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Showing posts with label Federal Budget 2015-16. Show all posts
Showing posts with label Federal Budget 2015-16. Show all posts

Friday, June 12, 2015

ABAD appreciates budget, desires more relief

 
By Abdul Qadir Qureshi
(Pakistan News & Features Services)

The Association of Builders and Developers (ABAD) has welcomed the recognition of the construction industry at the national level as their proposal was incorporated in the federal budget for the fiscal year 20015-16.
Addressing a press conference Junaid Ashraf Taloo, Chairman, Mohammad Hanif Memon, Vice Chairman, and Mohammad Hassan Bakhshi, Chairman, Southern Region, observed that for the first time the construction industry was given its due importance with the acceptance of the ABAD proposal in the federal budget. Zaigham Mahmood Rizvi, housing expert, and Saleem Kassim Patel, Convenor Budget Committee, were also present on the occasion. 
“If our proposals would have been accepted in total, it would have reduced the housing cost by 15% and increased in revenue collection of government,” they declared. Junaid Ashraf Taloo appreciated the Federal Finance Minister, Ishaq Dar, for taking some positive steps for construction industry. 
“We would have witnessed phenomenal growth of the construction industry if all our proposals were accepted. Further it would have provided greater relief to common man regarding low cost houses,” the ABAD Chairman stated. 
“A few automatic re-rolling mills hold monopoly and they are selling the steel bars at a much higher rate. In the local market steel bars are being sold through cartellization at the rate of Rs.85,000 per ton,” he pointed out. 
He appealed to the government to allow import of steel bars to the ABAD members directly whose benefit will be passed on to common man. He asked the government to abolish Federal Excise Duty on sale of cement may be abolished. The ABAD had proposed that sales tax on cement be charged at ex-factory rate instead of the market rate. 
He urged the government to establish Mortgage Finance Board to boost the housing sector so that the shortage of 80 lacs houses was minimized, besides asking the authorities to abolish Provincial Services Sales Tax on builders since they were not classified as service providers. 
“The government has to provide discount in Mortgage Financing and the Markup should be decrease to 4% or 5%, it will improve the purchasing power of common man. The ban on gas connection should be lifted,” the ABAD Chairman appealed. 
The ABAD proposals also included the start of first phase of Motorway M-9 from Karachi instead of Hyderabad, allocation of funds for K-IV water project to solve the water problem of Karachi, and the fixation of markup on house finance @ 3% only.