Category: Fund News

The cut-off yields on Treasury Bills (T-Bills) were down by up to 2 basis points (bps) in the auction of the paper held on Wednesday.

According to the data released by the State Bank of Pakistan (SBP), the government raised Rs. 853 billion against an initial target of Rs. 1.1 trillion and maturity of Rs. 1.063 trillion in the auction.

Official data indicates that the cut-off yields for the three-month T-Bills slid by 2 bps to 15.7198 percent from 15.7398 percent observed on October 5. Similarly, the proceeds for the six-month paper dropped by 1 bps to 15.7434 percent, while yields on the 12-month paper remained unchanged.

The government raised Rs. 623 billion against a targeted amount of Rs. 350 billion for the three-month paper in the competitive auction, and it raised Rs. 42 billion against a target of Rs. 375 billion for the six-month paper. Moreover, it raised Rs. 188 billion against a target of Rs. 375 billion through the 12-month bond during the auction.

A further breakdown of the official numbers indicates that the government also raised Rs. 87 billion through non-competitive bids, while Rs. 766 billion was raised through competitive bids. This took the total amount raised during the auction to Rs. 853 billion.

 

Source: Pro Pakistan

Pakistan’s dollar bonds fell on Wednesday after Ishaq Dar hinted at slashing interest rates on the very first day of taking charge as the finance minister.

The country’s sovereign dollar-denominated bonds slumped by 8 cents to hit record lows with the country’s 2024 dollar bond being traded at 40.2 cents on the dollar, reported Reuters.

The finance minister talking to the media following the swearing-in ceremony said that interest rates will need to be managed and added that the Rupee is currently undervalued and steps will also be taken to manage it.

The newly appointed minister, who has taken charge of the ministry after a gap of almost five years, has also set sights on reducing inflation.

The country has been in a grip of record-breaking inflation in recent months with Consumer Price Index-based inflation (CPI) for August touching the highest level in nearly fifty years.

Last week, Pakistan’s dollar bonds fell after Prime Minister Shehbaz Sharif made an urgent appeal for debt relief from the rich countries in the wake of one of the worst floods in the country’s history.

The then finance minister, Miftah Ismail, had clarified at the time that Pakistan is neither seeking nor it needs any relief from commercial banks or Eurobond creditors.  He had categorically said that Pakistan will pay the $1 billion bond due in December on time.

 

Source: Pro Pakistan

The Federal Board of Revenue (FBR) has enabled a refund adjustment tab in the tax return forms to ensure smooth filing of returns and improve ease of doing business and decrease the cost of compliance for taxpayers.

According to an official statement released by FBR, the said facility will enable taxpayers to adjust their pending refund claims against admitted liability for the tax year 2022 at the time of filing tax returns who had filed applications to claim their outstanding refunds of previous years.

The statement added that refund applications filed up to 27th September 2022 (Tuesday) are eligible for adjustment of refunds. The facility is available to all taxpayers who have not claimed excess adjustment against previous years’ refunds.

FBR stated that it had received several representations from various tax bars, businesses and other stakeholders on the issue of the non-availability of the refund adjustment tab in the return forms available on IRIS, an online portal of FBR for return filing. This led the board to enable the refund adjustment tab.

 

Source: Pro Pakistan

The Federal Board of Revenue (FBR) has dismissed the Deputy Commissioner (DC) Large Taxpayers Unit (LTU) for unauthorized absence from duty.

In its statement, the board said that it initiated disciplinary proceedings against DC LTU Karachi Nadeem Ahmad Tahir (Inland Revenue Service/BS-18) on account of his unauthorized absence from duty.

The board charged the said official for misconduct on 15th March 2022, based on which a show-cause notice was issued in June 2022. The accused officer, while submitting his reply, requested that the notice be held in abeyance till the completion of his scholarship/PhD program. He also asked for a personal hearing.

Based on the request, FBR granted the opportunity of a personal hearing to the accused on 5th September through a video link conference. During the hearing, the accused was inquired about the current status of his PhD degree to which he responded that approximately one year is still required to complete the degree.

As per finance division’s rules, the maximum leave availed during one continuous period should not exceed five years, whereas the accused has already availed five years of leave. Therefore, FBR Chairman Asim Ahmad stated that the charge of unauthorized absence against the accused stands established. He endorsed the recommendations of the Inquiry Officer (IO) by imposing the major penalty of ‘Removal from service’ upon Nadeem Ahmad Tahir.

The statement further said that the period of unauthorized absence from duty shall be treated as Extra-Ordinary Leave (EOL) without pay. The accused officer shall have the right to file an appeal to the appellate authority within thirty days.

 

Source: Pro Pakistan

Pakistan has expressed regret over the non-issuance of visas by India for the visit of Pakistani Zaireen to participate in the Urs of Hazrat Mujadad Alf-Thani (RA).

In a statement, a spokesperson of Ministry of Religious Affairs said India has deprived the Pakistani pilgrims from attending the Urs, which began in Sirhind Sharif from Monday.

 

Source: Radio Pakistan