Tuesday, March 18 2025

Auto financing improves further on rate cuts, arrival of new variants
The falling interest rate has further raised auto financing to Rs249 billion at the end of February from Rs241.6bn in January. Buyers are turning towards leasing by the banks for new and used vehicles after a steep drop in interest rate to 12 per cent from 22pc in the last eight months. Auto financing started improving in August 2024, when it was Rs227.3bn. In June 2022, auto financing was at its peak of Rs368bn. Topline Securities Chief Executive Mohammed Sohail said car financing will continue to rise amid falling interest rates. “After many years, we are seeing sharp recovery in the auto sales,” he added. Cars, sport utility vehicles, vans, and pickup sales are already going strong and may remain upbeat in the coming months due to price and exchange rate stability, improved consumer confidence, and the introduction of new variants and models.
Related news categories: auto-assembler business economic-indicators misc

Thursday, February 27 2025

SHC asks FBR to explain extra duty on auto industry
The Sindh High Court (SHC) directed the Federal Board of Revenue (FBR) chairman on Wednesday to file a specific reply in a set of petitions impugning the imposition of additional customs duty on the automobile industry. A two-judge constitutional bench of SHC headed by Justice Agha Faisal said that prima facie, the inconsistency of initial positions taken by the departments concerned and the subsequent contradictory remedial measures were the issues the government should have resolved. “Since the same was not done therefore repeatedly the matter was referred to the executive domain, however, no resolution appeared in sight”, it added. Around 100 petitions were filed between 2019 to 2024 in the SHC by the automobile manufacturers.
Related news categories: auto-assembler business economic-indicators misc