Latest news with #structuralreform
Arab News
5 days ago
- Business
- Arab News
Pakistan PM defends tough structural reforms, says country can't afford ‘business as usual'
ISLAMABAD: Prime Minister Shehbaz Sharif on Saturday strongly defended his government's structural reform agenda, particularly in tax administration, saying that difficult and often unpopular decisions were necessary to rebuild national institutions, as the country could no longer afford 'business as usual.' Speaking at an orientation session for participants of the Uraan Pakistan youth program, Sharif recalled the fragile economic conditions he inherited after assuming power following last year's general elections. He noted that Pakistan had narrowly avoided a sovereign default in mid-2023, when inflation surged to nearly 38 percent, before securing a critical bailout package from the International Monetary Fund (IMF). The prime minister said his administration took on the 'onerous task' of stabilizing the economy under immense pressure, choosing to pursue long-delayed reforms rather than temporary fixes. 'Pakistan had to undertake these long-overdue, deep structural changes if we had to find our lost place in the comity of nations through hard and untiring efforts,' he said. Sharif pointed to a set of key reforms aligned with IMF recommendations, including the digitization of the Federal Board of Revenue (FBR). He noted the transition from paper-based tax systems to digital and AI-led processes was already bearing fruit. 'Faceless interactions — these terminologies were unknown in FBR,' he said, adding that one previously underperforming sector saw its tax contribution rise from Rs12 billion to over Rs50 billion within a year due to improved enforcement. The prime minister said his administration had prioritized accountability, removing senior FBR officials accused of corruption and resisting political pressure in doing so. 'It's a long and thorny journey,' he continued. 'We are facing bumps on the way and mountain-like impediments. But I can assure you, we will not shy away from discharging our responsibility.' Sharif maintained that merit would remain the cornerstone of his governance model. 'Delivery is the name of the game,' he said. 'Performance is the name of the game.'
Zawya
6 days ago
- Business
- Zawya
Operation Vulindlela Progress Report shows momentum on economic reform
The Presidency and National Treasury have today, 11 July 2025, released a quarterly progress report for Q1 2025/26 on the implementation of economic reform through Operation Vulindlela. This report is the first to be released since the launch of Phase II of Operation Vulindlela this year. Operation Vulindlela is a joint initiative of The Presidency and National Treasury, which aims to achieve more rapid and inclusive economic growth through a programme of far-reaching economic reform. Phase I of Operation Vulindlela focused on unlocking progress in five priority areas: electricity, freight logistics, water, telecommunications, and the visa system. These reforms were selected for their high potential to catalyse investment, enhance economic competitiveness, and create jobs. Phase II represents a second wave of structural reform aimed at unlocking more rapid, inclusive, and sustained economic growth. While continuing to drive implementation of reforms initiated during Phase I, the second phase introduces new focus areas that respond to evolving challenges in the economy. The report released today demonstrates sustained progress in the economic reform agenda, which serves as a counter to strong economic headwinds. Key milestones during the past quarter include the publication of a Ministerial Determination and associated regulations to enable the first round of Independent Transmission Projects, as well as a Request for Information for major private sector participation (PSP) projects in the freight logistics sector. Progress has also been made in the new areas of reform included in Phase II, with a comprehensive review of the White Paper on Local Government to reform the local government system and the introduction of a performance-based financing mechanism to support the reform of municipal water and electricity services. The Digital Transformation Roadmap has been approved by Cabinet and is in implementation, with the development of a digital identity system and other core elements of the roadmap already advanced. Further details on progress in each of the reform areas is available in the full report, which can be accessed here. Distributed by APO Group on behalf of Republic of South Africa: The Parliament.
Free Malaysia Today
22-05-2025
- Business
- Free Malaysia Today
We want Malaysia to be a high-income nation, says Hamzah
Opposition leader Hamzah Zainudin said Malaysia can no longer remain complacent and that steps must be taken to revive its economy. (Envato Elements pic) PETALING JAYA : Freeing Malaysians from the middle-income trap and taking the nation to a high-income level will form the core of a Perikatan Nasional (PN) government's economic policy, according to opposition leader Hamzah Zainudin. Hamzah, the PN deputy chairman and Bersatu deputy president, said the approach would be based on fairness to ensure shared prosperity. 'Given the current state of our economy, Malaysia can no longer afford to be complacent,' he said at the ISEAS-Yusof Ishak Institute in Singapore today. 'It is time for us to revive the economy, and to move forward smarter, faster, and more equitably,' he said. Hamzah said that for Malaysia, a vibrant and dynamic economy was still within reach 'if we have the will and the capability for structural reform'. He said Malaysians would also have to redefine national priorities, adopt responsible fiscal discipline, and expand the revenue base in a sustainable and strategic manner. The Larut MP said Malaysia must be able to strike a balance between development spending and welfare allocation to protect vulnerable groups. 'Our focus must shift to high-impact investments and capacity-building – in education, women and youth empowerment, digital infrastructure, and technical skills – to prepare our country for the future.' He said PN would ensure fiscal discipline to reduce the nation's over-dependence on debt. 'This will require reforms in the tax system for greater efficiency, eliminating leakage and wastage, and streamlining government services through digitalisation while cutting red tape,' he said. Hamzah said that to expand the revenue base, the government would have to tap new and sustainable sources of wealth such as renewable energy and critical minerals like rare earth while it moves up the global supply chain, especially in semiconductors, to capture higher value-added opportunities. To make it an incentive to increase productivity, he said, bold measures would be introduced to drive economic output, enhance national competitiveness, and generate higher income and tax revenue. The former minister said that to attract quality investments and make Malaysia globally competitive, steps would be taken to enhance transparency and efficiency to improve investor confidence. He said PN would make it a priority to return Malaysia to the Top 10 in the 'Ease of Doing Business' ranking by simplifying licensing, cutting approval times, and aggressively combating corruption. The country has slipped to 12th place in the ranking. 'We are also committed to restoring investor confidence by ensuring political stability, as well as clear and consistent policies, because investors value predictability, not uncertainty.' He said the capital and equity markets would see new and diverse financial instruments to offer domestic and international investors 'a fresh flavour'. Hamzah also said Malaysia must reduce its reliance on external sources for food and labour in order to build a resilient and self-sustaining economy. As of 2023, Malaysia had spent more than RM75 billion on food imports, he said, describing this figure as unsustainable. He said steps would be taken to strengthen food security by boosting the domestic agro-industry and modernising agricultural practices while offering targeted incentives and training to empower young agricultural entrepreneurs. Hamzah said that to reduce reliance on migrant labour, there would be investments in automation, the local workforce would be upskilled, and vocational and technical training would be given priority. 'We will protect workers' rights by encouraging collective bargaining to ensure fairness and dignity for all,' he added.
Zawya
15-05-2025
- Business
- Zawya
Al-Mashat, IMF mission chief discuss Egypt's structural reform program
Arab Finance: Rania Al-Mashat, Minister of Planning, Economic Development, and International Cooperation, discussed the national structural reform program with Ivanna Vladkova Hollar, the International Monetary Fund (IMF) Mission Chief for Egypt, as per a statement. The meeting also touched upon macroeconomic indicators and external financial resources to bridge the financing gap. Al-Mashat noted that the Egyptian economy regained momentum in economic growth since the implementation of economic reform measures in March 2024. She noted that the Egyptian economy faced significant challenges before this period. However, the state witnessed economic growth to 2.4% in the fourth quarter (Q4) of fiscal year 2023/2024, followed by 3.5% and 4.3% in Q1 and Q2 of FY 2024/25. Non-petroleum manufacturing sector led growth rates, along with segments of the information and communications technology (ICT), tourism, transport, and storage. This was despite the negative impact of geopolitical tensions on Suez Canal activity, which registered a significant decline over the recent period. Al-Mashat addressed cooperation with international development partners to mobilize budget support funding and implement comprehensive structural reforms in the Egyptian economy. She reflected on the Macro-Financial Assistance (MFA) mechanism and the budget support of €4 billion with the European Union (EU), aimed at boosting macroeconomic stability, enhancing the investment environment, and driving the transition to a green economy. The private sector also receives a significant portion of this funding through direct and indirect investments and lines of credit, which improve growth and employment efforts, according to Al-Mashat. The minister noted that concessional financing to the private sector exceeded nearly $14.5 billion over the past five years. She also reviewed the implementation of the Nexus of Water, Food, and Energy (NWFE) program, particularly in the energy sector, which has attracted $3.9 billion concessional financing to the private sector in two years. The financing was allocated to implement renewable energy projects with a capacity of 4.2 gigawatts (GW). Meanwhile, the ministry seeks to raise funding to $10 billion to implement around 10 GW of renewable energy capacity, supporting Egypt's renewable energy capacity to 42% by 2030. © 2020-2023 Arab Finance For Information Technology. All Rights Reserved. Provided by SyndiGate Media Inc. (
