KARACHI: The Federation of Pakistan Chambers of Commerce & Industry (FPCCI) has welcomed the staff-level agreement (SLA) reached between the Government of Pakistan and the International Monetary Fund (IMF) for the disbursement of around $1.2 billion.
FPCCI President Atif Ikram Sheikh described the agreement—following the completion of the third review of the Extended Fund Facility (EFF) and the second review of the Resilience and Sustainability Facility (RSF)—as an important step toward maintaining macroeconomic stability.
He noted that the release of $1 billion under the EFF and $210 million under the RSF would provide much-needed financial relief. According to him, the agreement is expected to strengthen foreign exchange reserves, restore market confidence, and send a positive signal to global rating agencies and bilateral partners. However, he stressed that stabilization alone is not sufficient, urging the government to shift focus toward inclusive industrial growth by addressing structural challenges affecting the private sector.
While acknowledging the continuation of the IMF programme, FPCCI emphasized the need to support businesses facing high operating costs and geopolitical uncertainties. The body called for immediate reforms to facilitate trade and industry, including a meaningful reduction in the policy rate to improve investor confidence.
Atif Ikram Sheikh also underscored the importance of expanding the tax base rather than placing additional burden on existing taxpayers, urging authorities to bring untaxed sectors into the net.
He further highlighted concerns over policies such as additional taxes and delays in sales tax refunds, which strain industrial liquidity, and called for institutional reforms to improve transparency, governance, and rule of law.
FPCCI Senior Vice President Saquib Fayyaz Magoon pointed to external risks, including rising Middle East tensions and increasing global freight costs, warning that these factors could negatively impact Pakistan’s trade outlook.
He emphasized that amid global supply chain disruptions and fuel price volatility, domestic economic policies should act as a stabilizing force rather than add pressure on exporters.
FPCCI reaffirmed its commitment to working with the government to help formulate evidence-based policies aimed at supporting sustainable industrial growth, boosting exports, and strengthening the business environment.
