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Pakistan Is Not Collapsing!

Perhaps not today... But Pakistan's trajectory is undeniable. Pakistan current trends is unsustainable. If not today, tomorrow it will meet it's fate. That is something history has shown. No nation is invincible and infallible.

This fact of reality is not just coming from a "disgruntled Pakistani". It's just facts.,..
The same has been said multiple times over the past 70+ years.

Let me just say this, we won't default iA. Secondly, countries have defaulted and carried on.

Pakistan was never invincible nor infallible, rather we manage to eke out our existence. So if the idea is to get by with "juggad", then Pakistan will manage. It will swallow the bitter IMF pill and then backtrack as soon as some relief comes its way (e.g. bumper crops, decline in energy bill etc.).

So this pain, as it is being felt by the elite as well (the poor were always suffering) may perhaps be the economic catharsis needed for the country to set its path straight and not allow this extreme economic situation to develop in the future. All easier said than done but not too many other options remain.
 
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A New U.S.-Pakistan Relationship Is Emerging | The National Interest



With the Afghanistan War in the rearview mirror and Khan no longer in power, the United States and Pakistan have been walking back from the brink and searching for a new meaning to their relationship. The reality is that in the nearly seven decades of U.S.-Pakistan relations, despite their lack of continuity and strategic consensus, the two countries have kept coming back to each other. Even their troubled post-9/11 engagement was not without major accomplishments, as Pakistan provided critical military and intelligence support for America’s efforts to weaken Al Qaeda and advance U.S. and global security. The security challenges remain, as does Washington’s need for Pakistan’s cooperation, for which there is no alternative following the American withdrawal from Afghanistan.

But gone are the days when the United States could just come back and reignite the relationship as if nothing had happened while it was away. Pakistan has long been in the grip of anti-Americanism, incited by America’s image as an unreliable ally that has manipulated Pakistan’s political system to its advantage, an image further inflamed by Khan’s allegations that Washington conspired to have his government removed, which are baseless but compelling to his base.

The United States and Pakistan now realize that if their ties are to be revived, they must be sustainable, mutually beneficial, and have public support. The stimulus for revival has come from both sides, though the initiative may have come from Washington, which is finally focusing on Pakistan, having been freed from the Afghanistan War and possibly provided a strategic pause by India’s ambivalence over the Russian invasion of Ukraine. It is evident that India’s interests in Russia are many and will endure. Indeed, India prefers “multi-alignment.”

Could this re-engagement with Pakistan be Washington’s own multi-alignment? For a start, last September, Washington announced a potential $450 million sale of F-16 aircraft sustainment to Pakistan over the objections of India. While India will remain a critical part of the American Indo-Pacific strategy, the centrality of India to U.S. policy in South Asia may not be in Washington’s interests.

Washington has important stakes in Pakistan, where it needs an independent policy that stands on its own. Pakistan is at the confluence of multiple U.S. concerns and interests that cannot be dictated by the Indo-Pacific strategy alone, such as China, Russia, the Taliban, counterterrorism, nonproliferation, nuclear security, and climate change. In any case, as Raja Mohan notes, “Pakistan occupies a vital piece of real estate that sits between the subcontinent, Iran, Arabia, Central Asia, Russia and China and is too important to be isolated.”

Rethinking in Pakistan

Pakistan has also been rethinking the relationship. There is a growing sentiment, especially among the ruling establishment, that the country’s mounting economic difficulties, rising challenges to internal stability, and continuing external security threats require good relations with Washington, particularly as China may not be the answer to all of Islamabad’s problems (nor should it be). However, the U.S.-Pakistan relationship can no longer be based on the rentier model that has largely defined it since the two sides’ initial engagement from 1954 to 1965, when the United States, to its credit, strengthened Pakistan’s defense capabilities and potential for economic development, offering critical help in stabilizing the emergent state.
 
Let me just say this, we won't default iA. Secondly, countries have defaulted and carried on.
From 2022, this is the new math:
Imports = Exports + Remittances

Previously, there used to be a big mysterious number on the right hand side. Now, that cloud has shrunk and become a bubble. No more than 5% to 10% of the left hand side. The word 'default' is just a fear inducing word. In the new world, Pakistan will import what it can based on the money it has. All the borrowing won't amount to much (net). Unfortunately, this means a whole lot less imports that before. The container pile up is a temporary setback due to poor planning. After a while, a steady state will set in. At that time, the right hand side will barely be able to import food, fuel and other essentials. This is not default, this is the new normal, at least as long as this government continues, and Dar is the finance minister.
 
We have had allot of doom and gloom threads lately on Pak (with good reason as well). I wonder if it may be worth setting up a think tank thread to help Pakistan fulfil its potential which is an unknown quantity right now. There are many knowledgeable people on this forum who have experience across many fields, some collective thinking with a blueprint of change for Pak maybe helpful. Just a thought anyway.
 

Amid lack of clarity over dates for the visit of the International Monetary Fund, Pakistan is set to make a $500 million debt repayment to a Chinese commercial bank–the second in the past seven days –which may push reserves below $4 billion without any new injection.
 

Amid lack of clarity over dates for the visit of the International Monetary Fund, Pakistan is set to make a $500 million debt repayment to a Chinese commercial bank–the second in the past seven days –which may push reserves below $4 billion without any new injection.
Dar will wait till it goes below a billion and then raise both his hands and fall at the feet of IMF. He is a 11th hour guy. Anyone with an ounce of planning sense would have prevented the container fiasco.
 
Ignore the past. let's focus on present and more importantly, Future.

1. Define 'collapse'.
2. Do you consider Sri Lanka, Myanmar, Lebanon, Syria, Yemen, Afghanistan, Iraq, North Korea, Egypt, Somalia, Sudan, Ethiopia, South Sudan, Libya, Haiti as collapsing/collapsed?

Those countries have the advantage of sustainable populations. Even Egypt's government has raised the alarm of population size once they reached a hundred million.

Lebanon & Sri Lanka went through collapse. I'm not claiming Pakistan cannot come through this, but all those countries have potential to have a higher standard of living.

Even Afghanistan. It's really tyranny that makes them undesierable but they have less poor to care for.
 
What else is collapse?? Today i had to wait for an hour in a queue to get petrol and guess what, they only sold Rs 2000 per car. Which is like hardly 2 days fuel for me. No electricity for hours and hours, shortage of medicine, prices sky rocketing, soon there will be queues to the bank and the bank will have no money. What ******* else is a collapse???
 
Today i had to wait for an hour in a queue to get petrol and guess what, they only sold Rs 2000 per car.
Why? Is it temporarily due to power failure (and hence will recover) or due to shortage of petrol, which is ominous?
Rs 2,000 is like $8, I can get 2 gallons (8 liters). I can may be drive 40 miles on it. That is very limiting for travel between places.
 
The current government and the establishment has failed miserably, Country went on a begging spree for some scraps to friendly nations, yet they got nothing.
Tell me @RiazHaq what is a collapsed country?

People are fighting and loosing lives over a bag of flour, no power, cant buy gasoline, factories shutting down at rapid pace, people loosing jobs, foreign investors fleeing the country, markets going down, GDP growth almost in negative. If This isnt a sign of a collapsing country then what is.
Sri lanka type situation in pakistan is inevitable , they may delay it with new IMF loan but it cant be stopped, unless elections are held.
 
And then what? More of the same?
The current gov has no public support, no mandate, whoever comes into power by winning elections will eliminate political instability, which gives investors and stakeholders confidence in investing. Pakistan needs investment to get out of this situation.
Looking at the current situation even the people of pakistan are fleeing the country for other opportunities thats the confidence level rn. So how can you expect any investment at all.
 
The current gov has no public support, no mandate, whoever comes into power by winning elections will eliminate political instability, which gives investors and stakeholders confidence in investing. Pakistan needs investment to get out of this situation.
Looking at the current situation even the people of pakistan are fleeing the country for other opportunities thats the confidence level rn. So how can you expect any investment at all.

Yes, but claiming elections as the panacea is misleading and disingenuous, to say the least.
 

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