Circular Debt: Industry official warns of crisis
Concerns over power tariffs have not been addressed despite repeated demands
A Zimbabwean street vendor sorts new coins in front of a bank. PHOTO: REUTERS
KARACHI:
Korangi Association of Trade and Industry (KATI) President Masood Naqi has said that growing circular debt in the power sector can seriously hamper industrial growth in Pakistan. Circular debt is once again accumulating at a fast pace and has already touched Rs800 billion with the International Monetary Fund (IMF) also showing concern over the long-running structural flaw in its annual report, a statement quoted Naqi as saying. He noted that debt had piled up despite low oil prices and improved recovery of dues in the power sector in the past few years, deploring that concerns over power tariffs had not been addressed despite repeated demand from the stakeholders concerned.
Published in The Express Tribune, August 10th, 2017.
Korangi Association of Trade and Industry (KATI) President Masood Naqi has said that growing circular debt in the power sector can seriously hamper industrial growth in Pakistan. Circular debt is once again accumulating at a fast pace and has already touched Rs800 billion with the International Monetary Fund (IMF) also showing concern over the long-running structural flaw in its annual report, a statement quoted Naqi as saying. He noted that debt had piled up despite low oil prices and improved recovery of dues in the power sector in the past few years, deploring that concerns over power tariffs had not been addressed despite repeated demand from the stakeholders concerned.
Published in The Express Tribune, August 10th, 2017.