Fund Collection Through IPOs, FPOs Hits New 5-Year Low

Following the poor show by public offers and low-investor sentiment in the stock market, various companies in country raised just Rs 16,927 crores through initial public offers (IPOs) and follow-on public offers (FPOs).
It represents 63% decline in fund collection as compared to Rs 45,137 crore collected last year according to the report of research firm, Prime Database. Many companies have dropped idea to raise funds through public offer due to poor response from investors.
While commenting on the development, ICICI Securities senior vice-president, Ravi Sardana said, "The year began with an impressive line-up of offerings. But the global meltdown triggered a market collapse and sentiment reached such a low that there was no investor interest at any price."
The largest ever IPO in India, Reliance Power did well in 2008 and raised Rs 10,123 crore. Its IPO accounted for 60% of total funds raised in the reporting year. There were only two issues of over Rs 1,000 crore in current year as compared to six in 2007. Total of 38 public equity issues were floated in current fiscal as compared to 106 in the previous year.
CMD of Prime Database, Prithvi Haldea, stated, "Unlike the preceding year, which had seen the real estate sector cornering 33% of the total mobilisation, this sector had only a 7% share in 2008. Power sector dominated 2008, which through two issues, cornered 65% share of the total fund raised. Among other sectors, banking had a 10% share raising Rs 1,639 crore."

Source:http://www.topnews.in/

Pound Record Dropped Against Euro

LONDON: The pound dropped close to a record low against the euro and hit a two-week trough against the dollar on Wednesday as worries about the bleak economic outlook pressured the pound in thin, pre-Christmas trade.
The pound matched its low on a trade-weighted basis, while the euro stayed close to last week’s all-time high of 95.56 pence, keeping alive the prospect that it may soon breach parity against the UK currency.
Analysts said overall sentiment towards the currency remained very negative, with illiquid trading conditions exaggerating movements.
“The momentum in euro/sterling is so strong at the moment that you wouldn’t want to go against it,” State Street foreign exchange strategist Lee Ferridge said.
He added: “We have seen some fairly big moves today because of the very thin liquidity.”
There was further bleak news on the UK economy on Wednesday as the Royal Institution of Chartered Surveyors forecast that house prices would fall by 10 percent next year.
Meanwhile, a string of retailers have gone into administration, the latest being entertainment company Zavvi and menswear fashion chain The Officers Club.
Their failures provided a grim reminder that the nation’s economy is continuing to deteriorate.
At 12:15 p.m., the euro rose 0.6 percent to 95.021 pence, just below a session high of 95.33 pence, while the pound hit its low for the day against the dollar of $1.4659, its weakest in over two weeks.
Versus a basket of currencies, the pound was at 75.5, matching the low hit on Tuesday, its weakest on daily records held by the Bank of England going back to 1990.
So far this year, sterling has lost around a quarter of its value versus the dollar, while the euro has surged by around 30 percent against the pound as a deteriorating UK economy and falling interest rates took their toll.
Many analysts feel the euro could breach parity against the pound soon, helped by expectations of a widening yield gap between the UK and euro zone, where interest rates are currently 50 basis points higher than in the UK.
UK policymakers have suggested that borrowing costs could fall to near zero from their current level of 2 percent, while officials at the European Central Bank have not hinted at additional aggressive rate cuts from 2.5 percent.
“The ECB is being more hawkish and there are some investors that think these are good levels to enter long euro positions, which is helping euro/sterling,” UBS currency analyst Geoffrey Yu said

Source:http://www.apakistannews.com/

India To Pakistan ImportsVery Slowdown

Lahore: Import from India to Pakistan has continued uninterrupted despite rising tension between the two nations after the Mumbai terror attacks last month.
A study conducted by The News has found no major impact on the inflow of goods from different routes from India to Pakistan. However, on the export side, downtrend has begun.
Pakistan mainly exports cement to India through rail and sea routes and its exports has sharply declined due to non-tariff barriers.
Annual trade between India and Pakistan currently stands at 2.3 billion dollars with balance heavily tilted in favour of the New Delhi. Pakistan imports some 1.95 billion dollars worth of products from India including fruits, vegetables, seeds, spices, maize, soybean, mushroom, medicines, chemicals, cotton and others. On the other hand, its exports are worth only 400 million dollars.
These days, Indian vegetables are coming from Wagah border regularly and the Mumbai attacks have not hampered the flow of commodities. Around 70 to 80 trucks loaded with Indian tomato, potato, cotton and other items are arriving daily.
Though, India has suspended land trade through Muzaffarabad-Srinagar route after the Mumbai incident and has also threatened to stop trade from other routes.
However, the business community of both sides is against war and says the two governments should resort to dialogue instead of indulging in war talk.
"We want other land routes opened," HK Bhatia, an exporter based in New Delhi was quoted by the paper, as saying.
Source:http://www.topnews.in/

Jamil Magoon, a veteran leader of the Federation of Pakistan Chambers of Commerce and Industry (FPCCI), said that the governments of both the countries should boost confidence of the business community in order to stabilise the region. "War will take both the nations 100 years back," he added.

Excise depatt tax recovery situation reviewed

KARACHI: Sindh Excise and Taxation department recovered taxes amounting to Rs 6507.201 million during July-December 2008 which was higher by Rs 1700.658 million as against the given target of Rs 4805.543 million. This was stated by Sindh Minister for Excise and Taxation, Mukesh Kumwar Chawla while addressing a meeting of all the Regional Directors from all over Sindh and Karachi at his office here Thursday. In a briefing on the occasion Secretary E&T, Manzoor Memon informed that the department recovered Rs 808.609 million on account of vehicle tax as against the given target of Rs 993.847 million which was lower by Rs 185.238 million. He said this happened because of existing economic conditions and strict bank leasing terms as a result of which registration of vehicles registered a 33 percent decrease. The Secretary said the department collected Rs 725.178 million as against the target of Rs 802.280 million as Excise Enactment. On the other hand, the department collected Rs 4718.681 million as against the target of Rs 2762.500 million - an increase of Rs1954.181 million. Memon said that as cotton fee target of Rs 62.500 million, a collection of Rs 74.721 million was made while Rs 107.173 million were recovered as Professional Tax against the target of Rs 93.750 million. However, on account of Hotel Tax, the collection stood at Rs74.839 million as against the target of Rs 91.666 million. The Minister was informed that on account of infrastructure cess, Rs 1240.354 million are in deposit in the shape of bank guarantee as per court order and has not been included in the overall collections. On the occasion Chawla directed all the Regional Directors to further improve the collection of taxes and said that during road checking, the officials and personnel should be in uniform. He said the staff could carry out road checking only under the supervision of concerned ETO. He further directed that private vehicle should not be used during checking. He directed the Excise Police that to check drugs trafficking, the suspected vehicles should be checked at Excise Posts only and no unnecessary harassment be caused. He directed that all Regional Directors to pin point inefficient officials and staff so that disciplinary action could be taken against them.

News Source:http://thearynews.com/

Pak forex reserves stand at $9.3396b

KARACHI: Pakistan's total liquid foreign reserves stand at dollars 9.3396 Billion, says statement issued by State Bank of Pakistan here on Thursday. On December 13, 2008 the foreign reserves held by the State Bank of Pakistan amounted dollars 6,129.9 million. Whereas, net et foreign reserves held by banks other than SBP figured dollars 3,209.7 million.

News Source:http://thearynews.com/

FGC expected to become functional from next month

FAISALABAD: Faisalabad Garments City (FGC) is expected to become functional from the month of January. Mukhtar Ahmad Sheikh, chairman, FGC Company said here Thursday that Federal Advisor on Textile Industry Dr Mirza Ikhtiar Baig personally visited the FGC and lauded the efforts made by its Board of Directors (BOD) for its quality and early completion. "This is the first project of Textile Ministry, which is expected to be completed at the earliest to give a quantum jump to the garments' export from this facility", said the Advisor. The Advisor also assured full financial and administrative support from the Government of Pakistan and Textile Ministry to expedite work on FGC which would also provide jobs to hundreds and thousands of youth including females.

News Source:http://thearynews.com/

Crude oil declines below $39

NEW YORK: Crude oil fell below $39 a barrel for the first time since July 2004 on speculation that OPEC didn’t trim production enough to bolster prices as demand drops.Futures have tumbled 74 percent from a record $147.27 on July 11 as inventories increased and consumption declined. The Organization of Petroleum Exporting Countries agreed to cut output by 2.46 million barrels to 24.845 million barrels a day at a meeting yesterday in Oran, Algeria.Crude oil for January delivery fell $1.35, or 3.4 percent, to $38.71 a barrel at 9:12 a.m. on the New York Mercantile Exchange. Futures touched $38.34, the lowest since July 2, 2004.Brent crude oil for February settlement declined 1 cent to $45.52 a barrel on London’s ICE Futures Europe exchange.

News Source:http://thearynews.com

Yahoo Lays Off 45 People

Global search engine and web services provider Yahoo! has started the retrenchment drive by terminating the services of 45 people in India. Company spokesperson said that the global financial crisis and slowdown impacted the growth of the company, forcing it to take extreme steps like retrenchment. It would also employ other cost cutting measures to mitigate the losses. It had already hinted in October about the job cuts.
The company said, "Around three percent (45 people) of our India headcount, which is 1,500, has been asked to go on Wednesday as per the directive from our headquarters at Sunnyvale in the US. Majority of those laid off were from Bangalore operations, while the rest are from Mumbai. The layoffs were based on two parameters - performance and business realignment."
Yahoo is also proposing the closure of some non-performing units and clubbing of some operations into new entities to combat the slowdown. It is also exploring new areas to sustain growth rate.
The company had already terminated the services of 40 people from its research and development and web services divisions in Bangalore and Mumbai, last year.

News Source:http://topnews.in/

US Congress, WHouse talking $15B auto bailout

WASHINGTON: Stunned by the loss of 500,000 jobs, congressional Democrats and the White House reached for agreement Friday on about $15 billion in bailout loans for the beleaguered auto industry. President George W. Bush warned that at least one of the Big Three carmakers might not survive the current economic crisis.Several officials in both parties said a key breakthrough on the long-stalled bailout came when House Speaker Nancy Pelosi bowed to Bush's demand that the aid come from a fund set aside for the production of environmentally friendlier cars.The California Democrat spoke to White House chief of staff Josh Bolten during the day to signal her change in position, they added.The developments unfolded as desperate auto executives pleaded for a second day with lawmakers for loans to help them survive, and the government reported the worst single month's job loss in 34 years.Pelosi's office issued a statement saying legislation would come to a vote in the House next week. The Senate is also scheduled to be in session to consider steps to aid Detroit's Big Three."Congress will insist that any legislation include rigorous and ongoing oversight to guarantee that taxpayers are protected and that resources are directed to ensure the long-term viability and competitiveness of the American automobile industry," Pelosi's statement said.In a subsequent statement, she added that the billions originally ticketed for development of more environmentally friendly cars would be repaid "within a matter of weeks."Democrats said her hope was to include the funds in an economic recovery bill that lawmakers are expected to prepare for President-elect Barack Obama's signature shortly after he takes office.Officials in both parties also said the legislation would include creation of a trustee or group of industry overseers to make sure the bailout funds were used by General Motors Corp., Ford Motor Co. and Chrysler LLC for their intended purpose.The funds are designed to last until March, giving the incoming Obama administration and the new Congress time to consider the issue anew.At the White House, Bush declared the economy was in a recession, and he urged a gridlocked Congress to act quickly on a multibillion-dollar industry bailout — with taxpayer protections.

News Source:http://www.thearynews.com/

Pak, China boost economic ties

BEIJING: Pakistan and China have achieved two major milestones in cooperation in economic sector during talks between top level officials from the two countries here this week, a senior official at Pakistan Embassy said Friday.One of the major achievements in the realm of economic cooperation was completion of negotiations and signing of agreement on Joint Study for Comprehensive Economic Cooperation here early this week, the Counsellor Commercial and Economic at Pakistan Embassy Dr. Naeem Khan said.The pact was signed from Chinese side by its Vice‑Minister Yie Ziying while Pakistan was represented by Senior Joint Secretary Ministry of Commerce Zahid Bashir, he said.The deal he said will benefit the thinktanks, major economic and business groups of both Pakistan and China to understand in a better way the areas of economic cooperation for the mutual benefits in trade and investment.The negotiations for Joint Study group were initiated some two years back and the agreement was signed on Monday, Dr. Naeem said.Dr. Naeem Khan said that the pact covers all areas of economic cooperation including service, trade, investment, etc.The second headway was achieved in the economic sector on Wednesday when both countries successfully concluded the fifth round of negotiations on the bilateral agreement on service trade and market access to the service sector.The two sides have agreed that they will choose a time to sign the pact after getting approval from their respective countries.The negotiations from Pakistani sides were led by Senior Joint Secretary, Ministry of Commerce Zahid Bashir.The two countries signed a free trade agreement covering goods trade and investment cooperation in November 2006 and a supplement pact on boosting bilateral investment in October.

News Source:http://www.thearynews.com/

US Stocks drop 670 on recession confirmation

NEW YORK: Wall Street stocks plunged Monday, giving back most of their gains from the past week, amid bleak economic news from around the globe including confirmation of a recession in the United States.The Dow Jones Industrial Average sank 679.95 points (7.70 percent) to close at 8,149.09, in the fourth-steepest point loss in history for the blue-chip index.The Nasdaq composite plummeted 137.50 points (8.95 percent) to 1,398.07 and the broad-market Standard & Poor's 500 index sank 80.03 points (8.93 percent) to 816.21.A pullback was expected after a huge snapback rally over the past several sessions, with the Dow posting its best five-day percentage increase since 1932 of 17 percent. But selling began early and quickly became a freefall.Market action came as the economic panel recognized as the arbiter of business cycles said the US had entered recession in December 2007 based on its measure of income, employment and other factors."The market has gotten off to a tough start to the week today, as recession fears have now become a reality, and the questions that remain are just how bad and for how long this recession will linger over us," said Michael Fowlkes, analyst for the online investment service Investors Observer.Also, a survey of the manufacturing sector showed the weakest conditions since 1982.The 10-year US Treasury bond yield fell to 2.719 percent from 2.957 percent Friday and that on the 30-year bond dropped to 3.236 percent against 3.487 percent. Bond yields and prices move in opposite directions.Citigroup tumbled 22 percent to 6.45 dollars, handing back much of its gains from an 18 percent rally following the government bailout of the banking giant a week ago. Elsewhere in the sector, Bank of America declined 20.9 percent to 12.85 and JPMorgan Chase shed 17.5 percent to 26.12 dollars.Yahoo lost 6.7 percent to 10.74 dollars as markets mulled reports that the struggling Internet giant might seal an alliance on search advertising with Microsoft, down 7.96 percent at 18.61.Ford gave back early gains and fell 5.2 percent to 2.55 dollars as the sputtering automaker said it was studying the sale of its Volvo Car unit to cope with weakening sales.

News Source:http://www.thearynews.com/

Our New Site Free Cooking Recipes:http://www.free-vido-recipes.co.cc/

OGRA decides petrol price cut by Rs9/lit

ISLAMABAD: Oil and Gas Regulatory Authority (OGRA) has decided to decrease the oil prices, the ministry of finance sources said on Sunday.According to the sources the price of Petroleum will be reduced by Rs. Nine per litre, while kerosene oil and high speed diesel prices will be cut by five rupees per litre and the light diesel rate will decreased by Rs. Four per litre. According to the Ministry of Finance sources after cut in the oil prices, per litre petroleum price went down from existing Rs 66.66 to Rs. 57.66, kerosene oil price from Rs. 56.87 per litre to 51.67, light diesel price from Rs 53 to 48 per litre, high speed diesel price goes down to 59 rupees and HOBC from Rs. 81.08 per litre to 72 rupees.The new fuel prices will be enforced from the midnight of November 30 to December 1st. OGRA will issue a notification to formally announce cut in the fuel prices.

News Source:http://www.thearynews.com/

OPEC likely to cut oil production

CAIRO: OPEC meets in Cairo later Saturday to review turmoil in the world oil market and decide whether another crude output cut is needed to prevent prices spiralling even lower.However, it looked increasingly unlikely that the oil exporters' cartel would slash production at the gathering, as many ministers indicated they would prefer to wait until next month's scheduled meet in Oran on the Algerian coast."This meeting is a consultation meeting. I am not expecting that we will have a decision for the time being... although we think the market has a surplus," said Kuwait Oil Minister Mohammad al-Olaim in Cairo on Friday."So we think a decision could be taken but I think it will be in Algeria."Several other OPEC ministers, including Iran, Qatar and Nigeria, also support the idea of deferring a decision until December 17 in Oran.Venezuelan Oil Minister Rafael Ramirez said OPEC should cut production by "at least one million barrels" per day before the year-end."Maybe we need a cut. But we have to decide when -- if tomorrow or in the next meeting in Algeria," Ramirez told reporters.Libyan Oil Minister Shukri Ghanem said that while Saturday's meeting was meant to be consultative, a decision to cut output should not be ruled out."We should study figures on supply and demand (and on) the increase in stocks," Ghanem said, "but that does not exclude the possibility of a decision" to cut production."All options are open... We think that a decision will be taken sooner or later."Oil prices have fallen off a cliff since striking record high points above 147 dollars per barrel in July.Last week they dived underneath 50 dollars per barrel to hit the lowest levels since early 2005 amid widespread fears that a looming global recession could force consumers to slash their energy usage.

News Source:http://www.thearynews.com/

Nikkei rises on China rate cut

TOKYO: Japan's Nikkei average edged up 0.6 percent on Friday, cheered by an interest rate cut China but held back by a plunge in Panasonic Corp (6752.T) after a drastic cut in its outlook.Gains were led by shipping firms such as Kawasaki Kisen (9107.T), trading houses such as Itochu Corp (8001.T) and construction machinery companies such as Komatsu Ltd (6301.T), extending advances made a day earlier after China axed rates by over 100 basis points on Wednesday to prop up growth."China-related shares continue to rally on expectations that China's rate cut will support its economy," said Toshiyuki Kanayama, a market analyst at Monex Inc.Meanwhile, weak output data and the downward revision by Panasonic kept investors careful about chasing prices higher, analysts said.Panasonic, the world's No.1 plasma TV maker, dived 11 percent after cutting its annual net profit forecast by 90 percent and announcing plans to restructure as the global financial crisis dampens sales of TVs and other electronics."Panasonic's earnings forecasts underscored the deteriorating health of the economy," said Terushi Hirotama, head of trading at Ichiyoshi Securities."Until recently, investors had believed that Panasonic could withstand the downturn. But now, investors are saying 'Panasonic. You too?'The benchmark Nikkei (.N225) climbed 47.70 points to 8,421.09 after rising 2 percent the previous day. The broader TOPIX index (.TOPX) was little changed on the day at 828.82.Trade was thin, with 746 million shares changing hands on the Tokyo exchange's first section compared with last week's morning average of 932 million. Declining shares outnumbered advancers 794 to 774.Many investors took a back seat as there were fewer fresh factors from overseas after U.S. financial markets were closed on Thursday for the Thanksgiving holiday.Government data showed on Friday that Japanese industrial production dropped sharply in October, prompting warnings that Japan's recession will be even deeper and longer than previously thought.On the other hand, data showed Japan's unemployment rate unexpectedly fell to 3.7 percent in October, down from 4.0 percent in September.Kawasaki Kisen climbed 4.9 percent to 383 yen, Itochu advanced 6.3 percent to 471 yen and Komatsu jumped 5.6 percent to 1,130 yen.JFE Steel Corp, the world's third-largest steelmaker, said on Friday it was considering building a plant to process iron ore in the Middle East.JFE Holdings (5411.T), the parent company of JFE Steel, rose 4.9 percent to 2,265 yen.Panasonic tumbled 11 percent to 1,143 yen after hitting a five-year low of 1,131 yen.

News Source:http://www.thearynews.com/

Indian markets shut after Mumbai attacks

MUMBAI/SINGAPORE: A series of deadly attacks in Indian commercial capital Mumbai forced a closure of the country's stock and commodity exchanges and drove up its risk premium in international credit markets.The central bank closed the bond and foreign exchange markets but said it would continue auctions to keep cash flowing through interbank lending markets, which seized up after the global financial crisis destroyed Wall Street banks in September.The capital markets regulator said the Bombay Stock Exchange and National Stock Exchange will be closed on Thursday after the attacks, which killed 101 people and brought the security forces into two luxury hotels in south Mumbai.Coming at a time when foreigners have been heavy sellers of Indian assets, the attacks raised fears of a steeper fall in the rupee and a further blow to market confidence.But as traffic ground to a halt in south Mumbai, where the central bank and several financial institutions are located, it appeared the earliest indications of how anxious investors were would be known only on Friday.Traders in Singapore said there were no trades in offshore rupee forwards, but Indian stock index futures fell 2.5 percent in early Singapore trade.The risk premium for top Indian lender State Bank of India (SBI) rose. The state-owned bank is a proxy in the debt market for the government, which has no sovereign bonds outstanding.Credit default swaps, which are insurance-like contracts, on the bank's five year bonds widened 15 basis points to 435 basis points after the attacks."Clearly, it will be negative for the sentiment towards India at this point of time, the time when the world is already looking to be highly uncertain in term of its growth prospects," said Joseph Tan, chief Asian economist at Credit Suisse in Singapore."When the equity market actually opens, it could probably be opening down as opposed to the rest of Asia."By 0340 GMT, the stock futures Nifty contract was down 39.5 points at 2,710 in thin volume, off a low of 2,670.5 but pointing to a likely steep fall in domestic shares.On Wednesday, the 50-share NSE index gained 3.7 percent as rate cut expectations gathered after China cut interest rates. India's main 30-share BSE index ended up 3.8 percent.The rupee closed Wednesday's trading at 49.48 per dollar.It figures among the weakest currencies in Asia this year alongside the Indonesian rupiah and Korean won, having dropped 20 percent against the dollar owing to capital outflows and a withdrawal of foreign credit lines from risky markets.Foreign investors have withdrawn about $13.5 billion dollars from the Indian stock market this year, compared with a record $34 billion from South Korea and $22 billion from Japan.Currency analysts and traders expect the rupee will weaken sharply when it opens for trading, but they also suspect any weakness will be knee-jerk and fleeting, as it has been during the scores of previous bombings and attacks in India."This might give reason for foreign funds to hold inflow for the time being, but the immediate concern will be on the domestic and tourism spending nearing the year-end," said Enrico Tanuwidjaja, a currency strategist at OCBC Bank."The Reserve Bank of India is likely to guard the dollar/rupee on possible spikes."Credit Suisse's Tan agreed. "Such terrorist attacks do not have a lasting impact on the market -- I don't think it will have a lasting impact on India," he said.

News Source:http://www.thearynews.com

IDEAS-2008: defence exhibition today

KARACHI: The five-day International Defence Exhibition and Seminar (IDEAS-2008) will start today at the Karachi Expo Centre with the participation of 162 defence manufacturing organisations from 58 countries.The organisers of the event said it is the biggest exhibition in the country’s history.The event is aimed at bringing together local and international arms manufacturers and buyers, and exploring possibilities for cooperation and joint ventures in the field of defence production.At least 256 defence-related companies will take part in the exhibition including 94 Pakistani firms. Out of the 94 Pakistani defence companies, almost 60 per cent are from the private sector.As many as 221 defence manufacturing companies participated in IDEAS-2006 including 73 domestic and 148 foreign firms from 27 countries.The first IDEAS was held 2000, with the participation of 125 companies from 45 countries.IDEAS-2008 will see the JF-17 thunder fighter aircraft put to display for the first time at a defence exhibition as a co-production of Pakistani and Chinese defence industries.A seminar is also being held on the first day of IDEAS at a local hotel where national and international defence experts and analysts will dwell on issues concerning security and defence needs of the region in the backdrop of the war against terrorism.Some 66 defence delegations from participating countries are also taking part in the IDEAS-2008 out of which 30 delegations are high-level, headed either by the defence ministers, secretaries or services’ chiefs of the countries.On the sidelines of the IDEAS-2008, over 100 high-level meetings will be held between foreign delegates, key government officials and participants of the exhibition for forging alliances in defence production. Some 7,500 persons have been directly employed by the organisers of IDEAS this year for holding the event.The organisers have also involved over 300 students of prestigious institutes of higher education in the city and imparted training regarding event organisation. There have been also numerous persons indirectly employed for holding of the event.Director-General of Defence Export Promotion Organisation (DEPO) Major General Mohammad Farooq, who is the organiser of IDEAS, told newsmen at a press conference on Sunday that holding an event with such a remarkable presence of international participation would surely help in the growth of the country’s defence industry and related businesses.Maj. Gen. Farooq said that various unnecessary expenditures for holding IDEAS-2008 had been slashed as the organisers, for the first time, had put in place the idea of self-reliance and hence did not get any financial support from the national exchequer.He said that IDEAS-2008 would also directly benefit the cause of augmenting production capabilities of Pakistan’s defence manufacturing industry. The event also provides a platform for the exchange of ideas, needs and strategies on defence issues among friendly and regional countries, thus promoting a move towards peaceful resolution of international disputes, he said.He said that, owing to the holding of four previous IDEAS events since 2000, the demand for small and light arms, rocket launchers and anti-tank missiles manufactured by Pakistan had increased phenomenally in the international market.He said that, thanks to embargoes slapped on Pakistan’s defence procurement from time to time, the country had achieved self-reliance in defence manufacturing in different spheres.To a question, the DG DEPO said that, given the shortage of space for demonstration of heavy and mechanised weapons and other security concerns, future events of IDEAS should be shifted to a better location, away from heavily populated areas. He said that, as development of infrastructure in other cities would take time, the immediate shifting of the venue of events and exhibitions such as IDEAS was not possible.He expressed his gratitude for people of Karachi who had shown their most sincere and heartfelt gesture of hospitality for guests from so many countries participating in IDEAS, which had ensured the success of the international exhibition. He said that the occupancy of major hotels in Karachi had shot up to 100 per cent due to the event and such positive trends would surely help promote business and economic activities for benefit of Karachiites.

News Source:http://www.thearynews.com/

IMF ready to help Latvia

WASHINGTON: The International Monetary Fund is "ready to rapidly assist" Latvia deal with its economic crisis, in close cooperation with the European Union, IMF chief Dominique Strauss-Kahn said in a statement."I have informed the authorities that the IMF stands ready to rapidly assist their efforts in the context of a comprehensive economic program, and in close cooperation with the EU," the managing director said."The IMF's Executive Board has initiated fast-track procedures" to release IMF funds to Latvia should the need arise, he added.The financial institution recently simplified its lending procedures to provide quicker aid to needy countries caught up in the global financial turmoil.Latvian Prime Minister Ivars Godmanis announced Thursday his country was about to launch formal talks with the EU and IMF on financial aid to cushion the Baltic nation from its deepening economic crisis.Godmanis told reporters the goal of the talks was to "stabilize the financial system."Latvia, which broke free from the crumbling Soviet Union in 1991, has enjoyed a reputation as an economic "tiger," notably since joining the EU.But after several years of double-digit growth, the country of 2.3 million people is now grappling with a recession as once-robust domestic demand slumps in the face of high inflation, tighter domestic credit rules and the global economic crisis.The Latvian economy shrank 4.2 percent in the third quarter compared with the same period in 2007 and official data show the country is suffering the sharpest recession in the EU.The Latvian central bank expects the economy to shrink 1.5-1.7 percent this year and 3.5-3.9 percent in 2009.Several other emerging economies in Europe, including EU member Hungary and non-members Ukraine, Belarus and Serbia have also sought international aid as the global credit crunch threatens the banking industry and markets slump.

News Source:http://thearynews.com/

Tokyo stocks open down 1.33 percent

TOKYO: Japan's Nikkei stock index opened 1.33 percent lower Friday after Wall Street plunged on more weak data and delayed action on the bailout for automakers.The benchmark index lost 102.69 points to 7,600.35 in the first minute of trading.US stocks plunged Thursday for a second straight day as Democrats in Congress put off a vote on a bailout for the "Big Three" automakers until at least December.The blue-chip Dow Jones Industrial Average sank to a fresh five-and-a-half year low, losing 5.56 percent to 7,552.29 after the closing bell.There was more bad news as the US Labor Department said new unemployment claims jumped to a 16-year high.

News Source:http://www.thearynews.com/

Oil falls below $53

SINGAPORE: Oil fell for a fifth straight session to below $53 on Thursday after U.S. crude inventories climbed twice as much as expected, signaling an economic downturn is hitting hard and demand for fuel is falling.Oil also took its lead from equities, which fell in the United States and Europe to their lowest in 5- years after U.S. consumer prices dropped at a record pace in October and as prospects faded for a bailout of the U.S. car industry.U.S. light crude for December delivery, due to expire later on Thursday, fell 68 cents or 1.3 percent to $52.94 a barrel. Wednesday's $53.62 a barrel was the lowest settlement since January 22, 2007.London Brent crude rose 48 cents to $52.20 at 0112 GMT (8:12 p.m. EST)."The lack of any positive news on the demand front as well as continued global economic turmoil continue to result in a dearth of bullish news," said Jonathan Kornafel, Asia director of Hudson Capital Energy.U.S. crude oil inventories rose 1.6 million barrels last week, twice analysts' expectations, according to data from the Energy Information Administration.Total product demand fell by 7 percent against year-ago levels, the EIA reported on Wednesday, as consumption falls due to the economic crisis.U.S. Federal Reserve forecasts that the U.S. economy will contract in the first half of next year and concern about the potential for deflation in the world's top oil consumer also weighed on crude prices.Oil has shed almost two thirds of its value since its July record above $147 a barrel as demand in big consumer nations slows, prompting some members of the Organization of the Petroleum Exporting Countries (OPEC) to call for further oil output cuts.OPEC ministers gather for informal talks on a further oil supply cut in Cairo on November 29, having already decided last month to reduce output by 1.5 million barrels per day. They are scheduled to meet again on December 17 in Algeria.But OPEC's President Chakib Khelil said in remarks published on Wednesday OPEC was unlikely to act on output in Cairo because members will not know whether previous reductions have been applied.

News Source:http://www.thearynews.com/

Punjab-China business fund established

SHANGHAI: To facilitate the investors and reduce their set up cost, Punjab Government has decided to establish “Punjab-China Business Support Fund”, the Provincial Chief Minister Mian Muhammad Shahbaz Sharif said.In an interview with state news agency the CM Punjab pointed out that an amount of US$ 1.25 million has already been allocated for the Support Fund.Chief Minister further said that the objective behind setting up Support Fund is to strengthen Punjab Government’s relationship with the Chinese investors, entrepreneurs and industrialists.The CM was on a 5-day visit to China to draw the support of Chinese enterprises for investments to establish joint ventures with their Pakistani counterparts in areas of construction of housing schemes, infrastructure, power generation, public-private joint ventures in industrial sector, road network, bring modern drip irrigation technology for the promotion of agriculture sector and excavate of iron ore and coal deposits.He also exchanged views with Chinese side in setting up power generating units, as he observed that the load shedding and shortage of power is adversely hampering economic and trade activities in his province.Shahbaz Sharif held very successful meetings in this regard during his two day stay in Beijing and signed Protocols and a number of Memorandum of Understandings (MoU) before leaving on the second leg of his visit to Shanghai.In the presence of Punjab Chief Minister a MoU on cooperation in generating hydel electricity was signed with a Chinese company that would not only bring an investment of $ 200 million but also establish a power station on Tunsa Barrage with a generating capacity of 120 MW.Giving further salient features of the Fund, Shahbaz Sharif said that it could be used to provide support to Chinese Companies prospecting Punjab’s market in jointly financing the feasibility studies and business plans, act as a vehicle for Punjab Government’s participation in joint ventures and also equity participation with Chinese enterprises.

News Source:http://thearynews.com/