KARACHI: The Overseas Investors Chamber of Commerce and Industry (OICCI) has urged Pakistan to capitalize on macroeconomic stabilization to boost private investment, exports, energy security, and structural reforms. This call was made during a recent meeting with a visiting delegation from the International Monetary Fund (IMF) at the Chamber.
According to Overseas Investors Chamber of Commerce and Industry, the IMF delegation, including Iva Petrova, an advisor from the Middle East and Central Asia Department, and Mahir Binici, the Resident Representative, met with senior OICCI leaders and representatives of member multinational companies. The Chamber pointed out a decline in foreign direct investment despite improvements in Pakistan’s external position and sovereign credit profile, with net FDI decreasing by approximately 32 percent to $1.7 billion in FY26.
The OICCI emphasized the need for reducing regulatory and compliance burdens, enhancing investor protection, and improving coordination among federal and provincial authorities. It highlighted the importance of domestic industry reinvestment, as foreign investors often take cues from the confidence demonstrated by local businesses.
In light of rising oil prices due to the Middle East conflict, the Chamber called for immediate energy conservation measures and a medium-term plan to achieve greater energy self-sufficiency. It urged for a comprehensive energy security strategy that addresses power, gas, and petroleum sectors, considering regional energy costs, circular debt, refining investment needs, and opportunities for regional cooperation.
On the external sector, OICCI asserted that sustainable growth is unattainable without expanding foreign exchange earning capacity. It advocated for enhanced competitiveness, stronger export-oriented sectors, deeper trade and investment ties with key markets, and increased regional trade where feasible.
Regarding structural reform, the Chamber called for accelerated state-owned enterprise reform and credible privatization efforts where continued state ownership lacks policy rationale. It recommended separating the state’s roles as policymaker, regulator, facilitator, and commercial operator to allow more private-sector investment and competition.
Furthermore, the Chamber urged for broadening the tax base to include under-taxed segments such as agriculture, real estate, SMEs, and retail, instead of repeatedly increasing the burden on documented businesses.