Traders/businesses/ reject the Interest rate hike / economy slowing

[El Sidd]

What does the Quran say about embezzlement, blackmail, murder, nepotism, excess, treason?

they all come under Fassad fil Ardh.

 

[shah_123]

No you will see million topics about how the government is destroying the country and business.

Its unfair to expect PTI to reverse it in one go and that too would out economic impact.

ALLAH swt' orders to reverse it in one go, what now?
Declare it Haram at domestic/local level, honor international commitments (as we have no other choice) --- recover the interest amount by selling the properties of those rulers who sanctioned it, Nawaz-Zardari-Musharraf-Imran, you can also add to the list those who are supportive of interest based loans.

 

[El Sidd]

honor international commitments (as we have no other choice)

Interest is unconstitutional in Pakistan.
You can declare that and international law will be adjusted to cater your market.

 

[maximuswarrior]

Let's talk about Economics 101.

The first line in your post talks about rising inflation. Do you know what is the monetary policy tool to control inflation? Yes, it's a rate hike.

You're talking that making borrowing expensive slows growth. Yes, that is true. But which government doesn't like growth? Which government in their right minds will shoot themselves in the foot by culling growth?

The answer is that it is the need of the hour, regardless of the pain, and this is what a macroeconomic adjustment entails in any economy - economics101. I have seen multiple rant posts from you on the economy without a hint of depiction of understanding how economies work.

So what's your suggestion? Keep rates low? You and these traders will be the one ranting against an even higher inflation rate. Your natural counter-rant would be that the government caused the inflation in the first place. The answer to that is, no, it's mainly import led inflation, caused by a devaluation in the currency.

Your next counter-rant: Government devalued the rupee, so they are responsible for the inflation anyway. The fact that the market is devaluing the currency means that it was over valued and the only thing you can do to keep it where it was (until your exports come up - which generally takes several years or even decades, not months) is to use forex reserves. But guess what, there arent any because the previous government spent them all to fund large deficits in a bid to show 'unsustainable' growth.

In short the economy grew in previous governments through unsustainable means (i.e. demand was pushed up by a mechanism where the economic indicators did not support it). The twin deficits they left us with are objective evidence of that fact.

Please do tell how your economics 101 refutes that. What is your solution to resolving the situation when a) you have no reserves b) an already large fiscal deficit where printing more money to fund it will push up inflation further.

His only suggestion is to bring back godfather Nawaz Sharif.

 

[Yaseen1]

after 5yrs if economy not become better by raising interest all those in govt should be killed infront of public who are making these policies

 

[shah_123]

Interest is unconstitutional in Pakistan.
You can declare that and international law will be adjusted to cater your market.

What about the agreements our rulers have already done.???

 

[El Sidd]

I just like Imran Khan

any particular reason?

What about the agreements our rulers have already done.???

Null n Void as per Orders of the Court.

Study what happened between 1999 and 2001 and federal courts ruling into Riba.

 

[El Sidd]

I started liking him in 2014 dharna because he is different person and liking dislikings ka Kya hai ho jati Hain he is not like an average politician of Pakistan

Jesi apki marzi

 

[shah_123]

any particular reason
Null n Void as per Orders of the Court.

Study what happened between 1999 and 2001 and federal courts ruling into Riba.

Null n Void, this would be ideal, but how will we deal with the reaction of the lenders?

Yes I know what happened and I have read complete judgement.

 

[El Sidd]

Null n Void, this would be ideal, but how will we deal with the reaction of the lenders?

Yes I know what happened and I have read complete judgement.

yeah interest on those deals will be null n void. not the real worth of the money borrowed just to be clear here.

 

[B.K.N]

Jesi apki marzi

Any reason why you don't like him except yahodi sazish

 

[El Sidd]

Any reason why you don't like him except yahodi sazish

I have never used this pathetic excuse to dislike anyone.

I only have a dislike for him for he called my countrymen living dead and proceeded to praise Afghans and then proceeded to blame Pakistan Army for genocide in East Pakistan and then proceeded to convince my countrymen to let TTP terrorists open political office in Peshawar.

nothing personal.

 

[shah_123]

yeah interest on those deals will be null n void. not the real worth of the money borrowed just to be clear here.

Yes the interest, how will we deal with reaction of the lenders, they will not let go this amount easily?

 

[B.K.N]

I only have a dislike for him for he called my countrymen living dead and proceeded to praise Afghans and then proceeded to blame Pakistan Army for genocide in East Pakistan and then proceeded to convince my countrymen to let TTP terrorists open political office in Peshawar.

Yeh sab purani batain Hain waisay living dead wali baat sahi hai baqi he used to say giving bases to America military operations everything is wrong like orya maqbol and jamat islami type people and Bangladesh ko dafa karo

 

[Syed1.]

Pay taxes and then run mouth