Depending on Salaried Class and Organized Sector for Tax to GDP Ratio is not a positive sign for Economic Growth of the Country. It has to include Retail, Real State and Agriculture as a pressing need of the day said ateeq ur rehman ( economic & financial analyst) .
Day by day Privatization is getting inevitable to get rid of liabilities and losses in major Public Sector of the Economy. Our Financial Sector cannot bear the enormous burden of payables and accrued amount incurred through losses and idleness of unprofitable entities.
The pilling up of Circular Debt of Electricity is another burden of our Economy which has become one of the source of extremely high Energy Tariffs. The Industrial Tariffs are rising rapidly and consequently the 50% of production expenses of an Industry is comprised of the Electrical Cost added ateeq.
Another Economic misfortune is the rising of Petroleum Prices thus impacting on the charges of public and goods transports, subsequently increasing the inflationary pressures by expensive cost of doing business / production. The Logistics, Shipping, Multimodal Transport and Supply management have become more & more expensive day by day.
The huge Interest Rates are not only adding to the cost of working capital but also discouraging investment in expansion capacity and have become challenge for Business / Industrial Community.
We continue to see a fall in our Large Scale manufacturing and Small Scale manufacturing which includes Textiles, Automobile, Iron & Steel Products , Electrical Equipment, POL Refining, Pharmaceutical Industry, Cement Industry, Engineering Industry, Chemical, etc.
Previously it was decided to place Purpose Built Warehousing, Cool Chains and Processing Units shall be given the status of Industry, nothing has been done so far said ateeq .
In Order to achieve the targeted Goals of Exports by $60 billion, Remittances by $32 billion and Increasing the size of the Local Economy by $350 / $400 billion , we have to consider the points discussed above.
