Category: Finance

Finance

No cheap fuel for the bikes and small cars, says IMF

The International Monetary Fund (IMF) have raised concern about the cheap fuel scheme, which government was planning to go ahead with. According to IMF representative in Pakistan, the government of Pakistan have not done any consultation about the scheme with IMF. Also IMF have rejected the initial proposal of scheme by Govt of Pakistan. IMF is however seeking more details on the scheme like costs, terms of operation and details on, how will the scheme identify the potential fraud and how will it cater with it. Also, IMF sees that the more proper way to benefit the eligible social circle will be through the direct cash transfer. So until the further review, IMF have shown the serious concern about the […]

Finance

Govt agrees to accept IMF demands including electricity & Gas price increase

There was an on going deadlock between Government of Pakistan and the International Monetary Fund (IMF) on disbursement of next iteration of funds to Pakistan due to four demands of IMF. As after the floods and the political instability Pakistan’s economic situation got worse, so IMF thought until and unless Pakistan takes some more measures to collect funds, it will not go forward with disbursement of next over one billion US dollar funds. Government first has been hesitant on accepting the different action items on the IMF’s demand list but after the foreign reserves got dangerously low and other lenders have linked their lending process to IMF’s fund disbursement, govt of Pakistan left with no other option to accept the […]

Finance

Slide of Pakistani Rupee against USD continues

A brief recent history Seven months ago when so called Pakistan Democratic Movement (PDM) took over, after ousting the former Prime Minister Imran Khan, the Pakistani Rupee stood at Rs. 178 against US Dollar. It was even stronger before the news of planning to oust Imran Khan and the political instability the news caused. You can say it was resting at Rs. 168 against USD. Later on after PDM, the thirteen party alliance, took over the country, for few days Rupee started getting stronger and touched 172 from 178 previously, as PDM had made lots of promises to revive the economy and take solid steps to deal with inflation. But later on when people realized that Pakistan Muslim League Nawaz […]

Finance

Pakistani Rupee Reaches All Time Low Against US Dollar in Interbank

In interbank transactions, worth of Pakistani rupee reached all time low on 21st of September, 2022. It may further go down in coming days, keeping in view the current declining trend, however its worse of until now. USD was valued at 140.30 against Pakistani Rupee in interbank. However, anyone interested in opening Line of Credit (LC) for imports was sold $1 USD for Rs. 141. This is all time low till now. When alliance of around 13 parties, who call themselves Pakistan Democratic Movement (PDM), came into power, USD was valued at around 178 against Rupee. This price was already much higher as Pakistani currency had already dropped due to political instability which was created when PDM was trying to […]

Finance

Income Tax Rates for Salaried Income for fiscal Year 2018-19 in Pakistan

As this year the government in Pakistan have been changed and power have been transferred from Pakistan Muslim League – Nawaz (PML-N) to Pakistan Tehreek-e-Insaf (PTI), so two budgets were presented. One from the leaving government and one from new PTI Government. So there was a lot of confusion regarding the income tax rates for upcoming tax payment for fiscal year 2018-19, the tax which will be due for payment just after June 2019. So to clear this we have done some research and here is what FBR have to say about the tax rates for salaried income for Fiscal Year 2018-19. # Income Category Yearly Tax Amount 1 Taxable Income below 400,000 0% 2 Taxable Income between 400,000 and […]