KCCI and BMG Demand Urgent Action on Karachi’s Civic Crisis
KARACHI: Businessmen Group (BMG) Chairman Zubair Motiwala has called for an urgent, coordinated effort to address Karachi’s worsening civic and economic challenges, questioning why the country’s economic powerhouse continues to struggle with deteriorating infrastructure, water shortages, unreliable utilities, poor sewerage and rampant street crime despite contributing approximately 67% of federal revenue and 54% of national exports.
Addressing a high-level meeting attended by trade and industrial association leaders, Motiwala demanded time-bound action, institutional accountability and measurable results. He stressed that Karachi needed practical solutions rather than repeated assurances.
He warned that unreliable electricity and gas supplies, inadequate infrastructure and low industrial capacity utilisation were increasing production costs and weakening business competitiveness.
Among his key demands were the early completion of the K-IV water project, a fully operational Safe City system, development of a Karachi Bypass to potentially divert 70% of heavy traffic away from the city, mandatory road-restoration guarantees, independent engineering audits, a business-friendly tax regime, transparent electricity billing, automatic consumer compensation for service failures, regionally competitive gas prices, digital land records and faster tax refunds.
Motiwala proposed identifying five immediate priorities, assigning responsibility to relevant institutions and establishing clear deadlines and performance indicators. He also called for a unified platform representing Karachi’s trade and industrial associations to pursue corrective action collectively.
Business Community Calls for a Unified Karachi Reform Agenda
BMG Vice Chairman Anjum Nisar urged trade and industrial bodies to move beyond highlighting problems and develop a joint, actionable plan. He proposed producing a documentary showing Karachi’s ground realities, including alleged corruption, extortion, excessive taxation and deteriorating infrastructure.
Nisar called for permanent solutions to water shortages, completion of K-IV and a practical fiscal model that provides local governments with adequate resources. He also recommended joint pre-budget consultations by the Karachi Chamber of Commerce and Industry (KCCI) and trade associations to develop common proposals.
He emphasised coordinated representation before federal and provincial authorities, consistent follow-up and, if negotiations failed, collective protest to secure Karachi’s rights.
BMG Vice Chairman Jawed Bilwani similarly urged business leaders to unite behind three or four decisive priorities. He called for urgent implementation of the Safe City project, stronger action against street crime and land grabbing, protection of public land, and transparent documentation and allocation of Karachi’s revenues to meet its civic and infrastructure needs.
Bilwani also questioned repeated road excavation and reconstruction, alleged resale of public land, missing manhole covers and encroachments along the Lyari and Malir riverbeds. He warned that poor oversight and encroachments could worsen urban flooding risks.
He proposed stronger business community oversight of public works contracts to prevent waste of taxpayers’ money and ensure construction quality. He also advocated a coordinated response to serious attacks on traders, including the possibility of a citywide shutdown if a trader was killed.
KCCI Seeks Greater Representation in Government Institutions
BMG Vice Chairman Mian Abrar Ahmed called for permanent, direct representation of the Karachi Chamber in key government bodies and public-sector institutions responsible for the city’s infrastructure, utilities and economic development.
He identified the Sindh Assembly, Karachi Metropolitan Corporation (KMC) and K-IV project as important forums where business community participation could improve decision-making.
Ahmed argued that Karachi’s substantial contribution to national revenue was not reflected in its influence over decisions affecting the city. He also highlighted corruption and bribery as persistent obstacles to business operations, maintaining that occasional consultations could not substitute for a formal role in policymaking.
Backing a KCCI resolution passed on September 30, he said institutional representation would improve transparency, strengthen accountability and allow business leaders to communicate local challenges directly to policymakers.
BMG Vice Chairman Tariq Yousuf also identified corruption and networks facilitating illegal activities as major contributors to Karachi’s deteriorating civic conditions. He questioned how public roads could be occupied by commercial establishments, traffic violations tolerated and illegal electricity connections maintained.
Yousuf said the public ultimately paid the price through congestion, inconvenience and unequal access to essential services, including water, gas and electricity. He called for decisive action against the unlawful occupation of public spaces and misuse of civic resources.
KCCI Proposes Committees and a Time-Bound Action Plan
KCCI President Talat Mahmood proposed forming a representative committee of Karachi’s trade and industrial associations to prepare an actionable reform agenda within 15 days.
He recommended issue-specific subcommittees, comprehensive terms of reference, regular progress reports and a united press conference involving industrialists, traders and small businesses to press federal and provincial governments for concrete action.
Mahmood also called for a dedicated anti-corruption initiative to investigate complaints involving public offices, including the Sub-Registrar’s Office and Sindh Building Control Authority. He cited allegations of substantial unofficial payments despite prescribed official fees.
He stressed that the approximately 91% electoral support received by BMG should translate into tangible results through unity, clear responsibilities and sustained engagement.
Concluding the meeting, Mahmood proposed five committees comprising nominees from all participating trade and industrial associations. The committees would be required to finalise actionable recommendations and comprehensive terms of reference within 15 days, followed by regular progress reviews in coordination with KCCI and town associations.
Leader of the Pakistan Cloth Merchants Association Ahmed Chinoy supported a more structured implementation framework. He proposed a 100-day action plan under a KCCI-led Implementation Committee, with priorities and responsibilities established within the first 15 days, engagement with government departments and firm commitments by day 30, and systematic monitoring from day 31 to day 90.
Former KCCI President Iftikhar Ahmed Vohra also urged trade and industrial associations to adopt a joint resolution outlining shared priorities, practical measures and a coordinated strategy.
KATI Highlights Sewerage, Pollution and Revenue Transparency
Deputy Patron-in-Chief of the Korangi Association of Trade & Industry (KATI) Zubair Chhaya called for a coordinated, non-political campaign focused on implementation and accountability.
He advocated establishing a dedicated authority to manage Karachi’s fragmented sewerage system, accelerating the Safe City project, coordinating road and utility works, digitising land records and taking action against encroachments, illegal parking and corruption.
Chhaya warned that untreated municipal and industrial wastewater was damaging marine ecosystems, while pollution posed risks to public health. He called for environmental laws to be enforced equally against public and private entities.
He also raised questions about the transparency of Karachi’s revenue allocation. Citing reported Sindh Revenue Board collections of Rs372 billion, approximately 95% of which he attributed to Karachi, he estimated annual infrastructure development cess collections at Rs150–175 billion. He called for full disclosure of revenue collections and expenditure.
Chhaya maintained that Karachi’s economic contribution should translate into better civic services and urged associations to demand measurable outcomes regardless of political affiliations.
K-IV, Electricity Load-Shedding and Industrial Gas Supplies
MNA Mirza Ikhtiar Baig pledged coordinated parliamentary support to address Karachi’s civic and economic problems. He said projects including K-IV and the proposed Lyari elevated expressway had been raised through parliamentary committees, with efforts underway to address funding gaps.
Baig opposed prolonged area-wide electricity load-shedding that affects consumers who regularly pay their bills because of other consumers’ defaults. He proposed a meeting involving Federal Minister for Energy Awais Leghari, KCCI, Karachi’s MNAs and K-Electric to pursue immediate solutions.
He also called for further engagement on the withdrawal of gas supplies to industrial captive power plants and the resulting implications for production costs and competitiveness.
Former SITE Association of Industry President Saleem Parekh urged KCCI to restore and secure business community representation in key institutions, including the Karachi Water and Sewerage Board, K-Electric, Sui Southern Gas Company (SSGC) and KMC. He said direct engagement with these bodies was necessary to address water, electricity, gas and municipal service issues.
Traders and Industrialists Raise Corruption and Security Concerns
Former KCCI President Zakaria Usman urged the business community to replace ceremonial engagements with a sustained campaign for practical solutions. Drawing on nearly 40 years of trade politics experience, he argued that Karachi’s problems were already well documented and required decisive action.
He called for an uncompromising campaign against corruption, fraudulent property documentation and land grabbing, while highlighting administrative inefficiencies, alleged demands for unofficial payments and prolonged delays in legitimate tax refunds.
Chairman of the Association of Builders and Developers (ABAD) Hanif Gauher also called for collective action against extortion, deteriorating law and order, land grabbing and alleged corruption in regulatory institutions. He warned that individual associations could not effectively address security threats and other serious challenges in isolation.
Former KCCI President Abdullah Zaki questioned the effectiveness of repeated consultations over Karachi’s land-grabbing crisis. He proposed a boycott if meaningful progress was not achieved within six months.
President of the Federal B. Area Association of Trade & Industry Raza Hussain urged KCCI and participating associations to establish a clear strategy identifying responsible authorities, formal grievance channels, assigned responsibilities and follow-up mechanisms.
Chairman of the Warehouse & Logistics Association Naveed Farooki recommended institutionalising monthly or quarterly meetings to monitor progress. He also raised concerns about alleged corruption and demands for unofficial payments by regulatory bodies, including the Sindh Food Authority, EOBI and SESSI, saying these practices increased business costs and stress.
Representative of the Pakistan Hotels Association Ather Bhutto called for Karachi to draw lessons from Shanghai’s transformation through disciplined governance, accountability and long-term infrastructure planning. He identified corruption, water theft and weak public services as major obstacles, advocating universal water metering, ring roads, modern transport infrastructure and basic facilities such as public toilets.
Industry Bodies Seek Tax Reforms and Reduced Compliance Burdens
KATI President Sheikh Umer Rehan attributed Karachi’s persistent challenges to institutional incompetence, weak accountability and administrative failures. He called for comprehensive reforms, devolution of powers and performance-based accountability across public institutions.
Rehan also criticised what he described as additional compliance burdens on documented businesses, including digital invoicing and surveillance-camera requirements imposed by the Federal Board of Revenue (FBR). He called for broadening the tax base by bringing untaxed economic activity into the tax net while improving the tax authority’s own capacity and governance.
Chairman of the Pakistan Petroleum Dealers Association Malik Khuda Baksh sought KCCI’s intervention over 15 notices reportedly issued by the FBR to petrol pumps concerning digital invoicing. He maintained that petroleum dealers operate as commission agents and questioned the legal basis for the invoicing requirements as applied to their businesses.
He said the association had held two meetings with the Chief Commissioner Inland Revenue and had another meeting scheduled with the FBR chairman on Tuesday. He sought KCCI’s legal guidance to develop a unified position.
President of the North Karachi Association of Trade & Industry Faisal Moiz urged KCCI to approach the federal government for a streamlined, business-friendly administrative framework for industrial estates, commercial markets and economic hubs. He said repeated consultations over six to seven years had failed to resolve the city’s fundamental problems.
Karachi’s Economic Contribution Must Deliver Better Civic Services
The meeting brought together representatives from across Karachi’s trade, industrial, logistics, construction and commercial sectors, reflecting growing concern over the city’s infrastructure, security, utilities, taxation and governance.
The participants broadly called for a shift from repeated consultations to a coordinated reform programme with clearly defined priorities, assigned institutional responsibilities, firm deadlines and transparent progress monitoring.
Their proposals included completing major water and transport projects, strengthening law enforcement, protecting public land, improving utility services, digitising records, reducing unnecessary compliance burdens and ensuring greater business community participation in public-sector decision-making.
The central demand was that Karachi’s contribution to Pakistan’s economy should be matched by improved infrastructure, reliable public services and a safer environment for businesses and residents.
KCCI and BMG intend to use the proposed committees and joint platform to consolidate the business community’s demands and pursue measurable action from the relevant authorities.