Archive for January, 2010

Monetary Policy: Discount rate kept constant at 12.5%

The State Bank has kept discount rates at rate 12.5% for the next two months.
The Governor of State Bank, Saleem Raza announced the monetary policy for the next two months. He announced that the agriculture sector would improve and growth rate of large scale manufacturing was recorded at 0.7%. The recovery on global front would also have positive impact on Pakistani Economy. Foreign remittance for the first six months was recorded at $4.5 billion which has lead to decrease in current account deficit, which stands at 3.4%.
Saleem Raza also informed that government has taken limited loans from the State Bank. IMF installment would enhance the schedule of payments. By June 2010 the foreign exchange reserves would reach to $15 billion. Inflation is expected to remain in double digit for two months.

Sargodha: Trader injures servant in shooting practice

A trader in Kot Moman village of Sargodha injured a servant as a bullet hit his head while shooting practice on Saturday. The trader was doing a shooting practice putting bowl on his servant Sheikh Hasnain Bilals head. Dunya News team harassed when they reached General Hospital for reporting. The servants condition was critical in a local hospital, and then he was shifted to General Hospital. Bilals family told that they were being harassed by the landlord.

Bajaur: 16 killed in suicide attack in Khar

At least 16 persons including 2 officials have been killed and several others sustained injuries in a suicide attack in Khar area of Bajaur Agency on Saturday, Dunya News reported.
According to sources, suicide attackers blew himself up near a check post in Khar area. Security forces imposed curfew and cordoned off the area. The injured have been shifted to Agency Headquarter Hospital Khar. Emergency was declared in the hospital.

European leaders deny rumors of a Greek bailout by China

Top European officials said that there was no chance of a Greek default or an EU bailout, and the country’s prime minister promised to push ahead with plans to cut its sky-high debt.
Greek Prime Minister George Papandreou told reporters at the World Economic Forum in Davos he was focussed on cutting the deficit and restoring confidence in his country, not waiting for a bailout.
Greece was meeting the International Monetary Fund in Davos but Finance Minister George Papaconstantinou told it was not asking for aid.
He denied reports Greece had chosen Goldman Sachs to seek up to 25 billion euros of bonds to China, but reiterated plans for an investor road show in Asia.
European Union Monetary Affairs Commissioner Joaquin Almunia told the EU would support Greece, but not bail them out. Greece is receiving technical advice from the IMF on ways to cut its budget deficit, raising market fears it would default.
The Greek press has been rife with speculation about possible Chinese investments in Greece since 2008. With over 2 trillion US dollars of foreign exchange reserves, China could afford to buy large amounts of Greek debt and has been moving to diversify away from dollar-denominated assets.

France moves closer to Muslim face veil ban

French Prime Minister Francois Fillon asked France’s top court to help the government draft a law banning the full Islamic veil.
The State Council is to submit its findings by the end of March. Fillon wrote to the State Council, the country’s highest administrative court, asking it to study the legal solutions enabling us to reach a ban on wearing the full veil, which I want to be as wide and effective as possible. He asked the court to help the government find a legal answer to the concerns expressed by parliament’s representatives and to rapidly submit a bill on the subject to parliament.
After six months of hearings, a panel of 32 lawmakers this week recommended a ban on the face-covering veil in schools, hospitals, public transport and government offices, the broadest move yet to restrict Muslim dress in France.