KARACHI: Pakistan’s Prime Minister Shehbaz Sharif has reaffirmed the government’s unwavering commitment to steering the country toward economic growth following the achievement of macroeconomic stability.
The prime minister made the remarks while addressing a ceremony at the Pakistan Stock Exchange on Wednesday to mark the remarkable performance of PSX and becoming the top stock market in the world.
He sought proposals from all stakeholders to implement an export-led growth agenda and use the full potential of natural resources.
He emphasised the importance of maintaining momentum, noting that the ultimate goal is sustained economic growth which requires the prudent utilisation of the country’s abundant natural resources, as well as leveraging the skills and expertise of experienced business and trade leaders.
Shehbaz Sharif highlighted the significance of progressive taxation and structural reforms and said that Pakistan has a target of enhancing the tax-to-GDP ratio to 10.6 percent under the commitments with IMF.
Expressing satisfaction over the significant reduction in the policy rate from 22% to 13%, he noted that while there is room for further cuts, any such decision must be made prudently and cautiously.
He highlighted the growth potential in the agriculture and mines and minerals sectors, adding that recent visits by foreign investors have shown promising interest in bringing investment and technology to Pakistan.
He emphasised the importance of leveraging the country’s natural resources to boost domestic manufacturing and create employment opportunities, with the ultimate goal of propelling Pakistan to new heights of development and prosperity.
Referring to the privatisation process and structural reforms in public sector entities, the PM said that state-owned entities made losses of billions of rupees in previous years.
He added that the government is committed to ensuring complete transparency in the privatisation of Pakistan International Airlines (PIA) and other organisations.
The Prime Minister expressed hope that by implementing collective policies for a growth-led economy Pakistan would no longer need IMF assistance.
The Deputy Prime Minister and Foreign Minister of Pakistan, Senator Muhammad Ishaq Dar, expressing his views said that the initiative to merge the country’s stock markets, launched nine years ago, has grown into a towering success, yielding outstanding results now recognised globally.
He emphasised the importance of establishing a robust secondary market, modeled after advanced and strong economies. Senator Dar urged the business community to rise to the challenges and create new market opportunities to help the national economy build resilience, absorb external shocks, and reduce dependence on foreign resources.
Addressing the ceremony, Finance Minister Muhammad Aurangzeb said that reforms are being implemented in the government entities and expenditures are being reduced. He said that reforms in the energy sector will help bring sustainable growth in the macro-economic sector.
Chief Executive Officer of Pakistan Stock Exchange Farukh Sabzwari, in his welcome address, highlighted the remarkable performance of the stock market, China’s strategic investment and partnership, key features, and proposals for further growth of the capital market.
