Epaper – April 18 LHR 2020

CMYK

Saturday, 18 April, 2020 I 24 Shaban, 1441 I Rs 15.00 I Vol X No 290 I 12 Pages I Lahore Edition

Govt launches fixed-tax scheme to woo builders, land developers g

aDvanCe tax on auCtIon oF PRoPeRtIeS ReDuCeD to 5PC; SaleS tax on ConStRuCtIon SeRvICeS In ICt bRought to zeRo

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InCentIve PaCKage to aPPly on InCoMPlete PRojeCtS, new PRojeCtS StaRteD beFoRe enD oF 2020

File photo o o

ISLAMABAD stAff RePoRt

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he federal cabinet on Friday approved an ordinance giving legal effect to the incentive package for the construction industry in a bid to create employment opportunities in the country to mitigate the economic fallout of the coronavirus crisis. under the ordinance, a fixed tax regime is being introduced for builders and land developers and that there will be no withholding tax on the constructional material except cement and steel. the provision of services has also been exempted from withholding tax. as per the ordinance, the tax has been reduced by 90 per cent for low-cost houses to be constructed under naya Pakistan housing authority (nPha). this incentive package will be applicable for the projects to be initiated before the end this year as well as the ongoing incomplete projects, which will get themselves registered under this scheme. the builders and developers will

have to get their new and ongoing projects registered with the Federal board of Revenue through the IRIS web portal. one time exemption has been given on capital gain tax for the house measuring 500 square yards and flat of 4000 square yards. the construction industry will be eligible to avail same kind of facilities available to other industries for the import of plant and machinery. advance tax on the auction of properties has been reduced to five percent from 10 percent. Sales tax on construction services in the Islamabad Capital territory has been brought to zero on the pattern of Punjab. an exemption has also been given on capital value tax in the federal capital territory on the pattern of Punjab and Khyber Pakhtunkhwa provinces.

Prime Minister Imran Khan had announced the incentivised package for the construction industry earlier this month in order to increase employment opportunities in the country in the wake of coronavirus outbreak.

Following are highlights of the construction package released by the PM’s

coronavirus in

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Media office on Friday: AMENDMENTS IN INCOME TAX ORDINANCE, 2001 FIXED TAX REGIME FOR BuILDERS AND DEVELOPERS: tax levied on per square feet/per square yard basis; no withholding taxes on materials except for cement and steel; no withholding taxes on services except those rendered by companies; builders and developers can take credit of income/profit from project up to 10 times of tax paid; for low-cost housing projects by naya Pakistan housing and Development authority/approved by naPhDa, tax further reduced by 90pc; applicable to new projects starting before 31st of December, 2020 and existing incomplete projects who opt for taxation under this scheme; both new and existing projects would have to get registered with FbR (Federal board of Revenue) by filing a prescribed form on IRIS web portal; existing projects would self-declare the percentage of completion and shall pay fixed tax for the remaining project under the new fixed tax scheme; exemption of tax on dividends paid to shareholders by builders and developers opting for taxation under this scheme.

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Bilawal criticises PTI govt for having ‘its priorities wrong’ STORY ON PAGE 03

experts say rate cut 'insufficient' amid corona crisis STORY ON PAGE 09

KARACHI: A large number of people offer Friday congregational prayer at a mosque here while ignoring the government's directive to avoid large gatherings in wake of Covid-19. PPI

Govt says linking all deaths to COVID-19 ‘premature’ as infection toll soars g

SInDh CM SayS govt to CoMPletely Seal oFF CoRonavIRuS hotSPotS In KaRaChI ISLAMABAD/KARACHI stAff RePoRt

a day after Pakistan recorded 23 deaths in a single day, Prime Minister’s Special assistant on health Dr zafar Mirza said it would be premature to say that all deaths occurring in Karachi took place due to the novel coronavirus. as of Friday, the country recorded three more deaths, reaching a total of 137, whereas the cases crossed 7,390. Punjab accounts for the most CovID-19 infections, with 3,391 cases. Sindh, balochistan, and Khyber Pakhtunkhwa have so far reached 2,217, 346, 993, respectively. Islamabad has 154 cases, gilgit-baltistan has 245 cases whereas azad Kashmir has 46 cases so far. the recoveries stand at 1,765. Meanwhile, Sindh Chief Minister Syed Murad ali Shah announced that his government would be “completely sealing” coronavirus hotspots in Karachi.

In a video statement, the CM revealed that 209 more CovID-19 cases were reported in the province on Friday. of this, 132 were tableeghi jamaat members and all remaining 77 had emerged in Karachi, swelling the virus tally to 2,217. among those from Karachi,

Poor circular debt handling cost exchequer Rs4,082bn over 13 years ISLAMABAD AHMAD AHMADANI

CONFIRMED CASES:

7,392

RECOVERED:

DEATHS:

SINDH:

PUNJAB:

1,765 2,217

137

3,391

KP:

BALOCHISTAN:

AJK/GB:

ISLAMABAD:

993 46/245

346 154

a committee formed to probe the losses in the power sector has alleged that the governments’ failures to contain the circular debt had cost the country over Rs4,082 billion during the past 13 years, with an annual loss of Rss370bn. according to the documents, the circular debt started to emerge in the late 2000 and successive governments relied on heavy budgetary support and quasi-fiscal financing to eliminate it. however, the measures failed to address the root causes. while the cumulative budgetary support to the power sector amounted to Rs3,202bn from Fy 2007 to Fy 2019 comprising Rs2860bn as budgetary subsidies and Rs342bn as other liquidity injection, the debt continued to grow. the high cost of power tariff was due to a host of factors, including snowballing capacity payments, net hydel profit, transmission constraints, minimum plant factor provision for Rlng based plants, gas price anomalies and financing cost of circular debt.

most had emerged in katchi abadis, he said, adding that two infected persons had died in the province on the day.

“I am quite upset over the [rapid] spread [of the coronavirus], and without observing proper social distancing and isolation, we will not be able to contain the virus,” he said, adding that the government was now collecting more samples for testing from coronavirus hotspots in the metropolis.

‘SPECuLATIONS ON DEATHS’: addressing a press conference in Islamabad, Mirza said it was wrong to speculate before lab tests were conducted to determine the exact cause of deaths. “wherever such deaths are reported, the deceased will be subjected to tests in future,” he said, adding that if “tests haven’t been done, you cannot say whether a person has died” from coronavirus.

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SC larger bench to take up coronavirus case on 20th STORY ON PAGE 03

more inside

IMF approves $1.4bn in coronavirus aid to Pakistan STORY ON PAGE 02

SC forms 11member council to run PMDC File photo o o

according to documents, the inquiry committee unearthed that under the 1994 Power Policy, 16 out of 17 IPPs invested a combined capital of Rs51.80bn and earned profits in excess of Rs 415bn. while most IPPs had an investment payback period of 24 years, profits generated were as high as 18.26 times the investment and dividends 22 times the investment.

Similarly, six companies earned an average annual Return on equity (Roe) between 6079 per cent and four companies earned Roe of around 40pc. these profits are probably unheard of any other sector, especially with such low

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levels of risk and guaranteed payments by the government, said the documents. the documents also alleged that 13 Residual Fuel oil (RFo) and gas-based plants with a combined capacity of 2,934Mw were established under the Power Policy of 2002.

During the last 8-9 years of operation, these companies earned Rs203bn in profits against their combined investment of Rs57.81bn. even after adjusting for debt component to arrive at the true profitability, the companies still earned Rs152bn in profit and made dividend payments to the tune of Rs111bn.

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STORY ON PAGE 02

Dollar falls to Rs163.58 as rupee makes sharp recovery STORY ON PAGE 02

Stocks stage 1,500-point rally after SBP’s rate cut STORY ON PAGE 09

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Saturday, 18 April, 2020

NEWS

IMF APPROveS $1.4Bn In COROnAvIRuS AID tO PAkIStAn ISLAMABAD

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STAFF REPORT

HE Executive Board of the International Monetary Fund (IMF) has approved the disbursement of $1.386 billion under the Rapid Financing Instrument (RFI) to help Pakistan address the economic impact of COVID-19 shock.

According to an IMF press statement issued on Friday, “A purchase under the Rapid Financing Instrument (RFI) equivalent to SDR 1,015.5 million ($ 1.386 billion, 50pc of quota) has been approved for Pakistan to meet the urgent balance of payment needs stemming from the outbreak of the COVID-19 pandemic.”

The IMF projected the near-term eco-

nomic impact of COVID-19 to be significant, as it would give rise to large fiscal and external financing needs.

The IMF support would help provide a backstop against the decline in international reserves and provide financing to the budget for targeted and temporary spending increases aimed at containing the pandemic and mitigating its economic impact.

“The IMF remains closely engaged with the Pakistani authorities and as the impact of the COVID-19 shock subsides, it will resume discussions as part of the current Extended Fund Facility (EFF),” it added.

Following the Executive Board discussion, Geoffrey Okamoto, First Deputy Managing Director and Acting Chair, said that the outbreak of COVID-19 was having a significant impact on the Pakistani economy.

The domestic containment measures, coupled with the global downturn, are severely affecting growth and straining external financing, Okamoto said, adding that this had created an urgent balance of payments need.

“In this context of heightened uncertainty, IMF emergency financing under the Rapid Financing Instrument provides strong support to the authorities’ emergency policy response, preserving fiscal space for essential health spending, shoring up confidence, and catalyzing additional donor support,” the IMF Acting Chair added.

Okamoto said that in response to the crisis, the government of Pakistan had taken swift action to halt the community spread of the virus and introduced an economic stimulus package aimed at accom-

modating the spending needed to tackle the health emergency and supporting economic activity.

Crucially, the authorities are increasing public health spending and strengthening social safety net programs to provide immediate relief to the most vulnerable.

Similarly, the State Bank of Pakistan has adopted a timely set of measures, including a lowering of the policy rate and new refinancing facilities, to support liquidity and credit conditions and safeguard financial stability. In this context, the authorities’ policies should be targeted and temporary, Okamoto added.

“As the crisis abates, the authorities’ renewed commitment to the reforms in the existing Extended Fund Facility—in particular those related to fiscal consolidation strategy, energy sector, governance, and remaining AML/CFT deficiencies—will be crucial to entrench resilience, boost Pakistan’s growth potential, and deliver broadbased benefits for all Pakistanis.

Expeditious donor support is needed to close the remaining balance of payments gap and ease the adjustment burden,” the IMF acting chair said.

SC forms 11-member council to run PMDC ISLAMABAD STAFF REPORT

PM seeks proposals for agriculture package ISLAMABAD: Prime Minister Imran Khan on Friday said that the government is taking effective steps to deal with coronavirus challenge and sought recommendations from the Special Committee on Agricultural Products to provide special relief to agriculture sector. In a meeting with National Assembly Speaker Asad Qaiser, who is also the chairperson of 31-member special committee, the prime minister said the government is considering relief for agriculture sector in budget, besides introduction of effective policies.The prime minister said that parliament is representative of the people’s aspirations and it is important to keep the institution functional even during the situation of coronavirus. Asad Qaiser, who is also the head of Parliamentary Committee on COVID-19, apprised PM Imran of proposals of the body, including the convening a virtual session of the National Assembly. He said in view of the prevailing situation of coronavirus, the meetings of the parliament’s standing committees are being held through video-link. APP

Subsidy on essential goods will continue even after Ramzan, says minister

ISLAMABAD: Federal Minister for Industries and Production Hammad Azhar on Friday said that subsidies on essential items will continue even after the month of Ramzan. Talking to reporters, the minister said that the supply chains of essential items are open to ensure their availability across the country and there is no shortage for essential commodities so far. Referring to Utility Stores Corporation, Azhar said that the platform is being used to stabilise the prices of essential items in the open market. He said that under the Ramzan package, subsidy is being given to the consumers on nineteen items through various Utility outlets. “Government has given additional 50 billion rupees to the Utility Stores Corporation to maintain adequate sufficient stocks,” he said, adding that about eight to 10 million households are expected to benefit from the Ramzan package this year. The minister went on to say that the network of the Utility Stores is also being extended. “Currently, 200 mobile utility stores are operational and efforts are afoot to further expand them so that the people of far flung areas can also get essential items at reduced rates.” Giving a stern warning to hoarders, Azhar said that the government is bringing a new legislation in the next few days to take strict action against them.

While categorically stating that nobody will be allowed to exploit the situation arising out of the coronavirus, the minister said: “Under this legislation, those involved in hoarding will be arrested.” APP

The Supreme Court (SC) on Friday constituted an 11-member ad-hoc council headed by Justice (r) Ejaz Afzal Khan to run the Pakistan Medical and Dental Council (PMDC).

A three-judge bench, headed by Chief Justice Gulzar Ahmed, passed the order on the request of the federal government.

On February 11, a single-member bench of the IHC comprising Justice Mohsin Akhtar Kayani had declared a presidential ordinance for the dissolution of the PMDC as null and void under which Pakistan Medical Commission was formed. However, government remained adamant not to open the PM&DC despite the high court’s orders till April 7.

In January 2018, the then chief justice Mian Saqib Nisar had dissolved a 35-member PMDC and sub-

stituted it with a nine-member ad-hoc council under retired SC judge Shakirullah Jan .

Members of the new council will include the attorney general of Pakistan, the surgeon general of Pakistan, vice-chancellor of National University of Medical Services, vice-chancellor of University of National Health Services, vicechancellor of Sindh Jinnah Medical University, vice-chancellor Khyber Medical University, vice-chancellor of Shaheed Zulfikar Ali Bhutto Medical University, vice-chancellor of Bolan Medical University and principal of de’Montmorency College of Dentistry.

The court also discarded a contempt of court application filed by the PMDC employees against the government for not following the Islamabad High Court verdict of Feb 11, in which the court had restored the PMDC and set aside the presidential

ordinance that had created an alternative body called the Pakistan Medical Council (PMC).

The order states that the council shall meet as soon as possible and the AG’s office shall, with prior approval of the council’s president, intimate the date of its first meeting to all concerned. The council president shall also, in consultation with the council, appoint a registrar of the council.

“All existing record of PMDC shall be handed over to the authorized representative of health secretary,” the court said, adding that the secretary shall provide every assistance in convening and holding of meetings of the council.

“All functionaries of PMDC who may be in possession/custody of any record of PMDC shall also hand over all relevant records to the representatives of the concerned ministry or a person nominated by the chairman of the commission.”

Dollar falls to Rs163.58 as rupee makes sharp recovery KARACHI ARIBA SHAHID

The rupee made a significant recovery on Friday as the dollar fell by Rs3.3 to close at Rs163.58 in the interbank market. In percentage terms, this represented a 1.9 per cent decline in the greenback compared to Friday’s opening rate of Rs166.88.

The currency market witnessed quite a bit of volatility as the dollar hit an intraday high of Rs167, before hitting its low of Rs163.25 and finally closing at Rs163.58.

According to market analysts, gains made by the rupee are being attributed to the $1.386 billion disbursement to Pakistan by the International Monetary Fund (IMF).

The money was released by the International Monetary Fund (IMF) under the Rapid Financing Instrument to help the country address the economic fallout from Covid-19.

The IMF support will help provide a backstop against the decline in international reserves and provide financing to the budget for targeted and temporary spending increases aimed at containing the pandemic and mitigating its economic impact.

It is pertinent to mention that following an unanticipated and emergency 200bps slash in the policy rate announced by the State Bank of Pakistan (SBP) on Thursday, analysts had expected the rupee to remain under pressure due to the likely outflow of investment by foreign investors.

However, the rate cut has been positively received by the financial markets in Pakistan, whereby the rupee improved and the stock exchange witnessed a market halt due to the market moving 5pc upwards.

Sources in the money market comment that due to support from the IMF, lower oil prices, and the debt restructuring, the rupee has further chances of appreciation.

Qureshi launches ‘FM Direct’ to remain connected with FO officials amid Covid-19 ISLAMABAD APP

Foreign Minister Shah Mahmood Qureshi on Friday launched ‘FM Direct’ — a mobile application for a direct digital connection between him and all officers of his ministry. In a first, each officer — irrespective of their grade or location — is directly connected with the minister.

According to a statement issued by the Foreign Office, the ‘FM Direct’ is a “new and evolved way of thinking, encapsulating the spirit of meritocracy and transparency” through digital communication. “The mobile application has been introduced during the Covid-19 pandemic as an efficient and swift medium of internal communication, in cognisance of the critical importance of interactive and responsive multi-stakeholder coordination and dialogue,” the statement read.

Earlier in December 2019, Qureshi had introduced #VisionFO as part of his public diplomacy initiative to promote a macro vision, digital landscape and a transparent way of communication. The Foreign Office has also introduced the concept of e-office and invested in secure, encrypted video conferencing facilities connecting it with its key missions across the world. Qureshi, under the ‘FM Connect coffee mornings’, regularly connects with a diversity of stakeholders across Pakistan each month, to help frame a more progressive and inclusive foreign policy. He has also introduced an advisory council, engaging the expert views of seasoned retired diplomats. Over 60 heads of Pakistan missions across different geographical and time zones virtually participated in the event.

Business magnate Ali Suleman Habib passes away at 63 NEWS DESK Prominent businessman and a scion of one of Pakistan's oldest business families, Ali Suleman Habib passed away in Karachi on Friday after an undisclosed illness. He was 63. Habib, apart from being chairman of the Indus Motor Company, also headed operations for the House of Habib, a legacy business conglomerate that has several successful businesses functioning under its umbrella. Habib served as director on the management boards of multiple companies operating under the umbrella of the House of Habib — including Thal Limited, Shabbir Tiles & Ceramics Limited, Habib Metropolitan Bank Limited, Metro Habib Cash and Carry Pakistan (Pvt.) Limited. He was also a member of the Board of Governors of Habib University, which the Habib family established. Habib was the founding chairman of the Young Presidents Organization, Pakistan Chapter, and chairman of the Pakistan Business Council. He was also a member of the Board of Governors of the Shaukat Khanum Memorial Trust. He graduated with a mechanical engineering degree from the University of Minnesota, USA and also attended the PMD Program at Harvard.

Big industry contracts 3pc in eight months ISLAMABAD GHULAM ABBAS

Growth in large-scale industries contracted by 3.03pc during the first eight months of FY20 due to lower than expected demand, rising cost of production and depleting working capital.

According to data released by the Pakistan Bureau of Statistics, large-scale manufacturing (LSM) output decreased by 1.15pc in February 2020 as compared to February 2019 and 0.91pc when compared with January 2020.

According to economists, large businesses are bearing the brunt of high interest rate that remained at 13.5pc till February 2020. In March, the State Bank of Pakistan slashed the rate from 13pc to 11pc on calls from the business community that was struggling to account for the

economic impact of the lockdowns necessitated by the spread of COVID-19.

The central bank on Thursday announced further reduction of 2pc in the key policy rate to 9pc, which may affect business growth in months to come.

However, the adverse implications of the virus pandemic may further the growth in near future, economics said.

According to the national data collecting agency, of 15 major industries, nine have recorded some growth, whereas output in six industries contracted in the July-February FY20 period.

Data collected by the Oil Companies Advisory Committee (OCAC) showed that 11 types of industries registered negative growth of 13.57pc in the first eight months FY20. In February alone, the OCAC-monitored industries reported a negative growth of 36.25pc as compared

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to the same month last year.

The Ministry of Industries (MoI), which monitors 15 industries, reported a negative growth of 2.68pc. In February 2020, however, the ministry reported positive growth of 0.38pc over the same month of last year.

The production in July-Feb (201920) as compared to Jul-Feb (2018-190 has increased in food, beverages and tobacco, non-metallic mineral products, fertilisers, leather products and paper & board. It, however, has significantly decreased in respect of coke and petroleum products, pharmaceuticals, automobiles, iron and steel products and electronics.

Sectors that posted growth in JulyFebruary of FY20 included textile that which grew just 0.78pc; fertilisers registered a growth of 18.17pc; while nonmetallic mineral products recorded a

27.79pc growth. Manufacturing of leather products posted 4.75pc, paper and board 8.59pc and rubber products posted 2.19pc.

Production of food, beverages and tobacco, however, posted a negative growth of 3.94pc. Wood products in the category recorded a major decline in production with a negative growth of 53.65pc.

Industries that were producing seven major types of goods recorded a decline in four products, whereas the rest showed a slide growth during July-February of the current fiscal year.

Production of coke and petroleum products decreased by 36.25pc, pharmaceuticals 7.51pc, automobiles 27.16pc and electronics 4.47pc in the eight months period of this fiscal year.

However, iron and steel products posted a growth of 10.82pc, chemicals 10.45pc and engineering products registered a growth of 0.7pc during the same period.

Saturday, 18 April, 2020

SBP HAS GIven One-yeAR RePRIeve On lOAn RePAyMentS, COuRt tOlD ISLAMABAD

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STAFF REPORT

HE Islamabad High Court (IHC) on Friday adjourned hearing on a citizen’s petition seeking to stop a local bank from harassing him to pay loan installments in wake of coronavirus outbreak till April 24.

The deputy attorney general informed the court that the government has extended the period of loan payment by one year to provide relief to the masses.

He said that the State Bank of Pakistan (SBP) had announced the policy for loan payments and it was available on the website. He added that the government policies to provide relief to the public must be appreciated.

Chief Justice Athar Minallah remarked that the businesses were closed these days due to the pandemic in the country, so how

could the citizens pay their loans in installments in such circumstances.

The chief justice remarked that everyone should be informed regarding the relaxation announced by the government. The court adjourned the case till next date.

Earlier, the court had stopped a local bank from harassing the citizen to pay loan installment after he requested the court to stop financial institutions from seeking monthly loan installments in view of the financial crisis that emerged in the wake of lockdowns.

The applicant, Rafiqur Rehman, had said the banks were pestering their clients whose incomes have shrunk by the cessation of business activities. He had requested the court either to waive the loan installment or suspend them till the pandemic is over.

He said it is not possible for him to pay the installments in the prevailing cir-

Bilawal criticises PtI govt for having ‘its priorities wrong’ Pakistan People ‘s Party (PPP) Chairman Bilawal Bhutto-Zardari on Friday criticised the federal government for announcing an incentive package for the construction sector while ignoring frontline workers such as doctors, nurses, or daily wagers. The PPP chairman took to Twitter and criticised the federal government for having “its priorities wrong”. “Our value for profit over human life is driving our response to a health crisis,” he critiqued. The PPP chairman cautioned that the entire country could suffer due to the current policies of the government, urging leaders to support the healthcare system and labourers.

“Support our health care system. Support our laborers. Support those who need it most,” he said.

Earlier on Friday, the federal cabinet approved an ordinance for the construction industry that will give special tax breaks to builders and land developers as businesses suffer due to the spread of the novel coronavirus in Pakistan and across the world. The tax breaks will be applicable as soon as the ordinance is officially notified, sources told Geo News. Under the ordinance, those investing in land development schemes will not be asked about the sources or origin of their investments into the schemes. NEWS DESK

Sindh CM assures GB counterpart of free coronavirus tests for students KARACHI: Sindh Chief Minister Murad Ali Shah has assured his counterpart in GilgitBaltistan that students from the northern Pakistani region would be tested for coronavirus free of cost like any other citizen after reports surfaced that the provincial government had demanded Rs25 million. Sindh government spokesperson Senator Murtaza Wahab said Shah had had telephonic contact with GB Chief Minister Hafiz Hafeezur Rehman and clarified the “issue which was based on some misunderstanding”. “It is the policy of #SindhGovt to test people free of cost & the same rule would apply to our friends from Gilgit Baltistan,” Wahab said on Twitter. CM Rehman, in this regard, said CM Shah had assured him that students from the GB region would be tested for free and that they would be sent back home safely as well. “I’m thankful to Sindh chief minister for his assurance that GilgitBaltistan students will be tested free of cost and that he will help send them back,” Rehman added. STAFF REPORT

cumstances. He said he had sent several letters to various authorities but no response was received as yet. “Despite the exceptional circumstances and lockdown, I am being harassed to pay the installments,” he had said.

Earlier this month, the SBP had announced that it extended the scope of financial relief package to borrowers availing loans under Refinance Schemes.

“Now, the borrowers of SBP’s refinance schemes will be allowed for deferment in repayment of principal amount for one year,” it had said.

According to SBP, now the relaxation allowed for deferment in repayment of principal amount for one year for corporate, consumer, agriculture, SMEs and microfinance sectors, will now be available on financing of banks/ DFIs under SBP’s refinance schemes as well. With this deferment of principal, the complete repayment schedule/tenor of the loan will

be extended by one year.

The borrowers will, however, continue servicing their mark up during the period of principal deferment. In case borrowers are not able to service markup payment, banks/DFIs may reschedule/restructure the loan in such a manner that tenor of the loan can go up to one year beyond the existing maximum tenor of the respective scheme.

As per announcement, borrowers of Long Term Financing Facility (LTFF), Financing Facility for Storage of Agricultural Produce (FFSAP), Refinance Facility for Modernization of SMEs, Refinance and Credit Guarantee Scheme for Women Entrepreneurs, Refinance Scheme for Working Capital Financing of Small Enterprises and Low-End Medium Enterprises and Small Enterprise (SE) Financing and Credit Guarantee Scheme for Special Persons can be availed this facility.

SC larger bench to take up coronavirus case on 20th ISLAMABAD STAFF REPORT

The Supreme Court (SC) on Friday formed a larger bench that will hear a suo motu case pertaining to the coronavirus pandemic in the country on 20th.

The apex court issued notices to the chief secretaries of all provinces in addition to summoning the federal interior secretary, chief commissioner Islamabad and the Gilgit Baltistan chief secretary.

It must be noted that SC had earlier expressed displeasure over steps taken by authorities to combat the COVID-19 in the country.

On Monday, the top court had expressed dismay over the Pakistan Tehreek-e-Insaf (PTI) government’s performance to control the spread of coronavirus in the country, besides ordering the removal of Special Assistant to the Prime Minister on Health Zafar Mirza from his post.

“I cannot understand what kind of a team is working on the coronavirus

outbreak,” CJP Gulzar Ahmed had remarked while hearing the suo motu notice on the coronavirus crisis.

He had said that Prime Minister Imran Khan’s cabinet had become ineffective in the fight against the pandemic and expressed serious doubt over the eligibility of PM’s adviser on health.

“I cannot understand what kind of a team is working on the coronavirus outbreak,” Chief Justice of Pakistan Gulzar Ahmed remarked while hearing the suo motu notice on the coronavirus crisis.

He had said that Prime Minister Imran Khan’s cabinet has become ineffective in the fight against the pandemic and expressed serious doubt over the eligibility of PM’s adviser on health.

The CJP had asked Attorney General for Pakistan Khalid Javed Khan that why Dr Mirza was not removed.

However, AGP had told the larger bench that it will not be wise to remove Dr Mirza at this stage.

‘Cancer survivor with low immunity’: Shehbaz skips NAB hearing LAHORE STAFF REPORT

Leader of the Opposition in the National Assembly and Pakistan Muslim League-Nawaz (PML) President Shehbaz Sharif on Friday asked the National Accountability Bureau (NAB) to grant him an extension for his appearance, saying that he was advised to restrict movement owing to coronavirus as he was a cancer survivor.

NAB had summoned Shehbaz on April 17, asking him to furnish the complete details of his foreign assets and other businesses in a money laundering case. In a fresh questionnaire sent to Shehbaz, NAB had said multiple call up notices, along with questionnaires, were issued to the PML-N leader but his replies were found “unsatisfactory, incomplete and evasive”.

Shehbaz was also asked to provide the complete details of his business income as claimed before the Federal Board of Revenue, along with invest-

ment and its volume and expenditures incurred during the period when his Model Town residence was declared the chief minister house/camp office.

In a reply submitted to the bureau on Friday, Shehbaz said he had been questioned “at great length about his entire career and assets while in NAB’s custody on physical remand” and “furnished whatever information was sought and was avail-

“Do not change him mid-flight,” he had said, urging the court to leave the matter up to the federal government. CJP Gulzar had said that there was an entire army of advisers and ministers but work was still not being done.

“Corrupt people have been made advisers and subsequently given the same status as federal ministers. There are serious allegations against many top government officials,” the CJP had observed.

“Prime Minister Imran Khan’s cabinet has become ineffective,” CJP Gulzar had remarked.

On Friday, the top court had sent notices to the AGP, Health Secretary Dr Tanveer Ahmad Qureshi and Interior Secretary Yousaf Naseem Khokhar, questioning what it saw as inadequate health facilities to battle the epidemic. In its response the following day, the government had informed the apex court of the measures it had taken to combat the virus. able”. “All call up notices were replied [to] within the [given] time and full cooperation was extended, including personal appearances,” he responded. Shehbaz said: “It was unfortunate that the call-up notice described the replies as unsatisfactory, incomplete and evasive.”

He added that all his assets were on record and he had been regularly updating the concerned authorities about his assets. Commenting on his reason for not appearing, Shehbaz said: “I am a 69-year-old cancer survivor due to which I have low immunity. Medical professionals have advised me to restrict movement and limit exposure due to life-threatening risks associated with COVID-19.”

He added that the data required

by NAB is also unavailable due to the lockdown. In 2018, medical experts had told on the condition of anonymity that years go Shehbaz was treated for appendicular adenocarcinoma (a cancerous tumour).

According to his medical reports that had surfaced at the time, Shehbaz was said to be suffering from a kidney infection, a lymph node in his chest and had chances of his cancer resurfacing.

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Minister hopes ulema will form consensus on organising events in Ramzan Federal Minister for Religious Affairs Noorul Haq Qadri on Friday said he was hopeful that Ulemas would cooperate and adopt a ‘middle path’ while organising events for the coming month of Ramzan.

Talking to media, the federal minister said that during these challenging times of the pandemic, religious scholars are expected to show sheer seriousness on the matter. The minister also asserted that the incumbent government has taken all steps to ensure the health and well-being of its people and if the number for coronavirus cases surge because of any negligence, the situation will be out of control. Describing tomorrow’s consultative meeting with government officials as ‘critically important’ in formulating a roadmap for the month of Ramzan, the top cleric said that the religious fraternity will present their point of view in front of the government tomorrow. “We have contacted religious scholars from various schools of thought in this regard. We will also meet Prime Minister Imran Khan after our meeting slated with the president for tomorrow,” the minister informed. Assuring that the Ulema's stance will not be ignored while crucial decisions are made, Qadri said that the government has imposed a partial lockdown across the country and has not issued directives to close mosques completely. Instead, officials have instructed to reduce the crowd at places of worship to contain the spread of coronavirus, he said.

“All religious ceremonies can be conducted with vigilance and integration during the holy month of Ramazan”, said the minister, adding that the government let alone cannot fight the pandemic and Ulemas will have to play a pivotal role in containing the spread of the coronavirus. NEWS DESK

Covid-19 tests saw 13-fold increase in a month, says Asad umar Minister for Planning and Development Asad Umar said on Friday the “national effort” to increase the country’s Covid-19 testing capacity is producing results. “Total tests conducted on march 15 were 472.

11th of april this increased to 2457. On 16th of april 5,540 tests and yesterday 6,264 tests. This is a 13 fold increase in 1 month. Need to continue scaling up,” he said in a series of tweets. The minister said average daily coronavirus cases reported over the last two days stand at 509 as against average of 281 recorded from April 10-15. “This is due to scaling up of testing. last 2 days avg of 5,892 tests vs avg of 2,918 tests apr 10 to 15. Positive results last 2 days were 8.6% vs 9.6% from apr 10 to 15,” he added. NEWS DESK

04 LAHORE

Saturday, 18 April, 2020

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ComPLete LoCKdown to CoSt PunjAB 11.2m joBS LAHORE

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SHAHAB OMER

HE Punjab Planning and Development (P&D) Board has assessed that 11.2 million people may lose their jobs if the provincial government imposed a complete lockdown to tackle the coronavirus pandemic.

During a high-level conference, the board informed its international development partners that unemployment on ac-

incount of a complete lockdown could councrease by 18.65 million across the alone.try and by 11.2 million in Punjab The meeting, which was held to assess economic losses and unemployment, coronavirus risk management, development priorities, and other issues, was attended by representatives of Punjab P&D Board, World Bank (WB), GIZ Pakistan, Department for International Development (DID), World Health Organisation (WHO), Asian Development Bank (ABD), European Union (EU),

USAID, Asian Infrastructure Investment Bank and Australian Aid. Citing the Pakistan Institute of Development Economics’ (PIDE) assessment, the board informed its partners that if the government imposes a partial lockdown, the province could face a loss of $900 million, whereas in case of a moderate lockdown, it would be $7.4 billion and in case of a complete lockdown, it would be $14.8 billion. The board added that the average estimated loss varies between $500 million to $8.1 billion.

Similarly, a partial lockdown would render 3.1 million unemployed across the country and 1.8 million in Punjab alone, whereas a moderate lockdown would lead take numbers up to 15.54 and 9.4, respectively, and a complete lockdown would take these numbers as high as 18.65 million and 11.2 million.

The meeting also reviewed the economic stimulus, health and social protection strategies developed by P&D board as a part of economic stabilisation and bailout plan for COVID-19.

Intake of new cancer patients resumes at Shaukat Khanum hospitals

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LHC orders temporary opening of schools' offices LAHORE: The Lahore High Court (LHC) on Friday ordered the temporary opening of private schools' administration offices till April 20. LHC Chief Justice Muhammad Qasim Khan passed the orders on a petition moved by Kashif Ali seeking directions for temporarily opening of private schools' administration offices, enabling them to collect fee and pay salaries to teachers and employees. A law officer on behalf of provincial government appeared before the court and stated that a committee had been formed for taking appropriate action. He said that the committee would decide the standard operating procedures (SOPs) within three days about temporarily opening of private schools' administration offices. However, the chief justice expressed annoyance over delay in taking appropriate action. Subsequently, the court adjourned hearing and ordered for issuing a notification in this regard till April 20. The petitioner had pleaded that around 20 million children studied in private schools of Punjab which had been closed in the wake of the coronavirus outbreak. He pointed out that due to the closure of schools, their administration was unable to collect fee from students and pay salaries to teachers and employees. The petitioner requested the court to allow private schools to open their offices. APP

Buzdar gives go-ahead to fill 10,000 vacant posts in Punjab Police

LAHORE PRESS RELEASE

Cancer patients are particularly vulnerable to infection, and are at a higher risk of becoming severely ill if infected with COVID-19. As the coronavirus pandemic spread across Pakistan, Shaukat Khanum, as a responsible organisation, took immediate steps to safeguard its cancer patients and to minimise their risk of infection. We quickly implemented a number of strategies to help minimize this risk, prioritising the safety and continuity of care of cancer patients who were already in the system, while also contributing to the national effort against coronavirus in this time of crisis. Chemotherapy and radiotherapy treatment of all cancer patients already in the system continued as planned. Elective surgery was deferred for a short while, but has now re-commenced. The intake of new cancer patients was temporarily delayed so that the Hospital could prepare itself for a possible influx of cancer patients infected with coronavirus.

This involved converting two of our four inpatient units to an expanded intensive care unit (ICU), complete with 35 ventilated beds, as well as creation of a dedicated corona ward. This additional capacity means that we can now look after not only our own registered cancer patients but also other coronavirus patients who might need state-of-the-art treatment facilities, irrespective of their ability to pay.

PRAyER TIMINgS

LAHORE: Farmers harvest wheat crop as dark clouds hover over the horizon. ONLINE

EPD DG removes director over ‘extreme misconduct’ LAHORE SHAHAB OMER

The Environment Protection Department (EPD) director general has written a letter to Punjab secretary environment for surrendering the services of Director Admin Tauqeer Ahmed Qureshi from the agency due to “extreme misconduct”.

In a letter written on April 16, EPD DG Tanveer Ahmed Waraich said that Qureshi was suspended because he had destroyed the official vehicle of the then-DG by pelting bricks during office hours and had created terror.

Waraich said that two FIRs [First Information Report] were registered against Qureshi on the complaint of the former EPA DG. Moreover, an inquiry of serious nature against him was pending in the office of Gujranwala commissioner and another inquiry was pending in the office of secretary archive, he added.

The letter also stated that there was no justification for restoration of his services as action under

PEDA Act as well as with police was yet to be completed against him, but due to political interference he was reinstated.

“This office is unable to run official business smoothly in the presence of such blackmailer corrupt person. Instant application for withdrawing of letter issued by EPA director general dated 10-012020 and 20-01-2020 and exploitation for bribery by Director (A&M) EPA Tauqeer Ahmed Qureshi under criminal pressure of the alleged letter was received on 06-02-2020 from the affectees/applicants, owners of different resource recovery units. Allegation and content in the application were of very serious nature which required fort with thorough probe and appropriate action against the culprits,” the letter added.

Moreover, the EPD DG said that he has also suspended Qureshi.

“He is immediately relived from Punjab EPA with recommendations to place his services again at the disposal of secretary services to repatriate him to his parent depart-

ment, Public Health Engineering Department,” he said.

The EPD DG also requested S&GAD to post a PMS Officer as EPA director admin as per earlier practice on urgency basis.

Sources in EPD informed this scribe that Qureshi was a controversial officer in EPA due to his mischievous activities and different inquiries were initiated against him which were related to procurement of air pointers and demanding bribes from different people.

They added that Qureshi was an influential officer and had good connections with politicians.

On the other-hand, Qureshi, while speaking to this scribe, dismissed all allegations upon him as baseless. “I was never involved in any kind of corruption. The decision of this letter is in the hand of secretary. I have no tussle with any officer in EPD. I do my work with dense honesty and I am the one who is closing the doors of corruption in EPD and this is the only reason that everyone is against me,” he said.

Traders seek LCCI’s help for relief LAHORE APP

Traders have sought the Lahore Chamber of Commerce & Industry (LCCI) help for getting relief in the backdrop of prolonged lockdown.

According to LCCI spokesperson, a traders’ delegation, led by Naeem Mir, informed LCCI President Irfan Iqbal Sheikh, Senior Vice President Ali Hussam Asghar, Vice President Mian Zahid Jawaid Ahmad and former president Muhammad Ali Mian that relief measures were necessary to handle the economic crisis, being faced by the trading community.

While presenting a joint suggestion, traders’ representatives and

the LCCI leadership said that rent of commercial buildings, offices and shops, owned by the provincial governments, should be waived off, adding that the Punjab government should immediately cancel notification regarding the rent collection.

They said that small traders should be given interest-free loans up to Rs500,000 while easy loans up to Rs5 million should be given to small and medium enterprises.

They said that special package should be given to small traders, who were the major victim of lockdown, adding that interest on running finance for importers should be frozen for at least six months.

They said that jewellers, car dealers and property dealers should be

allowed to open their businesses.

They said that keeping in view upcoming holy month of Ramzan, shoes, ready-made garments industries, household electronics and wholesale, retail markets of electric equipment and auto spare-parts market should be allowed to resume their businesses. They also said that decision of deferment of three-month commercial utility bills should be implemented.

"Banks should be directed to extend loans to traders so that they could pay salaries to their employees," they added.

Irfan Iqbal Sheikh said that the LCCI was well aware of the problems of traders and had already taken up them at the highest level.

LAHORE: Punjab Chief Minister Usman Buzdar on Friday approved the recruitment of 10,000 constables in Punjab Police and ordered that vacant posts should be filled immediately. The Punjab chief minister, while chairing a meeting in Lahore, ordered to recruit 10,000 police officers across Punjab on merit. Buzdar ordered recruitment of 5,000 police constables this year, while the remaining 5,000 posts would be filled in the next fiscal year. The chief minister had earlier ordered the purchase of 500 more police mobiles on an immediate basis. He said that around 318 police vans would be purchased this year with a cost of Rs1.2 billion. As many as 47 police vans will be given to Punjab Highway Police this year with a cost of Rs200 million and around 21 vehicles would be purchased for Punjab Elite Force. He also directed to make 45 police stations immediately functional by completing the reconstruction work. Buzdar said that the government will take measures to make police stations public-friendly across Punjab. STAFF REPORT

Punjab to conduct random tests to curb virus spread LAHORE: The Punjab government on Friday announced that it will start conducting random coronavirus tests in the province in an effort to curb the spread of the virus. Taking to Twitter, the provincial government announced that it now has the capacity to conduct 4,200 tests each day. According to the primary and secondary healthcare department, one more person has died due to COVID-19 in the province. INP

LHC orders to conclude Ashiana-e-Iqbal reference in four months LAHORE: The Lahore High Court (LHC) on Friday ordered an accountability court to conclude the Ashianae-Iqbal housing scheme reference against Pakistan Muslim League-Nawaz (PML-N) President Shehbaz Sharif, former Lahore Development Authority (LDA) director general Ahad Cheema and others in four months and announce the verdict. The LHC bench headed by Justice Sardar Ahmad Naeem passed the orders in its 16page detailed verdict on petitions filed by Ahad Cheema and Shahid Shafique for grant of post-arrest bail in the case. While rejecting the petitions, the bench noted that its decision should not affect trial proceedings before the accountability court. The court held that Cheema and other accused had facilitated each other for gaining benefits, as per record. Cheema had used his powers and gave contract to Shahid Shafique in violation of rules, it added. The bench noted that an accused becomes eligible for bail if there is dissimilarity between act of the accused and record. The bench held that Cheema and Shafique were not entitled for the bail as there was no dissimilarity between record and act of accused. APP

Saturday, 18 April, 2020

PAKIstAn rUBBIshes InDIAn ClAIMs OF ‘terrOr exPOrt’ FO SAYS IAEA TO PROVIDE PAKISTAN WITH NUCLEAR TECH-BASED CORONAVIRUS TESTING EQUIPMENT iSLamaBad

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STAFF REPORT

OREIGN Office (FO) Spokesperson Aisha Farooqui on Friday rejected the “irresponsible, spurious and totally false allegations” against Pakistan by the Indian army chief.

“These baseless Indian allegations are patently designed to divert global and domestic attention from India’s state-terrorism and egregious human rights violations, and clamping of fundamental freedoms in occupied Jammu and Kashmir, particularly post August 5, 2019,” said the FO in a statement.

Earlier in the day, Indian army chief

General MM Naravane had alleged that while India was busy “not only helping our own citizens but the rest of the world by sending medical teams and exporting medicines” during the coronavirus crisis, Pakistan was only “exporting terror”.

Speaking about the lockdown in occupied Kashmir, Farooqui noted that today was the 257th day of the “oppression and communication blackout faced by the people” since India stripped the region’s special status on August 5 last year.

“It is regrettable that while the world grapples with the global health emergency, over 900,000 Indian occupation troops in IOK continue their atrocities against innocent Kashmiris.”

“In complete disregard for fundamental humanitarianism, Rashtriya Swayamsevak Sangh-inspired Bharatiya Janata Party’s government is busy exploiting international focus on the COVID-19 pandemic to pursue its exclusionary ‘Hindutva’ agenda,” FO spokesperson added in her statement. “Pakistan is particularly concerned over continued restrictions on movement and information in IOK despite growing number of confirmed COVID-19 cases and resulting fatalities.”

She pointed out that internet restrictions have prevented dissemination of information and impeded containment and relief efforts while the blockade has compromised supply of critical medical equipment and medicines. “Children are unable to avail virtual education unlike the rest of the world due to unprecedented blockade of 4G internet. The international community, including human rights organisations and civil society, continue raising its seri-

NEWS ous concerns in this regard.”

IAEA TO HELP PAKISTAN BATTLE COVID-19: The International Atomic Energy Agency (IAEA) will provide equipment to help Pakistan in its battle against coronavirus, the FO said.

“The IAEA is providing Pakistan a Polymerase Chain Reaction (PCR) machine, biohazard safety cabinets, test kits and related consumables to help fight the novel coronavirus through the use of a nuclear-derived technique,” read the statement.

The provision of this equipment will augment Pakistan’s national capacity to conduct COVID-19 tests which are crucial in containing the spread of the disease,” the FO said. The Foreign Office, praising the IAEA in its contribution to science and technology, said: “Pakistan deeply values the contribution of the IAEA and its leadership in helping member states in their efforts to fight the global COVID-19 pandemic.”

Pakistan has a longstanding relationship with the IAEA. As a founding member of the Agency, Pakistan has continued to benefit from its technical assistance in various fields including health, agriculture and energy while also contributing to Agency’s work in promoting peaceful uses of nuclear technologies,” it added.

The Pakistani embassy in Vienna is in contact with the IAEA for the equipment’s early shipment to the country.

Pakistan’s 70pc labour force ‘working without formal contract’: report KaraCHi

White-collar jobs, with most opportunities to earn from home, are not only the highest-paid but are also the most secure.

GEOGRAPHICAL INEQUALITY: The study further analyzes the inequality between geographical locations. "While employees in some regions of the country have the luxury to obey the travel restrictions and work from home, the regions full of factories and lab workers do not have the same privilege."

Justify this further, the report stated, "If poor families could somehow work from home, packed space and a higher number of household members could spread the infection faster and make working from home difficult." According to the latest Household Integrated Economic Survey of Pakistan, the average household size in the poorest quintile is 8 members per house while in comparison the average household size in the richest quintile is 4.8 members.

As per the study in major cities of Sindh, the percentage of people who can work from home is highest in Karachi with 20pc, Hyderabad 12pc and Sukkur 11pc. In Punjab, the highest percentage is found in Lahore (21pc), followed by Rawalpindi (20pc), Multan (13.2pc), Faisalabad (9.5pc) and Sargodha (8.6pc). In KP, the highest percentage is in Peshawar (19.6pc) while in Balochistan; the percentage for Quetta is 29.2pc, the highest in the country. For Islamabad, the figure stands at 24pc.

INDUSTRIAL ANALYSIS: As per the study, a strong majority of Sindh's vulnerable workforce is found in the argriculture, forestry and fishing sectors

ARIBA SHAHID

Firdous urges media to raise public awareness about COVID-19 ISLAMABAD: Special Assistant to the Prime Minister on Information and Broadcasting Dr Firdous Ashiq Awan on Friday asked the media to play a proactive role in educating the masses about the importance of preventive measures, including social distancing, to defeat the coronavirus pandemic. She said the protection of media persons from COVID-19 was the government’s priority, adding that her ministry had approached the National Disaster Management Authority (NDMA) for the provision of personal protection kits, which would be distributed among the media professionals through press clubs. She said like other sectors, the government was considering a relief package for the media workers, who were already facing a financial crisis and the coronavirus had further added to the problems.

Being the in charge of Ministry of Information and Broadcasting, it was her responsibility to raise voice for the protection of the rights of media professionals at the government forums, she added. Dr Firdous said the federal government would look after the medical requirements of coronavirus-affected journalists, who could enlist themselves at a mobile phone app, which had been launched in consultation with the provincial information ministers. She said along with the coronavirus, the other front for the nation was to fight against unemployment, hunger and poverty. Dr Firdous said over one million youth had got themselves registered for the Tiger Volunteers Force, who with the help of philanthropists would play an active role in the supply of edibles and other relief goods to the vulnerable people at their doorsteps. The youth volunteers would also monitor the availability of items at the utility stores and the provision of subsidies to the consumers, she added. The SAPM said the world, which had been reeling under the lockdown for the last few weeks due to the coronavirus, should now feel the pain of the people of Indian held Kashmir, who had been virtually imprisoned by the brutal Indian occupation forces since first week of August last year. APP

As many as 70.3pc of the country's labour force "works without any written contract or agreement", according to a research report titled "Poverty and Inequality amid a Pandemic in Pakistan – An analysis of labour market".

This lack of economic documentation leaves a large proportion of the labour market vulnerable, as they remain unprotected by the law and at a greater risk of falling into the perils of poverty. "With 50pc of the world's GDP in lockdown, all kinds of markets are faced the ultimate test. The case of Pakistan's labour market is no different," stated the report compiled by Sarah Nizami and Muhammad Shahid Waheed, researchers at the Applied for Economics Research Centre in Karachi.

The report also covers how 'working from home' culture is furthering the scope of inequality in the country. "To work from home and to keep safe during a pandemic is a luxury not all can afford. When it comes to earning from home, the inequality is of two kinds, first being economic inequality while second being geographic."

ECONOMIC INEQUALITY: As per the authors' analysis of the Labour Force Survey 2017-2018, only 8pc of the first three quintiles, i.e. the poorest, poor, and middle-income group, have the opportunity to work from home. Managers have almost 89pc opportunity to work from home in comparison to zero per cent in the least earning occupations.

05

PIA crew stopped by UK Border Agency in Manchester for not having valid visas neWS deSK Around a dozen crew members of Pakistan International Airlines (PIA) were stopped at the Manchester airport by the UK Border Agency (UKBA) for entering into the country on PK702 flight without valid visas, it emerged on Friday. The crew was then cleared for 72 hours after assurances provided by the national airline's management, which cited unusual circumstances related to the coronavirus outbreak.

According to a media outlet’s report, around 15 crew members arrived at the Manchester airport, along with stranded British Pakistanis from Islamabad. Only the flight captain and the first officer of the plane had valid entry clearance but nearly a dozen crew members didn’t have visas, it added. The UKBA told PIA’s staff that they will be fined £30,000 for breaching the rules for the second time within two weeks, said the report. It’s understood that a similar situation happened also on April 5, when a PIA plane carrying UK nationals had landed at the airport without the crew having valid entry clearance. The source said that after the matter came into notice, the UKBA fined PIA staff £20,000 for being in breach of the rules.

Poor circular debt Continued from page 01

(25.2pc). This is followed by manufacturing (21pc) and construction (20.2pc).

For Punjab, the majority of the vulnerable labour force lies in manufacturing with 31.2pc, followed by 21pc in construction and 14.7pc in agriculture, forestry & fishing. In KP and Balochistan, construction industry tops with vulnerable labour at 36.5pc and 30pc, respectively. Manufacturing comes next in KP by 18.6pc, while the second in Baluchistan is agriculture (16pc).

The study further highlights how a significant proportion of the labour force does not have a written contract or agreement. This is due to the informal nature of the job or tax evasion on the part of the employer. "While most secure jobs are with the federal or provincial governments, it is important to note that less than 25pc of the country's population has permanent jobs. As seen, the biggest percentage (70.3pc) of the country are those who 'work without a written labour contract or agreement', thus becoming the most vulnerable group in the time of crisis."

The report concludes that the most vulnerable occupation group in all provinces are the minimum wage essential workers who work without formal contact. "Amidst lockdown, it is essential to track these minimum wage 'no contract' workers and provide them with aid through government and private philanthropy. For the layoffs to slow down, the government needs to consider a relief package for business, including waiving rents and utility bills so that the workers could be retained without businesses going bankrupt."

And, the individual profitability among these companies also varies with some showing a much higher profit to investment ratio than others, with the average annual RoE as high as 87pc profits of around 9 times and dividends up to around 7 times their investment.

Similarly, a review of the profitability of two imported coal-based plants established under the Power Policy 2015 has shown that one of them recovered 71pc of investment in only two years of operations and the other plant recovered 32pc of its investment in the first year. “These plants have been offered USD Internal rate of Return (IRR) of 17pc which works out to USD RoE of 27pc, said documents, adding,” Due to rupee devaluation against USD in the last two years, their rupees RoE today stands at 43pc.” As per documents, Rs739.21bn can be saved on account of retirement of 11 plants established under the 2002 policy. However, Special Assistant to Prime Minister (SAPM) on Petroleum Division Nadeem Babar expressed disappointment over the findings of the report pertaining to the losses in the power sector, saying it will “weaken the government”. In a letter to Omar Ayub, Minister for Energy, Babar said,” This will only detract from the goal and weaken the hand of the government.”

He, however, stated that there is no disagreement that many companies have made very good profits and should be asked to work with the government in rationalizing the agreements. Nadeem Babar is a shareholder in Orient Power IPP. The inquiry report has pointed out that the Orient Power IPP had fuel savings of Rs2bn and loss of Rs0.93bn in other heads, leaving a net of Rs1.07 bn of what is called excessive RoE during the nine years of operations until 2018.

Govt says linking all deaths to COVID-19 ‘premature’ as infection toll soars Continued from page 01 Any conclusions without testing would be “mere speculation”, he added. The SAPM added that the government would issue an advisory in the coming days for doctors working in emergencies about how they should receive dead on arrival or critically ill cases. “The advisory will contain instructions on how and when to carry out tests of such people if doctors clinically suspect they are COVID-19 positive,” Mirza said.

The special assistant said the country’s testing capacity is increasing with the march of time as it would be able to

conduct 20,000 tests in a day by the end of this month.

Over the past 24 hours, 6,264 tests were conducted across the country, out of which 497 were declared positive, he said, adding Pakistan’s COVID-19 count has reached 7,025 with 1,765 people recovering from the contagion so far.

60 per cent of the total cases in the country are locally transmitted, Mirza said and added Pakistan’s COVID-19 death rate is 1.9 per cent as compared to 6.7 recorded the world over. He said 11 people died from the pandemic in the country over the past 24 hours, bringing the death toll to 135. 44 patients remain in critical condition in various

hospitals, he said. Appreciating the nation’s resilience during this time, the SAPM said that the country always united in the face of a calamity. “We are getting contributions in the form of money, equipment and medicines not only from people in the country but Pakistanis living abroad as well.”

Some 30,000 Pakistani doctors are serving in foreign countries, Mirza revealed, adding that many of them had expressed a desire to help during the pandemic. He said the government was launching a technology-based platform called “Yaarane-Watan” for all such overseas Pakistani doctors and nurses who wanted to help treat coronavirus patients in the country.

Govt launches fixed-tax scheme to woo builders, land developers Continued from page 01 EXEMPTION FROM SECTION 111 (UNEX PLAINED INCOME SOURCE): Public office-holder, his benamidar, spouse or dependents; listed public companies and real estate investment trusts (REITs) are not exempted, nor there would be any exemption available to “any criminal proceeds derived from money laundering, extortion and terror financing”.

Applicability of Section 111: The provisions of this section shall not apply to the capital investment made in a new project in the

form of money or land subject to the conditions mentioned below: conditions for exemption from Sec 111 if an investment is made by a builder-developer as an individual.

In the case of cash investment, money is deposited in a new bank account on or before December 31, 2020. In case of investment in the shape of land, an individual must have ownership title of the land at the time of promulgation of this amendment.

A project must commence by Dec 31, 2020, and get completed by September 20, 2022. The project shall be considered completed if the grey structure is completed by

Sep 30, 2022, in the case of a builder.

In the case of the developer: Landscaping completed and 50pc of the roads laid up to sub-grade level by September 30, 2022; 50pc plots booked for sale and 40pc proceeds received by September 30, 2022.

Conditions for exemption from Sec 111 for Investment through Companies or AOPs: Such company or AOP shall be a new single object (builder or developer) entity, registered before Dec 31, 2020. In case the capital investment is in the form of money, it has to be transferred to new AOP/company through a crossed banking instrument by De-

cember 31, 2020. In case the capital investment is in the form of land, such land shall be transferred to the new AOP/Company by December 31, 2020. Conditions for exemption from Sec111 for first purchaser of buildings: Buildings may be purchased from new projects or existing projects which get registered in this scheme through a crossed banking instrument by September 30, 2022.

Conditions for exemption from Sec 111 for purchaser of a plot for the purpose of construction: The full payment is made through a crossed banking instrument by December 31, 2020. Construction on such plot is commenced

by December 31, 2020, and completed by September 30, 2020 One-time exemption from capital gains on personal accommodation: Not exceeding 500 square yards in case of houses and 4,000 square feet in case of flats AMENDMENTS IN SALES TAX LAWS: Advance tax on the auction of properties has been reduced to 5 per cent from 10 per cent.

Sales tax on construction services in the federal capital territory has been brought to zero on the pattern of Punjab. An exemption has also been given on capital value tax in the federal capital territory on the pattern of Punjab and Khyber-Pakhtunkhwa provinces.

Saturday, 18 April, 2020

06 COMMENT

The new Global order

Wanted: Firm and timely decisions

Dilly-dallying would harm the country

China is taking the leadership of the world from the USA

o

n Friday morning the media reported 23 coronavirus deaths in 24 hours. The total increase in deaths over the entire week from april 8 to april 14 was only 60, showing an average daily rate of less than 9 mortalities. The abnormal spurt should send alarm bells ringing in the corridors of power. it is also disquieting to note that the graph of the rise in mortalities has continued to climb week after week during april. To avoid any possible calamity, there is a need on the part of the federal government to make policies on the basis of science and facts rather than hopes and wishes.

The arrival of the ‘hot and dry weather’ has not mitigated the virus’ outbreak, as hoped by the Prime Minister.

Health saPM Dr Zafar Mirza’s stand that the fatality rate is ‘very low’’ in Pakistan would be disproved with the increase in coronavirus tests.

Failure to promptly realize the gravity of the threat posed by the virus delayed the purchase of necessary medical equipment. This led to protests by the medical community after the death of two doctors and hospitalization of several others. Complacency led to the latter-day failures in arranging proper isolation facilities in Taftan and Dera Ghazi Khan and stopping the Tablighi moot in Lahore.

The claim that he country’s faith and youth are two of its biggest assets against the pandemic, has been exposed as empty rhetoric by the rise and rise in the death toll.

Today the President is scheduled to meet a delegation comprising religious scholars and spiritual leaders to seek guidance about religious gatherings, particularly during ramzan. it is for the government and not any other section of society to take decisions on issues that impact the lives of their citizens. This explains why Turkey, saudi arabia, Jordan, iran and Egypt have already advised people to pray at home during ramzan without consultations with polemical clerics. The sindh government set an example on Friday by strictly enforcing the lockdown from 12 PM to 3 PM when Friday prayers are offered. Hopefully the federal government too would put its backbone into enforcing restrictions on large religious gatherings before and during ramzan.

Sheraz zaka

T

HE world has never seen such tumultuous times since the second World War. The coronavirus pandemic has led to such catastrophic consequences that the largest economy in the world, the usa, has witnessed unemployment rate surge massively into the double digits. surely, as the experts say, the pandemic crisis can be classified as a ‘Black swan’ event. Coupled with the decreasing oil prices due to decrease in demand overall, it has led to drastic cut in the profits of oil companies. it was us President Donald Trump who initially advocated low prices of oil for the benefit of consumer welfare but later on at present he seems to be worried about the decrease in oil prices to its lowest level, what was 30 years ago. The decrease in oil prices has certainly led to a cut in the profits of us oil companies, and at present the low demand for oil has engendered the threat of unemployment as there is a likelihood that workers would be laid off.

The massive cut in oil prices is also due to the fact that a dispute has emerged between russia and saudi arabia which are among the top three oil producers, and the issue arose as result of increased supply from a price war between russia and saudi arabia. The reduced demand is simple to understand: factories are idle, airlines are flying less and people are staying at home. More complicated is that the supply of oil is in abundance: talks between oPEC members, a cartel of countries that control much of the world’s oil production, fell apart as russia and saudi arabia failed to agree on a pact to reduce production. instead, the two countries, the world’s second and third largest producers of oil, announced that they would increase production, further driving down the price. in the usa, the immediate problems are the survival of energy companies and the job security of the nearly half a million people they employ. Due to low oil prices, us oil companies have been faced with a daunting task to reach break-even. There is now a huge gap between the cost to drill for oil domestically and the price paid for oil on the market. Producers in Texas, which has experienced a boom in recent years, need oil to trade around $50 per barrel to break even,

Policy rate cut SBP acts to keep the economy going

COVID-19: A global health hazard

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HE latest cut in its policy rate by the state Bank of Pakistan has followed too soon after the government decision to relax some of the lockdown restrictions to be a coincidence. The policy cut, the third this month, and taken at an extraordinary meeting of the sBP’s Monetary Policy Committee, shows both that the last two cuts were not drastic enough, and also that the sBP is watching the situation as anxiously as everyone else. The present cut, of 200 basis points, to 9 percent, is a major slashing of the policy rate. However, while it will definitely stimulate the economy, it should not be expected to yield immediate results. it is perhaps beyond the ability of any central bank to keep the economy on a growth trajectory, because the malaise is global, and it is simply impossible for any single agency to so act as to save the economy from the deleterious effects of the coronavirus pandemic. one of the problems with lowering the policy rate will be to drive away what hot money has not been driven off already, through previous rate cuts, which had already brought interest rates down to 11 percent from 13.25 percent. However, that money might not have stayed no matter what interest rate was offered, but would have sought safer havens than Pakistan during a global pandemic. The problem is that the Pakistani economy will depend on what that pandemic does to the global economy, especially international trade. Pakistan’s economic problems predate the pandemic, and misplaced spending priorities have left the country with an inadequate defence against the coronavirus, leading to the present downturn.

While the present rate cuts will not revive the economy in the short term, they may help businesses from going under, and thus help them avoid laying off employees. There may seem room for further rate cuts, and theoretically there is. There will also be the temptation to presume that, if this cut does not work, it was because it was not deep enough, and thus success is to be sought in further cuts. any such reinforcement of failure should be avoided, not only because it did not work, but the relationship of the interest rate to growth is because of many factors. The interest rate matters, but it does not determine growth.

The virus keeps up the pressure Dr rajkumar Singh

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oronavirus first originated in China in December last year, but has spread to more than 190 countries and infected over 2.2 million people by Friday afternoon, and the death of more than 147,000 people. The disease caused by coronavirus, is known to kill between three to four percent of those it infects. although, it is not very fatal, it is very infectious. once it enters the body, the virus uses a spikelike protein to bind with a receptor called angiotensin-converting enzyme 2 (aCE-2) found on the respiratory cells, entering it and replicating to spread the infection within, infects more people, and a large number die. in terms of infectivity, it is almost up there with the most infectious measles and chickenpox. Even doctors fail to understand the reason for it right now, but they claim that it moves from the respiratory system to rhe gastro-intestinal tract, to the blood, leading to multi-organ failure and death. although the virus is around 70 percent similar to the one that caused sars in 2003, it is not a very good similarity. This virus is closer to the bat coronavirus. as the virus keeps multiplying it reaches the lungs, causing inflammation in the alveoli or lung sacs filling them with fluid and pus, causing pneumonia. The inflamed lungs make it difficult for the person to breathe leading to acute respiratory distress syndrome. With covid-19 becoming a global health threat, the novel coronavirus is spreading to every continent except antarctica.

The most common symptoms of covid-19 are fever, tiredness, and dry cough. some patients may have aches and pains, nasal congestion, runny nose, sore throat, or diarrhea, that are usually mild and begin gradually. some people who are infected do not develop any symptoms and don’t feel unwell, while around 80 percent of people recover from the disease without needing special treatment. However, around 1 out of every 6 people who get covid-19 becomes seriously ill and develop difficulty breathing. older people, and those with underlying medical problems like high blood pressure, heart problems, or diabetes, are more likely to develop serious illness and about two percent of people with the disease have died. Clinical management guidelines currently recommend a patient be discharged from the hospital after two consecutive negative results at least 24 hours apart. Currently, there is a period of about 20 days between the onset of symptoms

Dedicated to the legacy of the late Hameed Nizami

Arif Nizami Editor Aziz-ud-Din Ahmad

Umar Aziz

Asher John

Joint Editor

Executive Editor

Deputy Editor

Lahore – Ph: 042-36300938, 042-36375965

according to a survey. oil prices in Texas dipped just ment and protective gear has been answered affirmabelow $20 per barrel in recent weeks. oil companies tively by China. China publicly committed to sending are running out of storage place to store the oil they 1000 ventilators, two million masks, 100,000 respiraproduce, which means that in the future that the price tors, 20,000 protective suits, and 50,000 test kits. China of oil could drop even further if the same situation per- has also dispatched medical teams and 250,000 masks sists. oil has shaped us foreign policy since the pres- to iran, and sent supplies to serbia and Pakistan.

The status of the usa as a global leader over the idency of Franklin roosevelt and in recent weeks, the current us administration has used low oil prices to past seven decades has been built not just on wealth and power; that also emanates from the usa’s domespressure geopolitical foes like iran and venezuela.

The sharp decline in oil prices also presents na- tic governance paradigm, its progress in research, intional security and geopolitical concerns. sustained tellectual property rights, biotechnology, provision of global public goods, and abillow oil prices will lead to a ity and willingness to organhuge budget deficit in many ize and coordinate a global developing countries, from response to crises. albeit, the Brazil to oman. That fiscal Never before in history, apart coronavirus pandemic is testdeficit would almost cering the current us leadership. tainly exacerbate challenges from economic considerations, as the usa’s Trump adthese countries face amidst the coronavirus pandemic. has the fear factor hitherto been ministration is reeling through the coronavirus panThe bigger long-term geoposo effective a tool to influence demic crisis, Beijing is movlitical concern may be the ing quickly to take advantage implications for the Middle foreign policy and shape the by filling the vacuum and East, where the us still leveraging to position itself keeps thousands of troops. global order. In the postas the global leader in the according to Justin Worland, pandemic response. it is pandemic future, rising a political and international working to promote and esaffairs expert, iraq’s fiscal nationalism, call for pouse its own system, to probreakeven point for oil, the vide material assistance to price that is necessary for an protectionist measures by the other countries. China also oil exporting state to balance understands that if it is seen its budget, is $60 per barrel, developed economies cannot as leading, and Washington as analyzed through the stabe ruled out is seen as unable or unwilltistics of the international ing to do so, this perception Monetary Fund. could fundamentally alter the in the future, foreign usa’s position in global polpolicy is likely to be influenced by health considerations. Countries are likely itics and the contest for leadership in the 21st century. to cooperate on research regarding health-related is- The lesson that we can draw from the current pansues. The way China has come out of the corona pan- demic crises is that never before in history, apart from demic is phenomenal and many political experts state economic considerations, has the fear factor hitherto that China’s offer to help the other countries, includ- been so effective a tool to influence foreign policy and ing us and European countries, would likely result shape the global order. in the post-pandemic future, in the expansion of China’s influence in global poli- rising nationalism, call for protectionist measures by tics and it would further push China to become a su- the developed economies cannot be ruled out. perpower, much to the dismay of the usa.

The writer can be reached at For instance, according to a survey mentioned in Foreign Affairs, italy’s urgent appeal for medical equip- sheraz.zaka@gmail.com

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Karachi – Ph: 021-35381208-9

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munities also needed to prepare for telecommuting options wherever possible and to put measures into place to support sick leave for workers who do not have paid-time-off, as well as lift immigration enforcement so that everyone may receive healthcare. and full recovery. it is also inaccurate to compare covid-19 to the There is a need to put the immigration debate on hold annual influenza virus because it is a “unique virus till we all are dealing with this public health crisis. it with unique characteristics.” Both covid-19 and in- is also essential to make sure the messaging about this fluenza cause respiratory disease and spread the is based on evidence and not fear and paranoia. it is same way, via small droplets of fluid from the nose important to let scientists lead the discussion and put and mouth of someone who is sick, but there are im- them out front, as well as to make sure any misinforportant differences between the two. With influenza, mation is quickly corrected. in the circumstances, the people who are infected but not yet sick are major best protection against covid-19 are non-pharmaceudrivers of transmission, which does not appear to be tical interventions, preventative steps such as washing hands thoroughly, covering the case for covid-19. Furcoughs and sneezes with a ther, there is currently no tissue, disinfecting surfaces vaccine to prevent covidaround the home and work19– though there are about About the disease countless space, and avoiding contact 20 in development globally rumours and disinformation with people who are known and 80 clinical trials set to to be sick. People with fever, launch– and there is little are spreading across social cough, and difficulty breathimmunity in the world poping should seek medical atulation given the novelty of media platforms on how to tention and stay home. the virus. in terms of attack about the disease countdispose of the body of a rates most of the news have less rumours and disinformabeen published by the Chisuspected or confirmed case tion are spreading across nese Center for Disease social media platforms on Control and Prevention. a of Covid-19.

To prevent this, the how to dispose of the body of recent paper shows that a suspected or confirmed there are varying levels of Ministry of Health and Family case of Covid-19. To prevent attack rates by age, mostly Welfare in India has issued this, the Ministry of Health lower rates in children, but and Family Welfare in india it is still quite early to know many guidelines for its has issued many guidelines for sure. Higher contraction for its citizens. The main rates are seen in adults, with citizens. The main driver of driver of transmission of transmission being driven transmission of COVID-19 is CoviD-19 is through by close contacts between droplets. There is unlikely to families. This is why the through droplets. There is be an increased risk of covidWHo has declared covid-19 19 infection from a dead a “public health emergency unlikely to be an increased risk body to health workers or of international concern” – family members who follow of covid-19 infection from a the organization’s highest standard precautions while level of alarm– but contends dead body to health workers or handling body. according to that it no longer uses the the covid-19 dead body mansystem of six pandemic infamily members who follow agement guidelines, they are fluenza phases. limited in scope to hospital it has spread to over 190 standard precautions while deaths. Here are some stancountries and there is comhandling body. dard precautions to be folmunity spread in the usa, lowed while handling where it is a pandemic alcovid-19 dead bodies: all ready– the difference is the staff identified to handle dead scale and scope. over 450 public health and legal experts signed a public letter bodies in the isolation area, mortuary, ambulance and to the us government declaring that widespread trans- those workers in the crematorium/burial ground should mission of covid-19 within the country is “inevitable” be trained in the infection prevention control practices. and a successful response is needed to ensure the Dr Rajkumar Singh is head of the Political Scihealth and safety of the general public. at this juncture, the leaders should first shift resources toward ence Department of the B.N.Mandal University, Madhealthcare facilities so that medical professionals were hepura, Bihar, India, and can be reached at fully equipped to handle surges in patient care. Com- rankumarsinghpg@gmail.com

Islamabad – Ph: 051-2204545

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Saturday, 18 April, 2020

COMMENT 07 Editor’s mail Send your letters to: Letters to Editor, Pakistan Today, 4-Shaarey Fatima Jinnah, Lahore, Pakistan.

E-mail: letters@pakistantoday.com.pk Letters should be addressed to Pakistan Today exclusively

The fee mafia i want to shed light on a very serious issue which is being observed all over Pakistan. as you know due to this pandemic all educational institutions are observing summer vacations. For the ease of parents the government has announced twenty percent off on the fee for all.

Despite this official statement only few of them are following this. schools are demanding to pay fee first and then to pick up the summer vacation homework from the school. Even colleges and universities are charging a full fee which is a very high amount to pay. students who were residing in hostels have already paid dues though they are not using resources, the fee is not refunded. Due to the lock-down there has been loss in businesses and many have lost their jobs, so it is very difficult for them to pay in such a situation as not only they have to pay tuition fee but also have to provide for their family.

This is a very critical situation as most people already are living from hand to mouth. This mafia is only thinking of themselves exploiting the parents by saying “child’s future”. Poor parents pay fees forcefully because they do not want to ruin their child’s future and want the best for them.

TEhREEM TARIQ Islamabad

Global battle

OMINOUS signs Now it is almost free for all...God help us please! and discipline. an option not exercisable by a mosques across the country to offer congregacountry so miserably incapable of providing tional prayers, five-time a day as stipulated. a healthcare to its more than couple hundred mil- jihad of sorts– as some (including Jui-F leaders) lion. The overriding concern here is that this de- claim that restrictions on mosques are nothing cision could cost the country many precious lives. short of a conspiracy against Muslims! so durThe graph of reported covid-19 related ing ramadan, which is less than a week away, floodgates of super deaths has risen spreaders will open. sharply in the last 30 The state needs to esdays. on March 18 two tablish its writ. deaths were reported, While Dr Zafar Mirza runs the To make matters on april 1 the number worse, traders have also had risen to 31 and it risk of being adjudged a failure, been protesting and more than trebled to to resume 100 in the fortnight to our Prime Minister has won the threatened business. For some it is april 14. already business as Was it really a hearts and minds of his fellow usual. it is as if suicidal sagacious move to Pakistanis for they no longer tendencies are embedrelax restrictions at this ded in our nation’s critical juncture when have to worry about their dirty Dna, or that we have cases could suddenly learnt the art of negotispiral out of control? laundry. Drycleaners and ation and governance Certainly not in a dhobis are now open to do this from suicide bombers.

QuDSSia akhLaQue densely populated We are a resilient country of more than essential service! nation that has weath220 million people. o now it is free for all! Enough of soered many storms. This on the day Pakcial distancing! Corona or no corona, istan announced ‘parrhetorical reminder of keep calm and carry on. Let the nation tial having survived diffiopening’, its labour at its peril to bring food to next-door neighbour (with a mammoth popula- culties in the past cannot justify throwing cauevery table. tion of 1.3 billion) extended the lockdown until tion to the winds and testing fate, as the faithful To each his own! This is the official policy at least May 3 with no relaxation at all. Mindful will do in droves when the blessed islamic of the state of Pakistan after waffling and waver- of the human cost in easing restrictions, the in- month of ramadan starts. But that precisely aping for weeks over lockdown. The inspiration, if dian Prime Minister said in a televised address pears to be the policy of the Government of Pakone was to look for it, must have come from a to his nation: “From an economic only point of istan: that we walk into the storm with our realisation of loss of control rather than reason, view, it undoubtedly looks costly right now; but much-trumpeted resilience, otherwise we might given the warnings by WHo, Chinese and ital- measured against the lives of indian citizens, die on empty stomachs. ian experts. it is abandonment of duty at the highest there is no comparison itself.” away with the suffocating facemasks, geeky The justification given by Prime Minister level, and lack of courage to assume responsigloves and smelly saniimran Khan for reopen- bility in these testing times. it was this abandontizers! The man who ing certain sectors is ment of duty that resulted in failure to arrange plans for this country that the situation in enough testing kits and the same lack of courage appears to be driven by Pakistan is not as bad as that led to irrational rationing of the kits that The government has opted for the hope that Coronin the usa and Euro- were available. avirus will die its natuThe ostriches planning for us could not enpean states such as italy the easier route of putting the ral death soon. and spain. That makes force restrictions imposed on congregations of onus on people to exercise Coming in the one wonder what ex- the faithful and resorted to self-regulation by the midst of a rather rapid actly assures our Prime ulema to contain the contagion by voluntary recaution and discipline. An increase in confirmed Minister that it will not striction of those congregating in mosques. covid-19 cases particuHaving failed at governance, the Prime Minget worse in the days to option not exercisable by a larly in the country’s come– and how exactly ister appears to have embraced the strategy of decountry so miserably urban centres, this dedoes he know what he veloping herd immunity as the uK government cision has raised many claims, given that not initially did– and faced its dire consequences. if incapable of providing questions and coneven a small sample of it succeeds, he would have led this country cerns. The decision is the country’s popula- through the crisis. if it fails he would take the healthcare to its more than driven more by ecotion has been tested for Trump-route and blame his special assistant for couple hundred million. The nomic considerations Health Dr Zafar Mirza. The Chief Justice of Pakthe virus so far. and pressure from Health experts istan has already given him that scapegoat. overriding concern here is that widely believe that the powerful lobbies than While Dr Zafar Mirza runs the risk of being public health considercoronavirus death toll is adjudged a failure, our Prime Minister has won this decision could cost the ations. The fact that the significantly under-re- the hearts and minds of his fellow Pakistanis for government has given ported in Pakistan. re- they no longer have to worry about their dirty country many precious lives. in to the growing pubopening has only led to laundry. Drycleaners and dhobis are now open lic impatience is a remore confusion and to do this essential service! flection of it absolving confrontation and is itself of the responsibility for a complete lock- likely to be a big hurdle in containing the virus.

Qudssia Akhlaque is a senior journalist and down, which seemed imperative otherwise. our zealous religious leaders and clerics a freelance columnist based in Islamabad. She The government has opted for the easier route have also made it loud and clear that they will can be reached at qudssia@hotmail.com of putting the onus on people to exercise caution defy the government directives and march to the Twitter: @qudssiaakhlaque

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Coronavirus has unambiguously been viewed as a global catastrophe. it has claimed more than eighty thousand lives worldwide as per the reports. The whole panorama is constantly incucating in us a sense of frighten and insecurity . The circumstances that we are encountering these days are ,without the shadow of a doubt ,unprecedented ones .

Coronavirus has been declared a global emergency by the intelligentsia of WHo . Even the economies of the politico-economic superpowers are in the verge of collapse as the dwindle in the economic slopes is imminent and self-evident . The socioeconomic conditions of Pakistan are also on the decline. However the state officials ought to tackle it with an unprecedented cautiousness and care . The situation was somewhat under control but this recent announcement made by the central government to lessen the strictness is deplorable and pathetic. a tremendous amount of hustle and bustle was seen on the thoroughfares today throughout the whole spectrum of metropolises and villages of Punjab as a result of the recent announcement by the government. strict precautionary and remedial measures should be adopted immediately by the federal government like those adopted by the sindh government. Moreover the government’s decision to let barbers conduct their business can make the situation alarming for such areas are notorious for the spred of lethal diseases. Henceforth the state officials should resort to the precious conditions i.e the full lockdown status rather than this ‘partial lockdown ‘ because this ‘partial freedom ‘ can prove life threatening and may deprive many people from ‘complete freedom’ in the near future. Henceforth strict actions should be taken like those of the sindh govt. otherwise it would aggravate the situation drastically leading to the death of thousands. The ‘partial lockdown’ phenomenon needs to end as soon as possible , at all cost because if it doesn’t happen we may get to witness an uncontrollable scenario where millions of lives would be at stake.

MUhAMMAD AhMAD QASMI Chiniot

Cryptocurrency & COVID-19 no human can think of survival without money. From food to education to everything, one can’t get it without currency.The World Health organization pushed back Friday on a report that people should beware of currency notes as coronavirus might transmit through currency. Moreover, WHo had said banknotes are spreading the coronavirus most, so customers should wash their hands after touching banknotes. Concerns have mounted over whether currency might play a role in spreading the virus or not. in a recent report, it is also mentioned that WHo has suggested everyone to use contactless payments instead. Can you think of payment or a transaction where you don’t have to touch cash, even through credit or debit card? Back in 2018, state Bank of Pakistan banned cryptocurrency – digital currency. in this digital era, why can’t we think of digital currency. i must say, the time has came where we can think about utilization of cryptocurrency. no need to touch currency or cards to purchase stuff. Fast, secure, borderless transactions,where you are using your digital wallets.You have no fear of covid-19 spreading via currency. it will also provide financial liberty and rise to economic growth of country. i urge the government & the concern authorities to think about positive aspects of the use of cryptocurrency and make it legal. We have not lost all, still we can introduce the idea of cryptocurrency in our country as this would not only help in reshaping Pakistan’s economy but also help in lowering spread of germs through paper-notes.

ZARA ADALAT RAJA Islamabad

IMF funding THE global health emergency could also lead deep to economic recession that could result in the deaths of hundreds and thousands of people around the world. However, the new novel coronavirus has an acute impact on the economy , particularly the rich countries which are still on accurate investigation and the world’s scientists finding a cure for it . including Pakistan, the World Bank has warned that the pandemic is causing unprecedented global shock and especially tht south asia countries have the worst economy here which has entirely affected 2020 GDP. recently the international Monetary Fund on Thursday said it’s executive board has approved $1.386 billion in emergency financing to Pakistan to meet the balance of payments needed stemming from the novel coronavirus pandemic . Currently Pakistan’s GDP growth has weakened due to the coronavirus pandemic and requires precautionary measures to combat Coronavirus and to rebuild the economy after facing the difficult crisis . similarly last year a $1.4bn loan to Pakistan from the iMF was the country’s bailout package . once again the complaint about economic losses is highly brought expounded in Pakistan since yet the coronavirus disruptions require changing the normal order of action . in this regard tht government of Pakistan should now work up to strengthen the economy and make greater strategedic decision- making framework and try to rebuild the economy.

BARkATULLAh Turbat

Saturday, 18 April, 2020

08 WORLD VIEW

Hunger, Hunger, everywHere THE BIGGEST LOCKDOWN THREAT

Daily Maverick

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rebecca Davis

ROTESTS and looting have broken out all over South Africa in recent days in response to one issue: hunger. It is now clear that hunger will pose the greatest threat to South African well-being and security during the lockdown – and the difficulties involved with getting food to millions of South Africans in need are tremendous.

The hunger of South Africans during the extended lockdown period is spilling over on to the streets. This week alone, grocery stores have been looted and protests have broken out on the Cape Flats, Khayelitsha, Alexandra and Chatsworth – to name just a few areas.

Cape Flats ward councillor Bongani Ngcani was quoted by News24 as saying: “A man told me: ‘I would rather die of Covid-19 than of hunger’ ”.

It is clear that all three tiers of government are well aware of the threat posed by hunger. But the logistical challenges of providing food to potentially millions of South Africans under lockdown are monumental, and may not be able to be resolved through existing systems.

PROBLEM #1: A LACK OF EXISTING CAPACITY FOR DISTRIBUTING FOOD: When it comes to social support for the poor in South Africa, the responsibility technically falls to the South African Social Security Agency (Sassa) under the department of social development.

But Sassa’s offices have been closed since the beginning of the national lockdown, and the department of social development does not seem to have the capacity to deal with current food security needs.

The department did not respond to Daily Maverick’s request for comment.

“The department of social development has an existing provincially based food distribution programme, but their capacity is [feeding] under 300,000 nationally,” Gordon Institute of Business Science (GIBS) researcher Marius Oosthuizen told Daily Maverick.

Oosthuizen is one of a number of local academics who have been working on the problem of food security and distribution during the lockdown. “Just in Gauteng, by the department of social development’s admission, the need in April will go up to

300,000 needing support,” says Oosthuizen. By May, that number may rise to 3.2 million. “It’s a question of scale: how do you get to that quantum of support?” asks Oosthuizen. The Gauteng department of social development told Daily Maverick that 80,000 families in the province have received food parcels so far. These include sugar, mielie meal, tinned goods, fish oil, salt, rice, samp and some toiletry items.

PROBLEM #2: A LACK OF DATA ON WHO NEEDS SUPPORT: There is no up-to-date national database pointing authorities to who is most in need of support at this time. Sassa has a list of existing social grant beneficiaries and the Unemployment Insurance Fund (UIF) now has records of who has applied for unemployment support at this time, but it is recognised that those most in need are people who do not currently qualify for either a Sassa grant or UIF support. Asks Oosthuizen: “Who are those X million people and how do we reach them?”

PROBLEM #3: THE BUREAUCRACY INVOLVED IN VERIFYING FOOD CLAIMS: As things stand, the bureaucratic process involved in verifying the claims of those who need food is cumbersome, time-consuming and varies from province to province. It is not as simple as people in need turning up at a food bank to claim parcels.

Gauteng department of social development spokesperson Thabiso Hlongwane explained the process in Gauteng to Daily Maverick as follows: “An individual qualifies [for food support] if you are unemployed and you have a combined family income below R3,600 per month.”

Those falling into these categories can call a dedicated toll-free number (0800 428 8364) or email a claim (support@gauteng.gov.za). The details of these contacts have been advertised in Gauteng on flyers and via WhatsApp. “When you submit your name and ID, we screen you,” Hlongwane says. “We work with banks and Home Affairs to verify [you are in need]. Then we send social workers to come and assess you. Households with children and elderly people get priority.”The Western Cape department of social development, meanwhile, is offering food support to people who meet the following criteria: A household containing member/s of the family who tested positive for the virus and are in quarantine in their homes.

A household where a member of the family who tested positive for the virus and who have insufficient means to sustain themselves during the lockdown period.

People on medication or who suffer from a chronic illness and have insufficient means to sustain themselves and were assessed and referred by a local clinic or registered health practitioner.

A person and their household who have insufficient means to sustain them-

selves during the lockdown period who was referred by a registered humanitarian relief agency, registered NPO or a municipal manager, and assessed by DSD [Department of Social Development].

Claims for food have to be routed through the provincial government call centre, a municipal manager or a registered NPO. They are then subjected to a telephonic assessment by a social worker, and screening of the person’s ID against the Sassa database to check whether they are already a grant recipient.

The provincial government states: “Once a prospective beneficiary is confirmed as meeting the criteria, they are then contacted by the department and given details of when delivery will take place.”

PROBLEM #4: THE POLITICISATION OF FOOD DISTRIBUTION AND RELATED CORRUPTION: Claims have already emerged of the process of food distribution being politicised. The DA’s Gauteng social development spokesperson Refiloe Nt’sekhe released a statement on Wednesday alleging that “five DA wards in the Emfuleni local municipality have been excluded from the distribution of food parcels while all the ANC wards in this municipality are benefiting”.

Gauteng DSD spokesperson Hlongwane denied this claim to Daily Maverick, saying: “The DSD serves all the vulnerable of our province. It does not choose…

We have called for all political parties not to politicise poverty. The DA must not use this platform to gain popularity”.

The EFF has made a similar claim, alleging that EFF members are being denied food parcels in both Tshwane and the Eastern Cape.In the Western Cape, GOOD MPL Brett Herron also stated on Tuesday: “South Africa has an unfortunate history of politicising the giving of food parcels.

From Gauteng, over the Easter Weekend, and from the Western Cape today, the GOOD Party has received multiple reports that food aid is not being distributed in a fair and equitable way.”

In addition, the South African National Civic Organisation (Sanco) Tshwane branch has laid a corruption charge with police over claims that Gauteng department officials have stolen food parcels for their own families.

Hlongwane told Daily Maverick: “We have never got any complaint from any whistleblower. As a department we are still waiting for names to be forwarded. A case has been opened; we have been asking for information to do our own investigation.”

Hlongwane said that there were strict protocols in place controlling the removal of food parcels from the central Gauteng depot. “You sign a register to say how many parcels you take, and there is monitoring and evaluation,” he said.

In a different context, Daily Maverick also reported this week that although gangs on the Cape Flats are said to be distributing

food parcels, it is alleged that only households which agree to hide drugs for the gangs are receiving relief.

PROBLEM #5: CONCERNS AROUND HEALTH AND SAFETY WHEN PEOPLE COLLECT FOOD: There has been some conflict over the safest way for people to collect food under lockdown. In Gauteng, NGOs wrote to Basic Education Minister Angie Motshekga asking for schools to be opened to serve as collection points for food for households which ordinarily benefit from the school feeding scheme.

In response, Gauteng premier David Makhura said that to open schools in this way would endanger children and break the rules of social distancing. In the Western Cape, however, school feeding schemes have continued under lockdown – targeting around 483,000 learners who normally receive meals at schools.

Over the past fortnight, R18-million has been allocated from the provincial treasury for schools to distribute food over four days, with individual schools permitted to offer daily meals.

This move has prompted criticism from Cosatu, the chair of Parliament’s committee on education and the South African Democratic Teachers Union (Sadtu) due to the health issues raised by Makhura.

The Western Cape education department denied that its actions were endangering the public and said that sufficient measures were being taken to ensure health and safety, including strictly enforced queuing protocols and requiring learners to bring their own food containers from home which are not touched by staff.

But the issue of large groups forming in order to claim food is a real concern, with police already having to break up groups of this kind in Alexandra.

Oosthuizen says that any food distribution solutions are going to have to ensure that South Africa does not see “high levels of conglomeration of citizens in queues”.

Desperation and hunger also give rise to situations where food distribution can erupt into violence – as Daily Maverick reported was the case in a Nelson Mandela Bay township recently when a church’s attempt to hand out food parcels descended into a fistfight.

PROBLEM #6: LACK OF CO-ORDINATION AND COMMUNICATION AROUND FOOD DISTRIBUTION: Many South Africans have indicated their willingness to donate food to those in need – but a broad-based response may be both a blessing and a curse. “This is being handled well in the Western Cape, where there is a society-wide approach.

Provincial government has aligned itself with churches, NGOs etc and sees itself more as the co-ordinating agent,” says Oosthuizen.

Elsewhere, the lack of co-ordination between individual relief efforts and the national government is causing problems.

Oosthuizen cites the case of a Johannesburg pastor who was reportedly arrested while trying to deliver food to the township of Zandspruit, and was told he would have to wait for the relevant per-

mission from Cogta (the department of cooperative governance and traditional affairs). There have been similar reports elsewhere in the country of attempted food distribution efforts by individuals or NGOs being blocked by authorities. “The actions of NGOs and churches on the ground are becoming criminalised due to a lack of broad co-ordination with the DSD,” Oosthuizen says.

In some places, social unrest has been fomented through mixed messages about the delivery of food parcels. Protests which broke out in Alexandra this week appeared to be stoked by a misunderstanding over food promised by well-intentioned donors which did not arrive.

Johannesburg mayor Geoff Makhubo subsequently appealed to the public to contact the City of Johannesburg before distributing food so that the process could be co-ordinated centrally.

So what are the solutions? Oosthuizen and fellow GIBS researchers have written up a number of proposals. One is to replace the current system of distributing physical food parcels with some form of voucher system which could be scaled up quickly with greater ease.

Another option: a basic income grant, which had been mooted by economists for some time even before the pandemic.

Both would require the rapid accumulation of data in order to create a database to ensure the support reaches the desired recipients. Oosthuizen also proposes an approach which integrates the collection of food support with health and testing services: in other words, the establishment of designated spaces to which people can go to collect food support and potentially be screened for Covid-19 in one place.

“Broadly, we are going to need a more collaborative approach,” he says. “The only way this is going to work is if there is a very high level of co-ordination.”

Much-needed support is also about to be rolled out by the Solidarity Fund, which will be releasing further details about its feeding plans on Friday 17 April.

Spokesperson Itumeleng Mahabane told Daily Maverick that R120-million has been earmarked from the fund to feed 200,000 families across all provinces, including in rural areas.

The Solidarity Fund’s plans sound promising. Although it is partnering with the department of social development, it will make use of additional partners to ensure that food is distributed more widely than would be possible working through government alone.

Mahabane said that the fund is working with four NGOs with a national footprint – whose names are being kept under wraps for now – and an additional privatesector distribution partner.

“The idea is to augment the department’s own distribution networks with the distribution networks of the four NGOs,” Mahabane said.

He said the fund would also engage with further community and faith-based organisations on the ground to help identify those most in need.

OPEC production deal, or price war 2.0?

THE SHORT VERSION IS THE DEAL IS A JOKE

Zeihan on Geopolitics Peter Zeihan

After the better part of five days of marathon negotiations spearheaded by Saudi Arabia with the goal of eliminating coronavirusinduced overhang in oil supply, global oil producers hammered out April 12 an agreement to reduce oil output by a record 8.5 million barrels a day.

The short version is the deal is a joke.

I could spam readers with a full newsletter on just how much a joke it is – it relies

upon cuts from countries who have never cut before, not all OPEC states are participating, it expects the Russians to cut as much in exports as Kuwait exports in total, the plan is to not begin the cut until May and then start rolling it back only two months later – but really it comes down to something far more basic: Oil traders, the folks who probably have the best feel for just how much demand has dropped, estimate the global oversupply is now between 30mbpd and 35mbpd. Simply the reduction in demand for jet fuel is probably about 5mbpd. The OPEC cut is only for 5.6mbpd with another 2.9mbpd coming from non-OPEC members. Even if everyone plays along, this just isn’t enough to make a difference.

Which pushes the discussion to other directions. The world is running out of storage capacity. We’re really not quite sure how much spare storage exists in the world since everyone measures it a bit differently, while countries like Saudi Arabia and China are notoriously squirrely about

just how much they have stashed around the world. Industry guesses as of the end of March ranged from 1 billion to 2 barrels, so I’m just going to split the difference and call it 1.5 billion.

If everyone sticks to the OPEC plan and if that 1.5 billion figure is correct and if the oil traders know what they are talking about, then all global storage is filled to the brim by early June at the latest. Should the OPEC deal collapse and everyone just keep pumping, zero-hour moves forward to roughly mid-May. Or maybe sooner.

The quick and dirty of the backstory is that in addition to the coronavirus-induced demand collapse, the Saudis are engaged in a price war with the Russians.

In every agreement the Saudis have hammered out with the Russians since the Soviet collapse, the Russians have never actually cut and simply made the Saudis eat the difference. Similar attitudes have prevailed in Venezuela, Iran, Nigeria and Iraq – the first two of whom are not even included in the cuts agreement. Ok, on

with the show.

On April 13 the Saudis announced sales prices for their crude shipments.

They added $5 a barrel to their asking prices for American deliveries, but cut their asking prices for Asian deliveries. US President Donald Trump has been aggressively lobbying the Saudis for a significant production cut in order to help US shale producers. While the April 12 OPEC agreement will likely keep Trump off the Saudis’ back for the time being, the change in contract prices is far more significant.

They suggest the Saudis are going to stop dumping crude oil on the US market, so that the shale producers don’t drown quite so quickly. Add in that roughly half of all remaining (known) oil storage is in the United States, and most American shale producers won’t be facing chock-full infrastructure until at least late-summer.

Any sort of output reductions in the American shale patches, whether caused by rapid well-decline rates or deliberate shutins, will extend that deadline out further.

But simultaneously, any Saudi crude that is not being shipped to the Gulf of Mexico will instead be steaming towards

Asia, intensifying Saudi Arabia’s price war in countries where Russian and Iranian and Nigerian and Iraqi crudes feature. So the price war lives on, just in a more constrained economic geography. We could see a complete overload of Eurasian storage capacity in a matter of a few weeks.

All in all, it’s a pretty shrewd play by Riyadh. Lead an agreement you know the Russians will violate in order to provide political cover. Reduce flows to the United States to get Donald Trump off your back. But redirect those flows to places that will really hurt your Eastern Hemispheric competition.

While things look rough for oil futures, it's not all bad news! One area where the US supply chain is particularly resilient is regarding its agriculture. US farmers, food processors and grocer/retailers are in the strongest position in the world to continue delivering food supplies to American consumers. While consumption patterns and panic-induced hoarding will continue to empty shelves at local stores, all elements of the US supply chain have been able to continuously restock -and will continue to do so.

Saturday, 18 April, 2020

BUSINESS 09

ExpErts say ratE cut 'insufficiEnt' amid corona crisis

CORPORATE CORNER

LAHORE

ISLAMABAD: Jazz has partnered with the Edhi Foundation to support food supplies to 15,000 people in Islamabad, Lahore, Karachi, Quetta, and Peshawar. PRESS RElEASE

ISLAMABAD: In order to support the country’s collective response to coronavirus, Tetra Pak has donated Rs20 million to the Prime Minister’s COVID-19 Pandemic Relief Fund. PRESS RElEASE

descon oxychem launches ‘sanidol’ disinfectant ISLAMABAD: Amid the COVID-19 pandemic, Descon Oxychem Limited has launched Sanidol (sanitizer/disinfectant) to meet the shortage of sanitizers in the country. Sanidol is a multipurpose Hydrogen Peroxide-based disinfectant and sanitiser, which has been listed by EPA and CDC (USA) as effective in destroying COVID-19 virus. Reiterating the importance of disinfectants, DOL CEO Imran Qureshi said, “In these tremendously challenging times, it is important to take all necessary precautions to contain the spread of the virus. Spray tunnels will help supplement other measures like wearing masks and maintaining social distancing for better personal hygiene once the virus subsides”. PRESS RElEASE

E

HASSAN NAQVI

conomic experts and members of the business community believe that the 200bps rate cut announced by the State Bank of Pakistan (SBP) was "too little, too late" under the prevalent crisis caused by the coViD-19 pandemic.

Talking to this scribe, acclaimed economist Sakib Sherani said that the SBP's decision would have a nominal effect on the country's growth. "nevertheless, it's a step in the right direction...it will save the government around Rs100-Rs150 billion in interest payments, and these can be utilised to address key challenges faced by the country," he stated. meanwhile, All Pakistan Textile mills Association (APTmA) Patron-in-chief Gohar Ejaz said that this rate cut was not enough under the current circumstances and that it needs to be further lowered to 5pc.

He shared that all the regional economies have an interest rate of around 6pc. in malaysia, Sri Lanka, india, indonesia, Bangladesh and nepal, the interest rates stand at

2.5pc, 6pc, 4.4pc, 4.5pc, 6pc and 6pc, respectively.

"Why are we still the highest in the region," he asked.

Agreeing with him, APTmA Punjab Vice-chairman Aamir Sheikh hoped that SBP would soon reduce the policy rate to at least 7pc. "industry has suffered for long due to higher interest rates and we welcome the corrective measures being taken in this regard. The SBP's decision will enable Pakistan to fight the coViD-19 challenge in an effective way."

Talking to this scribe, economic expert and tax consultant Dr ikramul Haq said that many businesses are terming this reduction as "insufficient", particularly under the current circumstances where the issue is of survival.

He noted that many countries had reduced their interest rates to avert the possibility of a recession, adding that the crisis caused by coViD-19 has the potential to take the world into a 'depression' mode.

He said higher interest rates by SBP had earlier attracted a lot of "hot money", but the main chunk of this money left following the coViD-19 uncertainty and upon knowing that the artificially set discount

MARKET DAILY

Stocks stage 1,500-point rally after SBP’s rate cut Weekly inflation up 0.15pc ISLAMABAD APP

iHc seeks govt policy on power tariff for factories ISLAMABAD APP

islamabad High court (iHc) on Friday sought answers from the federal government in a petition of a local cement factory seeking relaxation in payment of electricity bills. iHc chief Justice Athar minallah heard the petition filed by the local cement factory seeking orders for the islamabad Electricity Supply company (iESco) to receive electricity bills worth Rs70 million in installments. At the outset of hearing, the chief justice asked the deputy attorney general regarding the government policy in the current situation due to lockdown in the wake of the coronavirus outbreak. The court directed the deputy attorney general to submit a written reply on behalf of the federal government regarding its policy into the matter. The deputy attorney general apprised the court that the government had already given leverage to more than 50 per cent businesses in that regard. The iESco’s lawyer prayed the court to direct the cement factory to pay the installment of bills in advance. To this, the chief justice said how this court could passed such orders when the business activities were suspended in these trying times. He said the courts work in accordance of state’s policies, adding that the government had adopted an excellent policy to tackle the current circumstances. The court sought written reply from the federation and adjourned the hearing of the case till next date.

rate would not last for long. "main investment had come in the short-term Tbills and not the long-term PiBs. The damage inflicted by high rates on local businesses and excessive payment under debt servicing by the government is irreversible," he opined.

After demand contraction and deep recession, he said the reduction in interest rates would give some relief to the existing borrowers as well as the government, which could save over billions of dollars in debt servicing.

"However, a huge deficit in revenue will nullify the impact and we will end up with a record high fiscal deficit for FY20," Dr Haq maintained. moreover, Saira iftikhar, a dairy development expert, said that the central bank should have taken this step at least a month ago, adding that the government also needs to bring down fuel prices by at least Rs15 per litre. "Strict action should be taken against cartels and mafias who are into black marketing,” iftikhar suggested.

She noted that former finance minister ishaq Dar had suggested the government to bring the interest rate down to 9pc in February, adding that personal ego should never be bigger than public relief and national interest.

KARACHI STAFF REPORT

Bulls took charge of the Pakistan Stock Exchange (PSX) on Friday, with the benchmark KSE-100 index accumulating almost 2,000 points intraday.

Following an unprecedented surge in early trade, the KSE-30 index hit its upper level for the first time, causing a 60-minute market halt at 10:52am.

According to analysts, optimism prevailed at the bourse following a slash in interest rates by the State Bank of Pakistan. The SBP's monetary Policy committee had lowered key interest rate from 11pc to 9pc.

“A host of factors resulted in changing the market mood, including a surprise rate cut by the SBP, deferment of G20 debt payments, and the imF providing coViD-19 relief fund to Pakistan,” said an analyst at Arif Habib Ltd. The benchmark KSE-100 index touched its intraday high at 33,257.15 after gaining 1,927.69 points (second biggest single-day gain since 2010). it settled higher by 1,502.37 points or +4.8pc at 32,831.83. Among other indices, the Kmi-30 index surged by 3,157.92 points to end at 52,582.10, while

the KSE All Share index swelled by 861.04 points, closing at 23,259.22.

The overall trading volumes jumped from 118.92 million in the previous session to 302.31 million, with K-Electric Limited (KEL +6.92pc), Hascol Petroleum Limited (HAScoL +7.44pc) and The Bank of Punjab (BoP +12.12pc) topping the volume chart. The scrips had exchanged 23.24 million, 21.34 million and 19.62 million shares, respectively.

Sectors that drove the index north included fertiliser (+322.71 points), cement (+186.81 points) and oil & gas exploration (+170.84 points). Among the companies, Engro corporation Limited (EnGRo +143.98 points), Hub Power company Limited (HUBc +115.72 points) and Fauji Fertilizer company Limited (FFc +112.17 points) remained the top contributors to the index. meanwhile, international industries Limited (iniL +7.49pc) announced its financial performance for the third quarter of FY20. The company reported a 39pc YoY decline in sales and a 99pc YoY drop in ‘other income’. As the company’s finance cost almost doubled during the period under review, its earnings per share dropped from Rs3.31 in 3QFY19 to Rs-2.57.

The Sensitive Price indicator (SPi)-based weekly inflation for the week ended April 16 witnessed a nominal increase of 0.15pc when compared with the previous week, according to data released by the Pakistan Bureau of Statistics (PBS). The SPi inflation for the combined consumption group was recorded at 125.16 points during the week under review, as against 124.97 points registered in the previous week. The weekly SPi, with base year 2015-16=100, covers 17 urban centers and 51 essential items for all expenditure groups. The SPi for the lowest consumption group, up to Rs 17,732, witnessed a 0.01pc decrease, from 130.15 points in the last week to 130.14 points during the week under review. meanwhile, the SPi for the consumption groups from Rs17,733-Rs22,888, Rs22,889-Rs29,517, Rs29,518-Rs44,175 and above Rs44,175 per month nominally increased by 0.04pc, 0.09pc, 0.15pc and 0.20pc, respectively.

During the week under review, prices of eight items decreased, 16 items increased, while that of 27 items remained unchanged. The items that recorded a decrease in their average prices included onions, garlic, eggs, LPG cylinder, wheat flour, sugar, mustard oil and vegetable ghee. on the other hand, the commodities that recorded an increase in their average prices included pulse (masoor, mash, moong, gram), chicken, potatoes, rice (irri 6/9), tomatoes, rice (basmati broken), milk (fresh), firewood, bananas, beef, gur, curd and mutton.

Similarly, commodities that observed no change in their prices included bread, milk (powdered), cooking oil, salt, chillies, tea (packet), cooked beef, cooked daal, tea (prepared), cigarettes, long cloth, shirting, lawn, georgette, gents sandal, gents sponge chappal, ladies sandal, electricity charges, gas charges, energy saver, washing soap, matchbox, petrol, diesel, telephone call and toilet soap.

3QFY20: Textile exports increase 4.24pc to $10.4bn ISLAMABAD APP

Textile exports from the country increased by 4.24 per cent during the first three quarters of the current fiscal year as against the corresponding period of last year, the Pakistan Bureau of Statistics (PBS) reported on Friday.

Textile exports from the country during July-march FY20 were recorded at $10,412.939 million, as against the exports of $9,989.457 million in July-march FY19.

Textile commodities that contributed towards growth included knitwear whose exports jumped from $2,154.562 million last

year to $2,229.869 million during the current fiscal year, showing a growth of 6.74pc.

During the period under review, the export of readymade garments increased by 11pc, from $1,955.778 million to $2,170.517 million, while the export of bedwear increased by 2.45pc, from $1,719.376 million to $1,761.552 million.

The export of raw cotton increased by 8.19pc, from $15.719 million to $17.007 million; towels by 0.58pc, from $588.1 million to $591.527 million; while the export of tents, canvas and tarpaulin surged by 5.77pc, from $68.277 million to $72.216 million.

The export of art, silk and synthetic tex-

tile increased by 18.47pc by growing from $220.459 million last year to $261.172 million in current fiscal year.

Among textile goods that witnessed a negative growth in trade is cotton yarn, the export of which declined by 1.9pc by dropping from $835.719 million last year to $819.808 million during the current year.

The export of cotton cloth also decreased from $1595.882 million to $1,548.176 million, a decline of 2.99pc, whereas the export of cotton carded or combed plunged from $0.161 million to $0.062 million, showing a fall of 61.49pc.

Likewise, the export of yarn (other than

cotton yarn) decreased by 7.11pc, by falling from $22.559 million to $20.956 million on year-on-year basis, textile exports during the month of march 2020 decreased by 4.46pc when compared to the corresponding month of last year. Textile exports in march this year were recorded at $1,039.705 million against the export of $1,088.192 million, the PBS data revealed. it is pertinent to mention here that the country’s trade deficit witnessed significant reduction in the first three quarters of the current financial year and declined by 26.45pc as compared to the corresponding period of last year.

During the period under review, the coun-

try’s exports registered about 2.23pc growth, whereas imports reduced by 14.42pc.

The exports witnessed an increase of 2.23pc and reached to $17.451 billion against $17.071 billion worth exports of the same period of last year. on the other hand, the country’s imports witnessed significant decrease of 14.42pc and went down from $40.679 billion last financial year to $34.814 billion in the same period of the current financial year.

Based on figures, the trade deficit during the period under review was recorded at $17.363 against the deficit of $23.608 during last year, showing a decline of 26.45pc.

Saturday, 18 April, 2020

10 FOREIGN NEWS

ChiNA SuffErS hiStoriC CoNtrACtioN AS ViruS pArAlySES ECoNomy

C

HINA'S economy shrank for the first time in decades last quarter as the coronavirus paralysed the country, in a historic blow to the Communist Party's pledge of continued prosperity in return for unquestioned political power.

Gross domestic product in the world's second-largest economy fell 6.8 percent in January-March from a year earlier, according to government figures -- a stunning turnabout for a generation of Chinese consumers raised on supercharged growth rates.

The National Bureau of Statistics (NBS) data marked the first contraction since the government began logging quarterly performance in the early 1990s, and a sharp reversal from the six-percent expansion during the fourth quarter of 2019. The figure beat an 8.2 percent decline forecast by an AFP poll of analysts before the news was released.

But economists have long harboured suspicions that official Chinese economic data is massaged for political reasons. "The actual contraction in the first quarter, especially in March, could be worse than headline numbers suggest," Nomura analysts said Friday.

Experts warn that growth is unlikely to rebound soon, with depressed demand for Chinese goods in overseas markets that are also grappling with the pandemic. Fears of a second outbreak are also dragging on efforts to fully fire up China's economy, a major engine of global growth.

"We are now facing rising pressure

in the prevention of imported epidemic infections, as well as new difficulties and challenges for resuming work and production," NBS spokesman Mao Shengyong told a press conference.

GRIM PICTURE: Full-year GDP growth expectations have fallen to 1.7 percent, according to AFP's poll, in what would be the worst annual performance since 1976. But the International Monetary Fund, which has pegged China's 2020 full-year expansion even lower at 1.2 percent, is predicting a strong rebound to 9.2 percent growth in 2021.

Mao said only that if the pandemic can be brought under control, "the second half of the year should be better than the first". The economic figures are deeply significant in China due to the tacit political compact between the Communist Party and the country's 1.4 billion people. More than four decades since Beijing abandoned radical Maoism in favour of authoritarian capitalism -achieving spectacular growth -- Chinese citizens have largely acquiesced to the party's monopoly on power, in exchange for continued prosperity.

China analyst Jean-Pierre Cabestan of Hong Kong Baptist University said the current situation puts a nail in the coffin of the party's stated goal of doubling GDP from 2010-2020.

But he saw no immediate peril for the all-powerful regime, especially if it can maintain stability and steer the country through the health crisis while other countries struggle.

"I think that's a very important set of

Virus lockdowns send European car sales down 55pc European automobile sales fell by 55 percent last month due to the coronavirus outbreak as lockdown measures went into effect in most nations, the industry's trade association said Friday. New car registrations -- a proxy for sales -- slumped to 567,308 vehicles last month, compared to over 1.2 million during the same month last year, the European Automobile Manufacturers Association (ACEA) said. "All 27 EU markets contracted in March, but Italy took the biggest hit, with registrations falling by 85.4 percent to 28,326 new cars," the European Automobile Manufacturers Association said. France was also particularly hard hit with a 72.2 percent drop, as was Spain where sales tumbled 69.3 percent. In Germany, where restrictions have been less onerous, sales fell by 37.7 percent.

For the first three months of the year, sales were down by 25.6 percent to 2.48 million vehicles. All carmakers suffered, but Fiat Chrysler saw the worst drop, at 76.6 percent, as it is heavily dependent upon Fiat's home market of Italy. VW Group remained the top selling automaker in Europe, and even saw its market share increase to 26.6 percent in the first quarter of the year with just over 660,000 sales. AGENCIES

Saudi Arabia pledges $500m for global efforts against coronavirus DUBAI: Saudi Arabia, the current G20 chair, said on Thursday it has pledged $500 million to support global efforts to combat the coronavirus pandemic and urged other countries and organisations to help bridge an $8 billion financing gap. Riyadh said it would allocate $150 million to the Coalition for Epidemic Preparedness and Innovation, $150 million to the Global Alliance for Vaccines and Immunizations, and $200 million to other health organisations and programmes. In a statement, it called on all countries, non-governmental organizations, philanthropies and the private sector to help close a financing gap estimated at over $8 billion to combat the COVID-19 pandemic. AGENCIES

achievements which the party is going to promote in order to remain legitimate," Cabestan said.

POLICY SUPPORT: Despite travel restrictions being eased and businesses stirring again, Friday's data showed a 1.1 decline in Chinese industrial output for March as factory shutdowns lingered, and retail sales also plummeted 15.8 percent as consumers played it safe at home.

More pain is expected, according to Capital Economics chief Asia economist Mark Williams.

"Public records suggest that at least half a million firms were dissolved in the first quarter and more are likely to close shop," he wrote in a report this week.

Williams added that surveys pointed to more layoffs in March, unemployment will likely remain higher in coming months, and depressed overseas demand could reduce Chinese exports -- which account for 15 percent of national GDP - by as much as half.

Shrinking export demand may have shaved 1.8 percentage points off real GDP growth in the first quarter, Nomura's chief China economist Lu Ting had said earlier. Nomura expects a "large stimulus package" consisting of financial relief targeted at businesses, banks and households. Beijing already has ramped up stimulus for smaller enterprises and low-income individuals. AGENCIES

Trump administration working to ease drilling industry cash crunch

WASHINGTON AGENCIES

The Trump administration is seeking to ease a severe cash crunch in the drilling industry by raising loan limits available under a coronavirus stimulus package and by barring lenders from discriminating against drillers, according to Energy Secretary Dan Brouillette.

The measures come as oil and gas companies working in shale basins from Texas to Wyoming struggle to stave off bankruptcy due to a meltdown in global oil prices after governments around the world issued stay-at-home orders that have obliterated demand for fuel. Brouillette said he

was working with Treasury Secretary Steve Mnuchin to roughly double the size-limit on loans available to mid-tier U.S. energy companies under the recently passed CARES Act stimulus package to $200-$250 million to help them weather the fallout of the pandemic. “It really needs to be something closer to $200 or $250 (million) to be of any real benefit to them,” Brouillette told Reuters in an interview, adding he had met with industry representatives on the issue on Wednesday. He said he and Mnuchin also planned to work with U.S. regulators and the banking industry to ensure financial institutions don’t discriminate against oil drillers when choosing who to provide credit to.

“We just want to ensure that as banks are going out there, they’re not making discriminatory decisions and saying ‘No we’re not going to do any of this type of lending. We prefer to do this other type of lending’,” Brouillette said. The global banking industry has been under pressure from climate change activists to reduce lending to fossil fuels companies and instead favor renewables.

The U.S. oil and gas industry is estimated to owe more than $200 billion to lenders through loans backed by oil and gas reserves. As revenue has plummeted and assets have declined in value, some companies are saying they may be unable to repay. Whiting Petroleum Corp became the first producer to file for Chapter 11 bankruptcy on April 1. Others, including Chesapeake Energy Corp, Denbury Resources Inc and Callon Petroleum Co, have also hired debt advisers.

No 'free ride' for commercial creditors on debt relief: WB WASHINGTON: Commercial creditors need to support debt relief for the poorest countries and cannot just “free ride” on a suspension in debt payments by official bilateral creditors, World Bank President David Malpass told the Bank’s Development Committee on Friday. Malpass said the debt relief initiative agreed this week by the Group of 20 economies and the Paris Club was a “huge achievement” to help the poorest countries deal with the health and economic impact of the new coronavirus pandemic. He said the Bank would look at ways of further extending support for the poorest countries, but cautioned that it was critical to protect the financial capacity, credit rating and low cost of funding offered by the Bank’s lending arms. AGENCIES

Avigan being tested for coronavirus patients It is approved for use in flu outbreaks and has been deployed to treat Ebola, but now Avigan is being trialled as a potential coronavirus treatment. Here are some questions and answers about the anti-viral medication.

WHAT IS AVIGAN? Avigan is the brand name of the drug favipiravir. It was developed by what is now known as Fujifilm Toyama Chemical and approved for use in Japan in 2014. But in Japan, it is only approved for use in flu outbreaks that aren't being effectively addressed by existing medications. It is not available on the market and can only be manufactured and distributed at the request of the Japanese government. Favipiravir works by blocking the ability of a virus to replicate inside a cell. There are some safety concerns: it has been shown in animal studies to affect foetal development, meaning it is not given to pregnant women, and some doctors say they would not recommend it for children or adolescents.

HOW IS IT BEING USED TO TREAT CORONAVIRUS? Some doctors began trying favipiravir to treat coronavirus patients early on, reasoning that its anti-viral properties would be applicable. Some initial results suggested the drug could help shorten recovery time for patients, with China's ministry of science and technology hailing it as yielding "very good clinical results". There are currently around five clinical trials ongoing in countries including the US, Italy and Japan, where Fujifilm announced it would be testing the drug's efficacy on a group of 100 patients through until the end of June. The Japan study will involve administering the drug for up to 14 days to patients between 20 and 74 with mild pneumonia.

WWII veteran, 99, raises £18 mn for UK health workers LONdON AGENCIES

A 99-year-old British World War II veteran who has become a global phenomenon for his fundraising efforts had on Friday raised over £18 million ($22 million, 20.3 million euros) for health workers fighting coronavirus.

Tom Moore, a captain who served in India, completed his target of 100 laps of his 25-metre (82foot) garden, with the help of his walking frame, on Thursday but is still pacing his grounds as the funds continue to pour in.

Almost 900,000 people have now sponsored the veteran, who has provided a much-needed good news story to a public inundated with grim pandemic coverage, with

politicians, royals and celebrities praising him as an "inspiration".

"Thank you so much for your INCREDIBLE support and generosity so far," said the captain, who turns 100 at the end of the month, in his latest Twitter update.

Moore initially set himself the goal of raising £1,000 for a National Health Service (NHS) charity in time for his birthday, after receiving treatment for cancer and a broken hip.

But his efforts have made him a global star during a pandemic that has killed more than 140,000 people, including almost 14,000 in Britain alone.

"It's incredible, it's amazing," Britain's Prince William said of his achievement.

"He's been around a long time,

he knows everything, it's wonderful that everyone has been inspired by his story and determination."

'LEGEND': England football captain Harry Kane said Moore was "an inspiration... to the whole country".

"Incredible effort by an amazing man to raise money for our NHS workers who are doing heroic work," he wrote in a message retweeted by Moore.

Fellow sporting giant Lewis Hamilton offered his congratulations to the "legend".

"I am blown away by his amazing achievement. Congratulations Captain Tom, we could all learn something from you!," wrote the six-time Formula One champion.

The final lap of his garden in Bedfordshire, south England, was

CMYK

met with a guard of honour from the Yorkshire Regiment and broadcast live on British TV on Thursday.

A spokesman for Prime Minister Boris Johnson suggested on Thursday that he was looking at

ways to reward Moore.

"From his military contributions to his support for NHS staff, Tom has demonstrated a lifetime of bravery and compassion," he said.

"The prime minister will cer-

tainly be looking at ways to recognise Tom for his heroic efforts."

Johnson is currently off work recovering from coronavirus after being released on Sunday from a week-long stay in hospital.

Saturday, 18 April, 2020

VeTTel Takes sTep ToWards World oF VIrTual raCIng LonDon

s

AGENCIES

EBASTIAN Vettel has never been one for social media or had much time for esports but even the four-times world champion has shifted his stance, however slightly, under Formula One’s coronavirus lockdown.

Although the 32-year-old Ferrari driver is still not remotely tempted by Twitter or Instagram, he has acquired a gaming rig. Just how much the German uses it remains to be seen.

Rivals, including his Monegasque team mate Charles Leclerc, who has thrown himself enthusiastically into virtual racing in the absence of any real life track action, can probably rest easy though.

“The truth is I didn’t have a simulator until a couple of days ago so I have not been tempted because I didn’t have the

chance,” Vettel told reporters when asked in an online media session about any interest in esports.

“I have heard a lot of things about so I

Cricket chiefs ‘exploring all options’ over T20 World Cup LONDON: The International Cricket Council has played down speculation this year’s T20 World Cup in Australia could be pushed back to 2021 but admitted it was “exploring all options”. Australia is due to stage the global tournament from October 18 until November 15 but the coronavirus pandemic has already created havoc for international sport and more events could suffer. The ICC has time on its side and is preparing to stick to its schedule but plans could change. “We are continuing with our planning for ICC events as they are, but given the rapidly evolving situation as a prudent and responsible measure we are also undertaking a comprehensive contingency planning exercise,” said an ICC spokesman.

“This includes exploring all options available to us based on a range of scenarios connected to the pandemic. “We will continue to take advice from experts and authorities, including the Australian government and will take decisions at the appropriate time.” AGENCIES

Team Ineos will pull out of Tour de France if not safe: Brailsford

Team Ineos boss Dave Brailsford says he will pull his riders out of the rescheduled Tour de France if he feels precautions against the coronavirus are not sufficient. Organisers on Wednesday announced that the tour would be raced from August 29 to September 20, postponing cycling’s flagship event, originally slated to start on June 27. The new dates follow President Emmanuel Macron’s extension of a ban on large public gatherings until mid-July. Brailsford told the Guardian he would pull out of the event if he felt that precautions against COVID-19 were not panning out in a “measured, intelligent and responsible way”. “We would reserve the right to withdraw the team should we deem it necessary, he said. “Whilst the race is on, we will plan to participate, but equally we will monitor the evolving nature of how things play out, as we did prior to Paris-Nice. This is a sensible, responsible and reasoned approach.” This week’s announcement came as a relief to professional cycling teams and fans, with four-time Tour winner Chris Froome welcoming a “light at the end of the tunnel”. But Devi Sridhar, professor of global public health at the University of Edinburgh and an adviser to the Scottish government on the COVID-19 pandemic, described the plan to hold the race, even in late August, as a “recipe for disaster.” “It’s a painful decision but they have no choice,” Sridhar told Cyclingnews. “The wise thing to do is cancel for this year. AGENCIES

thought I might get one and try it, but I need to still set it up properly,” he added.

Leclerc, a two-times winner last season who also finished ahead of Vettel in the

SPORTS 11 standings, won the virtual Vietnamese Grand Prix this month on his debut in the new Formula One esports race series.

Red Bull’s Max Verstappen and Alexander Albon, McLaren’s Lando Norris, Alfa Romeo’s Antonio Giovinazzi and the Williams pairing of George Russell and Nicholas Latifi have also kept their hands in online as they wait for the season to start. Seven Formula One races have been postponed so far and organisers are talking of a reduced calendar possibly running into January.

“Generally I’m not going to foresee a career in sim racing,” said Vettel. “I think it’s more something to try for fun. I grew up with some of the stuff and I’ve been playing some games but to be honest since I had kids it’s not the first thing on my list to do,” added the father of three.

“I’m aware that some people take it very seriously and spend a lot of time there but I also enjoy doing other things.”

Vettel and former team mate Kimi Raikkonen, now with Alfa Romeo and the oldest driver on the grid at 40, are similar in that they both live in Switzerland and guard their privacy closely. The Ferrari driver made clear he was not about to develop a Twitter following. “I have not progressed on social media,” he said. “I didn’t have the time. It’s something I never started so it doesn’t feel like I miss it.”

New South African cricket boss Smith rules De Kock out of Test captaincy AGENCIES

South Africa’s next scheduled Test series is in the West Indies in July but Smith said that it had not been finalised due to the COVID-19 outbreak.

South Africa are also due to go to Sri Lanka for a limited-overs tour in June but Smith said both tours could be postponed. “We are in discussion with the boards of those countries and decisions will have to be made pretty soon,” he said.

T20 WORLD CUP THe PRIORITy: Smith said his immediate priority was the T20 World Cup in Australia in October and November, assuming it happened as planned.

He said South Africa hoped to host a Twenty20 series against India in August as part of the build-up to the world event. “There is a lot of doubt about what the situation will be by then but we are in discussions with the Board of Control for Cricket in India,” he said.

Faul said he expected more clarity on the status of the T20 World Cup to

The start of the MotoGP season has been pushed back further into the European summer after German Grand Prix organisers sought a postponement due to extended restrictions on major events as a result of the COVID-19 pandemic. The race at the Sachsenring in eastern Germany was scheduled for June 21 and was the first race on a calendar ravaged by postponements. The German government and regional state governors agreed this week, however, to extend a ban on big events until the end of August. Organisers ADAC said in a statement that they were in discussions with MotoGP’s commercial rights holders Dorna to find a new date. “The health of fans and everyone involved is always the top priority.

The purchased tickets remain valid for the new date. We ask our loyal fans for some patience,” said ADAC. The next race after Germany is the Dutch TT at Assen on June 28, which is also uncertain, followed by Finland on July 12. MotoGP has said already that it is working on a revised calendar. AGENCIES

Cricket australia lays off staff over virus shutdown

Johannesburg Former Test skipper Graeme Smith was on Friday confirmed as South Africa’s director of cricket –- and revealed that Quinton de Kock would not be elevated to the Test captaincy.

Jacques Faul, acting chief executive of Cricket South Africa, said Smith had been appointed for a two-year term, expiring at the end of March 2022. Smith was appointed in an acting capacity last December.

Smith, 39, captained South Africa in a world record 108 Test matches and in 149 one-day internationals. He also captained a World XI in a one-off Test against Australia in 2005/06.

He told a tele-conference that the debate over the Test captaincy was one of the challenges he faced during a period when no cricket can be played because of the coronavirus pandemic.

“It’s not going to be Quinton,” he said, citing De Kock’s responsibility as the country’s limited-overs captain as well as being wicketkeeper and a key batsman. “Quinton will be our whiteball captain but from a workload and mental capacity aspect we want to keep him fresh. From personal experience I know that captaining all three formats is challenging and we don’t want to overburden him.”

Smith gave no indication of the likely replacement following the decision of Faf du Plessis in February to step down from the job. “There’s no one person you can pinpoint,” he said.

“There are a lot of players on a similar level.”

german Motogp race seeks new date due to virus restrictions

emerge when the International Cricket Council hosts a video discussion between national chief executives next Thursday.

Smith’s temporary appointment last December was at a time of crisis in South African cricket following the suspension of chief executive Thabang Moroe, calls for the board of CSA to resign and in the wake of a poor performance by the national team in the 2019 Cricket World Cup, which was followed by a 3-0 thrashing in a Test series in India. One of Smith’s first moves was to appoint former Test wicketkeeper and long-time teammate Mark Boucher as national head coach through to the 2023 World Cup. The team has had mixed results since Boucher’s appointment, losing Test series and Twenty20 series against England and Australia. But they finished the 2019/20 season on a high, beating Australia 3-0 in an ODI series, shortly before cricket was shut down.

SyDNey: Cricket Australia has announced it is laying off most of its administrative staff and will run a skeleton operation until at least mid-year due to COVID-19’s impact on the game. The governing body informed the majority of staffers on Thursday that from April 27 they would have to remain home on reduced pay — reportedly 20 percent of their regular salary — until June 30 at the earliest.

With international and domestic cricket postponed indefinitely because of the virus, CA chief executive Kevin Roberts said the game had to cut costs. “The impacts on the sports industry of the coronavirus pandemic are bigger than any one sport,” he said in a statement. “Cricket Australia — like all sporting bodies — is planning for a return to training/play, although no one is certain when this will be possible at this stage, and many scenarios are being considered.” Roberts said he hoped the situation regarding resumption of play would be clearer by June 30. Cricket Australia’s website reported there were “ongoing discussions” between CA and the Australian Cricketers’ Association about potential financial implications for players.

CA also said it was optimistic Australia’s 2020-21 home schedule — which includes the T20 World Cup and a blockbuster Test series against India — would proceed even if stadiums were empty. Australian officials are reportedly so keen for the India series to go ahead that they are considering basing Virat Kohli’s men at a new luxury hotel with training facilities while they undergo mandatory quarantine. AGENCIES

US PGA Tour plans to resume in June without fans Los angeLes: AGENCIES

The US PGA Tour on Thursday announced plans to resume in June, with the first four tournaments being closed to spectators due to the ongoing coronavirus pandemic.

The tour suspended its season after the first round of the Players Championship last month, previously targeting a return on May 21. The extended suspension means that the Canadian Open and the Barbasol Championship have been cancelled. The postponed Charles Schwab Challenge, which tees off on June 11 in Fort Worth, Texas, is scheduled to be the first event after the resumption.

“The health and safety of all associated with the PGA Tour and our global community continues to be our number one priority, and our hope is to play a role — responsibly — in the world’s return to enjoying the things we love,” said PGA Tour commissioner Jay Monahan.

He added: “We will resume competition only when, working closely with our tournaments, partners and communities, it is considered safe to do so under the guidance of the leading public health authorities.”

There are now 14 events listed for the 2019-20 PGA Tour season. Former PGA Championship winner Justin Thomas said he is in favour of the plan.

“I love that the PGA Tour put something out there,” Thomas said. “If it happens or not is an unknown since

everyone’s safety remains a top priority. But to have them put the effort to show us a plan is great.”

In addition to the Charles Schwab Challenge, the tournaments scheduled to be held without fans are the RBC Heritage (June 18-21) in Hilton Head, South Carolina; the Travelers Championship (June 25-28) in Cromwell, Connecticut; and the Rocket Mortgage Classic (July 2-5) in Detroit. The only major championship left on the 201920 calendar is the PGA Championship from August 6-9 in San Francisco.

Under the current plan, the FedEx Cup playoffs for the 2019-20 season will wrap up with the September 4-7 Tour Championship in Atlanta. As part of their return, the PGA wants to ramp up testing.

“We see changes and developments being made in the world of testing, available tests,” said Andy Pazder, the PGA Tour’s chief tournament and competitions officer.

“We’re following very closely through the assistance of our expert medical advisers the development of more large-scale testing capabilities.

TeSTING IS Key: “We obviously are aware that the FDA recently approved use of a saliva-based test. It gives us confidence that we will be able to develop a strong testing protocol that will mitigate risk as much as we possibly can.”

Some sort of testing should be in place by the time the Canadian Open organizers are ready to hold their event in 2021. “The RBC Canadian Open has always been a rally-

CMYK

ing point for Canadian golf and while we share in the crushing disappointment with our fans, players, volunteers and many event partners, our primary responsibility is the safety of our people and our communities,” said Golf Canada chief executive Laurence Applebaum.

“It is now our full intention to push forward together with RBC, the PGA TOUR, the City of Toronto and our host clubs with the goal to bring the 2021 RBC Canadian Open to St. George’s Golf and Country Club with Islington Golf Club as the official practice facility.”

Saturday, 18 April, 2020

NEWS

Imran SEEkS Spy agEnCIES’ hElp To CUrb SmUgglIng PM TERMS LOCUSTS ANOTHER BIG PROBLEM FOR PAKISTAN, DIRECTS AVAILABILITY OF FUNDS FOR ITS ELIMINATION ISLAMABAD

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APP

RIME Minister Imran Khan on Friday issued directives for identifying elements involved in profiteering, smuggling, and hoarding of goods so they are handed the harshest punishments as per law to discourage such activities in the country.

Presiding over a meeting to review measures to curb smuggling and hoarding of essential items, he noted that smuggling is an ulcer playing havoc with the national economy. He ordered that those behind such activities be dealt with an iron hand, emphasising the effective role

of intelligence agencies in this regard.

During the meeting, the premier was briefed on a proposed law that will entail harsh punishments for hoarders. He was further informed that sealing the country’s frontiers due to the spread of the coronavirus resulted in a significant drop in smuggling.

It is the poor who bear the brunt of smuggling and hoarding, the prime minister maintained, deciding to check such activities with the help of intelligence

agencies. He instructed that the relevant department post honest and diligent officers in areas where there are chances of smuggling and hoarding.

Prime Minister Khan directed the federal authorities to coordinate with the provinces more effectively, monitor the situation on a daily basis and ensure that no administrative glitches are created in the process.

The participants were briefed about target of wheat procurement for next year

and provision of ‘bardana’ (gunny bags) for farmers.

Khusro Bakhtiar told the meeting that Punjab government and Pakistan Agricultural Storage and Services Corporation (PASSCO) took timely steps for wheat procurement and other provinces needed to follow the suit.

He said that last year, four million ton wheat was procured with this year’s target as 8.2 million ton, however mentioned some difficulties in this regard following the recent rains.

The meeting also discussed the ongoing emergency regarding the attacks of locust swarms on crops and the steps taken so far to control, including spray of pesticides through planes and other machines.

Purpose-built spray aircraft and machinery has already been imported from China, however more equipment is required which was delayed due to coronavirus lockdown, the meeting was informed.

Prime Minister Imran Khan termed locusts another big problem for the country and directed availability of funds for its elimination.

Pressure mounts on Imran ahead of sugar, wheat reports ISLAMABAD MIAN ABRAR

Taraweeh, Eid prayers to be offered at home amid coronavirus: Saudi grand mufti MAKKAH AGENCIES

Muslims will offer Taraweeh prayers during the month of Ramzan and Eid prayers at home if the coronavirus situation continues, said Saudi Arabia’s Grand Mufti Abdul Aziz bin Abdullah bin Mohammed Al El-Sheikh said on Friday. “Ramzan’s Taraweeh (evening) prayer can be performed at home if it cannot be performed at mosques due to the preventive measures taken to fight the spread of coronavirus,” he said. The statement from the Saudi mufti came after the kingdom confirmed 518 cases of the coronavirus on Friday while four people succumbed to the virus on Thursday. The Saudi grand mufti said that the Eid prayers will be offered at home with a sermon following it. The coronavirus has affected more than 2 million people around the globe and killed more than 140,000 after spreading to more than 200 countries ever since its first case was reported in Wuhan, China last year. Saudi Arabia had announced a lockdown last month and directed tourists to leave the country as the pandemic started to gain ground in the kingdom. The Umrah pilgrimage has been suspended in the country while it remains a question whether or not Hajj will be held this year or not. Saudi Arabia had also suspended passenger traffic through all land crossings with Jordan , while commercial and cargo traffic is still allowed, and the passage of exceptional humanitarian cases.

Multiple pressures are building over Prime Minister Imran Khan as the forensic audit report of the Federal Investigation Agency (FIA) probe report on sugar and wheat scam is about to be finalised by April 25.

Prime Minister Imran Khan constituted two highpowered committees under FIA director general and comprising a senior officer of the Intelligence Bureau and Anti-Corruption Establishment Punjab DG to investigate the causes behind the crises and price hike of the said commodities.

After the formation of the said committees, the prime minister had repeatedly resolved to expose and penalize those found responsible for the sugar and wheat crises to avoid the recurrence of such acts.

Since top leaders of the ruling party, Pakistan Tehreek-e-Insaf (PTI), are being probed for their alleged role in award of subsidy to top sugar mills owners, political pressure is mounting on the prime minister.

It is being claimed that Prime Minister Khan and DG FIA Wajid Zia, who is heading the Commission, were advised to stop the probe otherwise, the sugar price may go up to Rs110/kg. The DG FIA informed the PM’s Office about the threats he had received.

The forensic report is coming next week amid reported threats to Prime Minister Imran Khan as well as DG FIA Wajid Zia asking for immediately stopping the probe into the sugar. However, the premier stood his ground.

A source in PTI told Pakistan Today that following the reports of threats to DG FIA, PTI stalwart Jahangir Tareen contacted Prime Minister Imran Khan and clarified that he had no role in alleged threats.

“Tareen has also sent a subtle message that he would welcome whatever report comes out. However, Tareen has assured the premier that his hands are clean and there is nothing to prove him guilty in the report,” the source added.

The source said that Makhdoom Khusro Bakhtiar, another character in the scam, has also clarified that neither he nor any of his relatives had benefitted from the subsidy.

“It is interesting to note that when the decision of subsidy to be given to sugar and wheat producers was made, Khusro was holding portfolio of Ministry of Plan-

ning and Development which has nothing to do with the award of subsidy. It was actually Makhdoom Mehboob Sultan who was Minister for National Food Security.

Moreover, Khusro’s brother, Hashim Jawan Bakht, had opposed the decision. Rather, Hashim has also attached a dissenting note with the decision, opposing the decision to export sugar,” the source added.

CORONAVIRUS CHALLENGE: Another challenge the prime minister faces in next few months is the situation evolving amid Prime Minister Imran Khan’s decision to easing out restrictions on various sectors of the economy.

While Sindh Chief Minister Murad Ali Shah has been advocating to further enforcing the restrictions on public movement, Prime Minister Khan has decided to ‘facilitate’ the poor and middle-class population which is reaching the tipping point due to continued lockdown.

The source said that initially, various stakeholders were not agreeing to the prime minister’s decision to fully enforce lockdown. However, when the number of loot and street crimes increased suddenly despite lockdown, the security forces also advised the federal and provincial governments to ease out restrictions.

“During the recent sitting of the National Command and Operation Center (NCOC), Chief Minister Murad Ali Shah also admitted the fact street crime was increasing to an alarming stage and he agreed to lax the restrictions on construction sector which would also open ten related sectors of the economy,” the source concluded.

IMF cuts FBR’s target by Rs895bn ISLAMABAD SHAHZAD PARACHA

The International Monetary Fund (IMF) has revised the Federal Board of Revenue’s (FBR) target to Rs3,908 billion from Rs48,03 billion, showing a massive cut of Rs895 billion due to the coronavirus pandemic.

The actual target of the tax department was Rs5,555 billion for the current fiscal year, but due to its poor performance in the first two quarters of the ongoing fiscal year, it was revised to Rs4,803 billion.

In its report, the IMF has projected that the FBR can collect Rs5,101 in FY20-21, Rs6,100 billion in FY21-22, Rs6,956 billion in FY22-23, Rs7,723 billion in FY23-24 and Rs8,513 billion in FY24-25.

The international lender stated the government’s expenditures will also increase due to the pandemic. Previously, the projected expenditures were Rs8,767 billion, however, the latest projection puts the figure at Rs8,883 billion. The government’s expenditures are projected to surge to Rs12,577 billion in FY24-25.

The report revealed that there was a cut of Rs100 billion in Public Sector Development Programme (Rs588 billion to Rs488 billion) against the target of Rs701 billion.

It also stated that the government’s overall debt, including its debt towards the IMF, will also surge to 85 per cent in comparison to the previous projection of 80.4 per cent, including domestic debt of 53.8 per cent and external debt of 31.5 per cent.

The report stated that prior to the COVID19 shock, external imbalances had been significantly reduced and the economy was

China revises up Wuhan death toll as US plots re-opening BEIJING/NEW YORK AGENCIES

The Chinese city at the origin of the coronavirus outbreak revised up its death toll by 50 percent Friday, as global criticism mounted over China’s handling of the deadly pandemic. Since emerging from Wuhan late last year, the coronavirus has embarked on a deadly march across the planet, killing more than 140,000 people and wrecking the global economy as half of humanity is trapped indoors. While President Donald Trump announced a phased re-opening of the United States, the economic devastation was clear to see in China where gross domestic product slammed into reverse for the first time since records began. And Wuhan’s city government added 1,290 deaths to its toll, bringing the total to 3,869 after many dead were “mistakenly reported” or missed entirely, adding to growing global doubts over China’s transparency.

Leaders in France and Britain joined Trump’s broadsides against China, as two US media outlets reported suspicions the virus accidentally slipped out of a sensitive Wuhan laboratory that studied bats. President Emmanuel Macron told the Financial Times it would be “naive” to think China had handled the pandemic well, adding: “There are clearly things that have happened that we don’t know about.” Beijing hit back on Friday, insisting there had been no cover-up. “There has never been any concealment, and we’ll never allow any concealment,” a foreign ministry spokesman said.

LIFE-AND-DEATH BALANCE: World leaders are grappling with the question of when to re-open society, seeking a life-and-death balance between unfreezing stalled economies and preventing a deadly second coronavirus wave. While Trump declared Thursday that the time had come for the “next front in our war” with a phased reboot of the US economy, others took the opposite path — Japan, Britain and Mexico all expanded current restrictions. Despite the United States suffering a staggering 4,500 deaths in the last 24 hours — taking the national toll to almost 33,000 — Trump proclaimed: “We’re opening up our country.” The president’s approach was more cautious than previous hopes for a sudden re-opening however, with state governors given the lead. Lightly affected states can open “literally tomorrow”, said Trump, while others would receive White House “freedom and guidance” to achieve that at their own pace. In New York state for example — where more than 11,500 have died — Governor Andrew Cuomo extended a shutdown order until May 15. Top US government scientist Anthony Fauci said: “Light switch on and off is the exact opposite of what you see here.” New Yorker Jamie O’Reilly, owner of a dog-walking business, summed up the agonising predicament world leaders face.

“Why does the economy matter if we’re not around to spend any money because we’re all sick?” the 31year-old told AFP. ‘LOST DECADE’: Meanwhile, there were more signs the global economy is imploding. China reported Friday its GDP shrank 6.8 percent in the first quarter, the first contraction since quarterly growth data started in the early 1990s. In the US, another 5.2 million workers lost their jobs, bringing the total number of newly unemployed to a staggering 22 million since mid-March. John Williams, a top Federal Reserve official, predicted it would take “a year or two” if not longer for the US to recover from what the International Monetary Fund has termed the “Great Lockdown” battering the global economy. The virus could spark another “lost decade” in Latin America, the IMF warned, while experts cautioned that freezing debt for poor countries will not save many developing world economies. In Europe, automobile sales shrank 55 percent in March, according to the industry’s trade association.

‘IT’S AWFUL’: Philippine President Rodrigo Duterte threatened a typically muscular approach to lockdown, suggesting a martial law-style crackdown to enforce social distancing. But some European countries — such as hard-hit Spain and Italy — were embarking on a long road back to normality, with Venice residents strolling around quiet canals stripped of their usual throngs of tourists. Switzerland, Germany, Denmark and Finland were among those gradually re-opening shops and schools.

poised to strengthen. Growth was projected at 2.4 per cent in FY20, accelerating to 3 per cent in FY21. The current account deficit was expected to narrow to 2.2 per cent of Gross Domestic Product (GDP) from 4.9 per cent of GDP the previous year, with reserves topping $12.5 billion (2.5 months of imports).

On the other hand, inflation, which had been hit by a series of temporary food price shocks, was expected to gradually return towards the State Bank of Pakistan’s (SBP) forecast range of 11–12 per cent and to reach the 5–7 per cent inflation objective by late FY21. The fiscal performance was strong until December 2019, with a primary surplus of 0.7 per cent of GDP and public debt at 84

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per cent of GDP. The banking system remained broadly sound, with system-wide capital adequacy ratio at 17 per cent in December 2019 and the non-performing loan (NPL) ratio at 8.6 per cent, with the bulk of NPLs provisioned (81.4 per cent).

Moreover, the report mentioned that the near-term economic impact of COVID-19 is expected to be significant. While uncertainty is high, Pakistan’s economy will be impacted through external and domestic channels: Externally, the global downturn, including in Pakistan’s major export markets (China, the EU, and the U.S.), would reduce demand for Pakistan’s exports, especially textiles, and lead to more limited financial flows.