Kati chief welcomes budget provisions

Zahid Hussain, Chairman, Korangi Association of Trade and Industry (Kati), has said that credit goes to the present government that because of the sound economic policies it has been possible to get rid of international financial institutions by the end of the year
Complimenting Finance Minister Shaukat Aziz for presenting a growth-oriented and business-friendly balanced budget which would pave the way to boost trade and industrial activities and benefit the common man, he said that various concessions and incentives announced in the budget would help increase both domestic and foreign investment, and added that as already committed by the Finance Minister on various forums, no new tax has been imposed. Instead, rates of duties and sales tax have been reduced on many items.
He said that Rs 202 billion allocated for Public Sector Development Program is the highest in the history of the country. Special attention has been paid to education sector and Rs 13 billion has been allocated, as against Rs 6 billion of last year.
Similarly, for Tameer-e-Pakistan program, Rs 4 billion has been earmarked for water, gas and other related matters and for health sector also sizeable funds have been allocated.
He said that a 'Debt Management and Fiscal Responsibility Bill' is being produced in the parliament to restrict the borrowing powers of the government.
Zahid also welcomed the relief given in power tariff for domestic and industrial consumers. However, he said, the relief is below expectations of common man.
He welcomed the concessions given to agricultural sector and SMEs. He however, said that the mark-up of 9 percent is still not affordable by SMEs which should have been brought down to 6 percent.
He also welcomed the 15 percent ad hoc relief for govt employees. He said that 25 percent to 50 percent cut in duty on cars was a good step to bridge the gap between demand and supply of cars to enable the people of middle class to purchase car without making payment of any premium.
He said many concessions have been given to the construction industry and CED has been withdrawn from paints & varnishes which would help boost this industry.
He said, "In short, the budget is an 'Awami Budget' in which steps have been taken to create employment opportunities, reduce poverty and improve infrastructure of industries which is a must to meet the challenges of post-WTO regime."
He said that it was also a good omen that planning has been done for providing effluent treatment plants in industrial estates. In conclusion, he remarked that it was a matter of satisfaction for the Association that many of its budget proposals have been fully or partially incorporated in the budget.