PM’s power package widely hailed by businessmen

November 05-2020

The United Business Group (UBG) of FPCCI has lauded the decision of Prime Minister Imran Khan to provide economical electricity to the industrial sector which will give a new life to the struggling sector.

The decision to provide a three-year major relief to industries may cost around Rs30 billion to the government but the benefit will be manifold in the shape of improved production, exports, employment and taxes, said UBG leaders adding that it will also help the government use unutilized capacity.

Speaking at a reception arranged by former Vice Presidents FPCCI Atif Ikram Sheikh and Karim Aziz Malik, Chairman of UBG Iftikhar Ali Malik, Patron SM Muneer, UBG’s Presidential Candidate Khalid Tawab, Chairman of National Business Group Mian Zahid Hussain and others said that the decision will trigger economic activity which was calm due to coronavirus.

Electricity was almost 25 percent costly as compared to regional economies which helped them gain space in the international market while Pakistan products lagged behind due to cost factor but now we will be in a better position to compete with rivals, they said.

At the occasion, Atif Ikram Sheikh said that the government has played its role and now the private sector should also improve its products.

He said that PM’s focus on SMEs is very encouraging as there are almost 3.3 million SMEs in Pakistan providing 78 percent jobs to the urban workforce. This sector is responsible for 25 percent exports and its share in GDP is 30 percent but it has remained an ignored sector.

Now the government is focusing on its development which is going down very well with the business community.

Sheikh said that electricity tariffs have remained a major input cost of our productive sector impeding competition in the international market and promoting smuggling across our porous borders but now the cheap electricity will bring down prices which will discourage smuggling.