KARACHI: The business community is confused and perturbed. Prime Minister Imran Khan’s series of meetings with business leaders in Karachi on Sunday did not do much help.
The 100 days passed and none of the Khan’s claims came true, which was anticipated. But the businessmen never had expected such uncertainty, confusion and directionless approach on part of PTI government.
To calm down the agitated rather irritated tycoons, PM Imran Khan met them all and offered same old ambitions and assurances sans any concrete and workable strategy.
“The meeting was not much encouraging, as the PM and his cabinet did not mention a clear strategy for the economic recovery,” Mazhar Ali Nasir Senior Vice President of Federation of Pakistan Chambers of Commerce and Industry (FPCCI) said.
Stock guru Aqeel Karim Dhedhi also voiced his reservations regarding government’s performance. He reportedly criticized the board of Securities and Exchange Commission of Pakistan (SECP).
Stock brokers prsented the same old recommendations primarily praying eased taxation regime for equity markets; hopes are not much high this time.
“PM has assured us that a plan has been formed to bring down deficits with a mix of support from Saudi Arabia, China; enhancing exports and curtailing imports,” President Karachi Chamber of Commerce & Industry (KCCI) Junaid Makda said.
The PM talked about increasing the annual exports to $40 billion in three years, but the government still had not come up with a workable plan.
“PM kept reiterating that businessmen should make more and more money so that nation could prosper,” SVP FPCCI said adding how the businesses would expand in such economic uncertainty and high cost of doing business.
“Government will unveil in the coming weeks a proper economic reform agenda showing a clear road map for taking the country out of the current economic crisis,” a business leader quoted the Premier after the meeting.
Pak Rupee has weakened 33% against USD since January 2018 while interest rated surged to 10 percent. While there has been no improvement in exports, which recorded at $7.3 billion in four months.
Industrialists have urged the PM and his cabinet to reduce utilities particularly gas prices. Industry leaders also recommended to abolish the Gass Development Infrastructure Cess (GIDC).
“We have been demanding a separate Ministry of Exports and Textiles, which the PM had agreed to form earlier, but still there is no progress in this regard,” SVP FPCCI said. “A separate ministry is must if the government intends to increase export to $40 billion in three years.”
The Overseas Investors Chamber of Commerce & Industry (OICCI) members apprised the PM about challenges in attracting sizeable foreign direct investment (FDI) in the country and offered recommendations towards creating a conducive and enabling environment.
President OICCI Irfan Wahab emphasized on the need for “predictability and consistency of policy and its implementation, as the investors can take market risk but have difficulty in managing systematic risk”.
The business community has urged the government to form a comprehensive and sustainable economic strategy incorporating their input for the economic recovery.