Karachi, July 24, 2024: The Karachi Chamber of Commerce and Industry (KCCI) has suggested that street protests might be the only effective method to compel the government to address pressing economic issues.
In a statement issued on Wednesday, KCCI President Iftikhar Ahmed Sheikh expressed deep concern over the government’s apparent inaction despite persistent appeals from business groups and Chambers of Commerce across Pakistan.
Sheikh highlighted that KCCI, along with various trade bodies, has repeatedly made formal appeals, held press conferences, and issued media statements in an effort to prompt the government to act. Yet, despite these efforts, the business community remains without the relief it urgently needs. He pointed out that tangible relief was only achieved when residents of Azad Jammu and Kashmir protested for lower electricity tariffs, and similar actions by flour mills and petrol dealers led to concessions. However, critical demands from the business community, including calls for renegotiation with Independent Power Producers (IPPs), have gone unaddressed.
Sheikh noted that issues only gain government attention when forcefully highlighted through protests or strikes. He criticized the lack of action on severe macroeconomic problems such as exorbitant energy tariffs, escalating operational costs, and excessive taxation. These unresolved issues have fueled widespread anxiety among business leaders and the general populace.
While Sheikh commended Prime Minister Shehbaz Sharif for his willingness to engage with KCCI during his visits to Karachi, he criticized Finance Minister Ishaq Dar for his lack of response to KCCI’s requests for meetings. Dar’s repeated justification, citing IMF objections, has only exacerbated frustrations. “We are under tremendous pressure and urge the government to address the situation with the seriousness it deserves before it’s too late,” Sheikh said.
The KCCI President revealed that many business leaders are increasingly considering strikes, sit-ins, and protest rallies as their last resort, given the ineffectiveness of appeals and press statements. Sheikh emphasized that although KCCI opposes street protests and strikes, the chamber is under significant pressure from its members to take action. He urged the government to engage in urgent negotiations to resolve the issues at hand, as maintaining calm among the business community is becoming increasingly challenging.
Despite the gravity of the situation, Sheikh reiterated KCCI’s reluctance to support strikes due to their potential adverse impact on daily wage earners and other vulnerable workers. He called on the government to recognize the dire consequences of protests and strikes, which could further damage the already struggling economy. The KCCI President stressed the need for immediate, comprehensive relief measures to ensure the continued operation of industries and to prevent a deeper economic crisis.
Sheikh warned that failure to address the current economic challenges could lead to a significant exodus of businesses from Pakistan, exacerbating capital flight and further straining the economy. He urged the government to act decisively to prevent the country from descending into anarchy, as widespread job losses and economic hardship could provoke additional unrest and unmanageable challenges.
The KCCI’s statement serves as a critical call to action for the government to engage in meaningful dialogue and implement necessary reforms to avert a looming economic disaster.