Immediate payment of refund claims is imperative to overcome the losses borne by the trade and industry due to Covid-19, however, the total volume of refundable claims and payment schedule will be announced in consultation with the Federal Board of Revenue (FBR), said Ministry of Commerce official Sohail Hanif.
Speaking at a webinar on Covid-19 and its impact on trade and industry on Tuesday, the official said the pandemic inflicted colossal losses on the global economy and Pakistan's fragile economy also suffered heavily.
"However, the government, in collaboration with the business community, has successfully eliminated the negative impact of the coronavirus outbreak," he added.
In response to a question, the ministry official admitted that he was not fully aware of the ground realities regarding the refund claims, however, he would be in a position to consult the FBR before issuing reliable statistics.
Appreciating the resilience of the business community, the official stressed that it meticulously faced the situation and resultantly, the country responded to the crisis better than other Asian countries.
"The state of our economy was much better in February when the growth rate was high," he said. "However, Pakistan had to bear economic losses worth $3.7 billion on account of the lockdown imposed to contain the coronavirus."
He added that although the situation improved drastically in July, it would be highly difficult to contain the negative impact during the current financial year.
Zaka Jamil, a representative of the pharmaceutical sector, said companies halted the export of medicines to fulfill domestic demand. "Maximum medicines were provided to the public without any hike in prices," he said.
He urged the government to lift the ban on import of medicinal raw material keeping in view the improving situation, adding that the raw material was imported mainly from China and India.
"Government must realise that the business community faced countless problems due to Covid-19, hence, it must ensure early payment of refund claims to resolve the liquidity-related problems," he said.
Published in The Express Tribune, August 19th, 2020.
Like Business on Facebook, follow @TribuneBiz on Twitter to stay informed and join in the conversation.
COMMENTS
Comments are moderated and generally will be posted if they are on-topic and not abusive.
For more information, please see our Comments FAQ