SAI’s Budget Proposals Advocate for Strategic Reforms to Sustain Pakistan’s Industrial Powerhouse
In its budget proposals for the fiscal year 2024-25, the SITE Association of Industry (SAI) has issued a stern warning to the government against jeopardizing Pakistan’s economic prosperity. Addressed to key stakeholders including the Prime Minister, Finance Minister, Governor SBP, and Chairman FBR, SAI President Kamran Arbi cautioned against undermining the industrial sector, emphasizing the importance of preserving the nation’s economic vitality.
As the voice of Pakistan’s largest and most diverse industrial base, SAI highlighted the significant contribution of the industrial sector, which accounts for 20-22% of the GDP and shoulders over 50% of the national tax burden. Recognizing the sector’s pivotal role, SAI put forth eight key recommendations spanning fiscal, monetary, trade, and energy policies.
SAI’s recommendations include substantial reductions in direct and indirect taxation on industries, revising energy policies to lower electricity and gas tariffs, and implementing a predictable forex regime to ensure stability in imports and exports. Additionally, SAI emphasized the need for prudent debt management, prioritizing allocations for national exigencies such as reindustrialization, and fostering transparency and accountability in public spending.
The association underscored that the federal budget should not merely focus on numerical targets but should facilitate strategic policymaking aimed at stimulating investment and job creation. SAI remains optimistic that the proposed budgetary measures, if implemented, will foster industry-driven economic growth in Pakistan.
As the nation navigates through economic challenges, SAI reaffirms its commitment to advocating for policies that promote sustainable industrial development and overall prosperity.
