Islamabad: In the meeting of the Economic Advisory Council, some members continued to protect business interests, expressing concern over keeping the exchange rate under pressure and urging the Prime Minister to take notice of it for competitiveness in exports.
According to officials, some members of the 9-member Advisory Council pointed out the Real Effective Exchange Rate (REER), according to which the rupee has been appreciated by 4 percent compared to the average basket price of foreign currencies, while in the view of Deputy Prime Minister Ishaq Dar, the rupee is 15 percent less.
Officials said that some members of the council are exporters, their position was that increasing the value of the rupee is making exports uncompetitive.
Finance Minister Muhammad Aurangzeb assured the council to take up the matter with the State Bank.
The Real Effective Exchange Rate REER100 means the appropriate value of the rupee, while fluctuations mean that the value of the rupee is not a reflection of economic conditions.
A member attending the meeting said that some members appeared to be protecting their business interests, which should not have been part of the discussion due to its superficial nature.
The members also pointed out the decline in foreign exchange reserves last week, some members recommended importing raw sugar for export after processing.
One member recommended not imposing sales tax on imported raw materials. According to a statement from the Prime Minister’s Office, the members of the council expressed full confidence in the government’s economic policies and made important suggestions for economic growth.
The Prime Minister has directed the relevant authorities to cooperate with the council members to formulate a comprehensive action plan based on these suggestions.
The members of the Economic Advisory Council headed by the Prime Minister include Jahangir Tareen, Saqib Shirazi, Shahzad Saleem, Mosaddeq Zulqarnain, Dr. Ijaz Nabi, Asif Pir, Zaid Bashir and Salman Ahmed.
