Capacity expansion in industry, remittances to push long-term growth momentum: PIAF Chairman

Staff Reporter
ISLAMABAD: The Pakistan Industrial and Traders Association Front (PIAF) Chairman Mian Nauman Kabir has expressed the hope that the capacity expansion in industrial sector along with remittances’ growth and low oil prices will push a long-term growth momentum at fast velocity. He said that Pakistan’s current export potential is standing at around $26 billion while monthly exports can be lifted to the volumes of around $2.3 billion from present figure of almost $2 billion. He applauded the government to manage keeping primary balance at 0.57 percent, which is a positive sign for the fiscal sector, as the central bank has also expected that the pre-pandemic path of fiscal consolidation will resume as economic activity recovers in coming quarters. 
Mian Nauman Kabir stressed the need for extending further facilitation to the business community,especially the small and medium entrepreneurs, so they are encouraged and do not face any financial issues. He asked the FBR to simplify the mechanism introduced for the payment of refunds, so that the small and medium industry should not feel any difficulty in receiving the outstanding amounts. He said the economic stability and provision of job opportunities to the youth should be the highest priorities of the government.
The PIAF Chairman said that the stage is now set for greater stabilization and enhanced domestic productivity that would definitely ease the ever-soaring inflation, boost businesses and create more employment opportunities, as it is the fact that the general public has been suffering due to rising inflation and unemployment. He said the government should make every possible effort to provide relief to masses. He said since all the economic indicators are moving in positive direction the government should now divert its full attention to share the benefits of this positive movement in economic spheres with the public. 
Mian Nauman Kabir expressed the hope that with the arrival of imported wheat and sugar, prices of these commodities in the market will start declining. He suggested that the government should enhance releasing of wheat to flour mills to ensure adequate supply of flour to consumers, besides monitoring the milling of wheat by flour mills at the same time. With the import of a total of 1.8 million tons of wheat and the arrival of imported sugar prices of the commodities will fall in the market, pushing down the inflation rate in coming days which is the big concern of both businessmen as well as the general public. 
PIAF Vice Chairman Javed Siddiqi said that the SBP’s concessionary financing facility for plant and machinery imports is attracting an overwhelming response He appreciated the efforts of the government to cut power tariff for SMEs which covers almost 90 percent of the industry and especially the efforts of the SBP to promote economic growth in the country and provide liquidity and other support to businesses during Covid-19 are really appreciable.  Javed Siddiqi said the central bank has taken various steps to mitigate the impact of corona virus on economic growth. Since the onset of pandemic-related economic pressure, reducing policy rate from 13.25 per cent to 7 percent, besides allowing one-year extension in principal payments along with rescheduling and restructuring of loans without affecting the credit history of borrowers.
He observed that the demand was contained owing to corona pandemic globally which would now pick up after the two years of slowdown, as the steel, cement a lot of other construction allied industries are showing positive growth.