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KARACHI: Chairman of National Business Group and President Pakistan Businessmen and Intellectuals Forum (PBIF), Mian Zahid Hussain has said that the volume of tax relaxations is equal to three percent of the GDP while the same is two percent in India and one percent in South Korea.

Lauding the efforts of the government to empower the State Bank of Pakistan (SBP) through legislation, he said this must be brought down without delay ensuring smooth sailing of the economy.

The empowered central bank will be able to deliver according to its mandate which will help control inflation and improve the economy, he said.

Mian Zahid Hussain said that the Federal Cabinet has allowed amendments in the SBP Act which will make things transparent and improve the accountability mechanism.

He said that after approval of the decision by the Parliament the regulator will be able to combat inflation and ensure better usage of resources.

He said that the government will abolish the Fiscal and Monetary Policy Board formed by the former government while the tenure of the governor of SBP will be extended by two years to five years.

It will stop the government to borrow from the central bank which results in inflation while the institution will be free from unnecessary control of the finance ministry while the governor of the SBP will be answerable to the Parliament, he added.

Copyright Business Recorder, 2021

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