ISLAMABAD: President SAARC Chamber of Commerce and Industry Iftikhar Ali Malik Wednesday expressing his grave concern over ongoing political upheaval and rupee depreciation called for immediate implementation of the charter of economy to save it from irreparable economic losses.
Presiding over a core committee meeting of the United Business Group (UBG) to review the ongoing political instability in the country, he said political turmoil is also badly hitting the already poor economy which is also directly responsible for quick depreciation of rupee besides plunging of stock exchange.
He lamented that the trade deficit also widened 70 percent to $35.4 billion in the first three quarters of the current fiscal year against $60 billion and this ever increasing trend must be arrested to save the economy.
He said the business community, the backbone of the economy, will continue playing its role in national development but political stability and business-friendly environment are key factors for smooth flow of foreign direct investments and business.
He said although exports jumped 25 percent to reach $23 billion in the first nine months of the current fiscal year while in March, it grew 16 percent to $2.74billion from $2.36 billion in the last corresponding period. But what we direly need is a complete ban on luxury items and fostering exports to shrink the trade deficit to some extent.
He said it’s an accepted fact worldwide that political stability was prerequisite for sustainable economic growth, adding that higher degree of inflation also reduces economic growth besides adding misery to the life of poor sections of the society.