Economic activities in Karachi shrinking fast: traders

KARACHI: The continued poor law and order situation has badly affected economic activities in the city and the businesses are fast dwindling, traders said on Monday.

Talking to Business Recorder, a number of traders at the old city area markets showed disappointment over the weak police action against what they said powerful extortionists in the metropolis, saying that “businesses are facing historic threats to its existence in Karachi.”

The psychological impact of violence had seriously affected the mindset of businessmen whether they should continue the business activities, the traders said, adding that the growing uncertainties had scaled down their sales during the last four years.

“There are over 80 markets only in Saddar which makes it the greatest business hub alone,” said All Karachi Tajir Ittehad Chairman Atiq Mir, adding that the law and order situation had to be improved for the country’s economic growth.

He termed the violence in Karachi as an “attack” on the country’s integrity, saying that the present state of peace in the city would ultimately pose a serious threat to the country’s economy.

“The lawlessness in the city has made the trade and business hostage and the traders should forcefully resist the trend,” he said, and vowed that the businessmen community through their determination would never allow the violence to take root permanently.

Mir also called upon the traders, who have either left the city due to violence or about to shift their businesses, to come back and fight against the lawlessness.

“Traders are suffering a loss of at least Rs40 billion per month as business activities have dwindled by some 60 percent in the recent days because of violence and protest rallies,” said Mir.

He further said that the shrinking businesses in the city had badly affected the livelihood of daily wagers and their survival in the country’s financial hub had become extremely difficult.