S.M. Tanveer warned that Pakistan’s economic indicators are alarming, citing a World Economic Forum report and urging urgent action to prevent further industrial collapse. He said if current trends continue the country may be forced back to the IMF, and called on policymakers to prioritize measures that stabilize industry and restore investor confidence.
Tanveer highlighted that in recent years 140 to 150 large textile units have closed, and the collapse in the real estate sector has pushed about 40 related industries to the brink. He stressed that industries which have shut down or relocated are unlikely to return, and that the ripple effects are costing the country millions of jobs.
Pointing to high energy charges, Tanveer noted that Pakistan pays roughly 12.5 cents per unit while neighbouring countries pay between 6 and 7 cents, and that capacity charges for nearly 7,500 megawatts of excess electricity are adding to the burden. He added that some industries are receiving bills at Rs35 per unit when the relief rate should be Rs22, undermining competitiveness.
Tanveer and other business leaders also criticized Pakistan’s high interest rates, saying they are more than double those in the region. He urged the State Bank to reduce the policy rate from 10.5 percent to 6 percent by June to help revive industrial activity and investment.
Zaki Ijaz, vice president of FPCCI, demanded that the government immediately declare an economic emergency to halt the deterioration and implement targeted relief for industry. The FPCCI has rejected the current electricity relief package and called for more effective measures that reach vulnerable sectors.
Zafar Bakhtawari warned that without economic stability political stability will be at risk, underlining the close link between livelihoods and governance. Tariq Jadun urged the government to resolve business community issues promptly to prevent further closures and job losses.
The business community’s unified call for an economic emergency centers on restoring affordable energy tariffs, lowering interest rates, addressing capacity charge liabilities and implementing timely fiscal and monetary reliefs so that remaining industries can survive and jobs can be protected.
