ISLAMABAD (Kashmir English): In a groundbreaking move, the Prime Minister of Pakistan, Shehbaz Sharif, has announced a reduction in electricity tariffs for the industrial sector to promote economic stability in Pakistan.
During a special ceremony conducted to praise the exporters of Pakistan, Prime Minister Shehbaz Sharif announced that the electricity tariffs will be reduced to 4 rupees and 4 paisas.
The prime minister announced that current wheeling charges have decreased from their previous rate of Rs. 12.55 per unit to their current rate of Rs. 8.51 per unit.
The government plans to cut industrial wheeling charges by Rs. 9 per kilowatt hour, which will help industries achieve greater competitiveness. Prime Minister Shehbaz presented various strategies to leading exporters and business leaders, which would help Pakistan transition from its current economic stabilization phase to a period of continuous economic growth driven by export activities.
He said the government was focused on easing cost pressures faced by industries, particularly electricity tariffs and financing costs. The relief package includes a 300 basis point reduction in the export refinance rate, which will decrease the rate from 7.5 percent to 4.5 percent.
The prime minister announced this decision to enable exporters who operate in competitive international markets to access more affordable borrowing costs. He announced an industrial electricity tariff decrease of Rs. 4.04 per unit, and he explained that the government intends to reduce electricity rates by up to Rs. 10 per unit in upcoming times.
The government plans to create blue passports, which will remain effective for two years to assist international travel of top exporters through their business activities. The prime minister emphasized that Pakistan currently faces severe economic difficulties because the country experiences double-digit inflation, together with a 22 percent policy rate, which the government has successfully reduced to single-digit inflation and a 10.5 percent policy rate.
Pakistan managed to prevent a sovereign default through its successful debt negotiations with the International Monetary Fund and
