—Immediate relief needed: SVP Tanveer Ahmed Sheikh
By Commerce Reporter
LAHORE: The Senior Vice President (SVP) of the Lahore Chamber of Commerce & Industry (LCCI), Tanveer Ahmed Sheikh, has expressed serious concern over reports indicating that the cost of doing business in Pakistan is 34% higher than the regional average. He stated that this alarming gap is directly hurting industrial competitiveness, discouraging investment, reducing exports, and putting jobs at risk.
Read also: Tanveer Ahmed Sheikh calls for safeguards on duty-free imports to protect local steel industry
Understanding the Cost of Doing Business
The SVP said that manufacturers and exporters are facing intense pressure due to high electricity and gas tariffs, complex taxation, elevated interest rates, and inconsistent policies, which collectively increase production costs and weaken Pakistan’s ability to compete with regional economies. “When our input costs remain significantly higher than our competitors, our industry cannot sustain growth. Without urgent corrective measures, factory closures, lower capacity utilization, and unemployment will increase,” he warned.
He emphasized that Pakistan’s electricity prices are among the highest in the region, which is a key driver behind the rising cost of production. The SVP urged the government to reduce electricity tariffs immediately and introduce a predictable, transparent, and industry-friendly energy pricing framework to restore confidence and support continuity of operations.
The SVP LCCI demanded the following immediate measures:
1. Immediate reduction in electricity tariffs and a competitive industrial tariff structure
2. Lower interest rates and affordable financing options for industry and SMEs
3. Simplification of the tax regime, with reduction in unnecessary withholding and compliance burdens
4. Fast-track clearance of refunds to improve business liquidity, especially for exporters
5. Policy continuity and regulatory stability to encourage long-term investment and expansion
He concluded by stating that LCCI remains committed to protecting the interests of the business community and will continue engaging with relevant authorities to ensure urgent relief and meaningful structural reforms to reduce the cost of doing business and revive industrial growth in Pakistan.
About the Author
