PPI Original Text (PPI-OT) – Dr. Baig hails budget

Karachi, June 02, 2012 (PPI-OT): Dr. Mirza Ikhtiar Baig, Federal Advisor on Textile, Government of Pakistan said that 3.7% GDP growth of Pakistan reported in the Economic Survey can be termed satisfactory, keeping in view the global recession, but the economic performance of the country can neither be termed bad nor exceptionally good, a statement said on Friday.

He said, the United States economy is sluggish, unemployment is continuously on the rise, and bank defaults are taking place, therefore, Pakistan’s growth is better, but it is low as compared to the economic growth of other regional countries for instance India and China. Baig said our circumstances are different from these two countries as Pakistan has been fighting the war against terror and natural calamities such as floods also hit the country last year.

Dr. Baig said, the reduction of turnover tax and withholding tax on import and uniform sales tax of 16%, reduction in custom duty on import of raw material for Pharmaceutical industry, withdrawal of Federal Excise Duty on certain items will give some relief to the industry.

However, he said that Rs. 183 Billions allocation for power sector improvement are not sufficient as energy crisis is the major challenge to our economy and need to be addressed on permanent basis as due to power and gas load shedding, country is loosing every year about 2% GDP growth.

For more information, contact:
Ministry of Textile Industry
Government of Pakistan
2nd Floor, Federal Cooperative Building,
G-5/2 Islamabad, Pakistan
Tel: +9251 921 2799 and 921 7242
Fax: +9251 921 4015
Web: www.textile.gov.pk

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