Uncertainty gripped the stock market on Wednesday as the benchmark KSE-100 index dived over 400 points in intra-day trading ahead of the release of Economic Survey 2020-21 and announcement of federal budget. The government will release the survey report on June 10 and unveil the budget for fiscal year 2021-22 on June 11.

KASB Market View

Upcoming federal budget will keep the focus on budgetary measures and in turn dictate the index’s momentum in the coming trading sessions. A growth-centric projection will likely pave way for cyclical stocks to outperform including cements, steels, OMCs and automobiles. Moreover, the IPPs payment is likely to reinvigorate the depressed sentiments of the sector, allowing it to garner investor interest.

National News

Saudi Arabia pledges Rs37.4b for construction of Mohmand dam

ISLAMABD: Ambassador of Saudi Arabia in Pakistan Nawaf bin Saeed Al-Malkiy on Wednesday informed a Pakistani official that the kingdom has approved 901 million Saudi Riyal (Rs37.4 billion) for Mohmand Hydropower Project.

https://tribune.com.pk/story/2304320/saudi-arabia-pledges-rs374b-for-construction-of-mohmand-dam

Covid restrictions to ease post June 15

ISLAMABAD: The National Command and Operations Centre (NCOC) decided on Wednesday to slightly relax restrictions, put in place to curb the spread of Covid-19 during the third wave of the virus in the country, from June 15 onwards.

https://tribune.com.pk/story/2304302/covid-restrictions-to-ease-post-june-15

Applicability of 100pc additional tax; Foreign investors may be exempted

ISLAMABAD: The Federal Board of Revenue (FBR) is considering a budget proposal of the Securities and Exchange Commission of Pakistan (SECP) to exempt foreign investors from applicability of 100 percent additional tax, in case their name is not appearing in the Active Taxpayers List (ATL).

https://epaper.brecorder.com/2021/06/10/2-page/889198-news.html

EAD allowed to approach G20 for debt relief extension

ISLAMABAD: A meeting of the Economic Coordination Committee (ECC) of the Cabinet has allowed Economic Affairs Division (EAD) to approach the G20 countries for extension in debt relief to Pakistan under the Debt Service Suspension Initiative (DSSI).

https://epaper.brecorder.com/2021/06/10/1-page/889185-news.html

Federal budget tomorrow

ISLAMABAD: The incumbent government, led by Pakistan Tahreek-e-Insaf (PTI), is all set to present its third budget for the fiscal year 2021-22 in the Parliament on June 11 (Friday), amid the third wave of Coronavirus (Covid-19), which had affected world economies including Pakistan.

https://epaper.brecorder.com/2021/06/10/1-page/889186-news.html

Consumers of SNGPL, SSGC; Ogra increases LNG price for June

ISLAMABAD: The Oil and Gas Regulatory Authority (Ogra), on Wednesday, increased the provisional price of LNG for the consumers of both gas companies, the Sui Northern Gas Pipeline Limited (SNGPL) and the Sui Southern Gas Company (SSGC) for the month of June.

https://epaper.brecorder.com/2021/06/10/12-page/889272-news.html

K-Electric, PLL enter into agreement

KARACHI: In a major breakthrough, K-Electric and Pakistan LNG Limited (PLL) have entered into an initial Gas Supply Agreement (GSA) for the supply of 150mmcfd RLNG for K-Electric’s flagship 900MW power plant at Port Qasim (BQPS-III). The GSA will be executed promptly after the approval of the Oil & Gas Regulatory Authority (Ogra), sources at KE told the Business Recorder.

https://epaper.brecorder.com/2021/06/10/1-page/889191-news.html

System facing 6,500MW shortfall

ISLAMABAD: National Electric Power Regulatory Authority (Nepra) has taken serious notice of countrywide power load shedding with an approximate shortfall of up to 6,500MW in the system which includes revenue-based load shedding of 5000MW and routine load management of 1500MW.

https://epaper.brecorder.com/2021/06/10/1-page/889190-news.html

Power Generation from Tarbela and Mangla Dams Reduces Massively

Power generation from the Tarbela and Mangla dams has been reduced by 3300 MW, while Pakistan’s total electricity demand is currently 24,100 MW.

https://propakistani.pk/2021/06/09/power-generation-from-tarbela-and-mangla-dams-reduces-massively/

Corporate sector, REITs; Major tax relief expected

ISLAMABAD: The government is expected to announce some major tax relief measures for the corporate sector, development of the capital market, regulated commodity market, documentation of the real estate sector, and promoting the real estate investment trusts (REITs) in budget (2021-22).

https://epaper.brecorder.com/2021/06/10/1-page/889184-news.html

Value-added textile export body for zero- rating restoration

KARACHI: The Value-added Textile Exports Association Wednesday demanded of the government to restore zero rating – no payment no refund system – and continue with Duty Drawback of Taxes (DDT) & Technology Upgradation Fund (TUF) scheme and duty-free import of cotton yarn in the forthcoming budget for 2021-22.

https://epaper.brecorder.com/2021/06/10/12-page/889273-news.html

Army chief assures business community of full support

Chief of Army Staff (COAS) General Qamar Javed Bajwa on Wednesday appreciated the role of business community in economic uplift of Pakistan and reaffirmed army’s complete support, says an official statement issued by Inter Services Public Relations (ISPR).

https://tribune.com.pk/story/2304310/army-chief-assures-business-community-of-full-support