During a meeting of the Senate committee presided over by Senator Farooq H Naek on Tuesday, some senators wanted extension in tax exemption for erstwhile FATA and PATA and proposed that the period should be increased from five years to ten years.
Senior officials of FBR informed the committee that after the approval of budget 2018-19, tariff on five items was changed and these items included copper, scrap, import of rice and cotton. The meeting was informed that around 123,000 non-customs paid vehicles were registered in FATA and while 6,000 vehicles were registered in Balochistan.
On the issue of trace and tracking system on production of tobacco, the meeting was informed that the system, for which efforts have been made since 2017, is yet to be put in place. The matter has been referred for taking opinion from PPRA and the issue will be resolved in the light of PPRA's views. The meeting was informed that there is no restriction on single bid for the aforementioned system. A single bid was received, but there were some technical issue in it, the meeting was informed.
The committee chairman expressed his annoyance for not resolving the issue and sought a timeline to resolve it within 15 days. The committee also suggested that appointment of Competition Commission of Pakistan chairperson and its members must be done in the light of Supreme Court decision after the approval from Cabinet.
The meeting also discussed the issue of rupee depreciation against dollar and its impact on the economy with chairman observed that it will be more appropriate if governor State Bank of Pakistan briefs the committee on rupee depreciation. The senators complained that lawyers and politicians are facing enormous challenge in opening their bank accounts.
Senator Muhammad Ali Saif was the first one who complained this and was also joined by Senator Musaddik Malik who maintained that despite giving various interviews, he has been unable to get Visa Card for the last five months.
The committee chairman remarked that this is a very serious matter as it is against the fundamental rights. He was of the view that president banking association and banking ombudsman also need to brief the committee on issue of opening of banks accounts by politicians and lawyers.
State Bank of Pakistan representative however, stated that parliamentarians are being provided banking services on preferential basis and stated that there are more than 55 million banks accounts and now the process for opening of a bank account has been made stringent. He added a condition of biometric verification has been imposed in opening of a bank account.
On the issue of rupee depreciation against dollar, the official stated that this was done due to high current account and trade deficit. He said that SBP is a fully autonomous organisation and does not discuss policy decisions with the government.
The secretary finance stated that depreciation of rupee has helped reduce the current account deficit.