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Moot calls for facilitating legal remitters

KARACHI: Senior bankers, corporate executives, financial experts and officials while highlighting the role of remittances in the development of national economy, called for improving services of legal remitters.

Remittances play a major role in the development of financial and socio-economic infrastructure in an emerging market like Pakistan. Funds sent by Pakistanis living abroad play a vital part in shaping the economic, political and cultural agenda. There are a sizeable number of citizens overseas who can contribute towards building the exchequer, they noted.

The Non-Resident Pakistans already are sending money home. However, the amount is diminishing considerably and the means employed for remitting are seldom legal, such as the Hundi. "About $450 million were sent through remittances by overseas Pakistanis through legal channel between July-December 1999, and $1 billion by Hundi during the same period. Various factors are responsible for stemming the flow of cash."

"It is very important that the issue of remittances is comprehensively evaluated and measures instituted to reverse the current trend so that our economic misfortunes becomes fortunes," they observed at a round table entitled "The role of remittances in the economic turnaround of Pakistan" organised by TCS at a local hotel on Saturday. TCS WorldFast, is a new product to provide a legal and official channel to NRPs for home remittances.

The speakers including Karachi Stock Exchange President Yasin Lakhani, Dr. Junaid Ahmed, Hassan Kamal, Naseem Beg, Aamer Karachiwala, Farooq Hassan, Mumtaz Saeed and TCS Chief Executive Officer Khalid Awan emphasised the need for initiating measures motivating people to remit their savings. To achieve this, it was imperative the trust and confidence of banks customers was restored, they noted.

Pakistan, like other countries is seeking a dominant position in a highly competitive world. "As we march forward in the new millennium, it is imperative that the past attributes of lack of direction and uncertain policies get an overhaul," they observed. The global and political scenario has changed considerably over the last decade. Today the management of the economy entails the considerations of so many dimensions and avenues that a reevaluation of all existing perceptions has become mandatory.

The moot agreed on an action plan with emphasis on long-term and consistent planning of the government, free market enterprise and the State Bank of Pakistan as a buyer like anyone else. They felt that the dollar-rupee official and open market rates be brought at par. Moreover, the business of money changers needs to be regulated. PPI