Debt servicing eats up Rs900 billion in FY13:
Debt servicing of domestic and external liabilities has become the single largest component of the country’s expenditures, as it consumed Rs. 990 billion during the last financial year ended on June 30. According to fiscal Operation 2012-13 released by the Finance Division on Tuesday, the debt servicing will again become a major challenge for the struggling economy of the country on the same pattern of 90s when a major chunk of resource was consumed by debt servicing, leaving no fiscal space to look after areas of the much-needed area development.
Banks approach LHC against FBR:
Four commercial banks have approached the Lahore High Court (LHC) through a writ petition on allowing the Federal Board of Revenue (FBR) to access their central data base containing details of account holders through amendment introduction by the federal government in the budget for FY13. According to documents made available to The News, four commercial banks, Allied Bank Ltd, Soneri Bank Ltd, Habib Metropolitan Bank and Bank Al-Habib Ltd through writ petitions prayed the Lahore High Court to declare the amendment introduced by the federal government through the Finance Act 2013 illegal and ultra vires to the Constitution of Pakistan.
DISCO Seek Tariff Revision:
Five power distribution companies (DISCOs) have filed petitions with the National Electric Power Regulatory Authority (NEPRA) for the upward revision of their consumer-end electricity tariff in the fiscal year 2013-14. NEPRA determines separate tariff rates foe distribution companies (consumer-end tariff) and consumers. The difference between the distribution company’s consumer-end tariff and the general tariff foe consumers is paid to the distribution companies by the government. Islamabad Electric Supply Company (IESCO), Peshawar Electric Supply Company (PEPCO), Lahore Electric Supply Company (LESCO), Gujranwala Electric Supply Company (GEPCO) and Faisalabad Electric Supply Company (FESCO) were among the DISCOs they have proposed the tariff for the fiscal year 2013-14, which is on average 15 percent higher than the consumer-end tariff determined by the Nepra foe the fiscal year 2012-13.
Industrialists demand uniformity in power tariff:
Industrialists have appealed the government to ensure uniformity in power cost in all parts of the country as after recent increase in power tariff the average power tariff in Punjab has gone up to Rs 14.50 per unit, while industries in other provinces produce electricity at Rs. 6.30 per unit.
Pakistan reports big rise in tax revenues:
Pakistan, keen to show its commitment to fixing its ailing finances, on Tuesday reported a 25 percent rise in tax revenues since the beginning of the fiscal year due to a raft of new tax collection measures introduced by the new government. Pakistan has one of the lowest tax collection rates in the world and the International Monetary Fund in watching its efforts closely. It wants Pakistan to do more to tackle rampant tax evasion, particularly by its wealthy elite.