Govt can no longer borrow from state bank, a sad day.

[Gorgin Khan]

Who told you state Bank lends the money without interest . Its called the repo rate at which State Bank lends money. Just like the federal Bank controls the dollar supply same way SBP job is to regulate rupee.
Over supply in the market drives consumption and ultimately inflation.

All plmn did was flooded the market with money, now in the scenario of increased consumption they artificially manipulated currency to keep the inflation low.

They did everything they can to destabilise Pakistan.
Money prinring
Currency manipulation
IPP agreements
Stagnant exports
Increased imports
Remittances minimal increase due to overvalued rupee
IT Big zero.



Why did the kse index fell afterwards?
They all partied after the party was over and Pakistan was going bankrupt and can not sustain this artificial milk and honey rivers they pulled back and kse index dropped.

Just to answer your questions .... I am posting repo rates of pakistan from 2014-2018 previous government and the current government PTI 2018-2021. Source is mentioned in the graph.... Enjoy it , it explains quite alot about all the variables you have mentioned ...... Cheers

PS: A higher repo rate is a killer for the economic growth..... causing inflation ..... then print money to stop that inflation causing more inflation.......... This is what is happening Doctor of Economics .

2014-2018 ( Previous Tenure)

2018-2021 (PTI tenure)

 

[Gorgin Khan]

Bro agar nal khol kay bhul gao to pura ghar dob gye ga BTW you still didn't understand that example.

You are great, we should probably hire extra workers and more printers at SBP and print our whole debt, will take a couple of weeks if we run it 24/7. The person who does that should be made our national hero.

The only problem is once we do it every single Pakistani has to carry a bag full of cash to buy bread. Probably will also need to upgrade our printers to print Rs 5 million note instead of Rs 5000.

Believe me Khan has already created room for 10000 RS note already . if he stays for some more years ,believe me you will compare your currency with zimbabwe.... ....

 

[Patriot forever]

Just to answer your questions .... I am posting repo rates of pakistan from 2014-2018 previous government and the current government PTI 2018-2021. Source is mentioned in the graph.... Enjoy it , it explains quite alot about all the variables you have mentioned ...... Cheers

PS: A higher repo rate is a killer for the economic growth..... causing inflation ..... then print money to stop that inflation causing more inflation.......... This is what is happening Doctor of Economics .




View attachment 794752
2014-2018 ( Previous Tenure)
View attachment 794753
2018-2021 (PTI tenure)

I do not know Bro why you see everything upside down.
The reason repo rate is high is SBP is mopping up excess liquidity in the market.
It is being used to control rupee supply.

SBP is deliberately slowing down economy and making sure growth does not exceed sustainable level. So we don't end up like plmn with consumption led unsustainable growth and on the brink of default.

SBP raised interest rates further today by 150bps, why is that? To control inflation and CAD (basically decrease consumption).

 

[Flight of falcon]

I do not know Bro why you see everything upside down.
The reason repo rate is high is SBP is mopping up excess liquidity in the market.
It is being used to control rupee supply.

SBP is deliberately slowing down economy and making sure growth does not exceed sustainable level. So we don't end up like plmn with consumption led unsustainable growth and on the brink of default.

SBP raised interest rates further today by 150bps, why is that? To control inflation and CAD (basically decrease consumption).

Brother can you please stop arguing a

Bro agar nal khol kay bhul gao to pura ghar dob gye ga BTW you still didn't understand that example.

You are great, we should probably hire extra workers and more printers at SBP and print our whole debt, will take a couple of weeks if we run it 24/7. The person who does that should be made our national hero.

The only problem is once we do it every single Pakistani has to carry a bag full of cash to buy bread. Probably will also need to upgrade our printers to print Rs 5 million note instead of Rs 5000.

Brother are you really going to waste your knowledge and intellect discussing with Patwaris ??? They are the reason why Pakistan is at the position we are at today.

Reminds me of a joke about their mathematical skills :
Once a certain donkey driver turned to Khoja Nasreddin: “Oh, wise one, explain one thing to me, otherwise I will lose my mind.”
\- I was given ten donkeys to drive to another city, and I hit the road. Before the road, I counted them, there were 10. I sat on a donkey and we drove off. On the way, I decided to count the donkeys again, and, to my horror, there were nine of them. Then I decided to make a halt, dismounted, and again counted my flock, there were ten again! With relief I set off again, but when I decided to count the donkeys again, there were nine again! And so every time and all the way, there are always 9 on their way, and on a halt 10. Take a look yourself, O Nasruddin, and tell me how many donkeys you see here? - Eleven.

 

[Pandora]

Since when printing money is good for economy? Dont we already have trillions of rupees in debt borrowed from state bank?

 

[blueazure]

Who told you state Bank lends the money without interest . Its called the repo rate at which State Bank lends money. Just like the federal Bank controls the dollar supply same way SBP job is to regulate rupee.
Over supply in the market drives consumption and ultimately inflation.

All plmn did was flooded the market with money, now in the scenario of increased consumption they artificially manipulated currency to keep the inflation low.

They did everything they can to destabilise Pakistan.
Money prinring
Currency manipulation
IPP agreements
Stagnant exports
Increased imports
Remittances minimal increase due to overvalued rupee
IT Big zero.



Why did the kse index fell afterwards?
They all partied after the party was over and Pakistan was going bankrupt and can not sustain this artificial milk and honey rivers they pulled back and kse index dropped.

oh please

spare me this econ 101 lecture

and do tell how PTI is managing the economy any different than PML N

SBP injects $1.2b to stabilise rupee | The Express Tribune

Central bank move contrary to its own, IMF and finance ministry policies

tribune.com.pk

commercial bank lending to government decreases water in the pool.

LOL

 

[Enigma SIG]

Opposition worried they won't be able to create money out of thin air.

 

[Gorgin Khan]

I do not know Bro why you see everything upside down.
The reason repo rate is high is SBP is mopping up excess liquidity in the market.
It is being used to control rupee supply.

SBP is deliberately slowing down economy and making sure growth does not exceed sustainable level. So we don't end up like plmn with consumption led unsustainable growth and on the brink of default.

SBP raised interest rates further today by 150bps, why is that? To control inflation and CAD (basically decrease consumption).

I understand what you are trying to say ,,,, Did we control inflation and CAD ? CAD has nothing to do with consumption it has to do weak export base , bad policy ..,,, Its infact the policy which has ruined everything in the name of CAD for last 3 years or so no ? ,,,, Its being run casually which is costing us trillions........ It didn't happened like you are saying..... Yeh state bank increased interest rates ? Why ? Who caused this inflation in the fourth year of government ? why are there shortages yet CAD is not coming down ? They are stuck in a paradox of their ego and common man of this country ..... Its a case study for absolute mismanagement.....

Secondly we are actually growing negatively in absolute economic terms , due to inflation and our GDP faced shrinkage , unprecedented rupee devaluation , stream of borrowings. ... Did it fix anything in this much time....... Anyhow lets agree to disagree ....

 

[Mentee]

So the appointment power still rests with the gop or Inte'l sood khor mafia?

 

[BATMAN]

I have known you for years and read your countless posts …. If I was you I would go get some education and learn few things.

Dad’s negative growth concept taught to Patwaris. From ADB:

View attachment 794740

Yes, GDP will grow as population grows, consequently remittances and exports will increase.
Non of it is state assisted, it's all individual efforts by the public. Govt. can aid it by sending students abroad but unfortunately, naya Pakistan has cut the funding for higher education from beginning and now they have closed the schools, profiting them selves but digging pits for the future of Pakistan.
Increase in remittances will continue, as long state continue to impose taxes on families of over seas Pakistanis. Turning their siblings and friends back home jobless etc.
P.S.: I'm no economist but its a common sense and public knowledge.

Hope you know, how many $billions of remittances are being pumped into Pakistan's economy... in normal circumstances, Pakistan's currency should strengthen instead of weakening, remember the era of Musharraf, when $ travelled from >80 and not available to <45 becoming a recognized international trade currency!
Pakistan just need to get rid of this power hungry mafia, they have least of the brains and loyalties for Pakistan.

What people aligned with ruing elite don't like to discuss is state sponsored smuggling, this is where Pakistan loose positive effect of remittances, this also give rise to money laundering... international watchdogs, account this not from Pakistan's import record but export record of exporting states, and they can't possibly gauge smuggling from China and India.

 

[Big_bud]

Like seriously... people are dumb! Specially the looney toon lot!

Printing money causes massive inflation. Governments should not be printing too much money. Money used to be gold backed in the past which means government must hold gold against the currency they are printing because currency itself is worth nothing. Its a worthless piece of paper. However world over now almost all governments are printing money senselessly and there's is barely any gold backing left. And that is a reason of inflation. Governments should only be printing money in case of natural disasters and calamities for emergency finance.

 

[khansaheeb]

This happens when u have IMF guy as top boss in state bank
Enjoy

Zion appointed no doubt.

 

[BATMAN]

and do tell how PTI is managing the economy any different than PML N

Please..... economy is much better in auto pilot mode, rather than when PoTI decides to manage it through their phony loan schemes and langar khana.
No finance minister can deliver with PoTI, even if they hire Ishaq Dar or finance minister from Japan.

Zion appointed no doubt.

Zion who share common supreme leader with PM of Pakistan, this is a deadly combination engineered by IMF accepted by the PM of riyasat medina without interview.

Like seriously... people are dumb! Specially the looney toon lot!

Printing money causes massive inflation. Governments should not be printing too much money. Money used to be gold backed in the past which means government must hold gold against the currency they are printing because currency itself is worth nothing. Its a worthless piece of paper. However world over now almost all governments are printing money senselessly and there's is barely any gold backing left. And that is a reason of inflation. Governments should only be printing money in case of natural disasters and calamities for emergency finance.

Hi, can you share /find a link of state bank, from which audience can learn how much currency is printed by PoTI regime and of course by previous regimes?

 

[xyxmt]

https://www.facebook.com/100044404154927/posts/438391800984288

Unfortunately govt can no longer borrow(print notes) from state bank.

This is sad day indeed as govt will loose a big portion of free money.

Now its state bank that will decide when to print notes, govt cant simply go and print huge chunk of money in election year

Lets see how much longer before IK supporters delete this thread like my other threads

If I was a mod i would delete this thread not for the politics but for the fear of spreading idiocracy

 

[Pakistan Space Agency]

Darnomics hahahaha hahahah

Economic growth all fake fueled by imports and figure fudging by Dar. That's why he ran from the country cause the 420 knew, his time was up. Even Nawaz Sharif ran from the country. What a bunch of thieves.

How is it that the previous PML-N Government managed to approve and build two LNG Terminals in just two years (2015 and 2017), while the incompetent PTI Government cannot even build one in three years?

Sponsors protest hurdles in setting up LNG terminals

Complain to PM over bureaucratic wrangling despite approval by cabinet, Ogra.

www.dawn.com