Pakistan’s economic revival gains global acknowledgment: Jam Kamal

LAHORE, Apr 19 (APP): Federal Minister for Commerce Jam Kamal Khan said on Saturday that Pakistan’s economy is on a path of consistent improvement, owing to recent structural reforms, international recognition of economic measures and the unwavering support of the business community.

He was talking to the business community during his visit to Lahore Chamber of Commerce and Industry (LCCI), where LCCI President Mian Abuzar Shad presented the address of welcome while SAARC Chamber Vice President Mian Anjum Nisar, former LCCI President Muhammad Ali Mian, former Senior Vice President Ali Hussam Asghar, Former Vice President Faheem ur Rehman Saigol, TDAP Chief Executive Officer Faiz Ahmed Chadhar, Director General Rafia Syed and LCCI Executive Committee also shared their views.

The Federal Commerce Minister added that although the country faced significant economic challenges until a few months ago, there have been noticeable improvements during the past 18 months.

He said that even global institutions like the IMF acknowledged Pakistan’s economic reforms and recovery efforts. The large-scale participation of foreign delegates in events like the HEMS Expo and Mineral Expo is a strong indication of growing international confidence in Pakistan, he added.

He said that Prime Minister Shehbaz Sharif’s personal involvement and focus have led to the resolution of many key issues, while the collaborative approach of the business community during difficult times has been commendable. Jam Kamal Khan said that the Export Finance Scheme (EFS) programme is being tailored to benefit the business sector, and reforms are being shaped through constant consultation with stakeholders. He appreciated the Lahore Chamber’s proactive liaison with the government, calling it a positive sign for future policymaking.

The Federal Commerce Minister revealed that the Prime Minister personally participates in B2B meetings during international visits, reflecting the government’s commitment to promoting trade. He said the Export Development Fund (EDF) is being restructured and TDAP (Trade Development Authority Pakistan) has undergone considerable institutional improvements. He acknowledged that exports are still largely confined to a few products and regions. There is immense untapped potential in areas like East Africa and other emerging markets, he maintained.

He said that a new trade policy is also being formulated and for the first time, sector-specific meetings have been held regarding tariffs, which will be taken up with the Tariff Board.

In his address, LCCI President Mian Abuzar Shad welcomed the government’s economic revival efforts but pointed out the continuing challenges.

Mian Abuzar stressed that exports cannot increase unless the problems of the industrial sector are resolved. He identified several pressing issues facing the industry, including the devaluation of the rupee, energy tariffs, the imposition of Maximum Demand Indicator (MDI) charges on closed industries, land prices in industrial estates, and duties and taxes on raw materials and intermediate goods. These factors have significantly increased the cost of doing business.

He said that Pakistan’s export revenue has not seen substantial growth due to the lack of diversification into value-added products over time. If the goal is to boost exports, support industrialization and attract investment, then the government must provide cheaper electricity and gas to industries, ensure single-digit financing rates and urgently improve the tariff structure. Such measures, he said, are essential to improve the Ease of Doing Business in the country.

Mian Abuzar also pointed out that 68 percent of Pakistan’s exports are limited to textile, leather and rice sectors, while the country holds immense potential in halal food, pharmaceuticals, information technology, engineering goods, surgical instruments and sports goods. He reiterated that the LCCI has consistently advocated exploring new markets. At present, 58 percent of Pakistan’s exports are restricted to just 10 countries, he maintained.

He highlighted the significant untapped trade potential in Africa, ASEAN nations and the Central Asian republics. Africa, for instance, imports goods worth USD 700 billion annually, but Pakistan’s share is only USD 1.8 billion. ASEAN countries import goods worth USD 1.7 trillion, while Pakistan’s share stands at a mere USD 1.7 billion. Similarly, Central Asia’s total imports amount to USD 111 billion and Pakistan’s share is just around USD 226 million.

Mian Abuzar urged the Ministry of Commerce to ensure that Pakistan’s Commercial Counselors, posted in high-potential trade destinations, prepare market intelligence reports every six months and share them with all chambers of commerce across the country.

He also referred to the US tariff actions, adding that tariff rates on Pakistani goods are relatively lower than those imposed on regional competitors like Bangladesh, Vietnam and Sri Lanka. This presents a rare opportunity for Pakistan to expand its exports to the US market. Mian Abuzar concluded by saying that the private sector is eager to align with changing global trade dynamics and hopes to see a clear policy direction from the government to help seize these emerging opportunities.

SAARC CCI Vice President and former President of the Lahore Chamber, Mian Anjum Nisar said that ongoing global tariff wars offer a significant opportunity for Pakistan’s exporters and the country must focus on capitalizing on these developments.

He urged policymakers to implement swift measures to reduce operational costs, including energy tariffs and other overheads, in order to enhance the competitiveness of Pakistani products in the global market.

Former LCCI President Muhammad Ali Mian expressed his gratitude to the Commerce Ministry for initiating interviews of Commercial Counselors and called it a step in the right direction. He stressed the importance of timely and consistent data sharing with chambers of commerce across the country to better inform trade strategies and market outreach. He also pointed out that the documentation requirements under SRO 578 are overly burdensome and need to be simplified to reduce unnecessary hurdles for exporters and industrialists.

Former Senior Vice President of LCCI, Ali Hussam Asghar, spoke on the importance of the FTRA regime and emphasized the need to promote joint ventures to increase technology transfer and market access for Pakistani businesses. He was of the view that collaborative models with international firms can drive innovation and accelerate growth in key industrial sectors.