KARACHI, March 7: A 10-member mission of the Asian Development Bank on Tuesday visited the Federation of Pakistan Chambers of Commerce and Industry and exchanged views on the present economic situation in the country and institutional reforms with members of the FPCCI.
Led by executive director Stephen Sedgwick, the ADB team included executive directors Volker Ducklau and Patric Pillon, alternate executive directors Sein Tin and Pasi Hellman, and host director for Pakistan Sibtain Fazal Halim. FPCCI acting president Akbar Abdullah led the FPCCI side.
Mr Sedgwick informed the FPCCI members that they had initiated an interaction with the private sector of Pakistan to learn about capital market and financial sector operations here, and the blockades in the way of expansion and strengthening of the private sector.
He said the ADP finances to public sector development projects meant for socio-economic uplift in the country. He said the bank had a wide agenda for Pakistan.
When ADB’s direct financial support was sought for the private sector in Pakistan, Mr Sedgwick said: “We are a development bank. However, we would take commercial transactions with the private sector.”
Akbar Abdullah briefed the ADB mission on the present economic situation and said that despite global challenges, Pakistan’s economy performed reasonably well in 2004-05, with an 8.4 per cent GDP growth rate and exports of more than $13.7 billion.
He said good economic performance without a pro-active role of the private sector was not possible. Hence, the private sector deserved more support and facilitation from the government. He pointed out that high cost of doing business was one of the major issues confronting the business community here.
Mr Abdullah opined that since the private sector had innovation, better entrepreneurial ability, the facilitation to it from the ADB would greatly help in creating employment and reducing poverty in the country.
M.A. Jabbar, in-charge WTO resource centre at the FPCCI, suggested that monitoring and evaluation of projects should be part of ADB’s funding for ensuring its productive utilization. He said the ADB should consider priority of its funding for rural population to promote agriculture of the country.
He proposed that the ADB should consider funding in creation of institutions for resolution of business disputes, including monitoring of counterfeit products. Mr Jabbar also suggested that the bank should consider funding for insulating and creating independent tax judiciary system for facing challenges of the required modernization of taxation structure. He called for more tax reforms.—APP