LAHORE - As the government is finalizing upcoming Trade Policy likely to be announced next month, the Lahore Chamber of Commerce and Industry Monday urged the government to initiate consultation with the private sector that is the real stakeholder.
He said that the government should realize that the country needs a paradigm shift to enable local businessmen to become globally competitive and export those products which are valued more in the international market. He said that today the country’s industry is facing multiple challenges including an acute shortage of gas and electricity, poor innovation, low labour productivity, little Foreign Direct Investment and lack of product and geographical diversification.
They said that the electricity and gas shortage is the major factor therefore the government should focus on the issue that has not only jacked up the cost of doing business in the country but also fast making us uncompetitive.
He said that heavy government borrowing is also coming in the way of industrialization in the country. “The unavailability of cheaper money to the business doing people is also a very serious issue and if remained unattended the unemployment graph would touch new highs.
“Businesses need short to medium term certainty in the interest rate for investment but in Pakistan the situation is the other way round as despite repeated appeals to the government the interest rates are not only higher than in the region also very high when are compared to the developed world.”