- Only those companies that are already registered under Pakistan Companies Ordinance 1984 will be eligible for registration in CAF.
- Via open auction, now it will be possible to purchase or lease the state land for 50 years or even more for another 49 years.
- For CAF, all the financial institutions and banks will allocate the separate credit share.
- The transfer of land matter for CAF will be exempted of duty and dividends from CAF will also be exempted from tax.
- There will be no customer duty on import of raw material for preparation of agricultural pesticides, equipment and machinery for agriculture, livestock, poultry and dairy under SRO 575(1)/2006.
- Under the Textile Policy 2009-14, Textiles Investment Support Fund (TISF) will be created.
- From the TISF, following measures are suggested for financing;
– Refinancing of export accessible at 5%
– Under the LTTF scheme, long term loans will be transformed into pricing along with a relaxation time of one year deprived of the facility of refinancing.
– Government of Pakistan allocated 5.4 billion rupees to settle the previous claims of 2007-08 under R&D.
- A portion of investment financing will be contributed by Government of Pakistan via technology up-gradation fund.
- On all value-added textile exports, there is a duty drawback between 1 – 3% that is offered under this policy.
- To boost the new investment policy, there will be no import duty on all textile machinery and raw material.
Construction & Housing
- Through Presumptive Tax Regime, housing and construction companies will be charged @ 1% on yearly basis.
- Registration fee and stamp duty will be rationalized for the housing loan.
- For the period of five years, there will be no tax on all such new houses that will be constructed on plots having area up to 150 sq. yards as well as on flats covering an area of 1,000 sq. feet.
- Banks and DFI’s will be bounded to increase the credit facilities for modernization and replacement of machinery that is used for construction of housing.
- Repatriation of profits and dividends as well as freedom of investment is allowed by SBP under overall investment policy that is feasible for foreign investors.
- According to new rules of foreign exchange, there is no restriction for any foreign investor to invest in the stock exchanges of Pakistan and purchase the shares. A convertible rupee account is necessary to open for all investors to make portfolio investments.
IT & Telecom Sector
If someone needs to start a cellular operation network in Pakistan, he must have to get a license from respective authority i.e., Pakistan Telecommunication Authority.
Energy (Power, Oil & Gas)
- The energy industry of Pakistan is controlled by policies of several government agencies such as Policy for Development of Renewable Energy for Power Generation 2006, Policy for Power Generation Projects 2002 and Petroleum Exploration & Production Policy 2009.
- On import of machinery and equipment used for power generation projects that is not manufactured in Pakistan, 5% custom duty will be applicable. However, machinery and equipment that are used for nuclear and renewable energy sources, wind energy, bio energy and ocean energy are exempted from custom duty.
- A federal level one-window support will be provided for 50MW or above power projects, however this support will be provided at provincial level for less than 50 MW Projects.
- The rate of payable royalty will be 12.5% of total value of petroleum.
- Government will encourage the joint ventures of local petroleum companies and foreign companies.
- A handsome concession on import of petroleum and refinery equipment will be provided by government.
- The lube industry has been decontrolled.
According to State Bank of Pakistan Act, 1956 and Banking Companies Ordinance, 1962, following are some regulations;
- Cash reserve
- Capital and reserve requirement
- Assets outside Pakistan
- Liquid assets
- Remittance of profits
- Annual accounts and audit
- Number of branches