AS the country is grappling with a fresh crisis triggered by inflated electricity bills, Caretaker Prime Minister Anwar-ul-Haq Kakar has expressed the hope that economic conditions would improve with investment from Islamic and friendly countries. He was chairing the 4th apex committee meeting of the Special Investment Facilitation Council (SIFC) on Monday which reviewed progress made in key areas and benchmarks achieved during the short span of time. Chief of Army Staff (COAS) General Asim Munir, who also attended the crucial meeting, reaffirmed his institution’s firm support to the caretaker government for continuity of policies in a bid to revive the economy and steer Pakistan towards progress and prosperity.
The challenges facing Pakistan cannot be mitigated in concrete terms until and unless the pace of economic activities is increased through industrialization and modernization of the agriculture sector. It is a matter of satisfaction that this ambitious goal is included in the mandate of the SIFC and active engagements have already been started with some countries to seek greater investment. A few agreements have already been penned down, preparatory work is in progress to conclude more such agreements and specific projects are also being identified for presentation to the prospective investors. There is no doubt that both the civilian and the military leaderships are working in tandem to clear hurdles and attract investment but the question arises how investors can be attracted when Pakistan has the highest electricity tariff in the region. The alarming increase in the cost of doing business (apart from other issues, electricity and gas tariffs as well as history’s highest interest rate) has eroded profitability leaving very little incentive for the investors to undertake ventures. Therefore, the SIFC should not confine itself to mere identification of projects as actual investment depends on creation of a congenial atmosphere which is not there because of the prevailing messy situation. The apex committee may consider the possibility of soliciting opinions of professionals and experts on ways and means to address the challenge of rising cost of doing business. The commitment and sincerity of the civilian and the military leadership is a guarantee of the success of the SIFC initiative but it would, of course, take some time to produce the desired results whereas people need immediate relief as well.
