IK being made a fool by the IMF scum. inflation /dollar out of control

[Lincoln]

Not disagreeing on most points but; establishing industry takes a lot of time, and getting them to a level where you get big production orders is hell a lot of work. 5 years would go by before you'd see anything of value.

What do you propose would be done in the meanwhile?

People are opportunists; and like sheep, everyone and their mother was out to buy USD. What did you think would happen? Simple demand and supply means everyone is charging a premium for USD. Bewaqoof qaum.

The devaluation is also going to cause rise in loans for Pakistan. Revenue is generated in PKR, loans are paid in USD. So, we already topped our loans by may be another 30%.

Credit goes to "ghabrana mat."

 

[Smarana Mitra]

dig up riko dik . expel BHP billiton . tell the intl court to F*(** off and use all that gold to put in the vault of state bank . then announce that rupee will be pegged to gold ( at least partially ) .. ( im not making this up , Russian central bank is doing just that)

For that you would like to have gold in your reserves. Pakistan has none; Russia/India/China have been buying gold to distance themselves from the USD but they can't do that because the world economy works like that.
Plus telling the international court to **** off. Wow!

Russia, India, China have been trying to distance from US dollar but the petrodollar dalliance with Aras (including North Africa) export 60% of world oil. This need for oil is what forcing countries to use USD. USD can be thrown to dustbin if the petrodollar alliance breaks down and oil is sold in other currency. Only Saudi Arabia and its allies have the ability to do this. Russia has been more successful in distancing from US dollar as far as possible as it does not need oil imports and itself is the biggest oil exporter. But other countries will find it hard to distance from dollar

 

[maithil]

So, What is the way out of it? Former Air Chief Shahid Latif admitting in a talk show that; there is no other option left for Establishment except continuing with IK. Is that correct?

They have jailed the only viable alternative.

 

[xyxmt]

Rupee fall reflects market conditions: SBP

IK should rethink his economic team's approach if this is what his SBP chief says when Dollar goes past 150.

IK is not capable and he only remembers the last advise whispered in his ears.

 

[Enigma SIG]

Revenue is generated in PKR, loans are paid in USD.

Credit goes to last 15 years of no export increase. You can't cherry pick your arguments.

They have jailed the only viable alternative.

What would he have done; farted clouds of USD?

 

[Tameem]

They have jailed the only viable alternative.

Naheen, Naheeen…..Inko Saray Options Ghoom Anay doo, Aik martaba.
Presidential System, more provinces, Martial Law....do every damn thing you want but
Gives us back Purana Pakistan on way or other.

 

[Smarana Mitra]

Credit goes to last 15 years of no export increase. You can't cherry pick your arguments.


What would he have done; farted clouds of USD?

If you have noticed, Pakistan was getting closer to Saudi Arabia & GCC in previous regimes and getting investment from GCC in return. The current account of Pakistan was even worse in 2017 than in 2018 but still Pakistan managed well with investment from Arabs. Now, IK and the establishment want to ensure that Pakistan does not go too close to KSA without any leverage and has decided to end the relationship of patronage. Instead, Pakistan is now selling missile and nuclear technology to get the money. However, the money obtained now is much less than what would have been obtained by previous regimes due to their good relation with Arabs.

Pakistan can't simply increase exports as Pakistan has very little education to export services or do R&D to manufacture. The education is something that will take over 25 years. Last 10-15 years of Pakistan was lost due to Musharraf coup and Afghanistan war problems.

The main cause of Pakistan economy going down is bad relationship of Pakistan under IK and Arabs. So, repairing the ties can get Pakistan economy back up. No IMF loans or any external aid will be needed after that. Only solution that is quickly available is to be under Arab patronage and get their oil money in return

 

[El Sidd]

They have jailed the only viable alternative.

rule of law

nothing fancy

 

[Enigma SIG]

If you have noticed, Pakistan was getting closer to Saudi Arabia & GCC in previous regimes and getting investment from GCC in return. The current account of Pakistan was even worse in 2017 than in 2018 but still Pakistan managed well with investment from Arabs.

By playing second fiddle. Government should know better than that.

Now, IK and the establishment want to ensure that Pakistan does not go too close to KSA without any leverage and has decided to end the relationship of patronage. Instead, Pakistan is now selling missile and nuclear technology to get the money.However, the money obtained now is much less than what would have been obtained by previous regimes due to their good relation with Arabs.

Conjecture, stuff for another thread.

Pakistan can't simply increase exports as Pakistan has very little education to export services or do R&D to manufacture. The education is something that will take over 25 years. Last 10-15 years of Pakistan was lost due to Musharraf coup and Afghanistan war problems.

Agreed mostly. I think we can turn it around in 10 given honest reforms and political stability (NS/Zardari have no place in future setups).

The main cause of Pakistan economy going down is bad relationship of Pakistan under IK and Arabs. So, repairing the ties can get Pakistan economy back up. No IMF loans or any external aid will be needed after that. Only solution that is quickly available is to be under Arab patronage and get their oil money in return

That is a short term solution spiralling into slavery. Been there done that. Tough pill to swallow for sovereignty.

 

[KhanBaba2]

Please close this thread.

Thanks.

 

[Sunan]

its really worrying situation

Enjoy the tabdili sir.Stock 55000 to 33000 going down.GFP 5.8 to 3 .Inflation 4 to 9 Rising.Imandar to hai na Peshawar metro may Pasay firishtay kha gy IK nay nai khay.Enjoy

IK becomes Dollar Mafia head.He and his party is corrupt to the core.Time will reveal this IN Sha ALLAH.

 

[Path-Finder]

Naheen, Naheeen…..Inko Saray Options Ghoom Anay doo, Aik martaba.
Presidential System, more provinces, Martial Law....do every damn thing you want but
Gives us back Purana Pakistan on way or other.

you truly are a cretin your haram mian needs to be laid out and money pumped out of him and from his illegitimate brother zaleeldari.

 

[H!TchHiker]

Market sentiment is quite negative..Be it investment or anything else seems businessmen is not trusting this government and rightly so..Who is in right mind will invest at such interest rate and dollar hike destroying the already business we have..
Anyhow lets see how it progress for the next 5 years..
When we cried in-front of whole world lut gay barbad hogay sab chor hain..No one will come in this situation and IMF will definitely not come soft knowing this..

 

[VCheng]

our industry is non existent, we produce and export practically nothing worth exporting ( except socks and jeans and knitwear)

So let me ask you a simple question: How do you expect the PKR to maintain its value when we "produce and export practically nothing"? It is not the IMF's fault that the PKR is devaluing day by day.

 

[Novice09]

it is now an open fact that state bank is answerable to no one except its masters in Washington . our state bank is printing money faster than ever and that money is backed by nothing but thin air .

imagine, you had 10 lacs PKR of cash last year . now the same 10lac pkr's 'worth' is 6 lacs thanks to relative 'devaluation' by the SBP . overnight, 40 percent of your wealth has been stolen right under your nose with the stroke of a pen by the money printing devil wearing a suit ( and an Ex imf employee)



Now let me bust the myth of devaluation of currency to boost exports...( an utter BS theory ) :-

it so happens that countries having trade surplus ( japan, korea, china etc) have more money COMING inside their country vs leaving their shores. over time, their currencies get expensive ( demand and supply) and their exports get non-competitive. so the bank of japan 'strategically' devalues the yen to make the exports more competitive. fair enough, nothing wrong here.

now the chooran being sold to pakistanis is that we are fairly devaluing our currency( even letting it float to mkt) to boost exports. i mean WTF ...STOP right here. our industry is non existent, we produce and export practically nothing worth exporting ( except socks and jeans and knitwear) . industrial production capacity has decreased over the last 35yrs ( thanks to PPP and PML) . we are NOT an export power house. we aint korea or china. textile and agriculture exports revenue is barely in millions of USD.

the fair way to do this was ...

1 . establish industry,

2. get the exports rolling

3. and THEN devalue PKR to boost revenues.


but im sorry, the scum sitting with imran khan have totally fooled him and are wrecking the economy thanks to rampant money printing .

meanwhile, on the streets, im seeing a total rat race of people falling over each other to ' dollar lena hai, dollar nahi mil raha' . guys please, the money changer scums have actually made the dollar 'disappeared' from the mkt and are charging huge premiums . this, and the FUD being spread by media is adding fuel to fire.

As a friend of Pakistan, this out of control economic crisis is very worrying, and disappointing.

So, What is the way out of it? Former Air Chief Shahid Latif admitting in a talk show that; there is no other option left for Establishment except continuing with IK. Is that correct?

The devaluation is also going to cause rise in loans for Pakistan. Revenue is generated in PKR, loans are paid in USD. So, we already topped our loans by may be another 30%.

Credit goes to "ghabrana mat."

Naheen, Naheeen…..Inko Saray Options Ghoom Anay doo, Aik martaba.
Presidential System, more provinces, Martial Law....do every damn thing you want but
Gives us back Purana Pakistan on way or other.

Welcome back... do more... else...

I personally feel that Nawaz Sharif made two mistakes...

1. Chinese loans for infra development and CPEC

CHINESE loan... high rate of interest... terms and conditions favourable to China... contracts CHINESE... worker CHINESE... companies CHINESE... material CHINESE...

All money was back into CHINESE POCKETS... with fair share/CUT taken by ELITES, POLITICIANS AND ESTABLISHMENT...

USA was already rattled by CHINESE presence... CPEC and its MAMMOTH BENEFITS to China and its economy have rattled them further... so economic warfare was started and Pakistanis were gone even before realising that HYBRID WAR has been imposed on them...


2. Tried to have friendly relations with India

Which arms exporter would like to lose customers like INDIA AND PAKISTAN...