Pakistan Economy Watch (PEW)

Concern expressed over exchange rate erosion: PEW

Falling rupee dragging masses, economy down
PM asked to reject summary of gas price hike

The Pakistan Economy Watch (PEW) on Tuesday expressed concern over the steady fall in exchange rate saying that falling rupees is dragging masses and the economy down.

The rupee is losing value since last nine days which if continued will not only hurt asses but also hit businesses across the country, it said.

The freefall of rupee will trigger inflation, hit developmental projects, deter local and foreign investment and add to foreign loans as well as uncertainty, said Dr. Murtaza Mughal, President PEW.

He said that some elements are trying a 30 percent erosion in the value of rupee which will boost the value of one dollar to Rs 180.

Dr. Murtaza Mughal said that the government should not listen to such elements who want to benefit on the cost of masses.

He said that during the last one-year rupee has been devalued by 35 percent but the cited objectives could not be achieved.

All we saw was a little reduction in trade deficit and insignificant growth in exports which masses came under the additional burden.

He said that failed experiments should not be repeated as it will not only result in political and economic turmoil but also hit the credit rating of the country.

Dr. Mughal asked the Prime Minister Imran Khan to reject the summary of the Petroleum Division which has asked for a hefty hike in the tariff of natural gas as it will take a toll on masses, economy, and exports.

The gas companies should stop burdening masses for their inefficiencies, corruption, and losses and try to put their own house in order.

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Taxing small traders called a positive move: PEW

State cannot operate without taxes

The Pakistan Economy Watch (PEW) on Sunday lauded the plan of the government to impose a fixed tax on small retailers across the country.

The move will expand tax base, document economy, raise revenue and may provide some relief to the industrial sector which is paying 72 percent of the taxes, it said.

The move will also reduce incidences of harassment by tax officials and help shrink the size of expanding the undocumented economy, said Chairman Brig. Muhammad Aslam Khan (Retd).

He said that the proposed tax should be imposed immediately in Islamabad and provincial capitals after consultation with the stakeholders.

The ambit of the tax should be expanded gradually across the country while improving it at the same time, he added.

Brig. Muhammad Aslam Khan industrial sector is overburdened with taxes which is not only holding back its expansion but also hindering job creation.

A just tax system will automatically promote industrialisation which is imperative for the national development, he added.

He noted that all the efforts aimed at incentivizing non-compliant segments including retailers have failed to get desired results due to opposition by the business community.

The business community needs a simple and transparent tax system to build public confidence in its taxation regime as unnecessary complexity and uncertainty in any shape or form will remain counterproductive, he said.

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Thar achievement to attract foreign investors: PEW

Thar coal can help increase GDP by 4 percent

The Pakistan Economy Watch (PEW) on Thursday said production fo electricity from Thar coal after a long time is a great success.

Initially, 330 megawatts of electricity has been added to the national grid which will be increased by the next month, it said.

Proper exploitation of Thar coal reserves will reduce dependence on imported fuels which can help the country save almost six billion dollars annually, said Dr. Murtaza Mughal, President PEW.

He said that success in the desert of Thar has caught the attention of local and foreign investors and it may result in heavy investment as 175 billion tonnes of coal can help change the fate of Pakistan.

Thar coal can end dependence on imported fossil fuel, help the country earn handsome foreign exchange, and boost GDP by four percent, he added.

Dr. Murtaza Mughal said that power demand continues to increase while load-shedding is not only compromising growth but also making life difficult for the masses.

The government should not only increase power generation but also restore the faulty transmission and distribution system.

Steps should be taken to reduce line losses and discourage theft of electricity so that masses and the industrial sector can get cheap electricity which is imperative for industrial and agricultural expansion, he demanded.

Industrial expansion is key to boost revenue, reduce dependence on loans and tackle scourge of unemployment.

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Indian water aggression slated: PEW

India wants to see Pakistan as a desert
Water politics by New Delhi can result in war

The Pakistan Economy Watch (PEW) on Sunday condemned India for stopping water of three eastern rivers from flowing into Pakistan.

India has used its military power, economic clout, diplomatic relations, and media against Pakistan and now it wants FATF to blacklist Pakistan, it said.

Following the failed efforts India has started water aggression which can result in war, therefore, the international community must play its role, said Dr. Murtaza Mughal, President PEW.

He said that India is also planning to leave Indus Water Treaty unilaterally which will be irresponsible as it would be an act of war.

Renewed Indian efforts to make Pakistan a desert has shed light on the need for water conservation in Pakistan, he added.

Dr. Murtaza Mughal said that Pakistan is already facing scarcity of water calling for efforts to conserve water, increase storage capacity, and shun differences over mega projects in the national interests.

He demanded that water should be declared a matter of national security as agriculture, industry, and masses are under serious threat.

He noted that India has targeted our country by constructing big and small dams on rivers flowing towards Pakistan while we have made our important water projects controversial due to which we were facing severe water shortage in the country which is deepening day by day.

The nation should unite to ensure water security as India was making all out efforts to turn Pakistan into barren land, said Dr. Mughal.

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Gas utilities damaging masses and economy: PEW

The Pakistan Economy Watch (PEW) on Sunday said gas companies are damaging masses and the economy for their profits.

The gas companies are discouraging private sector trying to import LNG to ensure their domination in the gas sector, it said.

Over two dozen companies have invested in LNG business but not a single private entity has been allowed to import LNG which has discouraged many investors, said Chairman Brig. Muhammad Aslam Khan (Retd).

He said that allowing the private sector to import LNG will reduce the price of fuel which will benefit masses which is against the interests of some influential.

Brig. Muhammad Aslam Khan observed that OGRA should not be made dysfunctional by keeping its quorum incomplete while the appointment of energy officials in OGRA should be stopped as it is a clear conflict of interest.

He said that only functional and empowered regulator can safeguard interests of masses to some extent.

He noted that gas companies are earning billions of rupees but they want more, therefore, gas prices are being revised upwards frequently.

He noted that SNGPL’s line losses were 8.07 percent but now the same has been pushed up to 10.79 percent which will add huge money to their coffers at the cost of masses which must be noticed.

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PM lauded for action against greedy gas companies: PEW

Gas utilities want profits at the cost of masses, economy
Energy officials should not be appointed in OGRA
Masses not getting benefit of reduced int’l prices
The Pakistan Economy Watch (PEW) on Saturday lauded the Prime Minister Imran Khan for taking notice of gas companies which are busy looting masses for maximising their profits.
The gas companies are discouraging private sector trying to import LNG to ensure their domination and continue to earn handsome profits.
Despite years of hard work, not a single private company has been allowed to import LNG which has given state-run companies a free hand to mint money at the cost of masses and the economy, said said Chairman Brig. Muhammad Aslam Khan (Retd).
The former government encouraged the private sector to import LNG which resulted in investments by over two dozen companies but not a single entity could make it due to bureaucratic red-tapism and conspiracies, he added.
He said that allowing the private sector to import LNG will reduce the price of fuel which will benefit masses which is against the interests of some influential.
Brig. Muhammad Aslam Khan observed that OGRA should not be made dysfunctional by keeping its quorum incomplete while the appointment of energy officials in OGRA should be stopped as it is a clear conflict of interest.
He said that only functional and empowered regulator can safeguard interests of masses to some extent.
He noted that gas companies are earning billions of rupees but they want more, therefore, gas prices are being revised upwards frequently.
Last year the price of LNG was 10.59 dollars per MMBtu while now it is $10.30 but the benefit has not been transferred to the consumers who are paying more than Rs41 per MMBtu.
He noted that SNGPL’s line losses were 8.07 percent but now the same has been pushed up to 10.79 percent which will add huge money to their coffers at the cost of masses which must be noticed.
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Pakistan shatters Indian dream of regional supremacy: PEW

Indian provocations aimed at draining Pakistan’s resources
Releasing pilot failed to improve attitude of Indian government
Politicians should not use issue of Indian pilot for petty gains

The Pakistan Economy Watch (PEW) on Sunday said our political and military leadership has shattered Indian dream of regional domination through their brilliant moves.

Pakistan’s military is strong while its economy is weak therefore India continues to keep Line of Control restive to drain our resources, it said.

Pakistan has hailed Russian offer to mediate while India has rejected it which explains a lot about its plans regarding an economic offensive, said Dr. Murtaza Mughal, President PEW.

He said that the business community has a very important role to play amid Indian conspiracies to damage our economy.

Dr. Murtaza Mughal said that India pilot was released as a goodwill gesture as a deal was not possible overnight. The release of pilot has attracted global admiration but it has not changed the negative attitude of the Indian government.

He said that Prime Minister Imran Khan has emerged as a great statesman; he doesn’t need any prize and politicians should not use the issue of Indian pilot for petty political gains.

Modi cannot win the election with the help of Indian media and he should stop dangerous moves which can damage is country as the human cost of conflict will be extremely high.

He criticized Trump administration for refraining from condemning the Indian airstrike which has unmasked US unholy designs and contributed to the rising tensions.

India cannot afford continued hostilities and a miscalculation will transform it into an unliveable piece of land.

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