Attaching high expectations with the government in-waiting of Pakistan Tehreek-e-Insaf (PTI) the business community termed PTI's success in the general elections a 'refreshing breeze' and assured its full cooperation in implementing PTI's economic agenda.
Amir Fayaz, Chairman All Pakistan Textile Association (APTMA), while talking to Business Recorder said the business community had high expectations from the incoming government as PTI, in its manifesto, committed to provide facilities to businessmen to enhance exports.
APTMA chief said if the government reduced power tariff from current Rs 13 per unit to Rs 7-8 per unit for industrial sector, brought down gas tariff from current Rs 1,500 per MMBTU, it would help increase export growth by 10-15 percent per annum.
"At present Pakistan's total exports are around $23.5 billion of which textile sectors contribution is $13.5 billion. We are in a position to grow by 10-15 percent if the government creates a business friendly atmosphere and that will reduce the country's trade imbalance significantly," Fayaz said.
Pakistan's foreign currency reserves were declining and higher oil prices were pushing up the costs of imports which accounted for leaders drawing up plans to seek a bailout from international lenders, notably the International Money Fund, he said.
Acquiring loans from IMF was not the solution to Pakistan's economic woes, he said, adding "we need to double our exports within the next five years and we have the potential if the government creates business friendly environment which in turn will generate more jobs, bring down inflation and restore investor confidence."
Exchange Companies Association of Pakistan (ECAP), Secretary General Zafar Paracha, said the new government would face major issues including a depreciating rupee vis a vis other major currencies; but he added the business community will fully cooperate with the new government in its cause to lift people out of poverty.
Improved balance of payment situation would relieve the country of the need to seek frequent loans and bailout packages, he added. The government will have to focus on economic reform policies to boost production, employment and revenue, and reduce the gap between imports and exports that currently stands at 32 billion dollars.
Shahid Rasheed Butt, leader of Islamabad Chamber of Small Traders said the incoming government would have to change policies to achieve its goals beginning with improving the balance of payment situation. He said that according to Asad Umar the Finance Minister in waiting, more than 90 percent of tax revenue comes from indirect taxes, and only 10 percent comes from income tax.
South Asian Association for Regional Cooperation (SAARC) Chamber of commerce and Industry (CCI) Senior Vice President and Chairman United Business Group (UBG) Iftikhar Ali Malik said that business community hoped Asad Umar would make every effort to accomplish economic revitalization, while implementing growth strategies.
He said "we have assured PTI that business community throughout the country would cooperate with the government at every level without compromising the interests of the business community".
He said the government's role in economy was that of a facilitator and the role of private sector was to increase output, employment opportunities and thereby reduce poverty.
There were 200 state-owned enterprises (SOEs) that cost the exchequer Rs 650 billion due to mismanagement, politicized leadership and ailing infrastructure; therefore the incoming government must privatise SOEz to payoff loans, he concluded.