Tussles between Ogra and the Ministry of Petroleum and Natural Resources are not new. And the recent issue regarding freight margin on petroleum products has added to the racket. The decision by the government and the ministry to reopen some six oil depots that were previously shut down has once again flared up what seems to be a conflict of interests.
In recent years, the life insurance segment has grown really fast, surpassing the industrys leader, the
on-life segment. Between 2006 and 2012, life insurance penetration has been increased from 0.3 percent of GDP to 0.56 percent, while that of non-life insurance decreased from 0.44 percent to 0.37 percent of GDP in the same period.
It appears that the costly, high-ticket deposits, adopted by Summit Bank Limited (SMBL) from its predecessors, have been the root cause behind the losses that the bank has incurred thus far. The incredibly high cost of funds has severely affected the banks spread ratio that had fallen to as low as 1.3 percent in CY12 against the industry average of 36 percent in the same year.
Pakistan is on its way to auction spectrum for next-generation mobile services. If all goes as per the plan, Pakistanis will soon start using high-speed mobile broadband - -most likely 3G services -- on their smartphones.
The ongoing currency volatility is the highlight of the new governments economic management. Indeed, it is a job well done by Mr. Accountant, as the currency has appreciated consistently ever since he claimed that he would pull it back below the 100 mark. The rupee closed below 102 against the greenback yesterday.
Everyone knows that the insurance penetration in Pakistan is quite low. A thorough assessment of the situation, together with imparting imperative yet hands-on suggestions, would help. But so far, only a few detailed solutions have come to light.