LCCI welcomes removal of cash margin requirement on goods import.

LAHORE -- The Lahore Chamber Saturday welcomed the removal of cash margin requirement on goods import and termed it a step in right direction by the State Bank of Pakistan. In a statement, President of the Lahore Chamber of Commerce and Industry Kashif Anwar, Senior Vice President Zafar Mahmood Chaudhry and Vice President Adnan Khalid Butt said that due to measures taken to minimize imports, the industry was facing shortage of raw materials, machinery and other inputs which was affecting all the sectors. They said that the blockage of funds situation was arising due to the condition of 100% cash margin but now the situation would take a positive turn around.

They said that the removal of cash margin will support the ease of doing business in Pakistan as a number of companies were facing shortage of raw materials due to imposition of cash margin restriction. They said that the SBP has taken a wise decision by removing the cash margin restriction.

They said that the government should also eliminate regulatory duty, customs duty and additional customs duty on essential raw materials. Apart from this, the issues of pending refunds and multiple audits should also be resolved besides reducing the rate of withholding tax for businesses. They said that our industries are also facing problems like policy rate which has reached to 20% and high energy cost due to which the business cost has also increased a lot.'We have always insisted on increasing the tax base. We have suggested the government to immediately announce the Declaration Scheme so that Undeclared Foreign Reserves can become part of our economy', they added.

They said that apart...