07 June 2004 Monday 18 Rabi-us-Saani 1425 Heuristics of capital fundamentalism The real growth in an economy is critically dependent on the existing stock of capital and the net accumulation in this stock through current investment. ... Indian election results and economic growth "It is the economy, you stupid" is the oft-repeated retort given to a novice who thought that an issue other than economy was the most important in the 1992 Presidential contest between Bush Sr and Clinton. ... Managing imbalances in the economy A universal commitment to a high economic growth rate is understandable because it creates more national wealth and prosperity for some, if not for many. So, a growth rate of 6-6.4 per cent is good news. ... Yet another bank on the verge of folding Over the brief period since the 1990s began with the privatization of banks and their de-regulation one major investment finance or development finance institution has come to grief and folded and a new one is on the verge of closure, unless it merges with others. ... Wrong way of intervening in wheat prices At last the government, which has been claiming of having sufficient wheat stocks for the current year (2004-05) despite reservation of independent analysts, has decided to import one million tones of the commodity to meet the estimated requirement of the country during the year. ... WTO: implications for businesses The World Trade Organisation (WTO) regime has several implications for businesses in terms of both challenges and opportunities. How well businesses grapple with these challenges and exploit these opportunities will shape their competitive position at home and abroad. ... Let there be a 'national encouragement bureau' In my previous article, "Caring for assets", I had emphasized the need for safeguarding of human resource as the most precious input in any organization. The question is how can we ensure caring of this peculiar form of assets, without significant financial implications? ... Implementation of IPRs imperative The threat of economic difficulties for Pakistan looms large in the wake of the WTO regime to be in full cycle in the year 2005. But it seems we are hardly aware of the implications as no systemic mechanism has yet been devised ... Wooing Islamic investors On the sidelines of the ADB meeting in South Korea recently, Finance Minister Shaukat Aziz signalled that Pakistan intends to sell Islamic bonds overseas in the fourth quarter this year. ... Cement industry's bias against local machinery The cement industry is indeed a highly important segment of the industrial sector that plays a pivotal role in the socio- economic development. ... Retail POL marketing heating up The oil market is heating up after the entry of the new franchized companies in the fuel retail business but the question being asked is whether on not they will operate beyond the existing formidable cartel for the benefit of general consumer. ... Islamic finance in global market Islamic financial system initially evolved as a form of financial intermediation for the Muslim community to conduct financial transactions that conform to Islamic tenets. ... Feudalism keeps Sindh backward Feudalism has been gradually eliminated in a number of countries but somehow it still exists very strongly in Pakistan, particularly in Sindh, although not in its original sense. ... Water quality for irrigation Water contamination has erupted in Hyderabad with some deaths and many people suffering from stomach disorders. Akram canal besides, supplying water to Badin, also irrigates agricultural lands along the way. ... Can Punjab achieve cotton output target? Will the farmers of Punjab succeed in meeting the target of 8.2 million bales fixed for them by the provincial government for the cotton crop now under cultivation? ... Why not a dam at Karoonghar Every year hundreds of thousands of people leave their homes in Nagarparkar and travel to the barrages of Sindh in search of water, along with their donkeys and cows. ... Highly erratic prices hinders long-term buying strategy Stocks turned in highly erratic price movements during the last week as negative news and strikes followed in quick succession, never allowing leading investors and financial institutions to make long-term buying strategy. ... Rupee under pressure throughout May The local currency remained under pressure throughout May. The open market, in particular, witnessed sharp downtrend. Range-bound trading was seen in the interbank market on the opening day of the week, as the rupee did not show big variations versus the greenback. ...

© The DAWN Group of Newspapers, 2004