ISLAMABAD: The business community supports the government’s decision to implement new refund rules from August, which will encourage the exporters, a business leader said on Sunday.
The zero-rating facility was withdrawn after an IMF deal, which panicked exporters, but the new rules would relieve them of the pressure, said Shahid Rasheed Butt, former president of the ICCI. He said that exporters would get refunds within 72 hours of filing monthly returns through an automated system, which would provide space to the exporters. However, he said that the decision should be implemented in letter and spirit to encourage exports which are going down despite 30 percent depreciation.
Shahid Rasheed Butt said that refunds worth Rs 155 billion which were due since years should be released to boost the export sector as exports are tied to national development without which country will remain dependent on foreign loans.
He said that the former regime increased current account deficit from $2.5 billion to $20 billion, which had now been reduced by 32 percent. “Similarly, the import bill has been reduced by $1 billion per month, while remittances have increased by 10 percent, which is a welcome development.” He asked the government to reconsider taxing kitchen items as it would escalate the issue of food security in the country.
