PM Announces Rs4.4 Per Unit Power Cut for Industries to Boost Exports

PM Announces Rs4.4 Per Unit Power Cut for Industries to Boost Exports on Friday reduction in electricity rate for the industrial sector that aims to enhance productivity, reduce cost and strengthen Pakistan’s export competitiveness and the announcement was made during ceremony in Islamabad held to honour the country’s leading exporter and business figure for their contribution to the economy and Addressing the gathering the prime minister stated that if it were solely up to him he would further reduce electricity prices by another Rs10 per unit, but acknowledged limitation due to existing economic constraint.

Reduction in Wheeling Charges for Industries

In another significant move to support industries PM Shehbaz Sharif announced reduction in wheeling charges saying they would be brought down to below Rs9 and he expressed hope that this step would encourage industries to sell excess power to neighbouring industrial units, improving efficiency and lowering operational costs across the sector.

Export Refinance Rate Slashed to 4.5pc

To further support exporters, the prime minister revealed major cuts in the export refinance rate that reduce it from 7.5 per cent to 4.5 per cent. He said the decision was made with the cooperation of Pakistan’s banking sector and would provide much needed financial relief to exporters helping them expand operation and remain competitive in international markets.

Praise for Exporters and Business Community

At the outset of his address, PM Shehbaz lauded Pakistan’s business leaders and exporters for their resilience and performance over the past year and The billions of rupees you have earned for Pakistan the entire nation congratulates you,” he said, acknowledging their role in keeping the economy afloat during challenging times.

Recalling the 2023 Default Crisis

The prime minister recalled that in 2023 Pakistan was on the brink of default, with constant reports predicting an economic collapse and he described it as a critical challenge for the nation and shared details of his meeting with IMF Managing Director Kristalina Georgieva in Paris.

He said the IMF chief had expressed concerns about Pakistan’s past inconsistencies in implementing IMF programmes. PM Shehbaz told her he gave his “word of honour” to ensure full implementation of the agreement, which ultimately helped save Pakistan from default.

Foreign Support and IMF Programme

PM Announces Rs4.4 Per Unit Power Cut for Industries to Boost Exports noted that Pakistan’s foreign exchange reserves have doubled in the third quarter though he acknowledged that this includes loans from friendly countries and He said he, along with the Chief of Defence Forces and Chief of the Army Staff Field Marshal Asim Munir, approached several countries for financial assistance. He expressed gratitude to China, Saudi Arabia, the UAE and Qatar for their support adding that this cooperation helps stitch together the IMF programme.

Pakistan Has Become Stable Economy

The prime minister stated that he could now say “without hesitation” that Pakistan economy has established and he highlight that inflation has come down to single digit and while the policy rate stand at 10.5 per cent, as compared to over 21 per cent in the past and However he caution that stability alone was not enough, pointing to rising poverty, unemployment and low export profitability as pressing challenges.

Focus on Export-Led and Sustainable Growth

PM Shehbaz stressed that Pakistan must move toward and sustainable economic growth saying there was “no other way” forward and he acknowledged that the government could not dictate the private sector but emphasised collaboration to improve competitiveness and reduce costs.

He also highlighted the importance of small and medium sized enterprises (SMEs) urging both the government and private sector to support them for long term economic growth.

Blue Passports for Exporters

As a token of appreciation, the prime minister announced blue passports for the exporters honoured at the ceremony and declared them “ambassadors at large”, recognising their role in representing Pakistan’s economic interests globally.

Hope to Restore PIA to Its Past Glory

During his speech PM Announces Rs4.4 Per Unit Power Cut for Industries to Boost Exports also spoke about the recent privatisation of Pakistan International Airlines (PIA) and he expressed hope that the national carrier would be restored to its former glory, recalling its iconic slogan “Great people to fly with” and its past status among the world’s top airlines.

He expressed confidence in Arif Habib Corporation Limited which led the consortium that acquired 75 per cent shares of PIA for Rs135 billion saying the government would fully support efforts to revive the airline.

Conclusion

PM Announces Rs4.4 Per Unit Power Cut for Industries to Boost Exports reduced electricity tariffs, lower wheeling charge and cut in the export refinance rate signal strong push by the government to revive Pakistan industrial and export sector and While economic stability has been achieved PM Shehbaz made it clear that the next challenge lies in achieving sustainable, export led growth. With continued reforms, private sector cooperation and targeted support for industries and SMEs, Pakistan aims to move from stability towards long term economic progress.