Category: Business

Federal Board of Revenue launches facility for payment of taxes through ATM, online banking

Islamabad, March 20, 2018 (PPI-OT):Special Assistant to Prime Minister on Revenue/Federal Minister Senator Haroon Akhtar Khan launching facility for payment of taxes through ATM, online banking at the FBR House today. Chairman FBR Tariq Mahmood Pasha, State Bank Governor Mr. Tariq Bajwa and Member IT FBR Kh Adnan Zahir look onFederal Board of Revenue in collaboration with the State Bank of Pakistan and 1-Link launched the facility for payment of federal taxes including income tax, sales tax, customs duty and federal excise duty through alternate delivery channels, i.e. ATM, online banking, phone banking and contact centers.

The facility was launched at a ceremony at the FBR House today. Mr. Haroon Akhtar Khan, Federal Minister/Special Assistant to the Prime Minister on Revenue, Mr. Tariq Bajwa, Governor State Bank of Pakistan, Mr. Tariq Mehmood Pasha, Chairman FBR and other officers of FBR as well as representatives from the Prime Minister’s Office, State Bank of Pakistan, Ministry of Finance, AGPR, PRAL and 1-Link were also present.

Before the launch of this facility taxpayers had to visit the designated branches of SBP and NBP during working hours and sometimes had to stand in long queues to pay their taxes. Now, the taxpayers can pay their taxes through the ATM of any bank or from their homes and offices 24 hours a day, seven days a week. Taxpayers can even pay their taxes from outside Pakistan using their online bank accounts.

In his welcome address, Mr. Tariq Mehmood Pasha, Chairman FBR said that this was a revolutionary step and showed that if organizations worked with dedication and synergy, no goal was beyond reach. He also said that this, along with FBR’s other measures including the automatic registration of a company on its incorporation by SECP, launched last week, would substantially improve Pakistan’s ranking on the World Bank’s ease of doing business index and attract local as well as foreign investment.

Speaking on the occasion, Mr. Tariq Bajwa said that this facility would have three major benefits, namely facilitation of the taxpayer, reduction in the time lapse between payment of taxes and its reporting, and instant reconciliation of payments. These three benefits would improve the efficiency of FBR.

For more information, contact:
Second Secretary (Public Relations)
Federal Board of Revenue (FBR)
FATE Wing, Federal Board of Revenue,
Constitution Avenue, Sector G-5,
Islamabad, Pakistan
Phone: +92 51 921 7267
Fax: +92 51 9208456
Email: mujeeb.talpur@fbr.gov.pk, talpur35@gmail.com

JCR-VIS Assigns Initial Ratings to Shakarganj Food Products Limited

Karachi, March 20, 2018 (PPI-OT): JCR-VIS Credit Rating Company Limited (JCR-VIS) has assigned initial entity ratings of ‘A-/A-2’ (Single A-Minus/A-Two) to Shakarganj Food Products Limited (SFPL). JCR-VIS has also assigned preliminary rating of ‘A’ (Single A) to the proposed Sukuk issue. Outlook on the assigned ratings is ‘Stable’. The instrument rating will be finalized upon review of the signed legal documents.

The ratings assigned to SFPL take into Account Company’s sustained business growth, sound liquidity profile and adequate debt coverages. Ratings also derive strength from strong sponsor profile of the company comprising renowned business concerns including Sharkarganj Limited, BankIslami Pakistan Limited (BIPL) and Crescent Steel and Allied Products Limited. Business risk is considered moderate on account of increasingly competitive operating environment leading to pressure on margins. Moreover, industry margins remain sensitive to regulatory changes in taxes and duties: the company has witnessed a decline in gross margin during FY17 owing to imposition of sales tax and custom duties on raw material.

SFPL operates two business divisions; dairy and juice, with former comprising more than 95% of gross sales. Product portfolio of the company include plain and flavoured UHT milk, tea whiteners, UHT cream, desi ghee, fruit concentrates and juices. Over the last three years, net sales of the company have grown at a CAGR of 22% mainly on account of consistently higher volumetric sales. Revenue from tea whitener comprises around two-third of gross sales, which is considered to be on a higher side. Despite higher revenue sales, net profit stood lower during FY17 on account of decline in margins.

The management is projecting continuing increase in sales volume primarily on the back of capacity expansion. While benefitting from its existing experience in pulp manufacturing and juice industry, the company also intends to enhance its focus on ‘Juices, Nectar and Still Drinks – JNSD’ division, thereby augmenting its product slate. The future direction of ratings will depend on the timely attainment of financial projections.

Liquidity profile of the company is considered adequate on account of sufficient cash flows in relation to outstanding debt and effective cash cycle. With equity expansion through profit retention and periodic repayment of long-term debt, improving trend has been witnessed in gearing and leverage indicators. However, the same are expected to increase on account of planned funding to be availed for capacity expansion. Recently, the board of directors has approved a right share issue of Rs. 700m during the ongoing year, in order to rationalize its capital structure.

SFPL intends to issue rated, privately placed and secured, diminishing musharakah Sukuk of amount upto Rs. 1.0b (inclusive of a Rs. 300m green shoe option) to part finance the planned capex of around Rs. 1.7b. Tenor of the Sukuk will be 6 years including 1-year grace period. Principal will be repaid in 20 quarterly installments starting from 15th month from the date of issuance, whereas profit rate will be 3-month KIBOR + a premium per annum. The instrument will be secured by first pari pasu charge over all present and future moveable fixed assets of the company with 25% margin.

Moreover, the company will maintain a Debt Service Account (DSA) with accounts bank, which will be held under exclusive lien of investment agent/trustee (for the benefit of the sukuk investors). The company shall ensure that during each month (and in any case not later than the fifteenth (15th) day of each month), it shall deposit the amount equivalent to the 1/3rd of the upcoming installment amount (principal + profit/rental) into DSA so that the aggregate amount in the DSA on the due date is equal to the installment amount of the relevant period due for payment.

For more information, contact:
CFA
JCR-VIS Credit Rating Company Limited
VIS House, 128/C,
25th Lane off Khayaban-e-Ittehad,
Phase VII, DHA, Karachi
Tel: +92-21-35311861-72
Fax: +92-21-35311873
Email: sobia@jcrvis.com.pk

28 countries to participate in 14th Safe and Secure Exhibition 2018

Karachi, March 20, 2018 (PPI-OT): The 14th International Safe and Secure Pakistan Exhibition 2018 is set to bring major investment opportunities for the local and foreign exhibitors and manufacturers”, stated a press release by the show organizers, Pegasus Consultancy. The mega event: Being organized for the 6th time in Islamabad will be held from March 27-29, 2018 at Pak-China Friendship Centre in Islamabad.

Safe Secure Pakistan is an international platform, which addresses the matter of homeland safety and security equipment and training. Where industry manufacturers, stakeholders will interact and exchange valuable business prospects. More than decade of its success, the international safety and security exhibition 2018, will bring in big opportunities of investment for local and international exhibitors, brand owners and manufacturers.

The event will showcase: Display of the latest technology innovations and advancements of internal security, fire fighting, cyber security policing, emergency and rescue services as well as transport safety. More than 150 companies are participating in Safe Secure Pakistan 2018, which will benefit the local and international markets. In concurrence with the exhibition, there will be a Safe Secure Pakistan conference which will commence on 28th, March 2018, at Pak China Friendship Centre, Islamabad.

This international conference is based on the theme “Importance of Integrated safety and security in today’s environment”. The conference will be having exclusive sessions on “Developing Resilient Infrastructure in Secure Environment” along with other session on “The future of fire safety: Raising Building Codes and Standards for Safer Cities and Industrialization”.

Eminent speakers will be participating from the local and international renowned organizations like President, Pakistan Information Security Association (PISA), Chief Executive Officer, Cyber Security, Malaysia, Chairman, Pakistan Security Services and Systems Association, (PSSSA), Mass Publicity Influencer and Entrepreneurial Philanthropist from Atlanta , USA, CEO, Chief Operating Officer, Piffers Security Services, Pakistan, Head of Security, British Council, Pakistan, Director General, Punjab Emergency Service, Rescue 1122, , Member (Disaster Risk Reduction).

National Disaster Management Authority, (NDMA), Deputy Vice President Marketing | MEA, AS EMEA, DORMA Gulf Door Controls FZ, UAE, Global Sales Manager Assistant and Regional Sales Manager of MENAT Area, SFFECO Global, UAE, Secretary, Fire Protection Association of Pakistan (FPAP).

Exhibitors from more than Twenty Eight countries including, Australia, Austria, Belarus, Belgium, France, Finland, Portugal, Russia, South Africa, Slovenia, Sweden, Spain, Taiwan, UAE, China, UK, USA, Germany, Norway, Korea, Japan, Canada, Czech Republic, Turkey, Italy, Denmark, Iran and Pakistan, will be displaying their brands at the Safe Secure International exhibition.

For more information, contact:
Pegasus Consultancy (Pvt.) Limited
2nd Floor, Business Centre,
Mumtaz Hassan Road,
Karachi – 74000, Pakistan
Tel: +92-21-111-734-266
Fax: +92-21-32410723
Email: info@pegasusconsultancy.com
Website: www.pegasusconsultancy.com

Online Collection of Government Taxes and Duties launched

Karachi, March 20, 2018 (PPI-OT):The SBP and FBR today formally launched online tax collection system. This will allow the tax payers to pay FBR taxes and duties using internet banking accounts or ATMs without the hassle of visiting the banks’ branches. The system was launched by Mr. Haroon Akhtar, Special Advisor to Prime Minister on Revenue in a simple ceremony held at FBR House Islamabad today. The Ceremony was also attended by Mr. Tariq Bajwa, Governor SBP, Mr. Tariq Pasha Chairman FBR, Chairman and CEO 1Link and senior officials of SBP, FBR and Customs.

The online tax collection system is live now and the tax payers can pay their taxes and duties from the convenience of their homes, offices or ATMs at any time 7 days a week. The system is based on the 1Link Biller module, whereby FBR has been added as one of the Billers on the banks’ Bill Payment page. To pay the taxes and duties, the tax payers/importers will fill their tax and custom duty payment details in FBR (IRIS) and Customs (WeBOC) to generate PSID (payment slip ID). The PSID so generated will then be used to access the tax/duty payment details on the banks’ webpage or ATM as the case may be. The tax payer or their agent will then pay the tax by debiting his/her bank account for onward credit to the respective government account in SBP.

The whole process is online and fully automated. On the occasion, Mr. Haroon Akhtar congratulated the State Bank of Pakistan, FBR and 1Link for initiating and completing this important project. He said that the online collection system provides much needed relief and convenience to the tax payers and expressed optimism that the business community will take full advantage of the system and pay bulk of their taxes and duties using the online facility. He said as the system provides end to end solution right from filing of the tax return to payment of taxes to recording in government books of accounts and thus will bring efficiency, safety and transparency in Government tax collection system.

He added that the system will also be instrumental in improving Pakistan’s ranking in the World Bank’s ease of doing business index. The Governor SBP said that this project is in line with ‘SBP Vision 2020’, which envisages development of the robust payment system. The Government receipts and payments being the largest components of the country’s payment system, the online collection of taxes will have a huge positive impact on the payment system efficiency and effectiveness.

He said that SBP is also working with the provincial governments to extend the coverage of online tax collection system to the provincial taxes and receipts as well. He also emphasized the need for automation of government payments and said that SBP would work with AGPR and other stakeholders to eliminate cheques from government payments and shift to the Direct Credit System. The Chairman FBR said that this project is the result of effective collaboration between FBR and SBP and will go a long way in improving the government tax collection system.

He said that tax payers’ facilitation is the core objective of the online collection system. The tax payers and business community paying taxes online would be able to have confirmation of their tax payments on real time basis; the importers will be able to get their goods released immediately after payment of the taxes and duties. He said that the online collection system will run in parallel with the cash/pay order based system and the tax payers will have the option to use the system of their respective choice and preference for payment of taxes.
For more information, contact:
Chief Spokesman,
State Bank of Pakistan (SBP)
Central Directorate
I.I. Chundrigar Road, Karachi, Pakistan
Tel: +92-21-111-727-111
Tel: +92-21-39212562
Fax: +92-21-39212433 – 39212436
Email: chief.spokesperson@sbp.org.pk
Website: www.sbp.org.pk

Centre for Rural Economy organizes workshop on Emerging Issues, Challenges and Opportunities inRural Economy

Islamabad, March 20, 2018 (PPI-OT):The first workshop on the theme: “Emerging Issues, challenges and Opportunities in Rural Economy of Pakistan” was organized by Centre for Rural Economy (CRE), Ministry of Planning, Development and Reform here on Tuesday. The speakers/participants on the occasion discussed issues specific to rural economy and also suggested the way forward. Mr. Sartaj Aziz, Deputy Chairman, Planning Commission addressed the Opening Session of the Workshop. He said a lot is needed to be done in he realm of rural transformation.

Based on Chinese experiences, well known Chinese expert Prof. Dr. Jikun Huang recently articulated the following stages in rural transformation: a) Rising food production through efficient irrigation and innovation technology. b) Agricultural diversification to higher value crops and livestock, through improved marketing and cold chains. c) Expanding non-farm employment through agriculture support services and small and medium enterprises in rural areas. d) Increasing specialization in certain brand products through technology and improved land rental and marketing policies. e) Further increase in off-farm jobs through land consolidation and mechanization. f) Integrated urban rural development by creating smart cities in rural areas. Mr. Sartaj Aziz stressed on adoption of fast track of rural transformation.

Speakers including, Ms. Genevieve, Policy Consultant, UN-FAO, Dr. Rashid Bajwa, CEO National Rural Support Program (NRSP) and Mr. Yasir Ashfaq, CEO Pakistan Micro Finance Investment Company (PMIC) shared their views with the audience from different government and private sector organizations. Thereafter, Minister for Finance Rana Afzal in his address said it was time that the rural / agriculture economy attains the level of growth it deserves. He said Pakistan has great potential to increase its exports of halal food and agri-products.

He pointed out that the CPEC projects have also opened a new window of opportunity for the growth and development of agricultural sector as the country could export large quantity of food products earning precious foreign exchange. The Minister said that it is high time that the provincial governments ponder over the possibility of having their own Agriculture Development Banks. The Federal Government he said over the last four years has disbursed significant amounts of agricultural credit to farmers as it extends due importance to development of agriculture sector.

The Government he said is further trying to enhance financial and technical assistance to the farmers’ community. The Minister said that there is also a need to impart training to women to contribute towards strengthening of economy. The present PML-N government has indeed provided opportunities to womenfolk to come forward and play their due role in the process of development. He talked about importance of forestry in addressing environmental issues and also highlighted the economic opportunities it carries for farmers.

The Minister said he was pleased to avail the opportunity to participate in a thought provoking discussion on such a significant subject. Other speakers who highlighted problems specific to the rural economy included Dr. Aslam from PARD, Mr. Shah Nasir Khisro from IRSP, Mr. Irshad Abbasi from AKF and Mr. Muzaffar-Uddin from AKRSP. Member Food Security and Climate Change Dr. Muhammad Azeem, Chief Executive Officer of Centre for Rural Economy (CRE) Dr. Aamer Irshad was also present in the occasion.

For more information, contact:
Principal Information Officer,
Press Information Department (PID)
Tel: +92-51-9252323, +92-51-9252324
Fax: +92-51-9252325, +92-51-9252326
Email: piopid@gmail.com
Website: www.pid.gov.pk

Agreements for Power Transmission Enhancement Investment Program signed

Islamabad, March 20, 2018 (PPI-OT):Government of Pakistan and Asian Development Bank signed Loan and Project Agreements amounting US$ 260.00 million for the Second Power Transmission Enhancement Investment Program (Tranche-II) here on Tuesday. Syed Ghazanfar Abbas Jilani, Secretary, Economic Affairs Division (EAD) signed the Loan Agreement with Ms. Xiaohong Yang, Country Director, ADB. The ceremony was also attended by Mr. Werner E. Liepach, the visiting Director General for Central and West Asian Department (CWRD), ADB. Under the Second Power Transmission Enhancement Investment Program (Multitranche Financing Facility), ADB will provide US$ 810 million, in total, over the period of 10-years.

It shall support the evacuation of new generation, including that from renewables, improvement of system reliability and power supply quality through reinforcement and improved monitoring and control. It shall also help improve the financial management, regulatory relations, planning, project management, and procurement capacities of the transmission system owner and operator, the National Transmission and Despatch Company Limited (NTDC), and the sector’s newly established commercial operator, the Central Power Purchasing Agency (Guarantee) Limited (CPPA-G).

These investments will increase institutional efficiency, cost recovery, competition, transparency, and good governance within the power sector. Tranche 2 of the Second Power Transmission Enhancement Investment Program shall be used for financing the following four subprojects: i. 220kV Mirpur Khas substation with associated transmission ii. D.I Khan-Zhob 220kV transmission line with Zhob substation iii. Construction of New 220 kV Guddu-Shikarpur-Uch-Sibbi Transmission Line iv. Supervisory Control and Data Acquisition (SCADA) System and Revenue Metering System.

For more information, contact:
Principal Information Officer,
Press Information Department (PID)
Tel: +92-51-9252323, +92-51-9252324
Fax: +92-51-9252325, +92-51-9252326
Email: piopid@gmail.com
Website: www.pid.gov.pk

KCCI members advised to get membership renewed by March 31, 2018

Karachi, March 20, 2018 (PPI-OT): The Karachi Chamber of Commerce and Industry (KCCI), in a statement issued, advised all its members to renew their KCCI membership by March 31, 2018 in order to avoid any inconvenience. The process of membership renewal is currently underway at the Karachi Chamber for the year 2018-19 and as per Trade Organizations Act 2013, the last date for renewal of membership is 31st March 2018.

The Chamber has already intimated its members through letter, email and SMS service that the membership of Karachi Chamber shall expire on 31-03-2018 thus all members must get their membership renewed on or before 31-03-2018 by submitting prescribed membership fee along with proof of filing of last income tax and sales tax returns, if applicable.

KCCI cautioned that in case an existing member could not get the membership renewed on or before 31st March 2018, his/her membership shall cease automatically and to become KCCI member again, they will have to go through the entire re-admission process.

For more information, contact:
Director Press/Electronic Media and Public Relations
Karachi Chamber of Commerce and Industry (KCCI)
Aiwan-e-Tijarat Road, Off Shahrah-e-Liaquat,
Karachi-74000
Phone: +92-21-99218001-09
Fax: +92-21-99218040
Email: info@kcci.com.pk, secretary@kcci.com.pk
Website: www.kcci.com.pk