LAHORE — Interior Minister Mohsin Naqvi said Pakistan is dire need of “system reset”, urging business community to focus on boosting exports and expanding domestic manufacturing. Speaking in Lahore, Naqvi cited Iran’s industrial self-reliance as an example and called for a stronger “Made in Paki
Addressing a ceremony at Lahore Chamber of Commerce and Industry (LCCI) on Friday, Naqvi said the country’s economic and administrative system was “about to be reset” and argued that a stronger industrial base and higher exports were essential for sustainable economic growth.
“If Iranians can make their own products, we can do the same,” Naqvi said, citing Iran as an example of a country that has developed domestic industries despite international restrictions. He said Iran had established industries ranging from construction to automobiles and urged Pakistani businesses to embrace a similar “Made in Pakistan” approach.
“The solution is to increase exports by whatever means possible,” Naqvi told the business community, assuring traders and industrialists that he would remain available to address their concerns.
Naqvi mentioned government’s proposed business passport, aimed at easing visa-related difficulties faced by Pakistani businesspeople travelling abroad. He said the government had been working on the proposal for several months and that the document would help resolve visa problems confronting genuine members of the business community.
The minister had previously disclosed that a separate passport proposal for verified businesspeople was being prepared for approval by Prime Minister Shehbaz Sharif and the federal cabinet. The proposed system was envisaged to include business and tax information and stronger verification of applicants, with the aim of making it easier for foreign missions to identify genuine business travellers.
Naqvi said his repeated visits to Iran during negotiations had challenged his own expectations about the country’s economic condition. Contrary to the perception that Iran had been devastated by sanctions, he said, visitors returning from the country were surprised by the level of domestic industrial activity.
“We should learn from countries facing sanctions,” he said, pointing to Iran’s ability to manufacture a wide range of goods despite restrictions.
Naqvi also reiterated his support for the business community, saying he had previously tried to resolve its problems “to the extent possible” and would remain available to assist businesses.
Former caretaker federal minister and businessman Gohar Ejaz, who also addressed the gathering, put exports at the centre of his remarks, arguing that Pakistan could not sustainably finance its economy without expanding its foreign sales. Ejaz said Pakistan’s exports stood at about $21 billion in 2010, compared with roughly $30 billion today, arguing that export growth had remained inadequate over the intervening 16 years.
“Our country’s exports are $30 billion; even after 16 years, they are still around the same level,” he said. Ejaz questioned how Pakistan could continue meeting its financial obligations without generating substantially greater export earnings.
“If we earn money, it is our duty to pay taxes,” he said, while referring to Rs13 trillion collected by the Federal Board of Revenue (FBR) and subsequently distributed to the provinces.
His remarks echoed the broader message of the evening: Pakistan needs to expand its productive capacity, increase exports and broaden the domestic tax base if it is to reduce pressure on its external and fiscal accounts.
Ejaz also raised concerns about the capacity and quality of public education, saying government schools did not have the capacity to accommodate an estimated 2 to 2.5 million additional children.
