KARACHI: The Pakistan Automotive Manufacturers Association (PAMA) has said that the government’s Roshan Apni Car scheme for overseas Pakistanis will help the auto sector as it will lead to overall growth in the industry and related businesses.
“It is another positive step by the government for the local industry,” Abdul Waheed, director-general of the PAMA said on phone. “It will not only support auto manufacturing industry but many other related industries also.”
The State Bank of Pakistan (SBP) launched ‘Roshan Apni Car’ for overseas Pakistanis to facilitate them in buying vehicles through banks’ car financing facility.
The financial product will provide car financing to overseas Pakistanis who can buy cars through the Roshan Digital Accounts. “The banks will offer a car loan on the low mark-up to overseas Pakistanis,” Reza Baqir, the governor of the State Bank of Pakistan, has said.
According to data released by the Pakistan Automotive Manufacturers Association (PAMA), car companies sold 20,801 units in March 2021 compared to 6,986 units dispatched in March 2020, registering YoY growth of 197.8 percent.
According to a research report with statistics provided by National Highway Authority, Pakistan’s transport system is primarily dependent on road transport, which makes up 90 per cent of national passenger traffic and around 96 per cent of the freight movement.
Over the past several years, road traffic – both passenger and freight – has grown much faster than the country’s
overall economic growth. The highway and motorway network, which stretches an impressive 10,849 km, contributes 4.2 per cent of the total road network and carries 90 percent of Pakistan’s total traffic.
Despite a high reliance on highways, the automobile ownership-population ratio is very low due to a lack of public sector facilities.