In a statement, OICCI President Naved A. Khan, while commenting on the Budget 2011-12 said that the government has tried to provide relief to the business community in the budget.

"We understand the difficult financial circumstances facing the country. OICCI members will continue to play their part in contributing towards the economic recovery of the country.

We do hope that the government will make the difficult decisions of broadening the tax base and adopting taxation policies that will encourage FDI and local investment on a sustained basis", he added.

He said that the government's announcement of discontinuing the flood surcharge and Special Excise Duty, along with removing regulatory duty and 1 percent reduction in General Sales Tax (GST) has been widely appreciated.

This will certainly reduce the cost of doing business and will provide much needed relief amidst increasing costs of security and power, he remarked.

Khan noted that the increase in income threshold will help salaried individuals, while provision of tax credit for equity based investments in manufacturing facilities will help in promoting the industrial sector and in creating additional job opportunities in the country.

Copyright APP (Associated Press of Pakistan), 2011