President Pakistan Businessmen and Intellectuals Forum (PBIF), President All Karachi Industrial Alliance (AKIA), Senior Vice Chairman of the Businessmen Panel of FPCCI and former provincial minister, Mian Zahid Hussain on Monday said the policy of strangulating economic activities to reduce demand in the market will never bring economic stability. Government is reducing demand on the directions of IMF which has reduced industrial output, it is closing large scale manufacturing and resulting in unemployment and anxiety, he said.
Mian Zahid Hussain said that manipulating monetary policy will not resolve issues confronting economy and disappointing business community through interest rates will remain counterproductive.
Talking to the business community, the veteran business leader said that traders and industrialists are no more interested in profits but struggling to avoid the bankruptcy of their ventures.
The former minister noted that the government has not reduced oil prices despite a slide in the international market and it increased electricity tariff twice in two days which will add to the cost of doing business. He said that businessmen are running out of patience as they are getting assurances but there is nothing concrete while delay in refund payments has resulted in a severe liquidity crunch for the export sector.
The business leader said good decisions are being taken at high level but bureaucracy is not ready to implement them while the accountability drive is being considered more important than economy which is damaging country. The IMF recipe to reduce production to tackle the deficit will force the country to pick begging bowl soon, he said.
COAS and PM has assured resolution of problems to the business community which should result in action as soon as possible to tackle nervousness and unemployment.
He said that opposition has become more aggressive and a showdown is expected during the current month which will further damage economy. PM Imran Khan should try to attract heavy Chinese investment like Iran did recently, during his visit to Beijing which can help end dependence on IMF, he said.