LAHORE: Former Federal Finance Minister and Chairman Burki Institute of Public Policy Shahid Javed Burki have said that Pakistan would have to focus on the promotion of regional trade to ensure economic growth.

He was speaking at a meeting at the Lahore Chamber of Commerce & Industry. LCCI President Mian Nauman Kabir, Senior Vice President Mian Rehman Aziz Chan and Vice President Haris Ateeq also spoke on the occasion.

Shahid Javed Burki said that among the neighbouring countries, China is most eager to help Pakistan and we should take advantage of this. He said that Pakistan, India, Sri Lanka and Bangladesh should work together for socio-economic development in the region and for eradication of poverty.

“There is a dire need to improve soft image of the country in the world,” he said and lamented that various Pakistanis abroad speak against their own country.

Shahid Javed Burki said that Pakistani women have a lot of potential and the attention should be paid to the development of women entrepreneurship in Pakistan. He said that Pakistan should focus on value addition in agriculture sector.

He said that Gwadar is the most important port in the region and would play a vital role in economic development of the country.

LCCI President Mian Nauman Kabir spelled out the challenges that needed to be addressed to achieve the desired pace of economic growth.

He said that the trade deficit in the first eight months of the current financial year (July-February 2021-22) stood around $32 Billion, which is 82% higher as compared to the same period last year.

He said that the lack of stability in the exchange rate market is a huge concern for business community as our industrial sector is heavily dependent on the imports of raw materials and machinery. The massive devaluation in the recent years has increased the cost of doing business tremendously.

Mian Nauman Kabir The inflation rate has been exorbitantly high since the last few months as it stood at 12.2% in the month of February 2022, 13% in January 2022 and 12% in December 2021. Due to ongoing war between Russia and Ukraine, the global oil prices have skyrocketed and surpassed $100 per barrel while the commodity prices have also increased.

While talking about the monetary policy, Mian Nauman Kabir said that the policy rate has been increased to 9.75%, which is the highest in the region (India 4%, Bangladesh 4.75%, China 3.8%, and Sri Lanka 5.5%).

Copyright Business Recorder, 2022