April 13, 2016
President Pakistan Businessmen and Intellectuals Forum (PBIF), President AKIA, Senior Vice Chairman of the Businessmen Panel of FPCCI and former provincial minister Mian Zahid Hussain on Wednesday expressed concern over increase in lending by scheduled banks to the government.
Getting loans from the banks are not sustainable as they continues to burden exchequer and should not be considered a substitute to the exports, he said.
Mian Zahid Hussain said that remittances help government pay some bills but it is falling and pushing country with only option to boost exports or carry begging bowl again.
Exports and imports contracted in first nine months but decline in exports was three times faster than imports; exports dropped by12.9 percent in this period which is extremely shocking, he said.
He said that overall economic situation is not depressing as cement, auto and urea sectors have shown good results, import of machinery is raising while private sector credit is picking up.
However, the largest export earning sector of textile is sailing in not waters while paper, board and steel industry is also facing multiple problems, he said.
Mian Zahid Hussain said that working of FBR has improved as a 6.14 percent rise has been noted in collections but it is not enough to revive investors’ confidence.
He said that reduced oil prices have saved country from landing into serious balance of payment crisis coupled with eroded currency due to incompetence of Export managers.
So called issue of Export refunds by CEO TDAP should be addressed immediately, issue of textile sector should be resolved, provision of dependable energy be ensured and tax system should be improved country should be, relived from incompetent Export managers otherwise country will not be able to realise export target of 35 billion dollars and three tears, he warned.