PRIME Minister Shehbaz Sharif and his team of economic managers can take legitimate pride in announcing that the economy was now back on track and the journey towards the path of growth has begun. Speaking during his visit to Karachi on Tuesday, he remarked that the country had achieved economic stability and while there were still challenges, Pakistan was heading in the right direction. The Prime Minister called on experienced economists to guide the country’s financial recovery and sought actionable recommendations for further improvements.
The leadership of the country is justified in celebrating economic achievements, especially against the backdrop of repeated apprehensions from various circles about Pakistan’s potential default. Credit undeniably goes to the incumbent government, as the PML(N) sacrificed its political future on the altar of national interests. Now, even staunch opponents of the government, including PTI founding Chairman Imran Khan, are expressing optimism about the country’s economic future. Despite a few remaining challenges that continue to test the economy, all indicators appear positive. The Prime Minister aptly highlighted Karachi’s pivotal role as the backbone of Pakistan’s economy, noting how the city’s once-dimmed lights have now returned, symbolizing the revival of the nation’s economic vigour. Another indication was the surging index of the Pakistan Stock Exchange (PSE), which reflected restoration of the otherwise shattered confidence of investors. The Prime Minister is now talking about growth but this cherished objective would require harmonization of different policies of the Government to ensure a reduction in the cost of doing business; a substantial cut in electricity tariff and realistic incentives for industrialization, agriculture development and IT promotion. Incidentally, the FBR has taken a timely initiative of seeking input from different stakeholders for preparation of the budget for the next financial year with focus on phasing out tax exemptions, expanding tax net, supporting domestic industry and tax policy equity. We hope, apart from measures to realize these objectives, genuine steps would be introduced to spur growth, especially through allocation of necessary funds for a robust public sector development programme, which plays a crucial role in generating economic activities.
