Friday, 29 March 2024, 07:45:31 pm

Analysts hail government’s steps to protect poorest from effects of difficult economic situation
July 05, 2022

Dr. Aliya Hashmi (Economist): This announcement to provide free electricity to consumers of 100 units of electricity in Punjab is a good development. However, we have to wait for its implementation as according to IMF conditions the governments cannot provide direct subsidies. We also need an industrial policy to uplift the economy. For a long term, the manufacturing sector has been asking for reforms. They need to be provided uninterrupted supply of power at better rates in order for them to become competitive. Similarly, services sector also needs to be provided incentives as it is playing a big role in revenue and tax generation.

Shakeel Ramay (Economist): The government should not provide subsidies to people. Rather, opportunities should be created for people to earn their living respectfully. Last year, exemptions worth 1.7 trillion were given to elites. So, unless fundamentals flaws are addressed the system cannot improve. In short term, we need to remove exemptions on taxes to elite classes. Secondly, we need to impose taxes on real estate sector as it is not a productive sector. Agriculture is the sector which can bring real changes into the lives of people. We need to provide quality seeds to farmers to increase agriculture production. In the long run, we need to focus on China Pakistan Economic Corridor. The second phase of CPEC is to be led by the private sector and we need to encourage it and provide all out facilitation to businessmen.

Mushtaq Mehr (Former Diplomat): Pakistan wants to develop its relations with all countries based on mutual respect and national interest. Our foreign policy has become quite active and sensible these days and Islamabad is trying to remove impediments in the way of relations with other countries. It is a good sign that Pakistan is not taking sides in any international conflict. Objective of the incumbent government is very clear that it wants to improve relations of Pakistan with the world to pursue its economic objectives. Prime Minister Shehbaz Sharif recently pointed out that Pakistan has a wonderful relation with the Western Europe in terms of our textile exports to the EU. Pakistan in a period of six months to one year will overcome all the issues in its foreign relations.

Dr. Rasheed Ahmad Khan (IR Expert): Pakistan’s relations with neighboring countries were not exemplary during the previous government. The incumbent government is trying to mend ties with all the countries on the basis of respect and mutual interest. Foreign Minister Bilawal Bhutto Zardari visited the US and China to bolster ties. Similarly, diplomatic exchanges with Iran, Saudi Arabia and other countries in recent months have improved. Ties with other countries will not only help improve Pakistan’s economy, but also standing on the international stage.