KTH Chief Calls For Exploiting All Resources To Attract FDI

LAHORE, (UrduPoint / Pakistan Point News - 3rd Jan, 2024) Coordinator to Minister of State and Federal Tax Ombudsman and Kyrgyzstan Trade House (KTH) Chairman Meher Kashif Younis said on Wednesday the government should fully exploit an ideal geographical location of the country, which has abundance of natural and human resources, to attract foreign direct investment (FDI) and boost exports to deal with the economic challenges.

Talking to a delegation of industrialists, led by Chaudhry Faran Shahid here, he said there was pressing need for making policies that facilitate development and implementation of quality technological infrastructure. A small and medium enterprises policy, with orientation of Information and Communication Technology (ICT) that underscores importance of technology in creating value within businesses is essential for fostering economic growth. He said despite Pakistan’s aspirations to become a digital economy, its existing digital infrastructure requires significant improvements to fully realize its potential.

Meher said the investment rate in Pakistan stands at 15 per cent – less than the half of average investment rate in South Asia and private investment in Pakistan is lower than 10 per cent of the GDP.

He said Pakistan requires a multifaceted approach that involves addressing governance weaknesses, improving the regulatory framework, and undertaking economic reforms to create a more favourable environment for foreign investors.

Meher said numerous challenges plague Pakistan’s economic situation and one of the major factors contributing to these challenges is extensive public sector intervention characterised by policies, regulations, and bureaucratic obstacles, has impeded the growth and efficiency of industries.

He said that for better future, policymakers must address these challenges and implement strategies that facilitate economic growth, alleviate the burden of state-owned enterprises, and establish an environment conducive to innovation and productivity. "By doing so, Pakistan can pave the way for a more robust and sustainable economic landscape. Only through concerted, targeted efforts Pakistan can overcome these obstacles and pave the way for sustainable economic growth and development," he concluded.