LAHORE   -  The Lahore Chamber of Commerce & Industry has demanded remedial measures through quick consultation with the business community before the approval of federal and provincial budgets for the financial year 2019-20.

“There is need of reevaluating some aspects of federal and provincial budgets to generate economic opportunities”, said LCCI.

LCCI President Almas Hyder, Senior Vice President Khawaja Shahzad Nasir and Vice President Faheem-ur-Rehman Saigal said withdrawal of zero-rating regime from the export oriented sectors was a major area of concern for the businessmen. They feared that withdrawal of zero-rating facility without a proper and pre-tested mechanism would bring exports under immense pressure. They said that that export revenues would also be affected by the withdrawal of the facility and this would potentially create a balance of payment crisis for the economy. They said that SRO 1125 should not be withdrawn otherwise capital of exporters would be dried. “Country needs foreign exchange and that is possible only through export-led growth”, the LCCI office-bearers added. They said that export sector needed support. They said that government should introduce an automatic and efficient system of refund payments whereby 75% of the refunds should be paid through the bank upon the issuance of the attested copy of bill of lading while the remaining 25% should be paid against the export proceeds after 30 days.

About Punjab budget, the LCCI office-bearers said that more investment should be made in Public Sector Development Programs. “Still time is available as budget is yet to be approved. Punjab government has Rs200 to Rs300 billion surplus and some part of it should be added to PSDP”, they added.