Private sector-led growth and job creation is essential for reviving the economic recovery as private sector is by far the biggest contributor to GDP and the leading employer in the country.

The country has a significant untapped economic potential that could be exploited through the development of its private sector, Yassar Sakhi Butt, President Islamabad Chamber of Commerce and Industry has made these remarks during a meeting with representatives of various private sector organizations.

ICCI President said that Government must focus on the importance of creating a policy environment that encourages private sector-led economic growth as well as the need to boost private investor’s confidence.

He said that foreign and domestic investment was almost stagnant due to law and order situation and the bureaucratic irritants are a real source of concern for the private investors. He was responding to a report which shows that it takes 50 days for granting approval to a private investor to establish business in Pakistan that needs serious review.

Yassar Sakhi Butt said that the unemployment in the country was more than 10 percent, thus public sector development program of the Government should be increased to achieve its target of 5 percent to 6 percent GDP growth in the future. This measure would generate employment and provide incentive to the private sector for increasing investment, he added.

Commenting on present Government’s performance on the economic front, President ICCI said that most of the public sector units were running in loss and according to an estimate Government is subsidizing them by providing a large amount of more than Rs.200 billion each year. These units should be privatized and saved amount should be utilized for other development programs.

He said that Government should play the role of a facilitator for fostering private sector led economic growth. He said that there is a need that the government should transfer different development programs to the private sector for better results and to catch up world trends.