Economic growth: Cut in power tariff to play role of catalyst: Khattak

PESHAWAR: Chief Executive Officer (CEO) JK Consultants and prominent expert on SME sector, Javed Iqbal Khattak has termed the recent cut in the power tariff for both domestic and industrial consumers and said that it will play the role of catalyst for economic and industrial growths across the country.

In a statement issued here on Sunday, he said beside the cut in the power tariff, the country is required more similar steps to bring competitiveness in the country at par with other countries of the region; including India, Bangladesh, Sri Lanka, and China. He said that we are still not in competitive position with these countries of the region and power tariff in Pakistan is high.

However, he said that the country has witnessed political stability after a long period that has made cut in the power tariff possible, which is a positive progress towards attracting investors to invest in Pakistan. Increase in energy prices has compelled industrial sector to convert to alternative energy source. Import of solar equipment have increased import bill of Pakistan.

Similarly, he said that focused be made on technological improvement in mines and mineral sector to boost country economy. He said, until the utilization of modern technology in both mining and processing sectors we will face hardships and will lag behind the world in the sector. He said that due to the lack of the use of modern technology, we are wasting the minerals irrespective of being one-time resource and not available again and again. Therefore, he called for adopting of value-addition and usage of modern technology in both mining and processing sectors.

Javed Iqbal Khattak, who also a former Chief Executive of Khyber Pakhtunkhwa Economic Zones Development and Management Company (KP-EZDMC) said that the introduction of modern technology will bear two kinds of benefits, one in shape of the promotion of joint ventures and value addition in the sector. He further said that the government should disburse incentivized loans to attract investment in mineral sector as it required heavy machinery and big capital. Therefore, he also urged the government to put its share in this sector to increase the national exports and also to earn foreign exchange for the country.

Regarding industrial development, he said that China Pakistan Economic Corridor (CPEC) will relocate Chinese technology and the local population will get employment and other benefits. He said that dividends of the CPEC were enormous, but due to long and cumbersome procedures, we have not energized the Rashakai Special Economic Zone, which was the first operational model under the corridor.

Copyright Business Recorder, 2025