The Federation of Pakistan Chambers of Commerce & Industry’s Businessmen Panel (BMP) has fully backed the call of the United Nations to ease debt pressure on Pakistan by suspending international debt repayments and restructuring loans with a view to providing immediate humanitarian support to the flood-hit country.
According to reports, the BMP Chairman appeal to the international community to write off the debts of Pakistan, as the devastating flood has shattered the economy of the developing economy of Southasian nation. However, he argued the creditors to consider debt relief so the government of Pakistan could prioritize financing its disaster response over repaying loans.
The devastating floods had rocked Pakistan from East to West and from North to South, while the main cultivated land has turned into a vast lake of water which submerged each and everything lying on the soil. standing crops were destroyed, industrial wheels halted due to floods, grains storages became unusable and the country became dependent on most of its needs ranging from fresh vegetables to wheat flour, rice, and others. On the other hand, the construction of basic infrastructure and millions of households and the rehabilitation of over 33 million masses are not trivial tasks for the rulers.
Presently, honorable UN Secretary-General Antonio Guterres is taking a personal interest in helping flood-hit Pakistan and he is well aware of the volume of the disasters and economic constraints of the country. Recently, Secretary General has urged the global creditors to write off, postpone or restructure Pakistan’s loans so the flood-hit nation can use those funds for the rehabilitation of flood-affected regions. Apparently, it was a timely call by the UN Secretary-General, because if the world community considers this appeal and supports Pakistan in this hour of need then Pakistani policymakers can easily free up fiscal space for urgent disaster response and recovery, which have been aggravated by the recent floods. The Pakistani business Tycoon has urged the global creditors to assist Pakistan, however, he also must feel his responsibility for mobilizing traders and industrialists to provide essential items at reduced rates and to contribute to the flood relief activities in flood-hit areas, so this calamity can be tackled through joint efforts.