Pakistan

ISLAMABAD, May 7: Federal Minister for Commerce Jam Kamal Khan held a detailed meeting with a delegation led by Marco Mariotti, President CIS & Central Asia, Philip Morris International, to discuss key challenges facing Pakistan’s tobacco sector, including illicit trade, regulatory gaps, and export potential. Read More: https://theboardroompk.com/hubsalt-signs-agreement-with-chinas-livoltek-for-hybrid-solar-battery-system-to-cut-annual-diesel-use-by-360000-liters/ During the meeting, the delegation briefed the Minister on the growing scale of illicit cigarette trade in Pakistan, noting that a significant portion of the market remains undocumented, resulting in an estimated annual revenue loss of around Rs350 billion. It was highlighted that nearly 45 to 47 billion cigarettes are being sold without payment of taxes, creating an uneven playing field for the formal sector. The discussion focused on structural issues in the tobacco supply chain, particularly the procurement of tobacco leaf, under-reporting of production, and weak traceability mechanisms. The delegation pointed out that although registered companies operate under strict regulatory frameworks, undocumented production and misuse of contracts enable informal players to access raw materials and expand illicit manufacturing. Participants emphasized that the issue extends beyond taxation, with concerns relating to undocumented income, money laundering, and broader economic distortions. The Minister was informed that a limited number of actors benefit disproportionately from the undocumented segment, while formal businesses continue to face compliance and cost pressures. A key theme of the meeting was the need for stronger enforcement. The delegation stressed that while laws, tax stamp systems, and regulations are already in place, their implementation remains inconsistent. It was noted that enforcement requires coordinated action by multiple institutions, including federal and provincial authorities. The role of the Pakistan Tobacco Board (PTB) was also discussed. Participants highlighted that while the Board has regulatory functions such as crop estimation and price setting, its enforcement capacity is limited. The need for restructuring and strengthening the Board to play a more proactive role in documentation and monitoring was emphasized. The meeting also reviewed policy challenges arising from Pakistan’s commitments under the International Monetary Fund programme, particularly regarding the gradual removal of import restrictions and equal treatment of commercial and industrial importers. While these reforms aim to liberalize trade, stakeholders noted that they may complicate efforts to control the supply of key inputs used in cigarette manufacturing. Federal Minister Jam Kamal Khan acknowledged the complexity of the issue, describing it as a “multi-layered challenge” requiring a comprehensive approach from farm-level production to retail enforcement. He emphasized that the core problem lies in weak enforcement rather than absence of policy. The Minister underscored the importance of aligning federal and provincial efforts, noting that effective regulation of tobacco cultivation and local markets requires active provincial involvement alongside federal agencies such as FBR and FIA. He reiterated the government’s commitment to supporting the formal sector, promoting exports, and ensuring a fair and transparent business environment. He further directed that stakeholder proposals be consolidated into actionable recommendations, with a focus on strengthening enforcement mechanisms, improving traceability, and gradually reducing the size of the informal economy. The meeting concluded with both sides agreeing to continue engagement and cooperation to address illicit trade. The Minister emphasized illicit trade controls through enhanced enforcement mechanisms by federal and provincial entities to unlock the sector’s export potential, while safeguarding government revenues and farmer incomes through better returns.

ISLAMABAD, May 06, 2026: The Competition Commission of Pakistan has approved the proposed acquisition of shareholding in Engro Polymers and Chemicals Limited by Liberty Daharki Power Limited from Mitsubishi Corporation, following a Phase-I review conducted under Section 11 of the Competition Act, 2010. The transaction involves the acquisition of shares in Engro Polymers and Chemicals Limited pursuant to a Share Purchase Agreement executed among Mitsubishi Corporation, Liberty Daharki Power Limited, and Seagreen Enterprises (Private) Limited. Engro Polymers and Chemicals Limited, a subsidiary of Engro Corporation Limited, is a leading manufacturer of Polyvinyl Chloride (PVC), caustic soda, hydrogen peroxide, and other related chemicals in Pakistan. The acquiring entity operates in the power generation sector, owning and operating a natural gas-fired power plant in Daharki, Sindh, for the generation and sale of electricity under a power purchase arrangement. The Commission assessed the transaction to determine its potential impact on competition in the relevant markets, defined as the manufacturing and sale of PVC, caustic soda, and hydrogen peroxide in Pakistan. The assessment found that the transaction does not involve any horizontal overlap between the parties and will not result in any change in the market share of the target post-acquisition. The CCP concluded that the transaction is unlikely to result in any substantial lessening of competition. The analysis further indicated that the relevant markets remain fragmented, with no significant risk of anti-competitive conduct, including collusion or foreclosure. Accordingly, the Commission determined that the proposed acquisition does not create or strengthen a dominant position in the relevant market and has authorised the transaction under Section 31(1)(d)(i) of the Competition Act, 2010. This approval underscores CCP’s strong commitment to promoting investment, enabling business expansion and corporate restructuring, and supporting economic growth, while ensuring that markets remain competitive, transparent, and fair.

Karachi, Pakistan – May 6, 2026: State Life Insurance Corporation of Pakistan (SLIC) has delivered a landmark performance in 2025, posting record financial results that underscore the success of its five-year transformation journey under the leadership of CEO Mr. Shoaib Javed Hussain. The corporation reported total income of PKR 640 billion ($2.3 billion), total premium income of PKR 289 billion, and profit before tax exceeding PKR 26 billion. Individual life new business surged 32 percent year-on-year to PKR 40 billion, driven by innovative product offerings and a comprehensive restructuring of its nationwide marketing force network. Assets under management swelled to a record PKR 2.5 trillion, reinforcing SLIC’s position as Pakistan’s largest and most financially robust life and health insurer. In a strong demonstration of its policyholder-first philosophy, SLIC paid out over PKR 224 billion in claims and allocated more than PKR 181 billion as policyholder profit bonuses during the year. “Our responsibility extends beyond performance to ensuring that growth is delivered where it matters most,” stated Mr. Shoaib Javed Hussain, CEO of SLIC. “The PKR 181 billion policyholder profit bonus demonstrates the scale at which institutional strength is being translated into direct value for policyholders. These outcomes have been delivered through product innovation, disciplined execution across the Corporation and the consistent performance of our officers, staff, and nationwide marketing force, who remain committed to working towards the best advantage of our communities.” The impressive 2025 results mark the culmination of a strategic overhaul initiated under Hussain’s leadership. Key initiatives included modernising distribution channels, launching customer-centric products, enhancing digital capabilities, and strengthening risk and actuarial functions. These efforts have not only boosted growth but also significantly improved operational efficiency and service delivery across urban and rural Pakistan. SLIC’s robust balance sheet and consistent profitability have enabled it to maintain high financial strength while expanding its role in both commercial and social protection segments. The corporation continues to serve as a key partner in nationwide social health programmes, extending healthcare access to underserved populations. Building on this strong foundation, SLIC remains focused on innovation, expanding its core insurance business, strengthening operational efficiency, and advancing institutional capabilities. With a solid balance sheet, consistent profitability, and a clear strategic direction, the Corporation is well-positioned to sustain momentum and deliver long-term value to policyholders, stakeholders, and the broader economy. Saleem Zia, Chairman of the Board of SLIC, praised the results as a reflection of continued financial strength and institutional stability. He emphasised that the Corporation remains committed to its core mandate of providing long-term protection to policyholders while upholding disciplined governance and contributing to the stability of Pakistan’s financial system. About State Life Insurance Corporation of Pakistan: State Life Insurance Corporation of Pakistan is the only AAA-rated insurer in the country. It serves as a cornerstone of financial protection and inclusion, reaching over 180 million Pakistanis through its comprehensive life and health insurance offerings. As a key administrative partner in nationwide social health programmes, SLIC plays a pivotal role in extending healthcare access to underserved populations. Simultaneously, it remains a vital institutional pillar in mobilising long-term household savings, enhancing financial resilience at the citizen level and supporting the depth and stability of Pakistan’s financial system.