These days everything in Pakistan is reaching its peak. From inflation to monsoon rains, petrol prices to climate change, dollar prices to political game. Pakistan is literally reaching heights, the only difference is that all of this is worsening the overall situation of the country. Many mainstream startups like Airlift have already halted their operations in the country and now many big companies like Toyota and Suzuki are partially halting their operations in the country. This was not enough that Telenor, one of the world’s largest telecommunication companies, is in dilemma whether to continue operations in Pakistan or not. And here we thought the company shared a bond of sachi yaari, sab par bhaari with us.
Toyota and Suzuki to partially leave Pakistan
Are we calling inflation as ‘global inflation’ for the namesake? Or the world really is struggling with inflation? Because the current scenes favor the term Pakistan inflation more than global inflation. We were on the verge of opening new profitable avenues for the startups, new companies and businesses were coming to Pakistan, the whole economy was moving toward self-sufficiency and stability. Then why this 180 degree shift? What changed besides the government? Just because the word inflation hit the global and national markets doesn’t mean it’s really there.
Since 1990, Toyota Indus Motor Company (IMC) has been operational in Pakistan. However, the company is planning to partially shut down its operations in the country. The company has hit rock bottom. Due to import restrictions, high interest rates, license difficulties, the company has been unable to fulfil its commitments. Reimbursing the clients for delayed response has cost the company a lot. Toyota IMC, CEO Asghar Ali Jamali said “We will give customers the option to avail a refund with the full interest. In case they choose not to opt for this (refund), they will have to wait at least 3 (more) months from the delivery month given on the Provisional Booking Order Form and (also) pay the price differential due to the exchange rate situation.”
With Toyota, Suzuki is also partially halting its operations in the country (is there a plus 1 scheme going on that we are not aware of?) Pak Suzuki Motors, Shafiq A. Shai, the head of public relations said “Restrictions had adversely impacted clearance of import consignments from ports.” He added “If the same situation continues, then from August 2022 we have big problems.”
After entertaining the customers with the best services, Telenor, one of the mainstream telecommunication companies has reached the peak. The company will be making big decisions that might not be in best interest of the country. Due to the economic crisis, the company is reviewing its decision of whether to continue operations in Pakistan or not. As per one statement “We will definitely look at what is creating shareholder value when we do the do the review, but I don’t want to comment on content of that review.” So, there are 50/50 chances of Telenor leaving Pakistan.
First Toyota and now Telenor is planning to halt operations in Pakistan. It is an alarming situation for the whole country but one needs to take it seriously first. With all the ongoing political drama, these concerns have been sidelined. If neglected for long, more business will move out of Pakistan while everyone would be still concerned which political entity is coming in and out of Pakistan.