ISLAMABAD: The Federation of Pakistan Chambers of Commerce and Industry’s Businessmen Panel Chairman Mian Anjum Nisar on Saturday emphasized the need for reforms agenda to achieve 7% economic growth rate annually to create two million jobs per annum and reduce the public debt, which has already become unsustainable.
While appreciating the positive growth in large-scale manufacturing (LSM) in first nine months of current fiscal year, he said that the low GDP growth in Pakistan may result in pushing 20 million people below the poverty line as with such a growth rate job opportunities are not creating.
He added that Pakistan’s economy needs up to 7 percent growth rate to avoid falling of more people below the poverty line.
Mian Anjum Nisar observed that the government had expected 2.5% contraction in the LSM sector in the current fiscal year, which will now be positive at the end of the year, also contributing to the overall economic growth that is now projected at around 3%.
Big industries posted 9% growth during the first nine months of current fiscal year but the index slid for the second successive month, suggesting an uneven growth momentum due to disruptions caused by the pandemic.
He said the government has to formulate long-term and consistent policies for high growth of industry and considerable improvement in exports, as contrary to regional countries, Pakistan’s exports have remained stagnant for a long time, and unless attention was paid to all factors that hamper industrial and exports growth, the country might not be able to achieve desired results.
FPCCI former president said that the industrial sector has a major contribution to the tax collection and the sector’s share in revenues is almost triple than its contribution to the overall economic output.