Time to reconcile

The business community has enthralled the new power dispensation with a valuable piece of advice. They made a strong point by making it clear that productive business is an illusion given the persisting political instability, and went on to rally for walking an extra mile in reconciling with the incarcerated PTI chairman, Imran Khan. Karachi being the growth engine of Pakistan’s economy must solicit due attention, and the word from the wheelers-and-dealers of trade and industry must not fall on deaf ears. It would be imprudent to brush aside their piece of mind by dubbing it as biased politics, as the conformity of business is directly related to ground realities of the society.

The who’s who of Karachi commerce and financial fiefdom told the Prime Minister that opening vistas of trade with India is necessary, and the government should move in that direction. Likewise, they prudently underscored how uncompetitive the local industry and its production is, and would be, at the hands of an irrational power and energy tariff. The mechanics of demand and supply will floor our economy, sending inflation and poverty sky-high. While Pakistan already faces an imbalance in exports, and has not been able to stand the litmus test of price vitality, the present oil, gas and electricity regime is pushing them to the verge of extinction.

The business wizards had an eye on geo-economics as they pleaded for opening up with India, which is a market of billion people and an instant source of cheap raw material. Moreover, as the multi-billion dollar CPEC comes, Pakistan will be in high demand. The fact that the logistical and commutation links come to a naught at the borders of India and Pakistan, it comes as a negation of compatibility in economics. The Chinese, Central Asians and Afghans are eager for cross-border trading, and Pakistan sitting at the crossroads of geography cannot obstruct this doable of realism economics at the behest of geopolitical adversity.

So is the case on the political front, as the February 8 verdict and its aftermath, has led to a severe divisive culture. The continued incarceration of Imran Khan is galvanising a movement of agitational politics, and this is unbecoming of serenity desired for buoying business and attracting investment. Which is why the IMF and other international lenders too had been sceptical, and have revised down growth projections.

Taking a few baby steps to woo the opposition, and decide on the political mantle through talks is indispensable. Putting the house in order and doing away with cross-subsidies, as hinted at in the brain-storming session with the business community, will act as a catalyst in reassuring expatriates and foreign investors to eye Pakistan as their preferred destination. Reconciling on the market and political front is the way to shun the prevailing regressive environment.

Published in The Express Tribune, April 26^th, 2024.

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