(October 09, 2017)
President Pakistan Businessmen and Intellectuals Forum (PBIF), President All Karachi Industrial Alliance (AKIA), Senior Vice Chairman of the Businessmen Panel of FPCCI and Former Provincial Minister Mian Zahid Hussain on Monday said business community fully supports the decision of the government to shore up Forex reserves by improving exports rather devaluing the currency.
The government’s decision to reduce the deficit through imposing additional duties on import of unnecessary and luxury items, provide more incentives to export sector and encouraging exports to non-traditional markets is encouraging, he said.
Mian Zahid Hussain said that imposing the regulatory duty on import of 250 items will help the government save some foreign exchange while it will gain twenty to twenty-five billion rupees.
However, he said, steps should be taken to discourage smuggling and under-invoicing after the decision.
The Business Leader said that last year’s trade deficit swelled to 33 billion dollars while the current account deficit jumped to four percent of the GDP for which increased imports of machinery for the CPEC is being blamed.
He said that government has taken a wise decision as erosion in the value of rupee will not only trigger inflation but make masses poorer who are already reeling under multiple problems.
He said that government should not rely on packages, in the long run, it should reduce energy prices, pay export refunds immediately and frame a long-term policy to boost exports.