By Commerce Reporter
LAHORE: Founder Group Chairman Muhammad Ibrahim Sheikh has strongly criticized the government’s economic policies ahead of the federal budget, warning that rising taxes, expensive energy and increasing business costs are placing Pakistan’s industrial sector under severe pressure.
Speaking during a program, Ibrahim Sheikh said that industrial growth has slowed considerably as businesses continue to struggle with increasing operational expenses and declining investor confidence. He argued that without immediate corrective measures, the country could face deeper industrial challenges that may ultimately affect employment, exports and overall economic growth.
He said that the business community had repeatedly raised concerns over economic policies that, according to industrial stakeholders, have increased the cost of doing business and reduced competitiveness in local and international markets.
“Industries are already operating under difficult conditions and additional financial burdens are making survival increasingly difficult,” he said while discussing expectations from the upcoming federal budget.
The Founder Group chairman highlighted multiple factors contributing to industrial closures, saying that high production costs remain one of the biggest challenges facing manufacturers across various sectors. He added that expensive electricity, rising fuel costs and higher taxation have significantly increased financial pressure on businesses.
According to him, inconsistent economic policies have further complicated the situation, making long-term planning difficult for investors and manufacturers.
He said investor confidence has weakened due to economic uncertainty and frequent policy changes, creating hesitation among businesses looking to expand operations or invest in new projects.
“The industrial sector requires stability and predictability to grow,” he said, adding that uncertainty within the business environment has forced many companies to reconsider expansion plans and, in some cases, reduce operations.
Ibrahim Sheikh urged policymakers to prioritize industrial revival in the upcoming budget by introducing measures that reduce production costs and create a more supportive business environment.
He emphasized that protecting industries should remain a key economic priority because the manufacturing sector plays a critical role in employment generation and economic stability.
He further stated that stronger industrial policies are necessary to encourage investment, improve productivity and support sustainable economic recovery.
Business circles have repeatedly called for tax reforms, energy sector improvements and policy continuity ahead of the federal budget, arguing that economic stability cannot be achieved without strengthening industrial activity.
The Founder Group chairman stressed that immediate and effective decisions are required to address concerns of manufacturers and investors, warning that delays in reforms could further impact industrial output.
As budget discussions continue, industry stakeholders are expected to intensify calls for policy measures aimed at reducing costs, improving competitiveness and restoring confidence within Pakistan’s business sector.
