Finance Minister Shaukat Tarin has linked the country’s economic growth with stability. Tarin was addressing the “Pakistan’s Economy – Fragility & Smart Action Strategy” National Workshop Balochistan-7, organized by Headquarters Southern Command. Finance Minister said the government wanted to enhance economic growth to 6-7 percent for medium term based on higher consumption, increased productivity, and further growth in investment.
Minister further stated that the development plan of the government was aimed at enabling the country to stand on its feet. It will put the economy on a higher growth trajectory; with growth being generated not by stoking consumption through borrowing, but through higher investment, efficiency and enhanced productivity.
In this regard, measures are being focused on establishing and strengthening an economy, which is not only self-reliant but also capable of competing with its competitors globally, Tarin added.
The finance minister said there is a strong linkage between a country’s national security and economic security, which in turn ensures sustainable economic development.
The present government is strongly committed to managing the national economy in a most efficient and effective manner, both at the macro and micro levels, to achieve higher sustainable and inclusive economic growth.
The government has devised a comprehensive set of economic reforms across all sectors of the economy, said the minister, adding that macroeconomic stability has been achieved and now they are moving towards the higher growth trajectory.
He said the budget 2021-22 is a growth-oriented budget based on a strategy to stimulate economic growth with a clear roadmap of strategic priorities, revenue and expenditure plans.
The growth target for fiscal year 2022 is 4.8 percent. Finance Minister said the agriculture will be the mainstay of the development due to its linkages with employment, trade and food security. He said additional amount of Rs25 billion will be provided for the development of agriculture sector, he added.
He said in order to provide a boost and further strengthen the industrial economy, major exemptions are given on raw material of worth Rs45 billion with an aim to increase the competitiveness of this important sector.
Tarin also pointed out that the fixed tax scheme and simplified tax return for manufacturing SMEs and risk sharing and collateral and free lending to SME, various schemes have been envisaged for which an allocation of Rs12 billion has been made.
