Tag Archive | "State Bank of Pakistan"

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SAARC Update

Posted on 11 February 2012 by Tea Server

Here are the most recent updates from four of the eight SAARC nations. For news from the rest of the countries, please visit their respective national pages.

MALDIVES – A top US diplomat arrived in the Maldives on February 11 to help resolve a deepening political crisis sparked by the ousting of the Indian Ocean nation’s first democratically elected president.

Mohamed Nasheed, who came to power in 2008, says he was forced to quit on February 7 in a coup led by mutinous army and police officers who threatened him with violence unless he stepped down as leader of the famous holiday islands.

He was replaced by his vice president Mohamed Waheed, whom Nasheed accuses of being party to the conspiracy to topple him.

SRI LANKA – Sri Lankan President Mahinda Rajapaksa reached Pakistan on February 10 to Pakistan to further strengthen political, economic and defence ties between the two countries.

Pakistan and Sri Lanka are also expected to sign an agreement during President Rajapaksa’s visit under which the latter would get $200 million export credit facility through the State Bank of Pakistan.

The two countries are aiming to increase bilateral trade to $2 billon mark over the next three years and pledged to support each other at regional and international forums.

The commitment is significant in the light of the forthcoming UNHRC session, which is expected to put pressure on Sri Lanka to address the ethnic conflict between Sinhala majority and the Tamil minority of the island nation.

NEPAL – A top Maoist leader on February 10 said the government will finish the key task of concluding the peace process and framing a new constitution, amid a deadlock between the political parties over form of governance and federal structure to be adopted in the country.

“The peace process and the constitution drafting will be completed within the stipulated time frame of May 27,” Education Minister and senior Maoist party leader Dinanath Sharma said on the sideline of the inaugural function of the UK Education Fair in the capital.

The landmark peace process has been stalled amid the failure of the political parties to agree on the form of governance and federal structure.

BHUTAN – By the end of 2012 at least 40 locations in western and central Bhutan will have access to 3G or third generation high speed Internet connectivity, which is today available only in the core areas of Thimphu city.
Starting March Bhutan Telecom will start work to expand its 3G network in Thimphu, Phuentsholing, Paro and Gelephu.
3G is the ‘3rd Generation’ technology for mobiles which enhances internet speed and enables features like video calling, faster audio and video streaming and quicker downloads.

In urban Thimphu, six more locations will be added to the 14 existing 3G sites. The other 20 locations will be added in Phuentsholing, Paro and Gelephu and at tertiary institutes like Sherubtse College, College of Science and Technology and the college of business studies in Gedu.

“Many young people at these institutions are in need of these services and they are the people who use these services more often,” the CEO of Bhutan telecom, Nidup Dorji, said.

The present 3G sites in Thimphu are located within a five km radius of Bhutan Telecom head office. For 3G data service the speed range is 7.2 mbps.

- Agencies

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Pakistan lost Rs7,020 billion, got only Rs990 billion

Posted on 08 February 2012 by Tea Server

ISLAMABAD: Pakistan’s economy has been facing the loss of Rs3 billion every day and Rs93 billion every month due to the highly controversial US-led war on terror for the last 46 months of the Gilani regime.The State Bank of Pakistan had calculated a total loss of $68.9 billion till June 30, 2011 to the country’s economy due to the war on terror. However, after seven months of the current

Syndicated from: PAKISTAN DEFENCE BLOG

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Around 10,000 Chitrali flood victims had their loan waived off

Posted on 08 February 2012 by Tea Server

Chitral — Chitral district has had the maximum loan write-offs amongst the calamity hit KP districts according to statistics released by the State Bank of Pakistan. 10,000 borrowers had obtained loan worth Rs506 million in Chitral which included 7,597 borrowers obtaining loans of Rs148.84 million from the First Microfinance Bank, which have been waived off. [...]

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Four Famous City of Pakistan.

Posted on 30 January 2012 by Tea Server

Karachi:
Karachi is the heart of Pakistan, Easily the biggest city with a population of 13,052,000 (2010). It was the previous capital of Pakistan and a massive metropolis with a cosmopolitan lifestyle. Karachi has absorbed the charm and beauty of modern and conventional way of life. What makes the city more proud is the fact that Quiad-E-Azam Muhammad Ali Jinnah, the founder of Pakistan was born in this city and his mausoleum  is the identity of the city.
It is the most populous city in the country, one of the world’s largest cities in terms of population and also the 10th largest urban agglomeration in the world. It is also known as the city of lights and the bride of cities due to its liveliness where people from all over the country come for jobs and labor. Other famous places of Karachi include state of the art Air Port, The famous National Stadium, Tooba Mosque, The National Academy of Performing Arts, The National Museum, Karachi Expo Centre. The Port Grand Food and Entertainment Complex is the largest food street of Asia. It is located near the Arabian Sea and  once It was the world’s most popular silver-sand beach and health resort during 20th century.

Islamabad:
Islamabad is the capital city of Pakistan and was built in early 1960. The city is more famous due to the political hub, beauty, cleanliness and more Importantly the location in the beautiful Magrala hills which are regarded to be one of the earliest sites of human settlement in Asia.. Faisal Mosque of Islamabad is the biggest mosque of South Asia and sixth biggest of the world. The famous places for food and cafe’ are Jinnah Super Market, Blue Area, F10 Markaz.

The city is a developed one and divided in different sectors. F-9 sector is called Fatima Jinnah Park which is one of the biggest in Asia. Some of the famous places of the city Include Daman-e-Koh, Monal, Shakar Parrian, Islamabad Zoo, Rawal Lake, Khanpur dam lake, Pakistan Monument, Pakistan Museum of Natural History, Golra Sharif. Islamabad is home to the some of the top-ranked universities in Pakistan, including Quaid-i-Azam University, Air University, Pakistan Institute of Engineering & Applied Sciences and the National University of Sciences and Technology. Allama Iqbal Open University in Islamabad is one of the world’s largest universities by enrollment.  The Saudi-Pak Tower is an example of the integration of modern architecture with traditional styles. The beige-coloured edifice is trimmed with blue tile works in Islamic tradition, and is one of Islamabad’s tallest buildings.

Multan:
Multan is one of the oldest cities in the Subcontinent Indo-Pak, this peculiar due to almost never-ending history of religion and politics for near about five thousand years, according to many historians it is the oldest city with a history in the modern world. Multan is the City of Saints. It is also known as the City of Sufis and Madinah-Tul-Oleyah due to the large number of shrines and Sufi saints from the city. It is also known as the City of Mangoes and produces the most juiciest of mangoes. The people of the city are polite and the thing that differentiates Multan from other cities is the calmness.

It is also a city where the five rivers of Punjab meet.  Multan is famous for its crops: wheat, cotton and sugar cane as well as mangoes, citrus, guavas and pomegranates. The best part of the city are the shrines of famous Sufi saints like Bahauddin Zakaria, Shah Shamas, Shah Rukn e Alam etc. According to Hindu legends, it was the capital of the Trigarta Kingdom and stayed a power house after that. Multan is also one of the hottest cities of the country. It has a population of over about 3.83 Million, making it the sixth largest city in Pakistan. Nishtar Medical college and hospital was once the largest in Asia, The parks such as Cantonment Garden, Jinnah Park, ShahShamas park are the biggest in the country. The State Bank of Pakistan, BZU Campus, Arts Council building with and auditorium, MGM, Multan Railway Station building the famous Clock Tower building of the Multan Municipal Corporation are the other worth places of the city.
Lahore:


Undoubtedly the heat of Pakistan, Lahore is the second largest city of the country and one of the most densely populated city of the world. A legend based on oral traditions holds that Lahore, known in ancient times as Lavapuri. It is the City which never sleeps and also known as the City of Gardens thanks to the Mughal Emperors. Lahore also has a rich cultural and architectural history which goes back over a millennium. Lahore has a lot to offer, including, from its popular film industry known as Lolly wood, Mughal and highly ethnical architecture to the most hospitable culinary fiestas, Lahore has a breathtaking charm and charisma that enchants every one that happens to be in Lahore.



 It is the city of happenings and colorful events, Festivals like Basant, Spring Flower Festival, international Theatre and Film festivals and a lot more that adds the colors of vibrancy, animation and joie de vivre to the city full of energy and life. There are many places you can visit in Lahore and you can go on and on with the names, The Badshahi Mosque, Mausoleum of National Poet Allama Iqbal,  Lahore Fort, Shalimar Gardens, and the mausolea of Jehangir and Nur Jehan are popular tourist attractions for the city. Golden Mosque; 13 Gates of Lahore and Lahore Zoo are also visited by people. The National College of Arts is a place where people all over the world come to learn the modern arts, whereas many famous universities are also in this city. Food Street of Lahore is the most famous in Pakistan which people mostly visit after midnight.

Syndicated from: Finding Neverland

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Pakistan’s Economy On the Edge

Posted on 24 January 2012 by Tea Server

The State Bank’s annual report makes special mention of the issues of governance and sends out a red alert to the government to fix the economy before Pakistan faces an economic collapse.

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PTA and SBP signed a MoU to promote mobile banking services

Posted on 14 January 2012 by Tea Server



PTA and SBP signed a MoU to promote mobile banking services


Pakistan Telecommunication Authority (PTA) & State Bank of Pakistan have jointly signed a Memorandum of Understanding (MoU) on 11th January 2012 at Karachi, to formalize cooperation between the two institutions for a common objective of promoting Mobile Banking in Pakistan. With this MoU, both the regulators (PTA and SBP) have shown their interest and commitment in stimulating mobile banking services in the country. The MoU was signed at a local hotel in Karachi after a meeting of all stakeholders involved in Mobile Banking followed by a signing ceremony. Mr. Farooq Ahmed Awan, Secretary (IT),, Mr. Yaseen Anwer Governor State Bank of Pakistan and Dr. Muhammad Yaseen Chairman PTA witnessed the ceremony. Senior management of the commercial banks, cellular Mobile operators as well as seniors officers from PTA and SBP also attended the ceremony.






Chairman PTA, Dr. Muhammad Yaseen while addressing the audience highlighted the potential of Mobile Banking services in Pakistan as only 12% of the adult population of Pakistan has access to formal banking services so far. Out of totlal population of 177 Million, only 27 million people have access to the banking services. Today Pakistan has over 122 million cellular mobile subscribers which is the potential target market for mobile banking services. With the upcoming 3G licensing this potential will increase by many folds.






Governor State Bank of Pakistan while speaking at the event, said that MoU signed between PTA and State Bank will be remembered as a mile stone in the history of Telecom and banking sectors. He said that branchless banking in Pakistan will have positive impact on the GDP growth of the country. He further said that branchless banking is a modern facility which will be beneficial for people of Pakistan. Admiring the role of PTA, the Governor State Bank said that it is a vibrant and forward looking regulator which is playing important role to promote and develop the emerging field of branchless and mobile banking in the country. The Governor State Bank said at present the number branchless banking in the country is slightly over 10,000. Total number of accounts opened till now stand at over 800,000. The average number of transactions a day through branchless banking are around 180,000 he added.






As agreed with SBP, PTA will issue Class Value Added Services licenses to third party services Providers who will act as facilitator and mediator between telcos and financial institutions for smooth transactions, data verification and mobile banking applications. This arrangement will be made in accordance with Third Party Service Provider Regulations to be issued by PTA as well as guidelines by SBP. Third Party licenses will be beneficial for the FI’s and Mobile operators as it will avoid cost duplication as well as reduce the cost of provision of mobile banking services. Through Third Party Service Providers (TPSP), Mobile Consumer of any network would be able to receive and transfer money all across the country. Particularly, the lower strata of the country would be able to remit their finances back home easily. After implementation of proposed arrangement, the consumers will have the most attractive benefit of keeping bank account in their pocket with advantages like low cost and fast transfers etc.

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NBP refuses to accept GB Government cheques on SBP directives, pensioners and salaried class in trouble

Posted on 11 January 2012 by Tea Server

PT Report Gilgit, January 10: The State Bank of Pakistan has advised scheduled banks to stop payments on the cheques of Gilgit – Baltistan government. It is the first time in the history of the region that central bank has issued such a advice. According to media reports the SBP has take this step over [...]

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State of Pakistan’s Economy: No wiggle room left – State Bank of Pakistan

Posted on 20 December 2011 by Tea Server

No wiggle room left:  State Bank of Pakistan estimates for major FY12 macroeconomic targets are lower than GoP’s budget projections, though it has highlighted avenues of upside, specifically from likelihood of weaker oil prices and continuation of strong remittances. While highlighting the need for taking key fiscal measures – broadening of tax base, improving collection machinery, removing subsidies and restructuring PSEs – State Bank of Pakistan highlights that:

“In the current state of Pakistan’s economy, there is no wiggle room left.”

We believe the statement sums it all up.

State of Pakistan’s estimates underperformance on major economic targets: State Bank of Pakistan‘s expects FY12 growth to range between 3.0-4.0% (budget target: 4.2%), while inflation shall range between 11.5-12.5% (budget target: 12%). SBP expects trade deficit to range between USD15.2 – 16.4bn (budget target: USD12.2), which would push FY12 CAD to 1.5% – 2.5% of GDP (budget target: 0.6%). Fiscal deficit is expected to exceed target and range between 5.5% – 6.5% of GDP.

External sector joins an otherwise unchanged core issues list: 1) Fiscal indiscipline, 2) resulting slippage effects on domestic debt and crowding out of pvt sector, and 3) acute power shortage, being the other three.

Bottom line: While we do not differ with State Bank of Pakistan’s stance that Pakistan’s FY12 FX debt payment risk is not large, our biggest concern emanate from Jun-12 FX reserves balance and estimated debt servicing of USD5.0bn in FY13, where likelihood of FX inflows remain minimal after the suspension of the IMF program. With fiscal side out of order, high inflationary risks, and bleak growth outlook due to precarious energy situation and private investment, we believe that heightened macroeconomic risks warrant attention.

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Funding Pakistan’s Jihad.

Posted on 19 December 2011 by Tea Server

While it may be true that over the years the militants have developed a vast and effective network for raising funds by taking as much as a rupee from a poor man to millions from the rich, donations are pouring in for jihad from every segment of society

by Ali K.Chishti

All the commitment and fanaticism notwithstanding, terrorist operations cannot be run without funds. Funds for jihad are required for procuring weapons, financing training camps, providing logistical support, compensating the families of jihadis, paying instructors and also the wide networks of agents and running recruitment offices.

During the Afghan war, western governments were a major source of funding and weapons for the groups engaged in taking on the Soviet occupation army in Afghanistan. Much of these funds came from covert accounts of the states funding the Afghans. Islamic countries also poured in billions of dollars into the coffers of the jihadi groups. While the role of Saudi Arabia has been limited to the provision of funds to the Islamist and jihadi organisations, the Kingdom, to this day, is the biggest source of official and private funding to Islamist and jihadist organisations in Pakistan, and it is to their credit that certain Deobandi and Ahle-Hadith extremist organisations became so powerful with the growth in their size. 

One also has to see the Saudi financial support to Deobandi organisations in the context of the rivalry between Saudi Arabia and Iran post the Iranian revolution where both these countries had supported militant sectarian organisations to organise attacks and counter-attacks on each other’s sects and fought a proxy war inside Pakistan.

So open was Saudi support to Sipah-e-Sahaba (now the Lashkar-e-Jhangvi and Jundullah) that the Saudi government, in 2000, gave out Rs 17 million to fund hardcore militant madrassas in Jhang alone. Another Saudi charity, called the International Islamic Relief Organisation (IIRO), is an affiliate of the Saudi welfare organisation, Rabita Alam-e-Islami, which in turn helped to set up the Rabita Trust in Pakistan that was banned after 9/11 because of a strong bin Laden connection. The most interesting aspect of the Trust was that its chairman was none other than General Pervez Musharraf, the chief of army staff. To save embarrassment to a close ally, a state department official said, “We do not think the prominent people who have their names on it were aware of the infiltration.”

In fact, so murky is the source of funds coming from Saudi Arabia that the leader of Harkat-ul-Mujahideen, Maulana Fazlur Rahman Khalil said, “The US had instructed, through Rabita Alam-e-Islami that we should initiate jihad in the Chinese province of Xinjiang, to which I replied that we have grown up now. We do not do jihad at your bidding.” 

Lashkar-e-Tayyaba’s (LeT’s) parent organisation, the Dawat wal Irshad, initially also attracted the sympathy of certain Arab donors interested in purifying Islam in the subcontinent, which is considered to have been tainted by the influence of Hinduism. In fact, one such Saudi donor, Abu Abdul Aziz, who invested millions of dollars on LeT, LeJ and various jihadi organisations, even donated Rs 10 million to make a mosque at Markaz-e-Dawa’s headquarters. 

And while it may be true that over the years the militants have developed a vast and effective network for raising funds by taking as much as a rupee from a poor man to millions from the rich, donations are pouring in for jihad from every segment of society. And while many jihadi organisations collect sacrificial hides to raise funds, many have started raising their capital from publishing magazines to even the property business, and now, as a jihadi told me sheepishly, “the national disaster business”. In a report published by the Aga Khan Development Network in 1998, approximately 50 percent of Pakistanis gave an estimated amount of Rs 770 billion in money, goods and time, of which 90 percent of the surveyed donors cited religious faith as the motivation for giving. 

If all this foreign and local funding were not enough, the Pakistani government gives out an estimated Rs 20-35 billion in grants to madrassas and jihadi movements indirectly from government resources like zakat or iqra funds. Another funding source after the crackdown on Saudi sources and tighter monetary controls is the Afghan Transit Trade, which is a cash cow for jihadis and certain rogue establishment actors who exploit the trade for procuring weapons and narcotics smuggling, earning millions of dollars to be funnelled into proxy wars from Afghanistan to Pakistan. There was a reason why the Tehrik-e-Taliban Pakistan (TTP) offered $ 10 million to replace American aid. The hundi trade is another source that is ‘welcomed’ by the State Bank of Pakistan, as it has, over the years, been buying billions of dollars to shore up its balance of payment positions. The hundi trade helps launder money for jihadis but in the land of the pure, jihad is used as a weapon to further our so-called strategic plans. 

Even after 9/11, much of what is happening inside the tribal belt is a bit of a charade. In fact, what earlier used to be taking place openly has now been pushed behind the curtain, otherwise it is business as usual. Every time the Americans start getting impatient, the Pakistanis make a show of launching an operation in the tribal belt. There are arrests of Afghan and Arab jihadis or the killings of certain individuals until everything returns to normal. One big reason why our own Pakistani government will never really close the funding source and cut the roots of jihadis is because doing so would have a direct impact on the various jihads it is involved with to suit certain foreign policy goals. Moreover, by shutting down these rackets, the Pakistani state will lose an important leverage over deciding affairs inside Afghanistan. Often, the Pakistani state has used smuggling as a carrot for the various Afghan warlords and agents, and in return has managed to get them to do Pakistan’s bidding inside Afghanistan. This currency of power will be lost if Pakistan were to curb the illegal rackets. But, in the process of taking action on this trade, what will happen is that the Pakistani state will try to regain total and complete control over this trade, something it was gradually losing out on with the increasing privatisation of jihad. 

The writer is a political analyst. He can be reached at akchishti@hotmail.com
































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Syndicated from: AKC

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Obey or Depart: Being a State Bank Governor

Posted on 25 August 2011 by Tea Server

What exactly led to Shahid Kardar’s departure from the State Bank of Pakistan?

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