Action plan sought for addressing economic woes
Islamabad Chamber says inflation, political instability damaging businesses.
ISLAMABAD:
Islamabad Chamber of Commerce and Industry (ICCI) President Mahfooz Elahi has urged the government to announce a comprehensive action plan for addressing key issues that are damaging businesses, overall economy and affecting people’s lives.
In a press statement issued on Monday, Elahi said that Pakistan is confronted with multiple problems and pointed out that the recent surge in petroleum product prices has created a new wave of inflation.
“Prices of many products have increased because of escalation in transportation cost causing a negative impact on the cost of doing business,” he said and asked the government to take back the decision in order to stop a further price hike.
Banks are making borrowing more expensive for the private sector and as a result no investment is being made to start new business ventures to generate economic activity and employment, he said.
Criticising the tight monetary policy, he said that it could not bring any positive results, adding the growth graph is declining and the State Bank should review its stance.
Political uncertainty has also slowed down businesses and foreign buyers are reluctant to enter into long-term contracts with Pakistani companies. He emphasised that the government should immediately sort out issues to bring stability in the country.
Published in The Express Tribune, January 4th, 2011.
Islamabad Chamber of Commerce and Industry (ICCI) President Mahfooz Elahi has urged the government to announce a comprehensive action plan for addressing key issues that are damaging businesses, overall economy and affecting people’s lives.
In a press statement issued on Monday, Elahi said that Pakistan is confronted with multiple problems and pointed out that the recent surge in petroleum product prices has created a new wave of inflation.
“Prices of many products have increased because of escalation in transportation cost causing a negative impact on the cost of doing business,” he said and asked the government to take back the decision in order to stop a further price hike.
Banks are making borrowing more expensive for the private sector and as a result no investment is being made to start new business ventures to generate economic activity and employment, he said.
Criticising the tight monetary policy, he said that it could not bring any positive results, adding the growth graph is declining and the State Bank should review its stance.
Political uncertainty has also slowed down businesses and foreign buyers are reluctant to enter into long-term contracts with Pakistani companies. He emphasised that the government should immediately sort out issues to bring stability in the country.
Published in The Express Tribune, January 4th, 2011.