Finally, the wind circling around the Meezan Banks potential acquisition by Vision Financial Holding Limited (VFHL) has stopped as the SBP has not allowed the potential buyer to undertake due diligence in the banking company. Sources say that the buyer has been informed by the SBP accordingly.
And the Oscars for best acting in government-goes to: PML-N. Okay, thats probably a lousy joke but it is unfortunate that even after ten months of taking charge PML-Ns indecision making has left some of Pakistans key institutions headless. Take for instance, the case of Competition Commission of Pakistan, where the government has recently reappointed Dr Joseph Wilson as its acting chairman.
When the pro business PML-N took government reins in June last year, there was an expectation that years of dismal investment would change! The 8M FY14 data points towards an improving scenario. Net FDI (derived as gross FDI inflows less outflows) reached $606 million in the Jul-Feb period. Thats a growth of 18 percent year on year.
If you go to a currency dealer to buy dollars, chances are that you won get the rate that you are expecting; at least at many money changers in the capital city. In the open market rates last week, rupee hovered between 98 and 100. However, higher rates charged by currency dealers gave rise to what could be coagulating the shady side of rupee appreciation.
With all the hoopla coming in from positive developments on the economic front, here comes another score that calls for a big hand.
The recently-released report by Islamic Finance News (IFN)--an international company that covers global Islamic financing market--has highlighted Pakistan as a rapidly growing Islamic finance market in its latest newsletter. "Pakistan--the second largest country in South Asian context, has remained at the forefront in promoting Islamic finance," it noted.
BankIslami should be proud to be the cleanest bank in the industry with the infection ratio of just 3 percent as of September 2013. This is despite the fact that the bank maintains an Advances-to-Deposit Ratio (ADR) in excess of 50 percent as of CY13 as against most of the players who are effortlessly parking their funds in government securities.