The Federation of Pakistan Chambers of Commerce and Industry (FPCCI) on Tuesday shared a Charter of Economy with Finance Minister Muhammad Aurangzeb, stressing it aimed to facilitate consensus for an effective economic strategy that transcends political divides.
Led by FPCCI President Atif Ikram, the delegation met the finance minister and his team in Islamabad. The delegation emphasized its goal was to rid the country of economic instability by prioritizing national development and economic growth, particularly to meet the needs of the country’s growing population, especially the youth who form the core of Pakistan’s demographic structure.
Senator Noman Wazir Khattak briefed the meeting on proposals outlined in the Charter of Economy, including the reorganization of specialized civil services with the establishment of dedicated groups in critical sectors such as Energy, Finance, Industry, and Health to facilitate informed decision-making. The proposed Charter also calls for embracing solar and wind energy and keeping wheeling charges for the Competitive Trading Bilateral Contract Market at a maximum of Rs. 4/KWh.
The presentation further emphasized a greater focus on regional trade and development financial institutions, with proposals for at least 20% of lending directed toward long-term CAPEX and 10% toward startup CAPEX. A stable exchange rate was recommended to support exports and discourage imports that do not comply with the Pakistan Standards and Quality Control Authority (PSQCA). The charter also stresses on the importance of a uniform gas pricing structure for industries across the country to promote industrial growth.
Further recommendations included transferring ownership of state-owned enterprises to employees, allowing them to manage these enterprises or privatize them, and converting their pension funds into equity. The presentation proposed strategic reforms on various fronts, including debt management, trade partnerships, tax compliance, energy efficiency, and the exploitation of mineral resources. It also called for a progressive taxation model for agriculture, better governance structures, pension and welfare reforms, digitalization, and improvements to the bankruptcy laws in Pakistan.
The minister praised the FPCCI delegation’s efforts in preparing a comprehensive and timely Charter of Economy, noting such initiatives are crucial for the country’s development. He noted he had helped the Pakistan Business Council prepare a similar Charter of Economy in 2020, highlighting the importance of uniting all stakeholders on a common platform to address the challenges of declining living standards and achieve sustainable economic growth. He reiterated that quick-fixes would not suffice, and a steady, unified effort was required to drive Pakistan’s economic recovery.
Aurangzeb also briefed the delegation on ongoing reforms in key sectors, including macroeconomic stability, taxation, energy, and rightsizing of the federal government. He reassured the delegation that the government was committed to resolving pressing issues, such as energy costs for industries, to foster industrialization and export-led growth, in line with the government’s economic vision.
The members of the FPCCI delegation expressed their appreciation for the finance minister and his team’s efforts in improving Pakistan’s economic indicators and hoped the government would continue addressing critical issues to support industrialization and economic growth in the country.