Private sector of Pakistan ‘dynamic and resilient’: WB
Pakistan Times National News Desk
WASHINGTON (US): Tanwir Ali Agha, alternate executive director, World Bank, Sunday said Pakistan’s private sector is both “dynamic and resilient.” “It is fast in adjusting, and ready to vigorously update, improve and compete.” Pakistan is seen as third in line after China and India in textiles, which speaks volumes of our private sector’s exuberance, excellence and capability.
About elimination of MFA, he said, Pakistan has prudently spent billions of dollars on updating its textile industry, “and we are going to well internationally.” In this behalf, he referred to foresighted investments and supportive role of the government. In Europe, he said, Pakistani textiles have “some advantage.”
Gwadar deep Seaport
On Gwadar deep seaport for Pakistan, the official said the impact of Gwadar is to really build upon the Government’s vision of being a focal point for regional economic growth. It would prove to be a gateway in reaching Central Asian Republics- that is the key element.
It would give a boost to entrepreneurial sentiment, he said of Gwadar.
Asked why due projection of Pakistan is not visible internationally, Tanwir Agha said the stress seems to be on MIGA economies, and “Pakistan’s success story is seldom told.” Undoubtedly, Pakistan has registered remarkable accomplishments in finance, economy and trade.
Identifying the single element behind the success story, he stated it was the factor of “ownership” of the reform programme. “Pakistan is all set for a take off point,” he stated. “Nobody is complacent, and a road map for rapid advancement has been given, which is a matter of satisfaction.”
Role of World Bank
On the role of World Bank in respect of Pakistan, he said in the previous years, on average, Pakistan has been getting $900 million per annum in the borrowing programme; while the country is expected to receive $1.5 billion per year, for which, the Government has identified projects.
In respect of South Asia, he said the potential was immense, as you are speaking of a population of over 1.6 billion with a lot of complementarity of their economy and the opportunities for trade, investment, tourism being superb. As far as the Government of Pakistan is concerned, the key focal point is the ongoing peace process- which has an opportunity to bring peace, hope and prosperity to their millions of people.
The Government’s vision of Pakistan was that of a modern, prosperous and enlightened country- within its Islamic ethos.
Of the Challenges
Of the challenges, he said the Government was aware of the challenges that lie ahead, as it is going to be a long road ahead of us if our people are to enter in the 21st century as a prosperous and enlightened nation.
Was the target of 8 percent growth rate achievable, Tanwir Agha said “we have already achieved over 7 percent, and this has been widely commented upon by Pakistan’s developmental partners, including the IMF, World Bank, the Asian Development Bank and bilateral donors.”
“So, this is not the opinion of the Government -the important thing to underline is that this is not the opinion of the Government and this is not an opinion of an individual. This is the opinion of the independent multilateral and bilateral agency who see what is happening in Pakistan.”
The investors, both domestic and foreign, are now “voting their feet by going to Pakistan.”
Rates of Growth
Of the high rates of growth that have been achieved, he referred to a sharp reduction in debt to a sustainable level, enough fiscal space to address social sector infrastructure issues turning investment- which is now attracting private investors -both domestic and foreign- to come back to Pakistan and to see this happening in three ways.
First of all, Pakistan has reassessed capital market in 2004 after an absence of nearly 7 years; second of all, it is evidenced by the strong interest in Pakistan’s privatization programme; and, finally, it is showing up in the figures of both FDI and domestic investment.●