New Government to Revive Economy: Chairman PBC Dubai

Pakistan has an immense potential for economic growth and development despite a challenging environment, says a leading businessman.

Muhammad Iqbal Dawood, Chairman, Pakistan Business Council (PBC) Dubai, expressed his hope that new government will wisely handle the economic challenges and put the country on road to progress and prosperity.

“We have a resilient economy, and it has a promising outlook. Pakistan can overcome its challenges and achieve sustainable economic growth if the new government takes effective measures to contain unnecessary expenditures, control rising inflation and energy prices and provide relief to industry and people,” Dawood told Khaleej Times during an interview. Excerpts from the interview:

How do you see outlook for Pakistan economy after the new government takes charge?

I think things are looking up for Pakistan’s economy with the new government coming in. We’re hopeful that they’ll introduce good policies that can attract investments and boost economic growth. The government should manage spending and control inflation to revive the economy.

In conclusion, while there’s optimism about Pakistan’s economic outlook under the new government, it’s important to recognise the complexities and challenges that lie ahead. By implementing sound policies, attracting investments, and addressing key issues, Pakistan can work towards a more robust and resilient economy.

Which sectors will drive the Pakistan economy this year?

Pakistan’s economy is witnessing a remarkable growth and progress across diverse sectors. The rapid expansion of IT services and digital solutions, coupled with major infrastructure projects like CPEC and housing developments, is creating significant job opportunities in the construction sector. Industries such as textiles, pharmaceuticals, and automobiles are driving exports and adopting value-added production methods, while investments in renewable energy are reducing energy shortages and enhancing competitiveness.

Modernisation efforts in agriculture are boosting productivity and farmer incomes, while the financial services sector plays a crucial role in supporting businesses and promoting financial inclusion. Additionally, investments in healthcare infrastructure and technology are improving healthcare services and creating new growth opportunities, collectively highlighting Pakistan’s potential for sustained economic development and prosperity.

Please discuss some of the top challenges for the economy.

As an investor considering opportunities in Pakistan, I’m excited about the country’s potential for growth and development. However, there are significant challenges that we need to address to unlock this potential fully. The high cost of electricity in Pakistan is a major problem that everyone keeps blaming each other for, and we don’t want to go into details, who are responsible for that. This is a significant challenge for the current government as rising electricity tariff affects businesses, industries, and ultimately the lives of ordinary people.

Pakistan’s economy faces critical challenges that demand an immediate action. We must combat corruption and inefficiencies that are causing losses and harming our progress. State-owned enterprises (SOEs) like Pakistan International Airlines (PIA) and Karachi Steel Mills are damaging our wealth by showing heavy losses. We should privatise all loss-making SoEs as soon as possible.

We should also optimise defence spending by focusing on technology and innovation sectors rather than just emphasizing on manpower. We have to get rid of overstaffing and eliminate all unnecessary committees and grants as well as implement strict checks and controls over non-development expenditures.

The government has to evolve policies that can reduce financial burden and provide cushion to masses. Through strategic reforms and collaboration, we can overcome these challenges and build a prosperous future for Pakistan.

How do you see the role of PBC Dubai in promoting the Pakistani economy?

The PBC Dubai plays a pivotal role in promoting Pakistan’s economy by facilitating investment opportunities, fostering trade relations, and providing market access for Pakistani businesses in the UAE. Through initiatives such as organising trade delegations, business forums, and networking events, PBC Dubai enhances bilateral trade ties, boosts exports, and advocates for policy reforms that create a conducive business environment.

Additionally, the council provides valuable legal advice and support to its members, contributes to skill development and capacity building, and serves as a vital link between Pakistan and the UAE, driving economic growth and prosperity for both countries.

How PBC Dubai facilitating business community in strengthening UAE-Pakistan bilateral relations?

As an investor in the UAE, I see the PBC Dubai as a key player in strengthening the UAE-Pakistan relations. The council connects businesses from both countries, creating opportunities for partnerships and collaboration. PBC’s events and forums bring together investors and companies, making it easier to do business and build trust. PBC Dubai also works to improve policies that support trade and investment between the UAE and Pakistan. Overall, PBC Dubai plays a vital role in boosting economic ties and creating benefits for businesses in both countries.

Organise exhibitions in Dubai to promote Pakistani products is another salient feature. At PBC Dubai exhibit, chamber members can participate and display their products