Is This Really Necessary?????????

[WarKa DaNG]

Why are we importing electricity from Tajikistan when the demand is met??

 

[YeBeWarned]

we need an industrial revolution to save Pakistan .

 

[Shane]

ECNEC Has Approved Projects Worth Rs 579 Billion

https://tribune.com.pk/story/2045186/2-ecnec-approves-16-projects-worth-rs579-billion/

Most Of These Projects Could Easily Have Waited Till Finances Were Improved.A Better Idea Would Have Been To Subsidise Natural Gas and Electricity Or Abolish Zero Rating And/Or GIDC.


There Is A Really Disturbing Feeling I Have That The Present Economic Team Would Turn Out To Be Even Bigger Economic Hitmen Than Dar

In short:

Some of Hafeez Shaeikh's decisions indeed amount to financial recklessness during much needed and stricter financial discipline and belt tightening.

Explanation? Read below:

As far as Devils advocacy goes; There are some ministries that are being run by nominated technocrats and "Experts" that "they" thinks can run those ministries by making required decisions rather than politically motivated decisions.

Finance minister/advisor is obviously right at the top of these "experts". (Ejaz shah is another, SMQ is another "insider" since 90s)

Apparantly, as per IMF, World bank etc, no outright major subsidies can be awarded in any category for any major relief. That takes care of why the available finances cannot be diverted towards providing direct relief in the form of subsidies.

The available finances, as they are in the form of loans can thus be utilized after the nod of lending institutions like world bank and asian development bank etc for potentially high yeild development, improvement or maintenance projects with only a couple of common man relief initiatives (that are not subsidies) like Ehsas program etc.

This is exactly where the Economic hitman can play its game while the appointers are none the wiser until its too late anyway. It all depends on Hafiz Sheikh and his sincerety and loyalty towards Pakistan.

Indeed projects like Shrimp farming look unnecessary at the moment but a bank would have approved its financing as it potentially can boost fishing industry and exports, a potentially high yeild or return on investment project, at least on paper.

So our "well wishing" IMF etc are theoratically trying to help us but we all know how projects go down the drain in Pakistan.

The biggest disappointment about Hafiz Sheikh is not his capability or expertise but his laidback, no tension, "don't take it personal", chill program attitude towards his job. (Exactly the opposite of qualities required for Pak economy rightnow)

He seems to avoid work load and would rather deligate minor fiscal responsibilities to others than go about it himself. That would have been ok if he was Finance minister in normal times but in Pakistan's case, it is like a leaking tap of money on an emptying overhead tank.

So In short, while Pakistan needs to spend finances on projects that would improve yeild and help turn the economic wheel faster to fast track economic activity, some of his decisions indeed amount to financial recklessness during much needed and stricter financial discipline and belt tightening.

Example: Ecnec decided that projects costing more than Rs10 billion should only be brought before it for approval as against the current threshold of Rs3 billion. Consequently, the Central Development Working Party (CDWP)’s financial powers for projects were enhanced from Rs3 billion to Rs10 billion and the federal-level Department Development Working Party (DDWP) from Rs60 million to Rs2 billion. Consequence: Less oversight, fast track spending approval i.e. A leaking tap.