In a statement issued by the Islamabad Chamber of Commerce and Industry (ICCI) Acting President Asad Farid, he said that the construction industry plays a vital role in reducing unemployment as it is a prime source of employment generation for Pakistan offering job opportunities to millions of unskilled, semi-skilled and skilled workforce.
He said that increasing construction activity in the country could have positive effects in allied industries such as cement, iron, steel, marble, electrical and sanitary works, and horticulture and transport sector as a part of the chain reaction.
He said that continuous cuts in the Public Sector Development Programme (PSDP) had created hurdles in the way of the already sagging construction industry and any further cuts in development funds will surely sink the construction industry. Farid said that the potential to generate employment has not been taken seriously in the past, nor has any decision been taken to boost the sector as a vehicle for economic revival.
Farid added that the construction industry has taken a steep plunge during the last two decades as its total share in the gross domestic product (GDP) went down from 4.2% to just 2.4%. He said that the major factors responsible for the downturn include exorbitant increase in prices of raw materials, shortage of funds for public sector projects and scarcity of financing opportunities.
He said that negative growth in foreign investment will adversely affect the country’s economic growth. Therefore the government should encourage investment in the construction industry of Pakistan which will bring the country out from the current serious economic turmoil, he maintained.
The ICCI Acting President urged the government to offer basic facilities to the industry.
Published in The Express Tribune, July 11th, 2012.
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