KARACHI: Three quarters of foreign investors foresee continued growth in their businesses and plan to make further investments in Pakistan, according to the Perception and Investment Survey (November 2017) released by the Overseas Investors Chamber of Commerce and Industry (OICCI).
Results of the survey were presented to Prime Minister Shahid Khaqan Abbasi by OICCI President Khalid Mansoor on Wednesday in Islamabad.
“The overall results of the survey reflect improved and positive sentiments of the members of the OICCI, who are leading foreign investors in the country,” Mr Mansoor told the premier.
OICCI members also highlighted key concerns impeding fast growth in foreign direct investment (FDI), including a negative perception of the country against positive realities.
They pointed out that a poor ranking on the World Bank’s Ease of Doing Business Index and tax-related matters, like the year-on-year continuation of three to four per cent super tax, long delays in the settlement of refunds and a growing number of interprovincial coordination issues, can be managed by ensuring good governance.
The prime minister said the government is aware of the issues faced by the OICCI members and will continue to engage regularly with them and other stakeholders.
The OICCI members – who collectively pay about one-third of total tax revenues and re-invest about $2 billion annually – are positive about the opportunities and potential that the country offers and foresee economic expansion.
Nearly 66pc of the respondents indicated plans to make new investments in business and human capital. Around 85pc of the respondents expect increased sales and 68pc anticipate a rise in their profits in coming years.
The OICCI president said that a noteworthy change has taken place in respect of the top challenges faced by the OICCI members.
The issue of energy shortages, which was listed as the second biggest challenge in the last three surveys, has dropped out of the list of top five challenges.
Similarly, the issue of law and order, which was at the top in the last three surveys, has now been listed as the third biggest challenge.
Published in Dawn, January 11th, 2018