The Lahore Chamber of Commerce and Industry (LCCI) on Thursday termed Saudi financial support of $6 billion good news for Pakistan economy. All markets have reacted positively. LCCI President Almas Hyder said that China and UAE have shown willingness to cooperate in economic terms and hopefully Prime Minister's visit to China next month would bring more good news.
The support extended by Saudi Arabia would help create conducive environment for both local and foreign investments, he added. "It would have a far reaching impact because improvement in economic indicators has already started appearing due to the many actions taken by the government," he said.
"We need to unleash the productive capacity in our people by reducing cost of business. Major issues like high tariff on raw materials and cost of energy should be resolved," he said. Almas Hyder said that once we build up our reserves or even the news of building up reserves (Saudi deal announcement), the pressure will ease on the rupee. The stability of the rupee will have a positive impact on the discount rate, easing of which will help reduce interest rates, he said.
Most importantly, he said, borrowing is not bad. There should be no ego. Countries do borrow for good reason. He said that government and ministers should not paint dark picture for political reasons as investors take a clue from what the government is saying. Since economic activities will be increasing, Lahore particularly will need more infrastructures. A city of over 10 million population has too small airport while railway station has same size as was in 1947.
He said that federal and provincial governments should work hand in hand for improvement of infrastructure and the LCCI is ready to extend every possible cooperation in this regard. SAARC Chamber of Commerce and Industry (CCI) Senior Vice President Iftikhar Ali Malik also termed Prime Minister Imran Khan's visit to Saudi Arabia as result oriented and will help steer the country out of imminent financial crunch.
Talking to a delegation of traders, he said PM visit to brotherly Islamic country was imperative in changing global scenario as it yielded loud and clear message to the world that Pakistan and Saudi Arabia's bilateral relations are long lasting.
He said prime minister's visit has great significance, during which, Salman bin Abdulaziz demonstrated extraordinary warmth for him. He said the visit would help in further strengthening the bilateral, brotherly, strategic and economic relations.
Both the countries were ready to work together under 2030 Vision which was a game changer for Saudi Arabia, Middle East and the Muslim countries, he added. He said Pakistan had huge potential of natural and mineral resources. He said Pakistan is facing multiple economic and social problems and all political parties should work for progress, prosperity and development of the country after burying the hatchet.
Comments
Comments are closed.