Pakistan's economic woes result in mass layoffs in tex tile, auto sec tors

islamabad n e w s d e s k

Wr i t i n g i n D a w n , A a m i r

S h a f a a t K h a n r e p o r t s t h a t t h e c u r r e n t f i s c a l y e a r h a s seen a 7% drop in textile exports, resulting in thousands of layoffs in the industry and p u t t i n g d a i l y w a g e r s a n d c o n t r a c t u a l w o r k e r s a t r i s k o f s t a r v a t i o n T h e s i t u a t i o n in the auto sector is equally dire, with over 250,000 people losing their jobs due to a d i p i n a u t o m o b i l e s a l e s O v e r 4 0 0 , 0 0 0 i n f o r m a l w o r k e r s i n t h e t e x t i l e a n d a u t o s e c t o r s h a v e l o s t t h e i r j o b s i n t h e f i r s t h a l f o f

FY23, leading stakeholders t o u rg e t h e g o v e r n m e n t t o develop a strategy to prevent further retrenchments

According to the author, the market is buzzing with claims of at least seven million layoffs in the textile sector, including value-added textile exporters ValueAdded Textile Exporters Patron Jawed Bilwani attributes the lack of export orders to rising gas and utility charges, a shortage of dollars and raw materials, and foreign buyers preference for low-priced items A textile exporter estimates that 150,000-200,000 people have definitely lost their livelihood during the ongoing economic crisis Pakistan Association of Automotive Parts & Accessories Manufacturers Senior

Vice Chairman Usman Aslam Malik estimates that at least 250 000-300 000 workers have been laid off in the auto sector due to the persistent drop in sales of vehicles The only way forward to save the industries and jobs is the establishment of the National Economic Development Plan, developed through consensus among stakeholders, political parties, and industrialists

The textile sector holds a 60% share of the country s total job outlook and the majority of people working in the sector are not on a permanent basis having been outsourced by companies

To read the full story visit www dawn com ough inquiry into the recent blackout is necessary to ensure it does not happen again and that more concrete steps must be taken to resolve the ongoing electricity crisis in Pakistan

The seven-point plan is a roadmap for the Pakistani government to consider in its efforts to move towards a sustainable energy future

To read the full story visit www dawn com

Central bank's expor t incentive scheme fails

islamabad n e w s d e s k

According to an article published by BR Research, In January 2022, the State Bank of Pakistan (SBP) reduced the allowed realization period for export proceeds from 180 to 120 days in response to rumors of exporters withholding receipts to maximize returns on currency depreciation Exporters accused SBP of bullying tactics, causing it to go into damage control and offer creative incentives

The article further says that in August 2020, SBP expanded the Export Financing Scheme (EFS) to raise goods exports by $3 billion but the International Monetary Fund (IMF) later demanded that concessionary finance be capped When the exchange rate changed in Q2-FY22 the central bank came up with a new scheme to refinance commercial banks against Rupee-backed foreign bill discounting

However, according to the article, the scheme was a failure and total outstanding against foreign bill discounting fell by 37%

Fast forward to January 2023, SBP continues to face criticism for its poor response and flip-flops on policy, such as the exchange rate and incentives to exporters The central bank remains overly sensitive to criticism and must do better in its independence

To read the full story visit www brecorder com

Circular debt to increase by Rs952b

islamabad n e w s d e s k

Shahbaz Rana writing for Express Tribune, says that the Pakistani government has revealed that a revised Circular Debt Management Plan (CDMP) will add Rs952bn to the country's circular debt, a gap it aims to fill by increasing the price of electricity and subsidies

The government has proposed quarterly tariff adjustments from February to May this year to reduce a gap of Rs73bn, as well as a debt surcharge of Rs2 93 per unit According to the author, the plan is unrealistic as it was based on an exchange rate of Rs232 per dollar and a 16 84% KIBOR rate, while the current rate stands at Rs268 and KIBOR is close to 18% There may be an additional increase in the cost of electricity from now until June, and the plan may face criticism from the IMF The government had earlier planned to lower the circular debt to Rs1 526tn but about Rs952bn may be added to the debt this fiscal year, with a major reduction sought through additional subsidies from the government The IMF may raise concerns about the plan and its deviation from the earlier approved plan

To read the full story visit www tribune com pk

PTCL launches OT T Platform, ‘SHOQ ’ to bring high quality video streaming to Pakistan

islamabad p r

Pakistan Telecommunication Company Limited (PTCL), a subsidiary of e&, (formerly known as Etisalat Group) has launched its new Over-The-Top (OTT) platform, SHOQ, to provide a superior and immersive viewing experience to all data users in Pakistan SHOQ hosts a rich repository of selected content that is accessible to all, in line with PTCL's vision of empowering digital transformation for all

The new platform was launched at a special event in Karachi, which was attended by President and Group CEO, PTCL & Ufone, Hatem Bamatraf, CEO, e& life, Khalifa Al Shamsi, CEO evision, Olivier

Bramly; CEO and Co-founder, STARZPLAY, Maaz

Sheikh, senior PTCL & Ufone officials, industry leaders, showbiz celebrities, media representatives, and prominent personalities from different backgrounds

SHOQ is bridging the gap in access to high quality content in Pakistan at affordable prices through its collaboration with evision, the media and entertainment division of e& life (part of e&)

The partnership will provide PTCL and other data customers with access to media and entertainment content blockbuster movies and seasons from major Hollywood studios such as Warner Bros, Paramount, 20th Century FOX, among others SHOQ will also host one hundred most watched local and international live TV channels, Pakistani movies and originals to cater to the entertainment needs of the entire family Hatem Bamatraf, President and Group CEO, PTCL & Ufone, said, "We are delighted to introduce Pakistan s largest OTT platform to provide premium entertainment and news content to all data users With the increasing penetration of the internet, Pakistan needed a high-quality local OTT service offering affordable entertainment that is tailored to local tastes and preferences SHOQ has what it takes to be the country's ultimate entertainment solution " "We are pleased to support the development of Pakistan's largest OTT platform, powered by PTCL " Speaking at the panel, e& life CEO Khalifa Al Shamsi said