The Overseas Investors Chamber of Commerce & Industry (OICCI) has expressed concern over the current economic situation, and has strongly urged the government to adopt prudent fiscal and administrative measures, at all levels, to sail through this difficult time.
In a press release issued here on Saturday, the OICCI, which is a representative body of 175 foreign investors in Pakistan, said that of the $39.97 billion import bill, oil alone accounts for $11.38 billion (28.5 percent), while food items constitute 10.5 percent of the overall import bill.
In order to reduce reliance on oil, OICCI has suggested that the energy sector should shift its short-term focus on conservation measures. While the international wheat and flour crisis created the gap, an agro-based country like Pakistan also needs to develop its agriculture sector to increase yield and, therefore, reduce import of staple food items.
An estimated $6 billion on luxury and non-essential items is an unnecessary burden and one that could be avoided. It is expected that this step would give a boost to the manufacturing sector and help towards inculcating the habit of using locally made products. At the same time, the government could contribute by reducing the entourage and protocols accompanying dignitaries on foreign trips and set an example for the country to follow.
In addition, the Chamber emphasised that restriction on import should be for a short-term to help curtail the outflow of precious foreign exchange, but "the government needs to outline clear policy guidelines for the remaining fiscal year through consultations with a greater number of stakeholders, such as industry representatives, to bring on-board the expertise, confidence and interest of a larger community." This would help in developing ownership and commitment, the OICCI said.-PR
Comments
Comments are closed.