IMF official says real VAT does not exist in Pakistan
The International Monetary Fund (IMF) has said that the Value Added Tax (VAT) does not exist in Pakistan, as basic structure of general sales tax (GST) covers extensive domestic zero-rating and exemptions, special treatments to certain sectors and incomplete/imperfect inclusion of services within the tax net.
VAT on goods, services: provinces raise questions about political implications
Provinces have raised questions about the political implications of imposing Value Added Tax (VAT) on goods and services in the next budget. Speaking on behalf of provinces, Punjab Finance Minister, Tanvir Ashraf Kaira, said during the international VAT Conference here on Thursday that how the federal government would tackle the political implications of extending VAT to all provinces.
FX reserves jump to $14.31bn
Country's foreign exchange reserves rose to $14.31 billion in the week ended on August 29 as compared with $12.85 billion previously, the State Bank of Pakistan (SBP) said Thursday. "The International Monetary Fund (IMF) has increased its Special Drawing Rights (SDR) allocation for all member countries and for Pakistan it equals to $1.2 billion," said Syed Wasimuddin, chief spokesman for the SBP.
M2 growth down Rs23bn in week
The money supply contracted by another Rs23 billion during the week ended August 22, 2009 despite an increase in government borrowing. The M2 declined to Rs124 billion whereas the overall contraction stood at -2.42 per cent during July 1, 2008 to August 22, 2009 as compared to -2.15 per cent in the same period last year.