KARACHI – The Pakistan Economy Watch (PEW) on Saturday said hasty and nervous decisions by the government is hitting the confidence of the business community.
It said that economic indicators are worsening which is adding to the anxiety of the masses and business community.
Inflation is gaining momentum hitting poor and middle class but authority seems unconcerned, said Dr. Murtaza Mughal, President PEW.
He said that private investment has reduced from 10.3 percent in 2018 to 9.8 percent which will slide further.
Dr. Murtaza Mughal said that the private investment target has been reduced to 10.1 percent which is difficult to manage.
He noted that investment in large scale manufacturing has also been reduced while production has gone down by 54 percent.
Foreign investment has reduced by 36 percent and foreign investors are taking back their money which is at 11 percent.
He said that lack of continuity in policies have taken a toll on the economy while the situation in Kashmir has also played its role to push away investors.
The price hike has become order of the day due to week system of price control on the federal and provincial level.
Dr. Mughal said that the number of filers has increased by seven hundred and eighty thousand but the collection has jumped by only Rs2.5 billion which will result in a mini-budget as the revenue shortfall for the months of July and August stands at Rs64 billion.