Pakistanis sink deeper in debt with 28% per capita increase

[Ace of Spades]

Here are the blue prints to fix a broken economy left by Pmln:
- massively decrease import bill
- massively curb demand
- massively increase interest rate
- massively increase taxes and tariffs on everything
- massively depreciate value of currency

This resulted in build up of foreign exchange reserves. Pakistan avoided default on its foreign payments. Exports are gradually increasing.

These are all stop gap measures, resulted in inflation and price hike. I ask again what are the blue prints to fix the economy. None of these will fix anything; exports will and then when people will make money, taxing them will. So what has been done so far? or what's in the pipeline?

 

[blueazure]

Just wait for a stupid Patwari response on these facts and figures


Here are the blue prints to fix a broken economy left by Pmln:
- massively decrease import bill
- massively curb demand
- massively increase interest rate
- massively increase taxes and tariffs on everything
- massively depreciate value of currency

This resulted in build up of foreign exchange reserves. Pakistan avoided default on its foreign payments. Exports are gradually increasing.

you are merely parroting the conjectures and shallow statements of the 'keynesian' economic(!) managers of Pakistan aka PTI ministers and asad umer inc who are themselves inept and totally out of touch with situation of ground



1. massively decrease imports

you cannot 100 percent kill imports sans the luxury items . for a country like Pakistan having no local manufacturing (except cement, textiles etc) , it is pointless to kill imports 100 %

take for eg the healthcare industry

100 % hi tech medical equipment ( CT scan, MRI, even X ray filsm) HAVE to be imported since these are extremely complicated and hi tech machines ( only 3,4 countries in the world make them) .
thanks to tabdeeli sarkaar and hi dollar, the import of these essential equipment is all but zero and is massively impacting the healthcare sector

i can quote you 10 more examples like above


2 . massively curb demand

wtf, what does that even mean ? are you suggesting we stop eating ? driving ? having sex ?


3 .massively increase interest rate
already very high at 13 percent and practically no one is borrowing . how much more do you want , 50 percent ?


4 .massively increase taxes and tariffs on everything

see reply to pt 1

5.massively depreciate value of currency
already done by PTI
as a result, we are having 10 year record high inflation , almost a dead economy and no purchasing power.

These are all stop gap measures, resulted in inflation and price hike. I ask again what are the blue prints to fix the economy. None of these will fix anything; exports will and then when people make money taxing them. So what has been done so far? or what's in the pipeline?

there are so far NONE with PTI

 

[Path-Finder]

there are so far NONE with PTI

do you think dar will return to do it? dar says it will take 10 years!!

 

[bafxet]

During the ongoing tenure of IK no good news is coming from any front. Except a better law and order credit of which which goes to the armed forces.

 

[Norwegian]

These are all stop gap measures, resulted in inflation and price hike. I ask again what are the blue prints to fix the economy. None of these will fix anything; exports will and then when people will make money, taxing them will. So what has been done so far? or what's in the pipeline?

Inflation is due to massive import restriction, depreciation of currency. It is necessary evil to stabilize the current account deficit and external debt as left by previous smart pmln govt

1. massively decrease imports

you cannot 100 percent kill imports sans the luxury items . for a country like Pakistan having no local manufacturing (except cement, textiles etc) , it is pointless to kill imports 100 %

take for eg the healthcare industry

100 % hi tech medical equipment ( CT scan, MRI, even X ray filsm) HAVE to be imported since these are extremely complicated and hi tech machines ( only 3,4 countries in the world make them) .
thanks to tabdeeli sarkaar and hi dollar, the import of these essential equipment is all but zero and is massively impacting the healthcare sector

i can quote you 10 more examples like above

All imports are in dollars. In 2018 Pakistan had imports of 60 billion dollars against exports of around 20 billion dollars. This resulted in trade deficit of 40 billion dollars and current account deficit of 18 billion dollars. Who is going to fund that?

 

[Ace of Spades]

Inflation is due to massive import restriction, depreciation of currency. It is necessary evil to stabilize the current account deficit and external debt as left by previous smart pmln govt

Ok that's for now, what's next. But you didn't answer! What are the plans? What is in the pipeline to fix the ills of the economy or the country at large?

P.S i am super against the patwari/ jiyala behavior. No one is sacred cow, i voted for PTI, but i am gonna be the first one to stand against them if they don't deliver, which they aren't so far...

@Norwegian i expect better from PTI supporters, they were supposed to be the educated one, the young blood, youth. PTI supporters shall not go in to idol worshiping. Personalities are nothing if they don't deliver. Let it be A, B or C. I expect PTI supporters to criticize and scrutinize their party on merit but not to praise or support because they like the face of someone, or he can talk good. If he will deliver, praise him. If not, kick him in the rear.

 

[Haris Ali2140]

Ok that's for now, what's next. But you didn't answer! What are the plans? What is in the pipeline to fix the ills of the economy or the country at large?

P.S i am super against the patwari/ jiyala behavior. No one is sacred cow, i voted for PTI, but i am gonna be the first one to stand against them if they don't deliver, which they aren't so far...

@Norwegian i expect better from PTI supporters, they were supposed to be the educated one, the young blood, youth. PTI supporters shall not go in to idol worshiping. Personalities are nothing if they don't deliver. Let it be A, B or C. I expect PTI supporters to criticize and scrutinize their party on merit but not to praise or support because they like the face of someone, or he can talk good. If he will deliver, praise him. If not, kick him in the rear.

The only possible way for Pakistan to survive is to be an export oriented country. To do that you have to bring investors from outside since no one in Pakistan has that kind of money. You have first train a workforce,reduce taxes and most importantly you have to guarantee profits. In case of Pakistan, no one is willing to invest due to instability in Pakistan and in the neighboring countries.

 

[Ace of Spades]

The only possible way for Pakistan to survive is to be an export oriented country. To do that you have to bring investors from outside since no one in Pakistan has that kind of money. You have first train a workforce,reduce taxes and most importantly you have to guarantee profits. In case of Pakistan, no one is willing to invest due to instability in Pakistan and in the neighboring countries.

There is a misconception regarding business generation. Bringing foreign investment is indeed the key. But exporting what we already produce and achieving the maximum potential of growth for the sectors that are already there in Pakistan don't need foreign investment. Textile, agriculture, leather, surgical instruments, sports etc. Rome wasn't built in one day. But may be from day one there was planning for where they wanted to go and they probably did structural reforms from day one. I don't expect miracles in 1.5 years of governance but the pity is i don't see the direction as well.

Fixing police, judiciary, bureaucracy, HEC, schools, hospitals doesn't need foreign investment or investors. Policy and will would do that, merit based appointments would do that. Nothing is there so far....

 

[War Thunder]

Decades of mismanagement has its consequences...

And the ignorant bufoons in my country just won't get it and will keep questioning the sanity of those who actually know its gonna take patience.

Ignorance is bliss, and a few of these folk with posts on top of the thread are a bit too high on that bliss.

 

[Haris Ali2140]

Fixing police, judiciary, bureaucracy, HEC, schools, hospitals doesn't need foreign investment or investors. Policy and will would do that, merit based appointments would do that. Nothing is there so far....

Shabbar Zaidi was a merit based appointment. From day one he was hounded by whole FBR and now they have succeeded and he is gone. People like Dr. Nishtar have openly said that if it wasn't for IK they would have been long gone. You can't fire a working institution(even corrupt one) at once and if you appoint an honest head thinking he will fix it, it won't happen either. The reforms process is a slow one.

Jab daal khanay wali qoum ghost khai gi to pehli baar paet mein murroor uthain gay.

 

[Ace of Spades]

Shabbar Zaidi was a merit based appointment. From day one he was hounded by whole FBR and now they have succeeded and he is gone. People like Dr. Nishtar have openly said that if it wasn't for IK they would have been long gone. You can't fire a working institution(even corrupt one) at once and if you appoint an honest head thinking he will fix it, it won't happen either. The reforms process is a slow one.

IMO Imran Khan should've had resigned and gone back to the people and should've had taken a strong mandate. These political compromises, having little to none power won't let him achieve much. If people won't give him better mandate; it's their choice and they deserve what they are getting. But again ya to kursi ka shashka pura kar lo and compromise on everything you stood for or you keep your integrity and resign.

 

[Haris Ali2140]

IMO Imran Khan should've had resigned and gone back to the people and should've had taken a strong mandate. These political compromises, having little to none power won't let him achieve much. If people won't give him better mandate; it's their choice and they deserve what they are getting. But again ya to kursi ka shashka pura kar lo and compromise on everything you stood for or you keep your integrity and resign.

Yeah he should have gone to people with "khaata hay tou lagaata bhi hai" logic. You have illiterate people with no sense of economics who will vote NS and PPP just to enjoy rides on metro trains and BISP.

 

[Path-Finder]

one thing I want to say! mian won 2013 elections on ONE thing and that was economy in tandem with experienced team!! NOTHING ELSE but economy. Here we have people complaining economy is so bad because in 1 1/2 year imran has been in power.

Am I missing something?

if you listen from 22:15 then you will know what I mean.

 

[Syed1.]

During the ongoing tenure of IK no good news is coming from any front. Except a better law and order credit of which which goes to the armed forces.

Really so no good news on any front?


Let me list some right from the top of my head:

1. Pakistan being rated as number one travel destination by some of the biggest tourism magazines/journals
2. UK, USA and other countries improving Pakistan's travel advisory
3. Pakistan amongst the biggest reformers in the world as per World Bank gaining 28 spots in EoDB rating
4. Moody's improving Pakistan's economic outlook
5. Pakistan meeting most of the requirements of FATF and potentially entering into the white list soon
6. Current Account Deficit falling rapidly and reaching manageable levels
7. Revenue increasing 17-20% every month from same month last year
8. Foreign Direct Investment increasing 200+ %
9. DW listing Pakistan as one of the hottest spots for tech startups in Asia
10. Construction of Mohmand Dam began a project that has been in the plans for 50+ years
11. Construction of Dasu Dam began, a project for which loan had been given by WB and we were paying interest but previous governments hadn't even bought the land


These are just the ones from the top of my head, I'm sure there are many others. If you only read patwari media (like you do, going by how you share articles from The News) then you will think everything is going bad.

Shabbar Zaidi was a merit based appointment. From day one he was hounded by whole FBR and now they have succeeded and he is gone. People like Dr. Nishtar have openly said that if it wasn't for IK they would have been long gone. You can't fire a working institution(even corrupt one) at once and if you appoint an honest head thinking he will fix it, it won't happen either. The reforms process is a slow one.

Jab daal khanay wali qoum ghost khai gi to pehli baar paet mein murroor uthain gay.

Sir you are wise beyond your years. I see a politician in you

 

[Norwegian]

2 . massively curb demand

wtf, what does that even mean ? are you suggesting we stop eating ? driving ? having sex ?

Yes it means less import bill. Can't afford 60 billion dollars imports when exports are less than 25 billion dollars

3 .massively increase interest rate
already very high at 13 percent and practically no one is borrowing . how much more do you want , 50 percent ?

Interest rate must be above inflation rate. Currently inflation is at 12 percent so interest rate at 13 percent is justified

4 .massively increase taxes and tariffs on everything

see reply to pt 1

This is necessary evil to generate revenue and reverse falling foreign exchange reserves

5.massively depreciate value of currency
already done by PTI
as a result, we are having 10 year record high inflation , almost a dead economy and no purchasing power.

Again currency devaluation is necessary evil to curb demand, import bill, current account deficit

there are so far NONE with PTI

So what are ur suggestions genius?

During the ongoing tenure of IK no good news is coming from any front. Except a better law and order credit of which which goes to the armed forces.

Yes no good news are coming because Imran Khan is not paying media 50 billion Rs on lifafas and govt advertisement

Ok that's for now, what's next. But you didn't answer! What are the plans? What is in the pipeline to fix the ills of the economy or the country at large?

P.S i am super against the patwari/ jiyala behavior. No one is sacred cow, i voted for PTI, but i am gonna be the first one to stand against them if they don't deliver, which they aren't so far...

@Norwegian i expect better from PTI supporters, they were supposed to be the educated one, the young blood, youth. PTI supporters shall not go in to idol worshiping. Personalities are nothing if they don't deliver. Let it be A, B or C. I expect PTI supporters to criticize and scrutinize their party on merit but not to praise or support because they like the face of someone, or he can talk good. If he will deliver, praise him. If not, kick him in the rear.

I already told you the plans. Govt must bring down demand, imports, increase taxes, remittances, exports. This is the only way forward

You have first train a workforce,reduce taxes and most importantly you have to guarantee profits

Don't be an idiot. You have any idea how much profits were guaranteed to oil and gas importers by previous govt? How much profits power generation companies were guaranteed? This is the main reason for constant price hikes in energy sector and ever growing circular debt.