dollar at 2 years low - 96 rupee = 1$

[VCheng]

I was of a belief that 'we' can discuss the issue without accusation ..... but I was wrong ....

That is a phrase used to mean "the facts remain the same regardless of how they are interpreted", not as an accusation of any kind. What is wrong here is only your comprehension of what I meant.

 

[HRK]

Janaab kaiseee mizaaaj hain huzoor kay ?

Achaa Bhai Jaan eik baaat tou bataiiin - Is it possible to peg the Import & Export Balances with each other in that the State Bank has a policy that the Import Balance per quarter can only be as much as 90% of the Export Balance for that quarter & that this is broken down into smaller blocks in terms of the quota attributable to each industry & to different classes of importers within that industry depending on their criteria such as credit rating, size, past wealth generation within Pakistan etc.

violation of free market economy ......

You are suggesting Rationing system and that too at macro level ....

 

[Armstrong]

violation of free market economy ......

You are suggesting Rationing system and that too at macro level ....

Yes....I'm a Socialist at heart !

Mein tou yeh bhii kabhiii kabhiii sochtaa hoon keh what is the point of having a 100 different brands of shampoo in the market when even 4-5 would get the job done !

Meraa buss chaleiii tou mein tou rationing institutionalized kar dooon at all levels !

 

[HRK]

Yes....I'm a Socialist at heart !

Mein tou yeh bhii kabhiii kabhiii sochtaa hoon keh what is the point of having a 100 different brands of shampoo in the market when even 4-5 would get the job done !

Meraa buss chaleiii tou mein tou rationing institutionalized kar dooon at all levels !

yara there are different ways to influence the international trade which all governments around the world apply to the benefit of their country, but this all out rationing sys. is not possible even USSR didn't adopt this as far as I know ..... I may be wrong

 

[American Pakistani]

Exports Receipt ===>$ 254.078 billion
Import Paymets ===>$ 350.013 billion
Trade deficit ===>$ 95.935 billion
Add:
Foreign remittance==>$ 89.857 billion
Difference ===>$ 6.078 billion (in almost Ten years)
(NOTE : All DATA is Gathered from SBP site)

WTH is Pakistan importing?...trade deficit is really horrible. Need to control the imports.

It is only remits that is working for Pakistan. But Pakistan must not rely on it.

I think govt should impose heavy tax on cars,...imported ones even more.

 

[HRK]

WTH is Pakistan importing?...trade deficit is really horrible. Need to control the imports.

It is only remits that is working for Pakistan. But Pakistan must not rely on it.

POL (Petroleum, Oil & Lubricant) , Agricultural & other Chemicals & Machinery contributes around $ 200 billion of import.

Excluding POL other imports indicates the paucity of Pakistan in the adoption of 'knowledge base economic model'.

 

[dawn_news]

That is a phrase used to mean "the facts remain the same regardless of how they are interpreted", not as an accusation of any kind. What is wrong here is only your comprehension of what I meant.

I love your posts, you bring balance to the world lol

 

[Armstrong]

yara there are different ways to influence the international trade which all governments around the world apply to the benefit of their country, but this all out rationing sys. is not possible even USSR didn't adopt this as far as I know ..... I may be wrong

Khan Sahib, I've got an economic model developing in my mind for some years now !

It goes something like this : Have 4 slots for a family/personal vehicle where the determination criteria on whether a brand/manufacturer gets to be on that slot or not depends on a numerous factors raging from safety, price, local manufacture, fuel economy, customer reviews, corporate social responsibility to technology transfer, local designing, export potential, wealth creation within Pakistan due to its supply chain, joint-venture with a local manufacturer etc.

And those who score the highest on a performance matrix based on all of these criterion, based in a completely free & transparent manner, are rewarded by the Government with 'tax free' operations, guaranteed governmental orders for their own vehicular procurement, free electricity and even some subsidies to grant them an automatic competitive advantage.

All of this under the auspices of a free & impartial competition commission & a regulatory body - Anyone gets out of line...axe him & get another brand to come in its place !

 

[HRK]

Khan Sahib, I've got an economic model developing in my mind for some years now !

It goes something like this : Have 4 slots for a family/personal vehicle where the determination criteria on whether a brand/manufacturer gets to be on that slot or not depends on a numerous factors raging from safety, price, local manufacture, fuel economy, customer reviews, corporate social responsibility to technology transfer, local designing, export potential, wealth creation within Pakistan due to its supply chain, joint-venture with a local manufacturer etc.

And those who score the highest on a performance matrix based on all of these criterion, based in a completely free & transparent manner, are rewarded by the Government with 'tax free' operations, guaranteed governmental orders for their own vehicular procurement, free electricity and even some subsidies to grant them an automatic competitive advantage.

All of this under the auspices of a free & impartial competition commission & a regulatory body - Anyone gets out of line...axe him & get another brand to come in its place !

something similar to this ..... with some additional conditions I guess ....

http://www.pama.org.pk/images/stories/pdf/AIDP/AIDP.pdf

 

[Armstrong]

something similar to this ..... with some additional conditions I guess ....

http://www.pama.org.pk/images/stories/pdf/AIDP/AIDP.pdf

Such a large document....aiii tussii aap hiii parhoooo !

 

[farhan_9909]

Meanwhile a Good step

Govt borrowing from State Bank falls by Rs500bn - DAWN.COM

KARACHI: The government succeeded to slash its borrowing from the State Bank by half a trillion rupees signalling that a serious effort is there to minimise the budget deficit.

A State Bank report shows that government borrowing from the central bank during the first nine months of this fiscal year fell to Rs303 billion from over Rs800bn a week before.

 

[Bilal.]

The trade imbalance is indeed horrible, as your figures show. Only the crutch of remittances by expats makes up for a large portion of the deficit. Most of these untaxed remittances are spent on luxury and imported goods and drives up prices domestically.

No matter which way you spin it, the trade imbalance remains horrible. Pakistan produces much less than it consumes.

I love it when you present a conjecture as a fact. No, most of these remittances are not spent on imported luxury items because then you would see a correlation between yearly remittances and yearly import of luxury goods. Which is not there, check the data posted by HRK. Our main problem is petroleum import.

Meanwhile a Good step

Govt borrowing from State Bank falls by Rs500bn - DAWN.COM

This will also help curb inflation.

 

[Fracker]

I love it when you present a conjecture as a fact. No, most of these remittances are not spent on imported luxury items because then you would see a correlation between yearly remittances and yearly import of luxury goods. Which is not there, check the data posted by HRK. Our main problem is petroleum import.



This will also help curb inflation.

Sometimes, i think we should ban on luxury items for atleast 10 years, just to bring balance between imports and exports. Someone has to come out and bring "Be Pakistani & Buy Pakistani" policy, and encourage to manufacture things which are imported. Everything has an alternative, even POL. Just Pakistanis has to put down the step, and make it happen. Enough fighting, aggression, and "Putting Blame on US" saga, it has to change and we all have to grow up, to make sure others also start taking us seriously.

 

[ziaulislam]

even if you have a terrible current account deficit which we dont have(unlike india etc) you still can have decent econmy. the economist have a special term for it "The Pitchford thesis". the reason is a dynamic private sector

also i think we can easily go into current account surplus by simply shifting to coal. and improving railway to reduce oil consumption.

Current account - Wikipedia, the free encyclopedia

The trade imbalance is indeed horrible, as your figures show. Only the crutch of remittances by expats makes up for a large portion of the deficit. Most of these untaxed remittances are spent on luxury and imported goods and drives up prices domestically.

No matter which way you spin it, the trade imbalance remains horrible. Pakistan produces much less than it consumes.

whether you like it or not, remittances is result of hard work labourers in mostly saudi or GCC countries that are used to pay empty stomachs of their families not luxury items. we receive very little remittances from USA and europe.
those workers receive little pay not enough to afford luxuries
remittance is like any trade a commodity, it value of service, you cant dismiss it as something else.
the only reason why it isnt added in routine exports is because the concept is new and related only to a few countries Pakistan is among those very few countries with notable remittances

 

[AZADPAKISTAN2009]

WTH is Pakistan importing?...trade deficit is really horrible. Need to control the imports.

It is only remits that is working for Pakistan. But Pakistan must not rely on it.

I think govt should impose heavy tax on cars,...imported ones even more.

Pakistan's major problem is importing oil , if we simply put a ban on Auto Mobiles our problems would be solved. Our manufacturing base auto / motor bikes all is done overseas we just put the parts together.

There is a simple BOLD mechanism to break the dependence

a) Introduce Mega Bus schemes for all major cities
b) Ban Motor Cycles, Cars
c) Ban Automobiles , and hike up insurance for cars if anyone wants to drive car.
d) Force 80% of people to commute by Metro Bus projects each city.
e) Setup Circular Railways in all major cities of Pakistan
f) Re-introduce , animal based commuting streams for short distance travels

Convert all the lights in all cities to Solar Lights all major cities


With the above recommendations

Exports Receipt ===>$ 254.078 billion
Import Payments ===>$ 54.00 billion
Trade Surplus ===>$ billion 200.00
Add:
Foreign remittance==>$ 89.857 billion
Trade Surplus ===>$ billion 290 Billion


PAKISTAN , does not needs OIL / CARS / MOTOR BIKES to survive , these are all luxuries

I ask you simple question , when 5 Million people will travel 1 place to another daily in 1 city and not drive car or Motor bike can you imagine how many liters of Oil and Money is saved !!!

Fact

Commute is of three type
Long Distance Commute (10 km - 30 km), Metro Bus or Circular Railways idea for it

a) Metro Bus
b) Circular Railways

Short Distance Commute 1 km - 10 km

a) Animal Horse Carriage
b) Bicycle (Every one can bike 10 km easily)
c) Walking (Every one can walk 2 km - 5km), its healthy
d) Special Case Children school buses

Emergency Commute

a) Taxi (Introduce a Toll Collection)
b) Ambulance

This is all that needs to be on Road

If Pakistan introduces these measures from "VISUAL" perspective it may appear we are going back to 1965, however we would have "SURPLUS" in budget every year $290 Billion

In 5 years we would save 1.5 Trillion , it's a no brainier



Benefits to Country/City:

> No Pollution in Air from Smog
> No Sound pollution from Vans and Illegal buses
>The phasing out of older model cars that consumer more oil
> People are forced to "Walk" more or Bicycle more which is healthy and good
walking promotes fitness and reduces blood pressure and diabetes
> No congestion in roads
> No Parking Problems around city centers
> No accidental deaths on Road due to car crashes

Under this program , if you can imagine , outside of main Metro Bus stops or Circular Railways Stop , there would be Horse carriages waiting to pick up passengers or the passenger can swipe a card and get a Bicycle rental which they can ride to their destination and when they come back on it they can return that to the station collection place. Of course they can also "walk" 1-5km to their destination


All These Cars are Burning MONEY while travelling 1 km per 30 minute

Discussion continued next post ... as alternative "SAVING" on $$ from economical stand point