Lahore: Former SAARC Chamber of Commerce and Industry President Iftikhar Ali Malik on Sunday said Pakistan should use its diplomatic capital to strengthen regional economic cooperation, improve relations with Iran and expand trade links with Central Asian countries.
In a statement issued here, he said Afghanistan, Iran and Central Asia could provide important markets for Pakistani goods and services. He said Gwadar could serve as a major transit and logistics hub for landlocked Central Asian countries, generating transit revenue and creating new opportunities for Pakistani exporters.
Iftikhar Ali Malik said Uzbekistan, Kyrgyzstan and Tajikistan offered promising markets where Pakistan had so far made limited inroads. He said improved regional connectivity could also help revive projects such as the Iran-Pakistan gas pipeline, TAPI and CASA, subject to their political, financial, commercial and security feasibility. He said increased regional trade would create demand for transport, logistics, warehousing, banking, insurance, information technology and manufacturing, besides generating employment opportunities. It would also give border communities a greater economic stake in peace and stability.
He stressed the need to continue fiscal reforms, energy sector restructuring, taxation reforms, deregulation, privatisation, export diversification, human capital development and institutional reforms. These measures, he added, should be accompanied by steps to reduce security-related costs and risks for businesses and investors.
Iftikhar Ali Malik said security and economic development were closely linked, as insecurity increased business costs, discouraged investment, damaged infrastructure, disrupted trade and limited employment opportunities.
He said Pakistan needed an economy where security, development and economic opportunities reinforced each other. Military capability could help counter security threats, but sustained economic development, strong institutions, political stability and regional peace were also essential for addressing the factors that contributed to insecurity.