‘Economy stabilising due to good policies’

12 Oct, 2024

KARACHI: Chairman of the FPCCI Advisory Board and National Business Group Pakistan, President Pakistan Businessmen and Intellectuals Forum, Mian Zahid Hussain said on that despite terrorism, political turmoil, and other serious problems, the economy is stabilising due to good policies.

Success is the only option in the war of economic development; therefore, policymakers are doing their best to revive the economy, he said.

Mian Zahid Hussain stated that while the results of effective policies are evident, speeding up reforms would be preferable.

He predicted further reductions in inflation and interest rates, which will support business growth and job creation.

He observed that the State Bank had projected a reduction in the inflation rate to 5 or 6 percent by 2025, but it has now dropped to 6.9 percent, necessitating a drop in interest rates to a single digit.

Mian Zahid Hussain said that the government has controlled the unnecessary imports, which has reduced the trade deficit, but still many items are being imported and smuggled into the country that are not needed.

Stopping unnecessary imports will lead to local production of these items, which will benefit all stakeholders.

He stated that selling many commodities in the local market benefits businessmen more than exporting them. Moreover, the unaffordable prices of electricity pose a threat to Pakistan's exports, despite a recent 17 percent increase.

He advocated for the immediate reduction of electricity prices to nine cents per unit, which is central to economic revival.

Unfortunately, he said, hundreds of containers blocked highways during the recent protests, causing significant losses to the business and transport community.

Mian Zahid Hussain stated that such protests and road closures cause significant damage to the economy, negatively impact the country's reputation globally, and undermine the hard-earned economic stability, necessitating the discovery of a solution.

Unrestrained protests, which affected eight lakh people in Islamabad alone, also resulted in a daily economic loss of ninety billion rupees. People have now started to understand the difference between politics, violence, misogyny, lies, deceit, harmful language, etc.

He noted that the Jatha politics are ruining the country. Rioting, shouting slogans, vandalism of property, arson, and clashes with police and Rangers will serve no purpose, he noted.

Mian Zahid Hussain added that the Chinese experts had travelled to Pakistan to negotiate a tariff reduction for their IPPs, who were hit by the terrorists in Karachi.

It's astonishing how the terrorists managed to obtain all the details of their arrival, he said, adding that we should ensure the security of expatriates working in Pakistan and strictly deal with terrorists, as they aim to obstruct investment and halt the ongoing economic recovery process in the country.

Copyright Business Recorder, 2024

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