Pakistan’s private sector can be a significant catalyst for achieving the Sustainable Development Goals (SDGs) provided it gets the level-playing field to do its part in the country’s economic development. “The government should actively support the business sector in fostering activities that contribute to the revitalisation of the economy,” underscored Dr Vaqar Ahmed, Joint Executive Director of Sustainable Development Policy Institute (SDPI). Speaking to WealthPK, he said, “The private sector is the most important stakeholder in the economy. Economic instability poses a serious threat to Pakistan's private sector as it has created an unpredictable environment that makes it harder for businesses to plan their future strategies.”

He underlined that the country had struggled with high inflation, dwindling currency, and low foreign investment. “These factors have negatively impacted businesses, especially those that rely on imports or export their products.” He pointed out that there were some smaller firms facing a shutdown in the current situation. “Companies relying on imports for raw materials or finished products face increased costs, potentially squeezing their profit margins and undermining their ability to remain competitive in the market.”

He suggested the government should develop policies and programmes that make it easier for businesses, especially small and medium-sized enterprises, to access finance. “This can be done through establishing credit guarantee schemes, providing tax incentives to banks that lend to small businesses and providing training for entrepreneurs on how to access finance,” he highlighted.

Vaqar Ahmed stressed the need for policymakers to take measures to stabilise the macroeconomic fundamentals. “We don’t have to talk about problems, we have to talk about solutions.” Haroon Sharif, former chairman of Board of Investment, while talking to WealthPK said that with a market size of 240 million people and a growing economy, Pakistan offered multi-billion-dollar investment opportunities in sectors aligned with the SDGs. “These sectors include transport and logistics, renewable and alternative energy, healthcare, education, technology and communication.”
“Pakistan should establish a project development facility devoid of any political and government influence for technical people, investment bankers, engineers, and procurement specialists,” he suggested.

Sharif added that the projects so conceived should be given operational autonomy so that the investors get encouraged to invest. He stated that Pakistan was facing double whammy as there had been a consistent lack of trust from foreign investors in Pakistan’s policy and investment framework characterised by political and economic instability as well as local private sector’s lack of easy access to finance. He cautioned that at a time of global recession, Pakistan needed to exploit its own opportunities and resources for growth.

Credit: Independent News Pakistan (INP)