Planning minister says export-led growth only way to sustainable uplift

KARACHI: Federal Minister for Planning, Development and Special Initiative Ahsan Iqbal has stressed the need to adopt an export-led growth strategy saying it is the only way forward for sustainable economic development and prosperity.

Speaking at Pakistan Stock Exchange (PSX) on Tuesday, the minister said that the government is focusing export-led growth strategy in its 5-year National Economic Transformation Plan 2024-29 to be announced by the Prime Minister soon.

PSX held a Gong Ceremony to formally welcome Ahsan Iqbal, Federal Minister for Planning, Development, and Special Initiatives. The gong was struck by the Federal Minister to open the trading day amidst the presence of Chairperson PSX, Dr. Shamshad Akhtar; MD & CEO PSX, Farrukh H Sabzwari, PSX Board Members, PSX Management, Senior Bankers, members of Capital Market fraternity, key stakeholders and distinguished guests.

Ahsan Iqbal as the Chief Guest at the ceremony, acknowledged the significant role of the capital market in Pakistan’s economic growth.

Ahsan Iqbal addressed the gathering, congratulating the Board and Management of PSX and the Capital Market Participant on behalf of Prime Minister of Pakistan Shahbaz Sharif and shared his thoughts on the achievement: “Crossing the 100,000 mark in the 100-Index showcases Pakistan’s potential to the world. The federal government remains committed to supporting initiatives that strengthen the capital market and contributes to sustainable economic development.”

Addressing the nation’s recent challenges, Ahsan Iqbal said, “In April 2022, when we took charge, Pakistan was on the verge of default. The choice was to save politics or the state.” He credited the government’s tough decisions, such as increasing energy for stabilizing the economy.”

“Inflation has dropped from 38 percent to below 5 percent in two years, and the stock market has soared from 30,000 to 100,000 points,” he noted, highlighting the PSX as one of the most successful markets globally.”

He said peace, political stability and continuity of policies are necessary for development and growth of economy. Many countries in this region have achieved economic growth while on the other hand Pakistan has suffered a lot due to political instability.

Dr Shamshad Akhtar, Chairperson Pakistan Stock Exchange welcoming the distinguished guests said, “Ahsan Iqbal has been a voice for developing countries at the United Nations,” praised the federal minister’s contributions to global and national economic progress. She noted that the Pakistan Stock Exchange remains one of the best-performing markets in the region and the world, driven by strong economic indicators and policies.

Dr Akhtar emphasised the role of the government in fostering market growth through targeted programs. “Crossing 100,000 points last week has brought renewed enthusiasm to the market,” she said, adding that the PSX’s ability to finance long-term developmental projects makes it a critical asset for Pakistan’s economic future. Reflecting on the market’s performance, Dr Akhtar pointed out that the PSX has delivered a 7% return in dollar terms over the past five years. She also underscored the importance of partnerships with the Chinese consortium in supporting the exchange’s growth journey, asserting that crossing the 100,000-point milestone in the KSE-100 Index highlights Pakistan’s potential to the world.

Speaking at the occasion, MD/CEO PSX, Farrukh H Sabzwari, said “It is an honour to welcome Ahsan Iqbal (Federal Minister for Planning, Development & Special Initiatives) to the Pakistan Stock Exchange as we celebrate this achievement. KSE-100 Index surpassing 100,000 points underscores the collective efforts of market participants and stakeholders, reflecting the trust of investors in Pakistan’s economy. For the management of PSX, this is a time for serious reflection. We need to move expeditiously on increasing investor numbers, listing more companies and ensuring we make Pakistan Stock Exchange a true representative of GDP.”

Prominent representatives from brokerage houses, asset management companies and senior bankers attended the Gong Ceremony. The event was also an opportunity to recognize all stakeholders’ efforts in achieving this important milestone.

Copyright Business Recorder, 2024