Govt silently watches Pakistani rupee losing like anything

[Huda]

As a nation we all have to act responsibly and see how far in our activities we can save flight of foreign exchange. These politician will never do that, they are here to spend not to save. But if majority of this country stop spending on foreign item and reduce the demand of imported products, it will help in reducing trade deficit. Major portion of this deficit is due to oil import. If people work out concepts of vehicle sharing and reducing use of fuel by avoiding the avoidable. Situation will improve.

I am also of the opinion that our 25% or more fuel is wasted, due to our poor traffic sense and violation of traffic rules. By ensuring clear roads, orderly flow of traffic and abiding by traffic rules at least 25% of overall fuel cost can be reduced. This is altogether a different topic so would leave any further details.

Likewise there as so many little things which we can do to support our ailing economy and falling currency.

Agreed you are right but for that first we have to produce good products.

 

[Panther 57]

Agreed you are right but for that first we have to produce good products.

It is the same chicken or egg theory. If we keep waiting it will not happen. Someone will have to take the initial brunt, either consumer or manufacturer. When we stop importing, consumers will make sure that they get what they are paying for.

 

[Huda]

Politicians do not have skills to deal with economy at-least DAR can't handle it... This is a job of economist and suits them better than noora's friend.

 

[Jungibaaz]

You guys fret over nothing. Pakistan is poor today as it was poor 65 years ago.

US $1 = 11,455 Indonesian Rupiahs
US $1 = 24,815 Iranian Rials
US $1 = 2,023,600 Turkish Lira

Calm down will you people.

Pakistan's external debt (March 2013): $60 Billion
India's external debt (March 2013): $390 Billion

Pakistan's external debt grows by around $1 billion a year while India's external debt grows by almost a $1 Billion a week ((yes, a week)).

Hosla rakho yaar, hosla.

Economics and government performance are almost always determined by the trend in recent quarters or fiscal years, the overall picture is slightly less important.

If the trend is good, we say that the economy is strong, if the trend looks bad, all confidence in the economy domestic or foreign diminishes which ruins future outlook for that economy.

That is why we worry.

Politicians do not have skills to deal with economy at-least DAR can't handle it... This is a job of economist and suits them better than noora's friend.

Nothing worried me more than him being made finance minister. Any idiot with a bit of common sense will tell you that you need an economist, someone with both knowledge and experience. What you DON'T need is an experienced politician.

And that's what we have to run our country, not specialists, but experienced politicians, all the ills follow naturally.

 

[Panther 57]

Economics and government performance are almost always determined by the trend in recent quarters or fiscal years, the overall picture is slightly less important.

If the trend is good, we say that the economy is strong, if the trend looks bad, all confidence in the economy domestic or foreign diminishes which ruins future outlook for that economy.

That is why we worry.

I do not agree to comparing our situation with other countries. Each has its own economic and business dynamics.

Let me share something very interesting

In 2004 I was travelling to Thailand, I believe in buying local currency rather then US$ so I bought TBH @ of PKR0.95. I have seen the ascend of thai bath in these ten years. it is now PKR3.25 to a thai bhat. Afghanistan is a war ridden country and its currency is stronger then PKR. Thanks to Democrazy.

 

[Huda]

It is the same chicken or egg theory. If we keep waiting it will not happen. Someone will have to take the initial brunt, either consumer or manufacturer. When we stop importing, consumers will make sure that they get what they are paying for.

Yeah that was my point someone have to start it ...Why we're still at this phase someone would take first step why we are not considering our-self to be the first.

 

[Jungibaaz]

I do not agree to comparing our situation with other countries. Each has its own economic and business dynamics.

Let me share something very interesting

In 2004 I was travelling to Thailand, I believe in buying local currency rather then US$ so I bought TBH @ of PKR0.95. I have seen the ascend of thai bath in these ten years. it is now PKR3.25 to a thai bhat. Afghanistan is a war ridden country and its currency is stronger then PKR. Thanks to Democrazy.

You're missing the point.

All macroeconomic indicators one could consider... all of them look bleak for Pakistan, investment is puny and insignificant, especially fora developing economy, future economic growth and outlook looks sluggish, inflation and devaluation likely to cripple all domestic efforts for real recovery, consumers will be hit hard. With the above, if you factor in the energy crisis, you can expect the manufacturing sector and exports to become weaker, further worsening the balance of payments situation, further weakening the rupee. All of this will undercut what little growth this unstable economy can come up with.

I could go on like this for a few hours, so could most of the other less optimistic posters in this thread.

I hope the point I was trying to raise has sunk in.

p.s. Democracy hasn't failed yet, it hasn't run it's course, democracy is a slow and painful process, but the ends will definitely bare some fruits.

Nothing in this world is free, and this is what's wrong with Pakistani mentality, we want the world, but we don't want to work for it.

 

[Panther 57]

You're missing the point.

All macroeconomic indicators one could consider... all of them look bleak for Pakistan, investment is puny and insignificant, especially fora developing economy, future economic growth and outlook looks sluggish, inflation and devaluation likely to cripple all domestic efforts for real recovery, consumers will be hit hard. With the above, if you factor in the energy crisis, you can expect the manufacturing sector and exports to become weaker, further worsening the balance of payments situation, further weakening the rupee. All of this will undercut what little growth this unstable economy can come up with.

I could go on like this for a few hours, so could most of the other less optimistic posters in this thread.

I hope the point I was trying to raise has sunk in.

p.s. Democracy hasn't failed yet, it hasn't run it's course, democracy is a slow and painful process, but the ends will definitely bare some fruits.

Nothing in this world is free, and this is what's wrong with Pakistani mentality, we want the world, but we don't want to work for it.

I agree that all the indicators are low and I don't see things improving. I guess I quoted your post wrongly, my reply was in response to SUPARCO.

 

[pkuser2k12]

Agreed you are right but for that first we have to produce good products.

The economic experts in the program with malik said exactly this same thing

that reduce import bill start producing products locally

it is a very long process but Pakistan should start eventually though years import bill will decrease

 

[Leader]

and i just cannot understand IMF and their fascination with devaluation. it is different for the developed world. however, when we devalue, our international loan increases without any reason. costs of imports increase without any reason and so on. technically imports should decline after devaluation. but that is because people will stop demanding less of foreign goods and consume more of domestic goods. but the problem is that demand for many of the imported goods in countries like pakistan is very inelastic such as oil, food items etc. economic principles derived by studying the developed world cannot be replicated in the developing world.

firstly, IMF has political agenda to manipulate 3rd world, you obviously know this.

secondly, devaluing help exports, but on the other hand it doesnot effect imports not only of necessities(40% of imports) but also the non-necessity items, as those with money have their hands in the system and inflation doesnot effect their status, they hold prior information and keep their assets in dollars and double their money asset with devaluation.

so elite happy, IMF okay with that..

 

[BATMAN]

BTW... Ishaq Dar is an economist but he seem to be under dictation of IMF.

 

[Panther 57]

BTW... Ishaq Dar is an economist but he seem to be under dictation of IMF.

My friend I differ. He is not an economist but a Munshi as stated by Sh Rasheed. Had he been an economist he would not have let his government come up with a budget in such a short span of time. Those who are dealing with the after effects and confusions they have created in budget know it very well.

Just an example. GST was to be deducted from non registered suppliers @ 17%. Now this amount is reduced to 1%, from where they are going to fill this gap.

Country is constantly taking loans and they increased the amount of already controversial BISP by 20% and giving loan to students and youth. Come on man, first save the ship then feed the crew.

 

[AZADPAKISTAN2009]

This was EXPECTED move ... make Pakistan Take loan and then devalue their Money ...

that 7 Billion loan will ballon to 24 Billion dollars, and then they will buy our Coal and Gold and Jewlery mines for penuts

^_^ Pakistan for sale please put the boards out , But PIA , Steel mills and other goods for penuts

 

[Black Eagle 90]

Govt. is so bad that it has not yet decided what to do with PIA, Pakistan Railways as well as with steel Mills. The best option was to privatize all three of them in a manner like selling its 11% of the shares in Stock Markets and the rest of 39% to any private company of Pakistan or Muslim country origin like Middle Eastern.

Also the first thing was to sell the land of Railways to local Pakistanis openly and also PEC and Over Haul Facility of PIA should be given to PAC.

 

[deckingraj]

You guys fret over nothing. Pakistan is poor today as it was poor 65 years ago.

US $1 = 11,455 Indonesian Rupiahs
US $1 = 24,815 Iranian Rials
US $1 = 2,023,600 Turkish Lira

Calm down will you people.

Pakistan's external debt (March 2013): $60 Billion
India's external debt (March 2013): $390 Billion

Pakistan's external debt grows by around $1 billion a year while India's external debt grows by almost a $1 Billion a week ((yes, a week)).

Hosla rakho yaar, hosla.

ummm being a senior member i was expecting a bit more mature reply...Anyways comparison with India is anyways is not going to help your case and neither both the economies are comparable for that matter.....It is like comparing Apples and Oranges...