‘Step to attract investment, create jobs’: FPCCI lauds development of industrial estate on PSM land

KARACHI: Mian Zahid Hussain, Chairman of the Policy Advisory Board of the Federation of Pakistan Chambers of Commerce and Industry (FPCCI) has said that the development of an industrial estate on Pakistan Steel Mills land in Karachi, which was approved by the Economic Coordination Committee (ECC), is a step in the right direction to attract investment and create jobs.

He said Pakistan’s economy has successfully transitioned from a phase of stabilisation to sustained reform, supported by a remarkable set of positive macroeconomic indicators for FY24-25.

He highlighted several key achievements, including a real GDP growth of 2.7 percent and a 10 percent increase in per capita income, which has now reached USD 1,824.

He also noted the country’s first current account surplus in 14 years, amounting to USD 2.1 billion — the highest in 22 years — alongside a nine-year low inflation rate of 4.5 percent. Furthermore, he praised the Federal Board of Revenue’s reforms, which have led to a record Tax-to-GDP ratio of 10.24 percent.

While acknowledging these top-down successes, Hussain stressed the critical need for a nuanced approach to address persistent structural challenges and ensure the benefits are felt at the grassroots level.

“The credibility of this economic recovery hinges on our ability to translate strong macroeconomic data into tangible improvements for all citizens,” he stated.

He cited the recent sharp surge in flour prices in Punjab as a prime example of the disconnection between national gains and ground-level realities, which highlights the fragility and complexity of the situation.

He also referenced the challenges faced by the textile sector, such as high energy costs and a significant cotton shortage, which threaten its otherwise strong export performance.

He concluded by emphasizing that sustaining this positive momentum requires a strategic focus on key growth sectors, such as IT, minerals, and value-added textiles, alongside a commitment to equitable distribution of economic benefits.