Interim Prime Minister Anwaarul Haq Kakar has said that smuggling was also a major cause of Pakistan’s economic problems, as the South Asian country tries to tame inflation and improve investors’ confidence.

“Smuggling is also a major cause of Pakistan’s economic problems,” he wrote on X, formerly known as Twitter, on Friday. “Many problems are linked to smuggling, including tax evasion and the inflated value of the dollar.”

His statement amid the depreciating rupee and negative trend in the stock market. Many experts have urged the government to take measures to improve market confidence.

The post on X came after Kakar presided over the meeting in Islamabad regarding smuggling control in border areas, according to Radio Pakistan.

The caretaker PM has strictly instructed the Customs authorities and law enforcement agencies to curb the smuggling of sugar, petroleum products, urea, agri products and other goods from the country.

Officials briefed the premier about measures taken to control the smuggling of various goods in the country, especially along the border areas.

They added that 10 additional check-posts of law enforcement agencies have been notified to check smuggling in Balochistan.

The interim PM has sought an intra-agency report on “government officers involved” in smuggling in Balochistan, reported state-run broadcaster. The officers involved in smuggling should be given exemplary punishment in addition to effective disciplinary action against them, the broadcaster quoted him as saying.

“I have ordered to stop the smuggling and to take strictest action against the officials involved in it,” said Kakar.

Officials added that a 40% decrease in smuggling has been witnessed due to the tireless efforts of law enforcement agencies.

Kakar said that smuggling of petroleum products leads to a reduction in revenue collection, along with burdening the foreign exchange reserves of the country. The caretaker premier said that he would personally review the weekly meeting of different agencies’ performance in curbing the menace of smuggling.

He instructed the authorities to make markets along the Pakistan-Iran border more operational to ensure documentation of the trade. “Curbing smuggling from the country has become inevitable as it inflicts a loss of billions of rupees on the overall economy.”

More to follow…