KARACHI: The Federation of Pakistan Chambers of Commerce and Industry (FPCCI) on Tuesday asked the government to frame a special scheme for bringing in the massive black economy into the folds of tax net.

Speaking at a press briefing at the Federation House, FPCCI president Daroo Khan Achakzai said that by doing so the government will not only help expand and strengthen mainstream economy, it will also get lots of investment which is badly needed for industrialisation and increasing exports.

Mr Achakzai was accompanied by FPCCI senior vice president Ikhtiar Baig, Senator Abdul Haseeb Khan, Syed Mazhar Ali Nasir, S.M. Muneer and Gulzar Firoz.

Talking about a meeting of trade and industry leaders with Prime Minister Imran Khan which was held on Monday, Mr Achakzai said the premier sought suggestions from the FPCCI and other trade bodies on several economic issues including the amnesty scheme, attracting investments and the ease of doing business. In order to attract foreign investment, Mr Achakzai said that there should be frequent B2B meetings with overseas investors and businesses.

Appreciating the prime minister’s move to take a big business delegation during his forthcoming visit to China in April, the FPCCI president disclosed that an investment conference will also be held on the occasion to attract foreign investment.

The visit to China, he said, would provide an opportunity for attracting investment for Balochistan under the China-Pakistan Economic Corridor. He stressed that there is urgent need to interact with different trade blocs of the world. Quoting an example, Mr Achakzai said that last week the FPCCI held several meetings with Jeddah Chamber of Commerce and Industry as well as Saudi business leaders for attracting investment.

Speaking on the occasion, Mr Muneer regretted that high gas and power tariffs were crippling the industry which was finding it difficult to sustain itself. The high cost of doing business has already led to the closure of large industrial units in Faisalabad, he added.

Dr Baig said that in case the government accepts IMF’s tough conditions, industrial growth and exports will be affected heavily.

He feared the IMF could demand an increase in discount (policy rate of SBP) which in turn would push lending rate of commercial banks higher to 13-14 per cent – something the industry cannot afford.

Published in Dawn, March 6th, 2019