‘Loss-making PSEs huge burden on economy’

LCCI says Pakistan cannot afford to ignore strategic assets

LAHORE: The Lahore Chamber of Commerce and Industry has expressed optimism over the early revival of public sector enterprises (PSEs) and believes it to be one of the top priorities of the government.

LCCI President Malik Tahir Javaid quoted a report, which stated that the collective loss of PSEs has reached Rs1.2 trillion. A developing country, which is carrying a heavy load of over $90 billion as external debt and various other economic challenges, cannot afford to spend such a huge amount on these institutions.



He said PSEs in Pakistan are strategic assets and have the ability to lead economic growth, but instead remain inefficient and cause a huge loss to the national exchequer.

Javaid said that the significance of PSEs cannot be ignored, keeping in mind that they remain the most employment- and capital-intensive organisations.  He said experts and economists should be consulted for new strategies and methodologies.

The LCCI president said these enterprises should continue to remain the backbone of the economy and their revival is critical to our survival.



He said that it is all the more necessary for the government to increase its efforts for the revival of PSEs. “Greater autonomy and noninterference in their functioning have to be guaranteed so that the country can fully optimise the benefits of PSEs.

“PSEs are not only industries for short-term economic and commercial gains, but are our national assets,” he added. LCCI Senior Vice President Khawaja Khawar Rashid and Vice President Zeshan Khalil said taxpayers are the ultimate losers as these loss-making enterprises are being financed through duties and taxes paid by them.

 

Published in The Express Tribune, August 28^th, 2018.

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