Good news & bad
Capital suggestion
Our GDP grew by a handsome 5.1 percent in the July-September quarter compared to 2.9 percent in the corresponding period last year. What that means is that we managed to produce an additional trillion rupees worth of goods and services. What that means is that Pakistan is a trillion rupees richer. What that means is that each and every Pakistani is richer by Rs6,000 (all on an annualised basis).
On June 5, the day Mian Nawaz Sharif took the prime ministerial oath, the Karachi Stock Exchange’s market capitalisation stood at Rs5.5 trillion. Over the past six months the capitalisation has gone up by a trillion rupees. What that means is that Pakistan’s listed corporate worth has gone up by a wholesome trillion rupees. What that means is that investors are a trillion rupees richer.
Last week, we won the GSP Plus status from the EU parliament. What that means is that there will be zero duties on around 90 percent of our exports. What that means is additional exports to the tune of a billion dollars (subject to availability of power).
The other piece of good news is CM Shahbaz Sharif’s Citizen Feedback Model (CFM). The model is so successful that the World Bank wants to replicate it in dozens of other countries. CFM currently covers health, education, police and property registration.
Abbott Laboratories Pakistan, part of the North Chicago-based Abbott, is very positive on our economic future. Sales for the quarter have increased by nine percent as compared to the same quarter last year. GlaxoSmithKlinePakistan, part of the British multinational, carried out capital expenditures worth Rs1.5 billion last year. Net sales at Glaxo have recorded an increase of 10.6 percent and profits are up 15 percent.
Colgate-Palmolive Pakistan, part of the American multinational, is also bull on Pakistan. The company has achieved top-line growth of 16.7 percent in the most recent quarter compared to the same period last year. Unilever Pakistan, part of the Anglo-Dutch multinational consumer products entity, produces Blue Band, Lux, Lifebuoy, Lipton, Knorr, Rafhan, Surf and Wall’s. Amazingly, Unilever wants to double the size of its business in Pakistan.
Nestle Pakistan, part of the Swiss multinational, is more bullish than the rest. Nestle Pakistan is now the biggest milk collection entity collecting milk from 190,000 farmers spread over 145,000 square km of Punjab and Sindh. Sales at Nestle Pakistan have gone up by a hefty 25 percent. In the most recent quarter, profits at Nestle Pakistan have gone up by a whopping 20 percent compared to the corresponding period last year.
Now the bad news. On June 5, the day Mian Nawaz Sharif took the prime ministerial oath, our total debt and liabilities stood at Rs16 trillion. As of end-September, the same figure had gone up to Rs17 trillion. What that means is that the PML-N government managed to increase our debt by a trillion rupees in just three months. What that means is that each and every Pakistani is now indebted to the tune of Rs100,000 (the same figure last year was Rs85,000).
For the record, the PML-N has been printing Rs6 billion a day as compared to an average of Rs3 billion during the PPP tenure. What that means is inflation; pure unadulterated inflation. PM Nawaz Sharif had promised three things (among others): an energy policy, a good economy and an effective anti-terrorism strategy. The only thing PM Nawaz Sharif has managed to deliver is an energy policy.
Delivery has three prerequisites: political will, a plan and a team to implement the plan. The PML-N has the will but the other two are missing.
Courtesy:- Dr Farrukh Saleem
Source:- International The News
Publish:- Sunday, December 29, 2013
Our GDP grew by a handsome 5.1 percent in the July-September quarter compared to 2.9 percent in the corresponding period last year. What that means is that we managed to produce an additional trillion rupees worth of goods and services. What that means is that Pakistan is a trillion rupees richer. What that means is that each and every Pakistani is richer by Rs6,000 (all on an annualised basis).
On June 5, the day Mian Nawaz Sharif took the prime ministerial oath, the Karachi Stock Exchange’s market capitalisation stood at Rs5.5 trillion. Over the past six months the capitalisation has gone up by a trillion rupees. What that means is that Pakistan’s listed corporate worth has gone up by a wholesome trillion rupees. What that means is that investors are a trillion rupees richer.
Last week, we won the GSP Plus status from the EU parliament. What that means is that there will be zero duties on around 90 percent of our exports. What that means is additional exports to the tune of a billion dollars (subject to availability of power).
The other piece of good news is CM Shahbaz Sharif’s Citizen Feedback Model (CFM). The model is so successful that the World Bank wants to replicate it in dozens of other countries. CFM currently covers health, education, police and property registration.
Abbott Laboratories Pakistan, part of the North Chicago-based Abbott, is very positive on our economic future. Sales for the quarter have increased by nine percent as compared to the same quarter last year. GlaxoSmithKlinePakistan, part of the British multinational, carried out capital expenditures worth Rs1.5 billion last year. Net sales at Glaxo have recorded an increase of 10.6 percent and profits are up 15 percent.
Colgate-Palmolive Pakistan, part of the American multinational, is also bull on Pakistan. The company has achieved top-line growth of 16.7 percent in the most recent quarter compared to the same period last year. Unilever Pakistan, part of the Anglo-Dutch multinational consumer products entity, produces Blue Band, Lux, Lifebuoy, Lipton, Knorr, Rafhan, Surf and Wall’s. Amazingly, Unilever wants to double the size of its business in Pakistan.
Nestle Pakistan, part of the Swiss multinational, is more bullish than the rest. Nestle Pakistan is now the biggest milk collection entity collecting milk from 190,000 farmers spread over 145,000 square km of Punjab and Sindh. Sales at Nestle Pakistan have gone up by a hefty 25 percent. In the most recent quarter, profits at Nestle Pakistan have gone up by a whopping 20 percent compared to the corresponding period last year.
Now the bad news. On June 5, the day Mian Nawaz Sharif took the prime ministerial oath, our total debt and liabilities stood at Rs16 trillion. As of end-September, the same figure had gone up to Rs17 trillion. What that means is that the PML-N government managed to increase our debt by a trillion rupees in just three months. What that means is that each and every Pakistani is now indebted to the tune of Rs100,000 (the same figure last year was Rs85,000).
For the record, the PML-N has been printing Rs6 billion a day as compared to an average of Rs3 billion during the PPP tenure. What that means is inflation; pure unadulterated inflation. PM Nawaz Sharif had promised three things (among others): an energy policy, a good economy and an effective anti-terrorism strategy. The only thing PM Nawaz Sharif has managed to deliver is an energy policy.
Delivery has three prerequisites: political will, a plan and a team to implement the plan. The PML-N has the will but the other two are missing.
Courtesy:- Dr Farrukh Saleem
Source:- International The News
Publish:- Sunday, December 29, 2013
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