The Saarc Chamber of Commerce and Industry (Saarc CCI) has expressed its grave concern over the ongoing political upheaval and rupee depreciation, calling for immediate implementation of charter of economy to save the economy from irreparable losses.
Chamber President Iftikhar Ali Malik, while presiding over a core committee meeting of the United Business Group (UBG) to review the ongoing political instability in the country on Wednesday, said that political turmoil is also badly hitting the economy which is also directly responsible for quick depreciation of rupee besides plunging of stock exchange.
He lamented that trade deficit also widened 70 percent to $35.4 billion in the first three quarters of the current fiscal year and this ever increasing trend must be arrested to save the economy. He said business community, the backbone of economy, will continue playing its role in national development but political stability and business friendly environment are key factors for smooth flow of foreign direct investments and business.
He said although exports jumped 25 percent to reach $23 billion in the first nine months of current fiscal year while in March, it grew 16 percent to $2.74billion from $2.36 billion in the last corresponding period. But what we direly need is a complete ban on luxury items and fostering exports to shrink trade deficit to some extent.
He said it is an admitted fact worldwide that political stability was pre-requisite for sustainable economic growth, adding that higher degree of inflation also reduces economic growth besides adding miseries to the life of poor sections of the society.