Atif Ikram urged the government to announce the establishment of a new industrial zone in Islamabad

ISLAMABAD, June 1 (APP): Pakistan Capital Area Business Forum (PBF) Chairman Atif Ikram Sheikh has urged the federal government to formally announce the establishment of a new industrial zone in Islamabad to promote the industrial sector and attract investments.

Addressing the members of the Islamabad Industrial Association on Saturday, Atif Ikram, who is also the president of FPCCI, said that Islamabad has witnessed rapid development in the last 15 years and there is no space left for setting up new industrial units in the existing industrial area. As per the Islamabad Master Plan, the industrial areas of sectors I-9 and I-10 are located almost in the middle of the city and there is not enough space to set up additional industrial units,” he noted.

Ikram said industrial estates have played a key role in bringing greater prosperity and reducing poverty by creating ample employment opportunities. Urging the government to give due consideration to this important issue, the PBF chairman said the huge percentage of taxes borne by the Capital Development Authority (CDA) and Metropolitan Corporation Islamabad (MCI) has multiplied the problems of local industrialists in the capital.

He said the new industrial zone would not only promote the industrial base but also bring many benefits to the economy as it would create new employment opportunities, increase tax revenues and boost exports.

Atif Ikram mentioned that a few years ago, due to the joint efforts of CDA and ICCI, sector I-17 was earmarked for industrial use and the process of land acquisition also started, but later CDA changed the master plan for Islamabad and sector I-17 was renamed from industrial use for institutional purposes.

The government has identified a piece of private land near Rawat Industrial Estate to establish a new industrial zone near the Islamabad Capital Territory (ICT); however, several other options are being considered. He added that a large number of potential investors are willing to set up industries in Islamabad.

He further said that industrialization is a key component of Pakistan’s bright economic future, a gateway to the northern areas as well as a major artery to China, which could prove to be a potential economic hub in the coming years to boost trade and industrial activities in the region.

He also demanded that the government reconsider the interest rate supporting new industrialization. Pakistan’s 22% central bank interest rate is the highest in Asia compared to Japan’s interest rate of 0.1%, Taiwan’s 1.88%, Thailand’s 2.25, Malaysia’s 3%, China’s was 3.4%. ., Vietnam 4.5 percent, Indonesia and Hong Kong 5.75 percent, Bangladesh and India 6.5 percent. Currently, high interest rates have made our industry uncompetitive in the domestic market, and our exports are also suffering.

The best way to revive the economy is to focus on export-led economic growth, for which a single-digit interest rate is a key requirement; he added.