President of Pakistan Businessmen and Intellectuals Forum (PBIF), Mian Zahid Hussain, has demanded sales tax and income tax refunds of the traders and industrialists should be paid, immediately, and issuance of notices in bulk should be avoided that will help improve economic conditions and increase employment.
He urged the government to offer incentives to export-oriented units, which have to export 100% of their production. He said with a population of almost 220 million and significant natural wealth, Pakistan is a big market with huge potential. He said improving investment's opportunities factors include better law and order situation, infrastructure and energy sector's development. He said poverty level decreased by 10%, leading to relatively higher purchasing power.
"Positive GDP growth rate over the past four years resulted in the development of the country's industrial and service sectors," he said, adding that Pakistan steadily raised development spending in recent years, including a 50% budget allocation for development.
PBIF president further said the FDI attraction policy led by the government (privatizations, equal treatment between foreigner and local investors, tax incentives, etc.), and the efforts made in terms of economic reform are the pillars of Pakistani development, facilitating both local and foreign investors.
"Government is carrying out an active foreign investment promotion policy, and has taken a number of economic liberalization measures to make country more attractive for foreign investment," he said.
Mian Zahid claimed energy crisis was resolved but government has banned new power generation projects in order to avoid energy surplus. He said terrorism nearly ended and there was no established terrorism centre according to the army chief while infrastructure was in developing phases.
"Pakistan offers a number of tax incentives for establishment of industrial units in some specific sectors that include tourism, ports, highways, electronics and software," he said, adding that government also set up special export-oriented zones called export-processing zones (EPZs), in order to encourage foreign investments.
PBIF president said some of the incentives offered to EPZ investors include exemptions from all federal, provincial and municipal taxes for export-destined production alongside exemptions from all taxes and duties on equipment, machinery and materials, and access to Export Processing Zone Authority's one-window services.
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