PBC Requests Govt to Allow the Import of Spares and Instruments

Pakistan Business Council (PBC) has requested the government to allow the import of spares and instruments worth $100,000 in a period of three months without having to comply with the previous restrictions imposed on imports. The import of these spares and instruments is essential for the industrial sector and would help keep it operational. In a letter to the Acting Governor State Bank of Pakistan (SBP), Dr. Murtaza Syed, the council said that the manufacturing sector was crucial for employment and exports. Any facilitation provided to the sector would reduce unemployment and help reduce the current account balance, the letter read. In addition, the council expressed concern over lower revenue generation caused by the lower production of the manufacturing sector. They added that if the issues of the manufacturing sector were left unresolved, it could adversely affect the cash flow, borrowing costs, and associated risk of loan impairment of the banking sector. The PBC has also requested the Governor to exempt essential industries from complying with the provision of seeking permission from the Foreign Exchange Operations Department (FEOD) for initiating transactions for the import of goods. The permission-seeking process was causing operational disruption and delays in the import of goods, remarked the council. It is pertinent to mention that the manufacturing sector has been facing serious issues due to the higher fuel prices and energy shortage. Earlier, the textile industry had reported the closure of 300 textile mills and urged the government to restore gas supply to the industry, stressing that it had already dented the exports by $1 billion.