DUBAI’S exceptional business-friendly environment and advanced infrastructure continue to draw global investors, including a significant number of Pakistani companies. In the first half of 2024 alone, nearly 4,000 new Pakistani entities registered with the Dubai Chamber of Commerce, marking a 17% increase from the previous year’s figures. This trend highlights Dubai’s appeal as a stable and growth-oriented destination for entrepreneurs seeking opportunities amid uncertain conditions in their home countries.
For a country like ours, faced with dire economic situation, theshifting of companies to other locations should be a matter of concern and raise alarm bells in the quarters concerned to address the situation. This influx of Pakistani businesses into Dubai clearly highlights a growing dissatisfaction with the economic climate in the country. Persistent instability and unpredictable policy shifts undermine investor confidence, making long-term planning difficult. Currency fluctuations further complicate financial forecasting, while the energy prices imposes substantial costs on businesses, exacerbating their operational challenges. We, at least need, to learn from the experiences and success of Dubai, which offers a model of economic stability and support. Its regulatory framework is designed to facilitate ease of doing business, with streamlined processes and a favorable tax regime that attracts both new and established companies. Our authorities concerned must recognize the implications of the current situation and take decisive action to improve the domestic investment climate. Key areas for reform include addressing high energy costs, which are a major barrier to business operations. Competitive energy rates would alleviate a significant financial burden on businesses and make us more attractive investment destination. Streamlining regulatory processes is another critical area for improvement. Reducing bureaucratic red tape and simplifying procedures would enhance the ease of doing business, encouraging both local and foreign investment. Furthermore, implementing consistent economic policies are essential steps towards creating a more predictable business environment. It is only by attracting investment in key sectors such as IT, industries and agriculture, we can achieve the long cherished dream of export led growth.
