers. Last year’s price controversy led to some branded products being removed from shelves after a short period of time.Tesco chairman John Allen recently told the BBC that Tesco had “argued with other suppliers” over price increases.Supermarket managers sometimes see such brawls as part of their job description.Alexandre Bompard, the CEO at France’s largest food retailer Carrefour (CRERF), said his role was negotiating with suppliers “to keep the surge as low as possible to protect the purchasing power of customers.” to make sure,” he said.
Shehbaz Sharif calls for all-party meeting,invites Imran Khan
Prime Minister Shebaz Sharif called for an All Party Conference (APC) in Islamabad on Thursday and invited the country’s political leaders,including PTI Chairman Imran Khan,to discuss ways to address the challenges facing the country. The country is also in trouble economically. Foreign exchange reserves have fallen to her $3.09 billion, but analysts say this does not cover her three weeks worth of imports. The country is in talks with the International Monetary Fund (IMF) to release much-needed funds under a stalled relief program.The success of the IMF will also help free money from other platforms looking for the go-ahead from lenders. Economy Minister Sardar Ayaz Sadiq, former Speaker of the National Assembly contacted PTI leaders Asad Kaiser and Pervez Khatak.Sadiq forwarded the invitation to PTI leader, asking him to nominate a representative for a board meeting to be held at the governor’s house in Peshawar. The meeting will be attended by all stakeholders, including rangers and operatives.The meeting will discuss the terrorist incidents in Peshawar and consider measures to eradicate terrorism and strengthen the counter-terrorism department and the police force.
IMF to visit Pakistan on January 31
The International Monetary Fund (IMF) mission will be in Pakistan from January 31 until February 9, where he will hold consultations related to the 9th Review. The Pakistani representative of the fund, Esther Perez Ruiz issued a statement that “the mission will visit Islamabad from January 31 to February 9 at the invitation of the authorities.According to the ninth evaluation of the fund’s growth facility,and the delegation will have discussions”. According to the IMF, “delegation will concentrate on policies to restore internal and external stability, including improving the financial position of sustainable high-quality measures while aiding the underprivileged and flood victims.” The statement said, “These steps include revitalizing the energy industry and sustaining a downward trend in circular debt as well as frequent forex market activation to address the lack of foreign money through the exchange rate. “Efforts and reforms under a strong policy are necessary to reduce the current uncertainty which will be important in strengthening Pakistan’s competitiveness, securing financial support from partners and the market and this is essential for Pakistan’s sustainable development,” it added. On the other side,media reports stated that Pakistan had asked the United States for assistance in reviving the IMF program so that the economy could be controlled by external obstacles including floods and unfavourable global economic circumstances.According to the report, Finance Minister Ishaq Dar advised the team to comprehend the difficulties caused by floods and other outside causes in order to persuade the IMF to be forgiving with Pakistan for resuming the loan program.
The dollar hit an all-time high on the interbank market,trading at Rs 255
The local currency suffered a heavy blow in the interbank market during intraday trading on Thursday,dropping more than 24 rupees per day after unofficial caps were lifted in the open market.The local currency was trading at Rs. 255 against the dollar in intraday trading.This is the lowest level the rupee has fallen against the dollar since reaching 239.94 rupees in the interbank market on 28 July 2022.Meanwhile,data released by the Association of Stock Exchanges of Pakistan (ECAP) shows the dollar is selling at $255 on the open market after gaining 12 rupees.“The SBP seems to be adjusting its exchange rate to the market rate. PTI leader Asad Umar accused Finance Minister Ishak Dar of his “false ego”, which he said had severely damaged the national economy. “People who claimed to have pushed the dollar below 200 pushed the dollar up to 240,” he said.“Billions of dollars lost in remittances and exports, thousands of businesses destroyed and millions of people out of work due to false egos. Who is to blame for this catastrophe? Meanwhile, speaking to Geo, Dr. Khaqan Hassan Najeeb,a former adviser to the Ministry of Finance Television, said it was the “right move” to let the market determine the value of the local currency. He said “the move was necessitated by a severe dollar liquidity squeeze, tight reserves and the need for Pakistan to move forward with the IMF.”The economist added In this regime, trade deficits,supply and demand factors,and economic fundamentals have a significant impact on currency fluctuations.
Bangladesh Is Going to Become Europe’s Biggest Source of Textile Products Beating China & Pakistan
It is likely that Bangladesh will overtake China as the EU‘s biggest apparel source in the near future, due to China‘s decreasing share of trade due to the economic slowdown caused by the Covid–19 pandemic. This is due to the shortage of skilled labor in China, as their population is decreasing, and Bangladesh is producing high–end value–added garment items. Data shows that apparel shipments to the EU from Bangladesh have grown by 41.76 percent in the January–October period of last year to USD 19.40 billion. There are also other factors, such as China‘s withdrawal of foreign investments, an increase in production costs, and the tariff war between the US and China. As a result, work orders have been diverted to Bangladesh, as well as other Asian countries like Vietnam, Thailand, Cambodia, India, and Pakistan. Bangladesh is also shifting its production base to high–end value–added garment items from basic items, and the country‘s primary textile sector has received investments worth over USD 20 billion. With all these factors considered, it is likely that Bangladesh will overtake China as the EU‘s biggest apparel source in the near future.
Russian delegation to visit Pakistan tomorrow to discuss oil trade and gas pipeline projects
With bilateral talks underway between Pakistan and Russia, a Kremlin delegation will visit South Asian country on January 17 to discuss oil, LNG trade and billion-dollar gas deals and pipeline projects.Islamabad is set to host a Russian delegation tomorrow and will discuss much-vaunted Pakistan Stream Gas Pipeline (PSGP) project according to media reports. Last month, Pakistan’s Minister of State “Musadiq Malik” announced that “Moscow had agreed to ship crude oil, gasoline and diesel to cash-strapped countries at discounted prices”. Islamabad and the Kremlin will exchange views on cooperation in electricity, hydropower, renewable energy sources, and oil and gas exploration. It was reported that a delegation of 80 people will visit Pakistan for three days for bilateral consultations under the Intergovernmental Commission (IGC) Forum. Detailed discussions are also planned to increase trade and investment, especially in the agriculture, energy, education, IT and financial sectors.
Apple CEO Tim Cook calls for 40% pay cut from his salary
Apple CEO Tim Cook has taken a voluntary 40% pay cut for 2023. It’s an unusual move “in response to shareholder ,” according to the company’s annual proxy statement.The decision set Cook’s compensation target from his $84 million in 2022 to his $49 million.Apple declined to comment further on the Washington Post’s decision. However, the proxy statement acknowledges the decision that “balanced shareholder feedback, a desire to continue to provide meaningful performance and retention incentives, and Mr. Cook’s support for the change in compensation.” . Salary cuts by executives are unusual, but CEO salaries have become a growing source of public frustration amid a growing debate about income inequality. Executive salaries have increased 1,460% since 1978, according to an Economic Policy Institute analysis. The CEO will be paid 399 times more than a typical employee in 2021. This is the best ever.
Why does Prices of chicken rising day by day
The cost of chicken is likely to continue to increase in the coming days.The warning from the Pakistan Poultry Association follows a statement by Federal Food Security Minister Tariq Bashir Cheema said “he would not eat chicken raised on “muzr-e-sehat” feed. No, Pakistan has announced that it will only import inclusion-free oilseeds ‘GMO’ from now on”.In this era of economic crisis and inflation, the price of chicken in Pakistan, like other food items, had already risen sharply, but in the past two weeks, the price of chicken has increased from 1.5 times to 200 rupees per kilo.Though there is a slight difference in the prices of every place and every city because the price of chicken varies by one rupee after every 15 to 20 rupees. At the same time, concerns about further price increases have been expressed. A businessman linked to the poultry sector says “the biggest crisis right now is not the chicken, but its feed, and the supply of chicken in the market is declining”. Federal Minister Tariq Bashir Cheema said “GMO soybeans were not included in poultry feed before 2015.The poultry mafia imposed a tax on local soybeans, making imported soybeans cheaper and local soybeans more expensive.”According to him, “the purchase of GMOs is not allowed by regulation” and Pakistan has also signed an international agreement on the matter.According to the federal minister, poultry producers have started buying domestic feed since his statement.According to the owner of poultry farm,” Pakistan itself could produce this feed if the government did better research, but it would require resources”.