LAHORE: Lahore Chamber of Commerce and Industry President Kashif Anwar, along with prominent businessmen, met with Chief of Army Staff General Asim Munir at the Corps Commander Headquarters in Lahore on Sunday. They discussed the economic situation of the country with military commanders.
CM Punjab Mohsin Naqvi also attended the meeting. General Asim Munir underlined the pivotal role of the Special Investment Facilitation Council (SIFC) and highlighted its potential to attract significant investments of up to $100 billion from countries such as Saudi Arabia, the UAE and Kuwait.
To strengthen economic decision-making, he announced the creation of a special committee to focus on economic issues and various areas.
SIFC guarantees ease of doing business: COAS
Kashif Anwar encouraged active engagement with all chambers to incorporate diverse perspectives into the Task Force’s agenda, in collaboration with the broader business community.
Kashif Anwar addressed important issues facing the people and proposed lowering income tax and sales tax on electricity bills. He pointed out that the people are facing the burden of high taxes on electricity, which is impacting their daily lives, businesses and common people.
Additionally, Mr. Kashif Anwar introduced a pragmatic approach to fuel adjustment charges, advocating levying fuel adjustment charges during winter months when electricity consumption is low to reduce financial stress on consumers. Recognizing the pivotal role of exchange rates in Pakistan’s economic landscape, Kashif Anwar called for stronger control of the US dollar rate in both the interbank and open markets.
General Asim Munir responded positively, promoting transparency in exchange and interbank rates and ensuring that exchange was subject to tax.
The LCCI president also pointed out that the difference between state bank interest rates and Hundi rates often leads to preference for Hundi channels when it comes to remittances. He stressed that if these interest rates match, remittances will naturally go through the State Bank of Pakistan (SBP).
Mr. Kashif Anwar emphasized the importance of strengthening and continuing two-way dialogue between the business community and relevant authorities. He expressed concern at the general lack of response to proposals submitted by the business sector. He called for a unified commitment from all political parties and suggested signing an economic charter as a prerequisite before future elections.
Expanding on General Asim Munir’s earlier remarks about the existence of a gray economy that accounts for two to three times the total documented economy, Kashif Anwar proposed an innovative approach. He recommended encouraging the transition of gray economic sectors into the formal white economy and providing strategic solutions to combat this pervasive problem.
He said expanding the tax base remains elusive unless the gray economy is incorporated and contributes to the formal white economy.
The gathering demonstrated the shared dedication of the business community and military leadership to working together to address pressing economic challenges and propel the nation toward growth.
As Pakistan continues to navigate its complex economic landscape, this constructive dialogue represents a promising step toward finding practical solutions and promoting the country’s economic prosperity.
Copyright Business Recorder, 2023