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Pakistan, IMF agree on $5.3 billion bailout package

So now Pakistan can get the nuclear sub marine..............
 
As per PTI leadership such as Shah Mahmood Qureshi it was imminent to happen and we had no other option but to go for IMF loan

zakii we have the option of going after millions of untapped on purpose tax payers then borrowing.
 
zakii we have the option of going after millions of untapped on purpose tax payers then borrowing.

Yes indeed, but it won't be happening in a day? you send a letter to them... They will ignore... you send another reminders and force them to pay... they will go to courts... you go to court (for each individual)... they waste your time... and then you have corruption that the officers will delay the process deliberately.... but the fact is we need money in our reserves... our reserves are too low to pay the wages of Government employees for more than a money... + IMF repayment due in July.

So we need to explore other options in short cut.

It is not like you send the letters to 3 million people which FBR has identified and they have the cash in hand and will be willing to pay their dues immediately... FBR themselves does not know how much to charge from each individual as they have only identified them possible as tax evaders.
 
Yes indeed, but it won't be happening in a day? you send a letter to them... They will ignore... you send another reminders and force them to pay... they will go to courts... you go to court (for each individual)... they waste your time... and then you have corruption that the officers will delay the process deliberately.... but the fact is we need money in our reserves... our reserves are too low to pay the wages of Government employees for more than a money... + IMF repayment due in July.

So we need to explore other options in short cut.

It is not like you send the letters to 3 million people which FBR has identified and they have the cash in hand and will be willing to pay their dues immediately... FBR themselves does not know how much to charge from each individual as they have only identified them possible as tax evaders.

Zakii borrowing and borrowing has been the solution for decades and now we have come to a point where we borrow to pay of the interest.
If i am late in filling my taxes i have pay interest and penalty and you are telling me others can simply ignore the letter and face no consequences.

So now Pakistan can get the nuclear sub marine..............

pissh posh zaradari alone can buy few nuclear subs and still have money left over for few aircraft carriers.:pissed:
 
Zakii borrowing and borrowing has been the solution for decades and now we have come to a point where we borrow to pay of the interest.

This isn't how loans on a national level are supposed to work. That we can barely pay interest on the loans we do have, alludes to the inability of successive governments to effectively invest the money. Loans procured by the Pakistani government are lost to greedy higher ups and the general overextended bureaucracy of our highly inefficient government. In the end, it is more a year end bonus for government officials than much needed funding for infrastructural projects.

Infrastructural development is really what these loans are for. The reason many people dislike the IMF is because it attaches so many conditions on the receivers' of it's loans. But the IMF does so to avoid exactly the predicament every county loaning money to Pakistan finds it's self in. We have the need for billions, but those billions are not supposed to be used to pay off previous debts, government salaries and retirement packages, and to finance the general aggrandizing of the Pakistani prestige through arms purchases. If that is the eventual home of the billions we are to receive as loans, then it is better to not receive them at all.

Investment in power generation, irrigation, roads, academics and healthcare drive economic growth. The billions invested in these sectors provide an exponential return over many decades. If this government plans to be any different than those that were in power previously, then it has to put the needs of the general population above those of the luxurious lifestyle of high up government officials. But judging from the history of Pakistani politics, we will more than likely take on more loans, waste them on projects with a nonexistent return on investment and be back begging next year.

As far as the potential tax base that is hidden beneath the surface is concerned, it is largely irrelevant at this point. After 60 odd years of letting most people live a tax free existence, the government isn't going to risk angering an already splintered country. Inevitably, the general population of all nations only pay attention to what they must give up, not to the idea that such subsidies are luxuries and not basic rights to begin with. By letting generations of Pakistanis get away with paying no tax with no negative consequences, the government has made this a basic right simply by negligence. For the foreseeable future, the tax base will remain small and the government will have to work around that. Doing so will require an efficient allocation of aid and loan money...and in a never ending circle, I can paste the first part of my post in this space, which pretty much sums up Pakistan.
 
they are also gonna privatize railway


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he really got this on his own terms :omghaha::omghaha::rofl:
 
Beggars will always remain Beggars .Shame on us
The fault lies within. So far no government in Pakistan has had the guts to rationalize tax collections. The present government must developed plans to improve tax collection and to eliminate tax loop holes and exemptions. This has not happened due to vested interests especially the rich feudal landlords. This is a political minefield, bit there's no other way out to improve the economy and bring down inflation.
 
You may have noticed that politicians have difference stance when in opposition than when in power. PML-N was dead against IMF; increase in GST rate, in electricity & oil products prices. However when forced to face the music, Ishaq Dar has taken a totally different stand.

Economic imperatives do not change. Understand that FE reserves with the State Bank are barely enough to cover 6 weeks imports. Saudis declined our request (probably angry with gas import plans from Iran). What options does Ishaq Dar have except to go begging to IMF?

No country, factory, shop or household can continuously spend more than their income. Pakistan has been doing it for a long time and surviving on the remittance of overseas Pakistanis. If you want to have an independent fiscal policy, you must manage within your means even if you have to eat grass; else follow IMF dictation, choice is yours. You can't have it both ways.
 
Lol...Mr.Dar was so confident to say that he will deal with IMF on his own terms,and look now,what do we have here?IMF's dictation and same budget scenario,in easy words,public is again made a scapegoat..

and don't forget " I will get loan on my own terms from IMF"- Finance Minister Ishaq Dar :rofl:

It is our fault,we have elected these connoisseur of lies.Why the hell they just can't speak the truth to us now??elections are over now.:hitwall:
 
The fault lies within. So far no government in Pakistan has had the guts to rationalize tax collections. The present government must developed plans to improve tax collection and to eliminate tax loop holes and exemptions. This has not happened due to vested interests especially the rich feudal landlords. This is a political minefield, bit there's no other way out to improve the economy and bring down inflation.
Direct taxes is the problem and critical situation .Govt was and will be in fear to put taxes on landlords . There is nothing this we can expect from then until they correct their track and stop targeting poor people to increase tax revenues . People of pakistan will not forgive them if they did the same as PPP looters did . Bastards :pissed:
 

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