Export-led growth essential for Pakistan's economy, says PM

Government seeks private-sector proposals to remove export barriers; prime minister says Rs800 billion recovered through enforcement without new taxes Prime Minister Shehbaz Sharif on Tuesday said Pakistan's economic growth must be driven by exports as the government opened consultations with the business community over measures to address barriers facing exporters. Speaking at a meeting of prominent industrialists, businessmen and entrepreneurs, the prime minister said growth without a corresponding expansion in exports would be meaningless, according to state-run APP. Deputy Prime Minister Ishaq Dar was also present. The meeting was convened to obtain the private sector's assessment of the challenges restricting export growth and identify practical steps to overcome them. PM Shehbaz said the start of the first quarter of the new fiscal year provided an appropriate opportunity to review those constraints. He said the government had extended special tax relief to exporters in the federal budget in line with its policy of promoting export-led growth. Separately, the prime minister said the government had recovered Rs800 billion over the past year through enforcement measures without imposing additional taxes. He said the authorities had pursued cases that had remained pending before courts for around a decade, particularly matters involving indirect sales tax collected from consumers. He described the recovery as an unprecedented improvement in tax enforcement. PM Shehbaz said economic policymaking and structural reforms introduced during the past two and a half years had been shaped through consultations with the private sector. He recalled that several rounds of talks were held with business representatives before the federal budget. The finance and commerce ministers, along with their respective secretaries, had also consulted stakeholders before his own meeting with them. According to the prime minister, proposals submitted by the business community during earlier consultations helped the government implement long-pending structural changes. He also said the International Monetary Fund had extended a relevant allowance for the first time, while its managing director had agreed to provide a tax waiver during an interaction with him. PM Shehbaz said the reforms had been achieved through cooperation between the government and businesses, adding that the administration would continue seeking the private sector's guidance in shaping economic policy.