BDO Ebrahim & Co.

Chartered Accountants

Risk Advisory
Service

Client Name
Assignment
Audit Unit

Completed
By
Date
Reviewed By
Date

Waqar Ahmed

Schedule

29-Sep-2015

Pakistan Industrial Development Corporation

Annual Audit
Investments

System Note:
Concerned staf
Designation
Extension

:
:
:

Zahid Ur Rehman Mughal

General Manager Finance & Accounts.
339

BDO Staf met with Mr Zahid Ur Rehman Mughal to gain understanding of

Investments of Pakistan Industrial Development Corporation.
Decision of further investment / disposal of investment property is at
the discretion of Board of the PIDC.
Only policy exist for investment is relating to investment in Banks /
Investment Companies (Investment in Term Deposit Certificate, Certificate
of Investments, Defence Saving Certificates)
Issue letter to Bank 10 to 15 days prior the maturity of existing
investment with Bank for forth coming ofered rates and roll over of
investment (roll over only in case when the rate ofered by the Bank is
competitive with the rate ofered in market otherwise the maturing
investment is withdrawn from existing Bank and invested in the Bank
ofered higher rate) .
As per PIDC policy investment in each bank is limited to a maximum
range (for A rating bank maximum investment limit is 300 million and for
AA & A+ rating banks is limited to maximum of 400 million).
Investment in subsidiaries and associates (which are mostly
Government entities) are done upon instructions from Ministry of
Development through proper approval of DWP (Department Working
Party includes personals from Ministry of Development and Ministry of
Planning) board then the funds are allocated for projects and budgets are
forecasted / prepared for investment in upcoming projects.

A member firm of BDO INTERNATIONAL