BasedLine
LOGO
March 16 , 2010
Statistics
KSE-100 Index
Previous Index 10,025.99
Current Index 10,088.45
Change % 0.62%
YTD (CY10) 7.47%
YTD (FY10) 40.86%

International Indicators
  Close %age
BSE-30 17,164.99 (0.01)%
HANGSENG 21,079.10 (0.62)%
NIKKEI 255 10,751.98 0.72%
FTSE 5,593.85 (0.60)%
DJIA 10,642.15 0.16%
SSEC 2,976.94 (1.21)%
NASDAQ 2,362.21 (0.23)%

SCRA
Mar 12 , 2010 8.98
March, 2010 53.10
YTD 347.16

Money Market Updates
6m T-bill 10-Mar-10 12.30%
12m T-bill 10-Mar-10 12.36%
3m KIBOR 12.35%
6m KIBOR 12.43%
10 yrs PIB 12.63%

Exchange Rates
Inter-Bank Currency Rates
Rs/EURO 116.15
Rs/UK 128.26
Rs/US 84.53
Rs/OR 214.88

Commodities
Oil $79.66/barrel
Oil Change in % (0.18)%
Gold $1,112.70/ounce
Gold Change in % 0.66%

Inflation
CPI Gen. - YoY (Feb 10) 13.00%
CPI Gen. - FY10 (Jul -09-Feb 10) 11.10%
NFNE Core INFL - YoY (Feb-10) 10.10%
NFNE Core INFL - FY10 (Jul-09-Feb-10) 11.40%

Economic Indicators
GDP Growth FY10E 2.00%
Per Capita Income $1,046
Population 168.20mn
US$ Reserves (Mar 11, 2010) 14.72bn
Trade Balance (Jul-Feb 10) $(9.42)bn
Curr. A/C (Jul-Jan-10) $(2.49)bn
Remittances (Jul -Feb 10) $5.79bn
Foreign Investment (Jul -Jan-10) $1.47bn
All Sch. Banks Deposit Base (Mar 06, 2010) Rs4,388bn

NAVs and Returns
as of Mar 15, 2010
Funds Offer Redemption
POBOP 47.3845/- 46.9107/-
Daily Return 7.84%
POAIIF 50.5423/- 50.0369/-
Daily Return 7.33%
POAIF 52.89/- 51.57/-
Daily Return 46.12%
POASF 57.36/- 55.93/-
Daily Return 39.24%
POAF 10.8192/-
Daily Return 11.59%
*Daily Returns are calculated as per MUFAP guidelines

Funds Rating
AMC Ratings AM3
POBOPAPF Fund A- (f)
POAF Fund Rating AA-
Economy

PSDP projects: Finance asked to release funds
Prime Minister Yousuf Raza Gilani has expressed disappointment over the poor releases of funds for Public Sector Development Programme (PSDP), and directed the Ministry of Finance to expedite the process to ensure optimum releases by next month, sources told Business Recorder. The Prime Minister wanted early release of the PSDP funds that were available after downsizing, and assured Balochistan of full releases of the PSDP allocation more... (BR)

52.8 percent decline in July-February FDI
There has been a decline of $1.475 billion, or 52.8 percent, in foreign direct investment (FDI) during eight months of the current fiscal year mainly due to poor law and order situation. The State Bank of Pakistan (SBP) on Monday said that FDI posted a decline of $1.475 billion, or 52.8 percent, during the first eight months (July-February) of current fiscal year 2009-10 more... (BR)

VAT only solution for increasing tax to GDP ratio: FBR
The proposed Value Added Tax (VAT) will not be implemented without the approval of all legislative bodies including national and provincial assemblies. For broadening the tax to GDP ratio or improving the tax collection, the VAT is the only solution more... (BR)

Politics

Pentagon investigating report: US official set private spy network: New York Times
A US official identified as Michael Furlong organised a network of private contractors in Afghanistan and Pakistan with the purpose of finding and killing suspected Islamic militants, The New York Times reported on Monday. Citing unnamed military officials and businessmen in Afghanistan and the United States more... (BR)

Shahbaz meets Kayani
Punjab Chief Minster Shahbaz Sharif met Army Chief General Ashfaq Pervez Kayani at the Army House on Monday, sources told Business Recorder. They exchanged views regarding the on-going terrorist activities across the country particularly recent suicide bomb explosion in Lahore. The meeting also discussed measures to prevent future terrorist acts in Punjab more... (BR)

Nawaz Sharif threat to Pakistan's stability: Musharraf
Speaking to journalists, the former military ruler labelled Nawaz Sharif as a ‘closeted Taliban’ more... (D)

Sector Briefing

PSO warns of magnifying 'circular debt' problem
The Pakistan State Oil (PSO) on Monday warned that if the problem of circular debt was not taken care of at this stage, it would magnify, making it difficult for all concerned to pay huge amount, mainly accumulated by subsidising POL products, which would further aggravate the energy crisis. The circular debt issue may lead to closure of oil refineries, disrupting the whole fuel supply chain in the country more... (BR)

Pakistan to buy four million tonnes of coal in 2010
Pakistan's cement industry will import just over 4 million tonnes of steam coal in 2010 from South Africa and Indonesia, up from around 3.7-3.8 million last year, Pakistani and Indian coal trading sources said. Credit difficulties made coal imports extremely difficult in 2008 because most suppliers were unable to accept letters of credit issued by Pakistan banks, but business has returned to normal, the sources said more... (BR)

Bank Aflalah's net profit declines to Rs 897.035 million
The profit after tax of Bank Alfalah Limited has declined to Rs 897.035 million in the year ended December 31, 2009, as compared to Rs 1,301.301 million earned in the corresponding period in 2008. The bank's earning per share declined to Re 0.71 in the period under review against Rs 1.41 in the same period a year back more... (BR)

(BR) Business Recorder, (D) Dawn, (N) The News, (DT) Daily Times, (FD) The Financial Daily
Research Team:
Shoaib Ali Khan
Department Head
Shayan Hasan
Research Analyst
  Imran Altaf
Research Analyst
Abdul Majid Butt
Research Analyst
  Faiz Malik
Database Manager

Separator

Disclaimer:
This news update is being circulated for information purposes only and no action is being solicited based on it. Information and calculations presented in this news update have been generated from sources which we believe to be reliable, however we do not represent that it is accurate, complete and should be relied upon. Pak Oman Asset Management Company Ltd. does not assume any liability on it. This news update or any part of it should not be reproduced, published or distributed without prior permission.