He said existing interest rate has blocked growth which must be reduced to prompt economic activities.
He said that revenue target for the last two months could not be achieved while FBR will have to collect Rs 500 billion during the existing month. The target for the ongoing month is difficult as the collection during the last year for the same month was Rs 334 billion, he added.
He noted that a thirty percent increase in the revenue collection has not helped the authorities but created unrest among the business community and hampered economic activity.
The businessmen are facing a double whammy of the increased cost of doing business and low demand. Manufacturing is down by 30 percent while large scale manufacturing has witnessed 54 percent contraction, he said.
The continued contraction has forced manufacturers to cut production and many units are on the brink of closure resulting in revenue and employment problems, he warned.