The Federation of Pakistan Chambers of Commerce & Industry (FPCCI) has recommended an amnesty scheme for acceleration in the economic growth through production and utilization of hidden liquid assets in the main stream of the economy. The objective of this scheme is to stop the flight of capital from Pakistan as it has become a common observation since last several years that the capital of Pakistani residents and non-residents is being invested in Middle East, Far Eastern countries, Western Europe and off shore Island in Southern Pacific.
It is noteworthy that after implementation and enforcement of investment related clauses of free trade agreement under the umbrella of WTO, now developing countries are focusing on Foreign Direct Investment (FDI). The United Nations Conference on Trade and Development (UNCTAD) has released the latest version of world investment report and in its report the requirement of inflows of foreign investment for the fast track development was emphasized.
It is astonishing fact that net inflows of investment are declining in Pakistan where high growth in Foreign Direct Investment (FDI) has been observed in other South Asian countries. The inflow of FDI is directly associated with the trend of investment by local investors. The flight of capital from Pakistan provides a bad signal to the foreign investors and in the case of flight of investment by the local investors, the foreign investors don’t prefer to invest in Pakistan.
It is notable that on the recommendation of Mian Muhammad Adrees, former President FPCCI, the Prime Minister of Pakistan Mian Nawaz Sharif has promised to business community that feasible recommendations of FPCCI regarding the amnesty scheme will be implemented in real spirit. The Prime Minister also proposed that FPCCI should prepare the proposals for the broader interest of the nation.
Abdul Rauf Alam, President FPCCI informed that the R&D Cell in FPCCI is preparing recommendations for amnesty scheme and said that the objective is not to provide a shelter to corrupt practices but to bring the freezed and isolated liquid assets into main stream of economy for its utilization to provide funds for the growth of national economy, badly required infrastructure development, provide employment opportunities at large scale and enhance the size of national exchequer.
He further said that it has been ascertained that several developing countries have introduced amnesty scheme during last three years to create informational efficiency in financial markets and growth of economy. The recommendations and report of FPCCI will be finalized in next week, he added.
The Federation of Pakistan Chambers of Commerce & Industry
50-A, Tufail Road, Lahore.Cantt. Pakistan Tel: 042-36670970-71, Fax: 042-36670972,
Email: Lahore.Regional@fpcci.com.pk, URL: www.fpcci.com.pk
