logo
Sugar price hike: PAC unhappy with FBR, ministry's briefings

Sugar price hike: PAC unhappy with FBR, ministry's briefings

ISLAMABAD: The Public Accounts Committee (PAC) on Wednesday expressed dissatisfaction with briefings from both the Federal Board of Revenue (FBR) and the Ministry of Food Security regarding the recent surge in sugar prices.
The committee has now demanded detailed information on the government's decision to import sugar.
The committee under the chairmanship of Junaid Akbar received a briefing on the ongoing sugar crisis. During the session, PAC members grilled officials, scrutinising the issues surrounding the availability and pricing of sugar.
Sugar price hike: NA panel to identify 'beneficiaries'
According to FBR officials, the retail price of sugar in all four provinces is currently Rs 183 per kg.
A summary for importing 500,000 tons was sent; 300,000 tons will be imported now, officials stated.
Rashid Langrial, FBR chairman said that the matters of food import or export are handled by the Food Ministry. He explained that the cabinet made the decision; the FBR is bound by the decision.
He further said that they are directed to abolish the 20 percent customs duty on imports. Sales tax was reduced from 18 to 0.25 percent. The advance tax which is 5.5 percent has been set to 0.25 percent, he added.
Copyright Business Recorder, 2025
Orange background

Try Our AI Features

Explore what Daily8 AI can do for you:

Comments

No comments yet...

Related Articles

MCB Bank delivers Rs58.06bn PBT in H1CY25
MCB Bank delivers Rs58.06bn PBT in H1CY25

Business Recorder

time12 hours ago

  • Business Recorder

MCB Bank delivers Rs58.06bn PBT in H1CY25

LAHORE: The Board of Directors of MCB Bank Limited (MCB), in its meeting held under the chairmanship of Mian Mohammad Mansha, reviewed the Bank's performance and approved the condensed interim financial statements for the half year ended June 30, 2025. The Board declared a second interim cash dividend of Rs 9.00 per share (90pc), in addition to the 90 percent dividend paid earlier, bringing the total cash dividend for H1 2025 to 180 percent. MCB Bank reported a profit before tax (PBT) of Rs 58.06 billion for the six months ended June 30, 2025. Profit after tax (PAT) stood at Rs 27.31 billion, translating into earnings per share (EPS) of Rs 23.04 versus Rs 26.95 in H1 2024. The decline in net profitability also reflects a four percent increase in the effective tax rate compared to H1 2024. On a consolidated basis, the Bank posted a PBT of Rs 62.5 billion. These results highlight MCB's prudent balance sheet management, focus on core banking operations, and commitment to disciplined risk governance. Net interest income declined by 5 percent year-on-year, primarily due to margin compression following a downward revision in the policy rate. However, this impact was partially offset by the Bank's strategic focus on no-cost deposit mobilization, which led to a strong 27 percent growth in current deposits. Non-markup income decreased by 4 percent to Rs 17.5 billion. Fee and commission income declined by 13 percent to Rs 9.8 billion, primarily due to intensified competition in the routing of foreign currency remittances through MCB's channels. Foreign exchange income remained stable at Rs 4.9 billion, while dividend income posted a significant increase of 55 percent, reaching Rs 2.6 billion. The Bank continued to benefit from the momentum gained in digital banking, with card-related income rising by 18 percent. Operating expenses increased by 18 percent year-on-year, primarily driven by investments in talent, technology and marketing. However, the cost-to-income ratio summed at 38.05 percent, reflecting disciplined financial management while continuing to invest in innovation and talent development. On the balance sheet side, MCB Bank's total assets grew by 25 percent to Rs 3.38 trillion, supported by a 78 percent increase in investments. Gross advances declined by 36 percent, reflecting a prudent lending approach in response to prevailing macroeconomic challenges. Asset quality remained strong, with non-performing loans at Rs 52.0 billion, infection ratio at 7.42 percent, and coverage ratio maintained at 91.71 percent. Deposits grew to Rs 2.23 trillion, with a historic Rs 256 billion increase in current deposits, reflecting the Bank's continued focus on cost-effective deposit mobilization. This shift in deposit mix helped reduce the domestic cost of deposits to 5.23 percent, down significantly from 10.76 percent in H1 2024. The Bank reported Return on Assets (RoA) of 1.80 percent and Return on Equity (RoE) of 23.66 percent, with Book Value per Share at Rs 197.84. MCB continued to play a leading role in the remittance business, processing USD 2,303 million in home remittances during H1 2025, an increase of 16.7 percent over the corresponding period last year. The Bank remains a key partner in supporting the State Bank of Pakistan's efforts to promote formal remittance channels and drive financial inclusion across the country. The Bank maintained a strong capital position, with Capital Adequacy Ratio (CAR) at 19.61 percent and Common Equity Tier-1 (CET1) at 15.26 percent, well above the regulatory thresholds. Liquidity buffers also remained robust, with Liquidity Coverage Ratio (LCR) at 260.71 percent and Net Stable Funding Ratio (NSFR) at 155.73 percent. The Bank's credit ratings were reaffirmed by the Pakistan Credit Rating Agency (PACRA) at 'AAA' for long-term and 'A1+' for short-term through its notification dated June 23, 2025. Despite external challenges, MCB Bank remains firmly positioned for long-term growth, backed by its prudent risk management practices, strong capital and liquidity buffers, and a continued emphasis on digital transformation and customer-centric innovation. The Bank's strategic focus on operational excellence, cost efficiency, and value creation for all stakeholders remains unchanged. Copyright Business Recorder, 2025

SECP registers record 4,065 cos in July
SECP registers record 4,065 cos in July

Business Recorder

time13 hours ago

  • Business Recorder

SECP registers record 4,065 cos in July

ISLAMABAD: The Securities and Exchange Commission of Pakistan (SECP) has achieved a historic milestone by registering a record 4,065 companies in July 2025-the highest monthly registrations to date, surpassing the previous record of 3,609 set in May 2025. With 99.9% of incorporations processed digitally, the total number of registered companies in Pakistan now stands at 262,309. The total paid-up capital for July 2025 amounted to Rs. 4.96 million. Private limited companies accounted for 57% of new registrations, followed by single-member companies at 39%. The remaining 4% comprised public unlisted companies, not-for-profit organizations, companies limited by guarantee, and limited liability partnerships. The Information Technology and e-commerce sectors led with 862 new incorporations, followed by trading (530), services (468), and real estate development and construction (398). Other active sectors included tourism and transport (295), food and beverages (203), education (148), marketing and advertisement (98), mining and quarrying (95), textiles (91), pharmaceuticals (86), agricultural farming (74), engineering (64), cosmetics and toiletries (59), and chemicals and healthcare (56). An additional 482 companies were registered across other sectors, including fuel and energy, non-profits under Section 42, auto and allied, power generation, and communications. Foreign investment also showed positive momentum, with 96 newly registered companies receiving capital from international investors across diverse jurisdictions. As part of its efforts to enhance market access and financial inclusion, the SECP issued a total of 60 licenses during the month across multiple regulatory domains, including five in capital markets, one in insurance, two to non-banking financial companies (NBFCs), and fifty-two to not-for-profit associations. Following the recent Registrars Conference, the SECP is launching a comprehensive awareness drive to promote the advantages of incorporation among the business community. These benefits include limited liability, separate legal entity status, enhanced credibility and scalability, perpetual succession, structured governance, tax efficiency, easier access to finance, and stronger brand protection. The SECP remains committed to strengthening its digital infrastructure and streamlining regulatory processes to promote entrepreneurship, attract investment, and support sustainable economic development. Copyright Business Recorder, 2025

Cut in circular debt: FPCCI leader for benefiting consumers
Cut in circular debt: FPCCI leader for benefiting consumers

Business Recorder

time13 hours ago

  • Business Recorder

Cut in circular debt: FPCCI leader for benefiting consumers

KARACHI: Vice President of the Federation of Pakistan Chambers of Commerce and Industry (FPCCI) Amaan Pracha has demanded that the benefit of the significant reduction in the power sector's circular debt be passed on to electricity consumers. He stated that there has been a reduction of Rs. 700 billion in circular debt, bringing it down from Rs. 2,300 billion to Rs. 1,600 billion. He added that the main reasons for this decrease are reduced electricity losses, improved recoveries by Discos (distribution companies), and savings from renegotiated agreements with IPPs (Independent Power Producers). Therefore, the government should significantly reduce electricity tariffs to help alleviate the financial burden on trade and industry. In addition, Amaan Pracha appreciated the decision of the Economic Coordination Committee (ECC) to approve a technical supplementary grant for the electric vehicle subsidy, the payment of remittance scheme claims, and the provision of free electric bikes to high-performing students of public colleges under the subsidy scheme. Copyright Business Recorder, 2025

DOWNLOAD THE APP

Get Started Now: Download the App

Ready to dive into a world of global content with local flavor? Download Daily8 app today from your preferred app store and start exploring.
app-storeplay-store