UBG lauds govt for successful auction of bonds worth $2.5bn

ISLAMABAD: The United Business Group (UBG) of the FPCCI (Federation of Pakistan Chambers of Commerce and Industry) Saturday lauded the government for the successful auction of bonds worth 2.5 billion dollars without being under the International Monetary Fund programme.

The successful move spoke volumes about the increasing confidence of the foreign investors in the Pakistani economy, Naseemur Rehman, a central leader of the UBG, said in a statement.

He said the government's decision to allow IMF to monitor Pakistani economy was laudable as it would help boost the confidence of the investors. The issuance of bonds would help the government but it would not resolve its financial difficulties due to falling exports and increasing imports, he added.

Naseemur Rehman said the government needed at least 10 billion dollars to tackle the situation for which the government could consider issuing CPEC bonds.

The China Pakistan Economic Corridor (CPEC), he said, was one of the greatest projects of the history of mankind therefore many individuals and companies would prefer to invest in CPEC bonds.

He said that railways infrastructure was also being improved under the economic corridor, therefore, the government could also issue railway bonds and offer tax breaks to lure investors.

Naseemur Rehman, who is contesting FPCCI election independently, said that policymakers could also consider taking Pakistan Stock Exchange on board to get maximum benefit out of the bonds.