Pakistan Tehreek-e-Insaf government is not doing what was expected to turn things around by taking robust economic measures. This was stated by Javed Balwani, chairman, Pakistan Apparel Forum, while talking to Business Recorder. He further stated that exporters who had opted for government bonds against their outstanding sales tax refund liabilities had to face great hardship as the bonds were worth much less than their face value.
"Another issue with bonds was that they could not be cashed for 4-5 months, and we had to launch protests to compel the government to release Rs80-90 billion to exporters, around 30 percent of total refunds due. The government has yet to clear 70 percent refunds," he stated.
Balwani appreciated the government for imposing new taxes on luxury goods, including cosmetics, imported goods of domestic use and edible products.
He said small to medium-sized exporters are facing serious liquidity crunch because of increased working capital requirements on the back of steep currency devaluation in recent months.
Talking to Business Recorder, Ijaz Khokhar, chairman, Pakistan Readymade Garments Manufacturers & Exporters Association (PRGMEA), lamented that there has been no ownership on the part of Prime Minister Imran Khan to improve the situation facing exporters of different sectors.
During their meeting held at Bani Gala in June this year, he said that they had requested the prime minister to take ownership and hold quarterly meetings with different sectors. "Since then nothing has happened and exporters and the businessmen associated with various sectors continue to suffer," Khokhar lamented.
He further pointed out that the SME sector is the worst hit and there appears to be no vision to address their genuine issues.
"You cannot improve the economy by completely ignoring different stakeholders and the business community. The prime minister has to take ownership and initiate interaction with exporters and manufacturers", he asserted.
Ajmal Baloch, president All Pakistan Traders Association said the government has done nothing worth praising despite the passage of over 15 months which shows "its economic team is not aware of the miseries facing the common man."
He said that markets are giving a deserted look, as people from all walks of life-salaried class, exporters, manufacturers, traders, etc-have all been badly affected, and the government appears to be indifferent despite protests.
He further said that the manufacturing sector is the worst performing sector today because gas, a key input, is being supplied at exorbitant rates. He added that the government's economic managers should take things seriously instead of getting 'appreciation' from the prime minister who is unaware of the true state of affairs.
He also came down hard on the Federal Board of Revenue (FBR) for conducting 'unauthorized raids' despite orders of the prime minister not to harass the business community.
"If FBR wants to stop smuggling and eradicate corruption, it should go to border areas, and deploy honest customs officers," he added.
Noted analyst Rasool Baksh Raees said that the prime minister should take the business community into confidence as their support is needed to steer the country out of the prevailing economic crisis.
He said that mere claims of improving the economy would not work, as practical efforts should be taken to make the common man realize that genuine efforts are being made to give relief to masses.
About replicating Khyber Pakhtunkhwa model of the police and education reforms, he said that the government has yet to apply these policies in Punjab.
Copyright Business Recorder, 2019
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