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PM urged to announce immediate relief package for construction industry

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Zubair Qureshi
Islamabad

The Constructors Association of Pakistan (CAP) has requested Prime Minister Imran Khan to resolve the ongoing crisis in the construction sector, failing which the development works will suffer from enormous loss leading to delayed completion/closure of projects and massive unemployment which is against the spirit, vision and targets of the Government.

In an exclusive interview with Pakistan Observer, Chairman of CAP Engr. Kamal Nasir Khan, Member EC, Engr. Arshad Dad, Vice Chairman Malik Kaleem Ullah and Members Engr Syed Ashfaq Hussain, Malik Azeem Ullah and others expressed serious concerns over the challenges being faced by the construction sector.

These challenges include absence of enabling environment for export of construction services, compensation for rising prices of construction material, delay in establishing the Construction Industry Development Board (CIDB), which has been in principle agreed by the Prime Minister of Pakistan.

The construction industry they said is virtually on ventilator and the sooner its recovery course is adopted and implemented the better. Engr.Kamal Nasir Khan regretted that despite the CAP’s repeated requests, the Government has yet to establish the project-based funding. The Government’s focus unfortunately has remained exporting of labour instead of exporting the services.

The construction sector is an important engine of employment and economic activity generating Industry, offering job opportunities to millions of skilled and un-skilled labour force, he said. Engr. Kamal Nasir Khan further said that more than 40 allied industries depended on construction and it is universally accepted that “when construction moves the Country moves”.

Engr. Arshad Dad also drew the attention of the Government towards the abysmal scenario that has gripped the construction sector in the wake of unprecedented pricehike and there was no relief being considered by the government.

The government has recently announced amnesty and financing package for the housing sector which is in fact, a sub-sector of the construction sector.

The construction Industry is the second largest sector, after agriculture, in terms of generating revenue, employment and promoting the 40 allied industries.

Engr. Arshad Dad further said due to high cost of construction material, all the ongoing projects have come to a grinding halt.

He said time and again the Constructors Association of Pakistan has raised the issue with Minister for Planning, Development & Special Initiatives Mr. Asad Umar, who has promised to make this specific sector independent of the Pakistan Engineering Council (PEC) that has failed to protect the interests of the Constructors of Pakistan. Engr. Arshad Dad demanded immediate action to compensate the Public Sector Constructors through ex-gratia payments as was done in 2004.

Secondly, expedite the formation of Construction Industry Development Board (CIDB) and his third demand was establishment of Construction Bank in the Country to facilitate export of Construction services.

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