Adviser resents NAB’s action against business community

ISLAMABAD: Adviser to Prime Minister on Commerce Razak Dawood on Wednesday denounced the ‘indiscriminate’ action of the National Accountability Bureau (NAB) against businessmen, saying it is marring the business environment.

“NAB is not for every businessman. We have to stop it now (as) it’s an area of concern,” Dawood said. The adviser told media that he had taken up the issue of stopping NAB from taking action against the business community with the prime minister, as it was badly affecting the business environment.

The adviser, however, clarified that the government would not move back on its drive to document the economy. “They must have to register themselves.” Dawood said exports in July increased 14.23 percent to $1.87 billion against $1.63 billion in the same month a year ago. Imports decreased 18.39 percent to $3.9 billion from $4.8 billion. In July, rice exports rose 71 percent, plastic and plastic goods 34 percent, mangoes 33 percent, chemicals 26 percent, footwear 24 percent and readymade garment exports 17 percent in the corresponding month a year earlier. Import of vehicles fell 42 percent, textile 35 percent, mineral products 23 percent, and paper and paper board 22 percent. Imports of machinery, however, increased 11 percent and high speed diesel 26 percent.

“Our trade gap is going in good direction,” he said. “August performance would give us a real trend.” The PM adviser, citing economists, said currency devaluation always have an impact after six to eight months. “There will be no more devaluation of rupee against the dollar.”

Dawood informed about his upcoming visit to Afghanistan to discuss afghan transit trade. Afghanistan is ready to discuss preferential trade agreement with Pakistan. “We have conveyed Kabul not to talk about India as it (ATT) is bilateral agreement,” he said referring to the proposed inclusion of the latter in the agreement. Dawood further said Pakistan would formally sign a revised free trade agreement with China in October.

The adviser said the federal cabinet would very soon approve the National Tariff Policy. The Prime Minister has already approved the policy, he added. On his recent visit to south Korea, he said the government asked the country to give Pakistan duty free access much like it has for Bangladesh, India, Vietnam and Cambodia. “On Pakistani products, it charges 13 percent duties due to which we cannot compete.”Pakistan exports to south Korea stand at $300 million, while imports are $600 million. “We have a working group meeting next month in Korea.” The adviser said the government has given internationally competitive tariffs of gas and electricity to local industries that enjoyed zero-rating. “Our electricity tariff for these industries is even less than Bangladesh.”

Dawood said foreign direct investment in textile sector is increasing and foreign direct investment in the sector increased 45 percent in the last fiscal year of 2018/19.