In response to a call from Jamaat-e-Islami (JI) Ameer Hafiz Naeemur Rehman, traders across Pakistan observed a nationwide strike on Wednesday. The protest was against the government’s economic policies, focusing on high electricity bills, oppressive taxes, the controversial ‘Tajir Dost Scheme,’ and the implementation of IMF policies in Pakistan.
Meanwhile, Pakistan received positive news on the economic front as Moody’s Rating Agency upgraded the country’s local and foreign currency issuer ratings. This upgrade, from Caa3 to Caa2, comes amid expectations that the government will lower liquidity and external vulnerability risks further.
Moody’s statement highlighted the diminishing risks of a balance of payments crisis, although it noted that challenges remain. The upgrade reflects Pakistan’s improving macroeconomic conditions and slightly better government liquidity and external positions. It also acknowledged the certainty over Pakistan’s financing sources following the IMF staff-level agreement for a 37-month Extended Fund Facility (EFF) worth $7 billion.
The upgraded rating is seen as a significant achievement for Pakistan’s economic team, with Prime Minister Shehbaz Sharif expressing satisfaction and attributing the success to their hard work.
Nationwide Shutter-Down Strike Against Economic Policies
The nationwide strike received broad support from political parties such as Pakistan Tehreek-e-Insaf (PTI) and Jamiat Ulema-e-Islam Fazl (JUIF), as well as major associations like the Karachi Chamber of Commerce and the Federation of Pakistan Chambers of Commerce & Industry (FPCCI).
In cities like Rawalpindi and Islamabad, traders completely shut down markets to protest against the ‘Tajir Dost Scheme’ and taxes imposed in electricity bills. Markazi Tanzeem-e-Tajran Pakistan President Muhammad Kashif Chaudhry congratulated the traders on the successful strike, warning of further actions if their demands are not met.
Karachi’s main business hubs, including Saddar and Tariq Road, also observed a complete shutter-down. Traders in Sindh, including Nawabshah, Tando Allahyar, and Sukkur, followed suit, protesting against monthly taxes, withholding taxes, and anti-business policies.
In Lahore, wholesale markets like Akbari Mandi and Azam Cloth Market observed a strike against the advance income tax imposed by the Federal Board of Revenue (FBR) and high electricity bills. However, business continued as usual in other areas of Lahore.
JI Ameer Hafiz Naeemur Rehman praised the traders for their unity, stating that the strike sent a strong message to the government. He warned that if their demands are not met within 25 days, further strikes, long marches, and sit-ins could be organized.
Nationwide Response to Strike Call
The strike extended across various provinces, including Punjab, Balochistan, and Khyber-Pakhtunkhwa. In cities like Gujranwala, Multan, and Bahawalpur, traders observed complete shutter-down strikes, protesting against skyrocketing electricity tariffs and heavy taxation.
Balochistan also saw a successful strike, with major business centres in Quetta and other areas remaining completely shut.
In Khyber-Pakhtunkhwa, the strike was overwhelmingly supported by traders in Peshawar and other cities. The opposition parties, including JI, JUIF, and Awami National Party, backed the shutdown.
However, Coordinator to Prime Minister on Implementation and Monitoring, Rana Ihsaan Afzal Khan, reacted sharply to the strike, stating that the government would not be pressured by traders. He invited traders for talks if they disagreed with the government’s decisions and emphasized the need for the retail sector to come under the tax net.
