‘Absence of banking channels to hinder trade with Iran’

LAHORE: Trade Development Authority of Pakistan (TDAP) Secretary Inamullah Dharejo has said that bilateral trade with Iran is unlikely to see a surge in volume as no Pakistani bank is ready to open its branch in the country due to international sanctions on Tehran.

“The State Bank of Pakistan (SBP) is also involved in this matter, but to date there has been no major breakthrough to increase trade volume,” Dharejo said on Thursday, while talking to media on the sidelines of a consultative session on the Strategic Trade Policy Framework (2018-2023).

He said the only option is barter trade, but its scope would be limited due to non-presence of banking channels.

“Afghanistan, on the other hand, is a big trading partner and a key country for Pakistan for regional connectivity. Unfortunately, political tension between the two countries is the biggest impediment in implementing trade policy.”

Talking about the widening trade deficit, he said that the government is already focusing on the ‘Look Africa’ initiative to increase its export volume. The 16 countries targeted under this initiative are projected to have a $10-trillion growth trajectory in the future, he added.

Earlier, Dharejo said that the government is endeavouring to formulate a medium-term trade policy framework for enhancing exports on a sustainable basis by incorporating suggestions of the business community.

Published in The Express Tribune, January 26th, 2018.

Like Business on Facebook, follow @TribuneBiz on Twitter to stay informed and join in the conversation.

Bugti says officials involved in corrupt practices at check posts would be punished

  • ICJ sets new timeline for submitting pleadings in Jadhav case

    India told to submit memorial on April 17, Pakistan on July 17

  • US House speaker holds talks with Saudi king

    Bilateral cooperation between longtime allies discussed in meeting, says Saudi Press Agency

  • Gwadar to hold first global exhibition

    This event will boost economic cooperation not only between Pakistan and China

    Original news : https://tribune.com.pk/story/1618150/2-absence-banking-channels-hinder-trade-iran/