Karachi, October 16, 2023 – The Federation of Pakistan Chambers of Commerce and Industry (FPCCI) has commended the Army Chief for his pivotal role in reducing economic uncertainties in Pakistan.
FPCCI President Irfan Iqbal Sheikh expressed the business community’s appreciation for the effective, timely, and vital steps taken by the Army Chief to swiftly mitigate economic instability and foster a positive economic sentiment in the country.
Irfan Iqbal Sheikh lauded the significant actions undertaken by the Army Chief, which include controlling speculative trading of the dollar and curbing its smuggling. He emphasized that these measures represent a significant and positive step in the right direction.
Highlighting the impact of these actions, Sheikh recalled that on September 4, 2023, the dollar was trading at 336 in the open market. Today, it has come down to 276. In an export-dependent economy like Pakistan, currency depreciation has far-reaching implications, including fueling inflation, increasing production costs, escalating debt repayments, and constraining fiscal resources for developmental expenditures.
The FPCCI Chief underscored that, in conjunction with a decrease in international crude oil prices, these measures have allowed the government to reduce petrol prices by an historic PKR 40 per litre and high-speed diesel prices by PKR 15 per litre.
Irfan Iqbal Sheikh also praised the crackdown on smuggling initiated by the Army Chief. This effort has led to improved supplies of essential commodities and agricultural inputs within the country, resulting in a significant decline in domestic market prices.
He further informed that due to the consecutive appreciation of the rupee against the dollar over the past five weeks, Pakistan’s external debt has been reduced by a staggering 4000 billion rupees. This development has invigorated the entire business, industry, and trade community, instilling optimism that the process of economic recovery has commenced. It is seen as a promising turnaround, potentially ending the prevailing sense of hopelessness in Pakistan’s economy, capital flight, and brain drain.
Irfan Iqbal Sheikh also highlighted the constructive engagements between the business community and the Army Chief. He described these interactions as a breath of fresh air after years of economic uncertainty and volatility. Following extensive meetings in Karachi and Islamabad, business leaders now feel relieved, hopeful, and confident in their ability to contribute to economic recovery and stability in the broader national interest.
Sheikh agreed with the assessment that, given the size of Pakistan’s friendly countries’ economies, the prospect of attracting $25 billion in investment in the short term, less than a year, and $100 billion in the short to medium term, one to three years, is entirely achievable. This could potentially set the stage for a significant economic revival in Pakistan, with positive implications for all sectors of society.
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