Business community rejects 'mini-budget'

Setting aside the recommendations of over 30 leading Chambers of Commerce and Industries, the government has announced a mini-budget within hours of the issuance of Bhurban Declaration proving that it has little regard for those who are actually running the economic wheel of the country.
"The government is more interested in imposing the dictates of their foreign masters instead of evolving methodologies to cope with the economic challenges being faced by the business community," said president, Lahore Chamber of Commerce and Industry (LCCI), Shahzad Ali Malik in a statement. He further said that the business community had outrightly rejected the mini-budget and would announce its strategy shortly, for which process of consultation had already been initiated by the business community leaders.
Malik said that the disregard shown by the government towards the suggestions of the business leaders was very shocking for the entire business community. He said that the business community of Pakistan was already paying a lot of taxes. "We want broadening of the tax net but currently, as we are facing the electricity and gas shortages, we will not accept RGST and flood surcharge," he said adding that "we want to have a detailed discussion with the government on all issues facing the country but the government has never consulted the business community".
The president LCCI further said the government would have to bring other sectors into tax net for generating additional income. The business community urges the government to sell out all the non-profitable state-owned organisations and eradicate corruption, he said. The business community has also called upon the government for taking short-term and long-term steps for the economic wellbeing of the country, which is experiencing severe energy crisis, he added.
The business community has already set up "Pakistan Water Front" consisting of the members of business community which would hold consultative meetings with all political parties to convince them for building water reservoirs including Kalabagh Dam.
He said the Indian government has allocated $120 billions for the water management projects and would continue constructing water reservoirs on the river flowing to Pakistan. He said that within next five to six years, Pakistan would be confronted with severe water crisis thus the government must take decision for building mega water projects so that these could be utilised for irrigation purpose besides generating cheaper electricity.
He said that a number of suggestions have been forwarded to the government for economic reforms. The energy sector reforms are the key to economic growth while the public sector organisations must clear their liabilities and the distribution companies should bear their own losses, he maintained.
He urged the distribution companies to evolve business friendly policies to encourage private sector for investment in the hydel power projects. Tax reforms should be initiated by reducing the tax slabs for broadening the tax net. The national database should also be developed through NADRA to enhance the tax reforms. Special Economic Zone ACT should be passed from the parliament at the earliest for rapid industrialisation in the country, he added.
He urged the government to take the business community into confidence to form firm policies towards cross border trade. Afghan Pakistan Transit Trade Agreement (APTTA) should be properly regulated and monitored by Pakistani security forces. Infrastructures should be developed to support industrial zones linking to the national motorways. Moreover, the government should develop SME policy for women entrepreneurs.