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10 BUSINESS

Saturday, September 23, 2017

ParticiPants remain aBsent from PsX on last day of trading week Uber london loses licence to operate

LONDON AGENCIES

Uber will not be issued a new private hire licence, Transport for London (TfL) has said. TfL concluded the ride-hailing app firm was not fit and proper to hold a London private hire operator licence. It said it took the decision on the grounds of "public safety and security implications". Confirming it would appeal against the decision, Uber said it showed the world "far from being open, London is closed to innovative companies". Some 3.5 million passengers and 40,000 drivers use the Uber app in London. Mayor of London Sadiq Khan said: "I fully support TfL's decision - it would be wrong if TfL continued to license Uber if there is any way that this could pose a threat to Londoners' safety and security." TfL's concerns include Uber's approach to carrying out background checks on drivers and reporting serious criminal offences. Fred Jones, head of cities for Uber across the UK and Ireland, told the Agencies Uber drivers had to pass the same safety checks as the black cab and minicab drivers in London. There had been growing speculation that the app could be banned from London. Opponents of the firm claim it causes gridlocked roads and does not do enough to regulate its drivers. But one driver with Uber in London said: "I don't think it is a fair decision. Uber offers a flexible schedule and a weekly income." Uber's general manager in London Tom Elvidge said: "By wanting to ban our app from the capital, Transport for London and the mayor have caved into a small number of people who want to restrict consumer choice. "If this decision stands, it will put more than 40,000 licensed drivers out of work and deprive Londoners of a convenient and affordable form of transport. "To defend the livelihoods of all those drivers, and the consumer choice of millions of Londoners who use our app, we intend to immediately challenge this in the courts." He said Uber operated in more than 600 cities around the world, including more than 40 towns and cities in the UK.

NISHAT GROUP DECLARS FINANCIALS FOR YEAR ENDED JUNE 30, 2017 LAHORE

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BUSINESS DESK

H E Pakistan Stock Exchange (PSX) settled the week after spending a dull and dry session. Investors preferred to stay on the sidelines as uncertainty mounts over the fate of the Finance Minister. Market participation narrowed down despite earnings season catching up momentum. The KSE 100 index touched intraday high of 42,921.13 up 146.09 points in the first session recovering from a loss of 203.00 points. The index settled a minor 24.85 points in the red at 42,750.19. The KMI 30 index also showed a similar pattern and ended with a loss of 26.30 points. The KSE All Share Index inched up 18.50 points. The advancers to decliners ratio stood at 167 to 170.

Market volumes tumbled from 165.71 million to 132.05 million. Worldcall Telecom Limited (WTL +2.62 per cent) led the volume table with 17.58 million shares exchanged. Engro Polymer and Chemicals Limited (EPCL +3.03 per cent) followed with 8.92 million shares traded. The automobile assembler sector was the top performer and added 1.62 per cent to its market capitalisation. The Nishat (Chunian) Group declared financials for the year ended June 30, 2017. Nishat (Chunian) Limited (NCL +2.50 per cent) improved sales by 16 per cent to Rs 29.82 billion but gross profit margin remained flat at 10 per cent. Operating profit margins were also the same, 10 per cent, like in the previous year. Net profit inflated 22 per cent to Rs 1.62 billion converting into per share earnings of Rs 6.75. The management approved a cash dividend per

share of Rs 2.75. Nishat Chunian Power Limited (NCPL -3.74 per cent) sales swelled 17 per cent to Rs 16.15 billion but gross profit margins dropped from 30 per cent to 27 per cent. Operating profit margins reduced from 29 per cent to 25 per cent. Net profit increased 9 per cent to Rs 3.00 billio. Earnings per share clocked at Rs 8.17 against FY16’s Rs 7.50. The board ap-

Eurozone sees ‘burst of activity’ in September LONDON AGENCIES

The Eurozone economy ended the third quarter of the year on a strong note, a survey has indicated. The IHS Markit composite purchasing managers' index (PMI) suggested private businesses grew faster than expected in September. It said manufacturers had enjoyed their best month since early 2011. Chris Williamson, chief business economist at IHS Markit, said: "The Eurozone economy ended the summer with a burst of activity." Business activity during September saw one of its strongest gains for the past six years, the survey indicated. The "flash" PMI reading for September - which is based on about 85% of replies to the survey - rose to 56.7 from August's reading of 55.7. A reading above 50 indicates growth. The manufacturing sector saw the biggest rise in employment in more than two decades, IHS Markit said, adding that the signs were that the next quarter would register strong manufacturing growth as well. The survey also found that the pick-up in business activity had been accompanied by rising price pressures, with input cost and selling price inflation accelerating for the second month in a row. It pointed out that the rise in business activity and inflationary pressures would fuel expectations the

European Central Bank will, as has long been awaited, start to rein in its asset purchase programme. The ECB is currently buying 60bn euros (£55bn) of bonds a month as part of its quantitative easing programme. Earlier this month, the ECB raised its eurozone economic growth forecast for this year to 2.2pc, the fastest in 10 years and hinted it could start trimming asset purchases next month. Visitor numbers to uK hit record in July: The number of overseas visitors to the UK topped four million in July for the first time, official figures show. Travellers to the UK spent £2.75bn on their visits, the Office for National Statistics (ONS) said, another record. The figures also show the number of visits abroad by UK residents fell 2% from July last year to 6.9 million, with spending also down 2pc to £4.5bn. The weakening of the pound since the Brexit vote has made prices in the UK cheaper for travellers from abroad. However, Patricia Yates, from tourist promotion agency VisitBritain, said the pound was an only small part of the story: "We know the weak pound helps, but it is not the motivator for first time visitors most people overseas do not know what the exchange rate is." So far this year, the numbers of overseas visits to the UK are up 8pc

on the same period last year, with spending running at £13.3bn. The ONS says tourism is worth £127bn annually to the UK economy. Here is a breakdown of where tourists to the UK come from: Europe - 15.1 million, up 4pc on last year, North America - 2.9 million, up 21pc on last year, Rest of World, China, Australia, India, the Gulf - 3.6 million, up 18pc on last year. Ms Yates said an improvement in airline capacity, particularly between the UK and China and the UK and North America had helped to encourage visitors. "The US has been sluggish for a while - so some of it is bounce back, but some of it is because of the more competitive nature of transatlantic traffic," she said. "We have also been building a buzz with [online travel website] Expedia, trying to encourage interest in places they may not have considered before." Tourism Minister John Glen said: "Tourism is a major economic force that creates jobs and drives growth for the whole of the country. "These record figures show the continued strength of this important sector and the UK's global position as a must-visit destination." Top five visitor attractions in UK and annual visit numbers: British Museum - 6.4 million, National Gallery 6.3 million, Tate Modern - 5.8 million, Natural History Museum - 4.6 million, Southbank Centre - 3.9 million.

proved a cash payout of Rs 1.00. Murree Brewery Company Limited (MUREB -4.98 per cent) reported sales of Rs 7.14 billion which was 7 per cent more than that reported in FY16. With a 30 per cent gross profit margin, the company profits dropped 19 per cent to Rs 9.21 million. Earnings per share depreciated to Rs 39.94 from Rs 49.09. The cash payout of Rs 10.00 was announced.

‘Business community needs to focus on high-tech products’ ISLAMABAD INP

Ambassador-designate of Pakistan to Switzerland, Ahmad Warraich has said that the business community needs to focus on high-tech products and diversification of exports to enhance trade with Switzerland. Ahmad Warriach on Friday visited Islamabad Chamber of Commerce & Industry (ICCI) to get the input of private sector on how to improve bilateral trade with Switzerland. Talking to the ICCI management, he said Pakistan was mostly depending on textiles and some other products for exports while it was the time that the private sector should focus on producing high-tech products including mobile phones, computers and other value-added products that would give a significant boost to our exports. The Ambassador-designate said Pakistan has great potential to promote tourism as the law and order situation has sufficiently improved. He assured that he would work hard for perception change of people in Switzerland about Pakistan so that our country could attract more foreign tourists. He said an exchange of trade delegations was the key to explore new avenues of improving Pakistan’s trade and exports. He emphasised that ICCI should form a delegation for Switzerland and assured of his full support to make its visit successful. Speaking at the occasion, ICCI President Khalid Iqbal Malik said that despite enjoying good relations, bilateral trade between Pakistan and Switzerland was just around $ 500 million, which was far less than the actual potential of both countries.

ECO Trade, Development Bank's Pakistani president earns ire of bank staff BUSINESS DESK ECO Trade and Development Bank President Javaid Aslam, has come into the limelight after his differences with the staff of the bank have surfaced, which escalated the situation quickly. According to the recent email sent by the staff to the board of governors, which is available with Pakistan Today, the staff has raised their reservations against the president who they think is inefficient and incompetent to be running the post. Appointed by the Board of Governors, Javaid Aslam took his office at the Headquarters of the Bank in İstanbul

and will serve as the ETDB’s President and the Chairman of the Board of Directors until the end of October 2019. He brings with him 40 years of experience of working in trade, management and development sectors. It is also learnt that Javaid Aslam was a former principal secretary to the then prime minister Nawaz Sharif. Being a blue-eyed bureaucrat, he is known to have close ties with the government and has been blessed with high posts. It is also pertinent to note that the president of ECO Bank is appointed by the government of the native country. Earlier, when Pakistan nominated officials for the post of vice president of the

bank, the nominees were seen to have banking experience on their backs. However, the fact that President Javaid has no banking background makes his appointment as the president nothing short of astonishing. Doubts have been raised to the merits of his appointment. In a multi-point complaint, the first on the list was regarding his inexperience in the banking sector. Employees feel that his 40 years administrative experience doesn't qualify him for the job when in reality; he has zero banking routine and operations experience. Pointing out the lack of professionalism in his approach they wrote, "Since his first day in ECO Bank, he

has not stayed in the bank for more than 3 hours each day." They further stressed that Javaid's lack of banking experience impedes his communication ability with the other professional staff members. They also accused him of being short-tempered, since he 'shouts, insults and threatens bank staff' during meetings. In the end, they have called on the governors to resolve the issues before the actions of the president harm the bank further. Javaid Aslam, born in 1955 in Punjab, Lahore, is the third President of the ECO Trade and Development

Bank (ETDB). The legal representative and Chief Executive Officer (CEO) of the Bank is the president. The president is being appointed by the Board of Governors and also serves as chairman of the Board of Directors. The president together with the two vice-presidents constitutes the Management Committee. As per the current organisation structure approved by the Board of Governors, there are 18 departments and two representative offices in Karachi and Tehran reporting to the President and two Vice-Presidents. The main operational documents have been also approved by the management of the bank.

E paper pdf 23th september (khi)  
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