Pakistan interior minister pledges action on port city business woes
Karachi generates roughly 25% of Pakistan's GDP
Business Desk
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Interior Minister Mohsin Naqvi, center, receives a commemorative plaque from Karachi Chamber of Commerce and Industry (KCCI) leaders, Monday, July 7, 2025.
KCCI
Land grabbing worsens despite Rangers' efforts
Station officers making arbitrary arrests
Criminal activity reduced but challenges remain
Interior Minister Mohsin Naqvi met with Karachi business leaders to address deteriorating business conditions in Pakistan's commercial capital, with Chamber officials highlighting rampant encroachment and the K-IV water project that has been redesigned 11 times while industries face critical water shortages.
The meeting at the Karachi Chamber of Commerce and Industry on Monday underscored mounting frustrations among business leaders in the port city of 20 million people, which generates roughly 25% of Pakistan's GDP but has struggled with infrastructure decay and law enforcement challenges.
Chamber Chairman Zubair Motiwala told Naqvi that encroachment continues to worsen despite Rangers' efforts, with businesses receiving increasing complaints about land grabbing and illegal occupation. He called the water crisis the "most critical issue," noting that neither the public nor industries receive adequate water supply.
"An estimated 250 MGD of water could be diverted through K-IV in its first phase to meet the city's dire needs, instead of being wasted and discharged into the sea," Motiwala said, referring to the long-delayed water supply project.
Naqvi acknowledged the challenges but defended recent security improvements, crediting Sindh Police with reducing criminal activity. He said complete crime eradication remains difficult given Karachi's size and complexity.
On encroachments, the Interior Minister said work is ongoing but emphasized the need for stricter laws and heavier fines to achieve meaningful results.
Business leaders also pressed for police reforms, with Motiwala citing the re-emergence of corruption among station house officers and arbitrary arrests. He proposed special inspection teams conduct surprise night visits to police stations to check for detentions without proper FIRs.
Naqvi committed to exploring ways to provide the body's members access to verification systems and promised to support resolution of budget-related issues raised by business leaders.
Chamber President Jawed Bilwani warned that the ineffective functioning of the Anomaly Committee, where member feedback is ignored, could harm business activity and increase unemployment.
Security concerns
The body's members requested several operational improvements, including CNIC verification facilities to help businesses conduct background checks on employees and AI-based cameras with facial recognition at entry points to prevent smuggling and criminal infiltration.
The Interior Minister also addressed broader security concerns, noting that the Safe City Project remains a top priority for Prime Minister Shehbaz Sharif's government, with implementation work underway in Karachi.
On anti-smuggling efforts, Naqvi said smuggling has been significantly curtailed over the past two years, though challenges remain. He announced plans to expand the Pakistan Coast Guard fleet, which currently operates with only eight boats along a 1,000-kilometer coastline.
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