US hikes Pakistan aid by 40%

[INDIC]

Get me a source for that 5% expenditure on defense ...

Pakistan expenditure on defence crossed $10 billion.

 

[pakdefender]

Why are they being so generous all of a sudden, first a waiver to sell weaponry to Pakistan and now this?

The situation in Afghanistan is far more dire than it is being let out for public consumption , this hiking of aid for Pakistan is to be viewed in that context

The Americans humiliated us, wanted to 'dial up the pain' on us ( US ambassador’s own words ) but today they are in serious trouble in Afghanistan not just because of Taliban but because of Karzai and all assortment of thugs and crooks that make up the current afghan 'government', the Americans know there will be no iwo jima moment in Afghanistan and they know they have to get out with some face saving and for that and they need Pakistan's help.

Hiking of aid is just for getting more leverage over Pakistan during this transitional period

 

[TheJewverine]

LOL why the heck are you posting stats from over 20 years ago ??? We are talking about now.

To get your facts right:

1. No aid money goes to the GOI! It goes to NGOs ! Thats a difference, and I guess you are capable enough to understand that.

2. We are one of the largest economies in the world, growing with +5% despite a global recession and no big ticket reforms for years now. India is a major contributor in organizations like the IMF or the upcoming BRICS development bank and has provided her part in the EU bailout package as well.

Don't bother, he is either uninterested or incapable of having a meaningful discussion.

 

[qamar1990]

1. Education = no corruption? WRONG
2. Energy = booming economy? Its a crucial factor, but only ONE out of MANY.
3. No terrorism = more FDI ? Partially, a stable and safe state is a must have to have economic success, but only one factor.

So Pakistan does not have only 3 problems, otherwise it would be the super power in the world

seriously?
i can just kill ou right now with knowledge but ill let keep yourself stupid.

 

[JohnyD]

You guys have been sayin this since 1947 .... Alhamdullilah its 2013.

dude...its good that u didnt collapse...but after so many years ppl ve the same opinion and perception abt ur country...so even if u ve not lost it u ve no won it either...u need to work to secure your future not just today and tomorrow...!

 

[cyphercide]

A 40% increase in American aid aimed at job creation and economic growth in Pakistan?

Are the Republicans sitting this one out?

 

[Koovie]

seriously?
i can just kill ou right now with knowledge but ill let keep yourself stupid.

Its a well known fact that economic success is dependant on many many factors. Even I as a total newcomer in this field know that.

Ever had economics?

 

[qamar1990]

Its a well known fact that economic success is dependant on many many factors. Even I as a total newcomer in this field know that.

Ever had economics?

lol we were talking about foreign investment not economic success, this is what i hate about indians they change things when they start losing.

 

[Koovie]

lol we were talking about foreign investment not economic success, this is what i hate about indians they change things when they start losing.

Reading isnt your strength isnt it?

The attractivity of a country to FDI is dependent to many factors as well, the absence of terror attacks, stability is really the most basic requirement kiddo.

Market opportunities, production costs, infrastructure, resources, skill level of the workforce, business environment/attitude, law, economic governance etc etc are also crucial.

No surprise that your economy is in the current state as it is

PS: FDI is crucial for economic success, especially for developing countries.

 

[Secur]

Pakistan expenditure on defence crossed $10 billion.

I said I need a credible source for your claim of " Pakistan 5% of GDP expenditure on defense " ...

 

[Argus Panoptes]

I said I need a credible source for your claim of " Pakistan 5% of GDP expenditure on defense " ...

Here you go Sir:

How Countries Spend Their Money -

23.1% of Pakistan's GDP is spent on defense, 1.3% on health and 7.8% on education.

Each country has its own spending needs that vary with the priorities of the populace, the size of the population, the age of the population and the political involvements of that country. Some of the largest expenditures of governments are the military, health care and education.

Military

Military spending is important to most nations, with each country spending to its own need and ability. Canada spends 6.3 percent of its total yearly budget on military spending. The United States spends 19.3 percent of its budget on military expenses. Mexico uses 3.3 percent of its budget for military spending.

Nicaragua spends 3.2 percent of its yearly budget on military expenses. In Columbia, military spending is 11.9 percent of its annual budget. Argentina military spending is 5.9 percent of its yearly budget.

In Scandinavia and Europe, military spending is relatively low. Norway spends 4.8 percent of its budget on military spending, while its neighbor Sweden spends 4.3 percent of its budget on the military. In the U.K., military spending is 6.3 percent of the yearly expenditure. In Germany, military spending is 3.3 percent. In France, military spending is 5.4 percent of France’s yearly budget. Italy uses 4.5 percent of its annual budget for military spending. The annual military spending of Spain is 4.2 percent.

In the Middle East, the level of military spending is generally higher than in Europe. In the United Arab Emirates, military spending makes up 45.7 percent of the country’s annual budget. In Iran, military spending is 21.7 percent of its allocated budget. The military expenditure of Pakistan is 23.1 percent of all its yearly expenditures.

Morocco spends 13.6 percent of its annual budget on military expenditures. The military of South Africa is 4.8 percent of its budget. In India, military spending is 18.6 percent of its total spending. Thailand spends 7 percent of its money on its military. Indonesia sends 6.5 percent of its budget in the military.

Australia spends 7.1 percent of its budget on its military. New Zealand military spending is 3.1 percent of the New Zealand yearly budget. In China, 18.2 percent of the annual budget is spent on military expenses. South Korea spends 12 percent of its total yearly expenditures on the military. In Japan, the military spending percentage is 6.4 percent of the country’s annual budget. Russia spends 18.7 percent of its annual budget on the military.

Heath Care

Canada spends 17.9 percent of its total yearly budget on health care. The United States spends 19.3 percent of its budget on health care expenses. Mexico uses 11.8 percent of its budget for health care.

Nicaragua spends 17 percent of its yearly budget on health care. In Columbia, health care spending is 17 percent of its annual budget. Argentina health care spending is 14.2 percent of its yearly budget.

Norway spends 17.9 percent of its budget on health care spending, while its neighbor Sweden spends 13.8 percent of its budget on health care. In the U.K., health care spending is 16.3 percent of the yearly expenditure. In Germany, health care spending is 17.9 percent. In France, health care spending is 16.7 percent of France’s yearly budget. Italy uses 14.2 percent of its annual budget for health care spending. The annual health care spending of Spain is 15.5 percent.

In the United Arab Emirates, health care spending makes up 8.7 percent of the country’s annual budget. In Iran, health care spending is 11.5 percent of its allocated budget. The health care expenditure of Pakistan is 1.3 percent of all its yearly expenditures.

Morocco spends 4.8 percent of its annual budget on health care expenditures. The health care of South Africa is 9.1 percent of its budget. In India, health care spending is 3.4 percent of its total spending. Thailand spends 11.3 percent of its money on its health care. Indonesia sends 6.2 percent of its budget in the health care.

Australia spends 17 percent of its budget on its health care New Zealand health care spending is 18.4 percent of the New Zealand yearly budget. In China, 9.9 percent of the annual budget is spent on health care expenses. South Korea spends 11.7 percent of its total yearly expenditures on health care. In Japan, health care spending percentage is 17.9 percent of the country’s annual budget. Russia spends 10.8 percent of its annual budget on the health care.

Education

Canada spends 12.7 percent of its total yearly budget on education. The United States spends 17.1 percent of its budget on education expenses. Mexico uses 24.3 percent of its budget on education spending.

Nicaragua spends 15 percent of its yearly budget on education. In Columbia, education spending is 15.6 percent of its annual budget. Argentina education spending is 13.8 percent of its yearly budget.

Norway spends 16.2 percent of its budget on education spending, while Sweden spends 12.8 percent of its budget on education. In the U.K., education spending is 11.5 percent of the yearly expenditure. In Germany, education spending is 9.5 percent. In France, education spending is 11.4 percent of France’s yearly budget. Italy uses 10.3 percent of its annual budget for education spending. The annual education spending of Spain is 11.3 percent of its budget.

In the United Arab Emirates, education spending makes up 22.5 percent of the country’s annual budget. In Iran, education spending is 17.7 percent of its allocated budget. The education expenditure of Pakistan is 7.8 percent of all its yearly expenditures.

Morocco spends 26.4 percent of its annual budget on education expenditures. The education of South Africa is 18.5 percent of its budget. In India, education spending is 12.7 percent of its total spending. Thailand spends on education.

Australia spends 13.3 percent of its budget on education. New Zealand education spending is 15.1 percent of the New Zealand yearly budget. In China, 12.1 percent of the annual budget is spent on education expenses. South Korea spends 15.5 percent of its total yearly expenditures on the education. In Japan, the education spending percentage is 10.5 percent of the country’s annual budget. Russia spends 11.5 percent of its annual budget on the education.

 

[Secur]

@Argus Panoptes

23.1% of Pakistan's GDP is spent on defense, 1.3% on health and 7.8% on education.


You know the meaning of spending almost 25% of our GDP on defense , mate ? I do not think so ...

Your link mentions something different , I advise you read and understand it up TY

 

[Argus Panoptes]

@Argus Panoptes

23.1% of Pakistan's GDP is spent on defense, 1.3% on health and 7.8% on education.


You know the meaning of spending almost 25% of our GDP on defense , mate ? I do not think so ...

Your link mentions something different , I advise you read and understand it up TY

No Sir. The numbers and the text are taken from that source. It is an animated infographic so I cannot cut and paste it here.

How Countries Spend Their Money -

The meaning of 25% is about 1 in 4. Two thirds is spent on debt, a quarter on defense and the remainder on everything else. Please look around and it sounds about right.

http://www.atimes.com/atimes/South_Asia/MC04Df01.html

Pakistan drugged out on defense and debt
By Syed Fazl-e-Haider

KARACHI - Pakistan is spending more on debt servicing than on defense, and seven times more on arms than on primary schools, according to a United Nations report that calls on governments and aid donors to seek ways of converting unproductive spending to more productive investment.

Higher defense and debt costs helped to widen the fiscal deficit to 490.4 billion rupees (US$5.7 billion), or 2.9% of gross domestic product (GDP) in the six months to December.

Debt servicing in the period, the first half of the fiscal year, rose to 310.4 billion rupees while 215 billion rupees was spent on defense purposes, says the report of the United Nations Educational, Scientific and Cultural Organization (UNESCO).

Pakistan spends 1.5% of GDP on education, and only 0.5% of GDP on health. Defense spending and debt servicing consume more than 60% of the national budget each year.

Rising defense spending and debt servicing make it increasingly difficult for the government to meet its revised budget deficit target of 4.7% of GDP, or 807 billion rupees for the current fiscal year, which will end on June 30.

"The gap between national revenues and expenditures widened to 490 billion rupees in the first half of the current financial year that virtually made the year-end budget deficit target of 4.7% of GDP unrealistic," according to a report in The Express Tribune. In the first six months, total income of federal and provincial governments remained at 989.6 billion rupees against expenditure of 1.48 trillion rupees.

The federal government borrowed 119.6 billion rupees from external sources. Out of this, 72.6 billion rupees was used for retiring or servicing external debt, while the balance of 47 billion rupees was utilized to finance the deficit.

Critics say that 63 years after gaining independence, Pakistan is yet to move from a "national security state" to a welfare state in which over 60% of the national budget would be spent on human and social development.

One can see the precedence of "security" over "public welfare" from the budgetary allocations made by Pakistan for education, heath and defense in the current fiscal year, when the government allocated 21.4 billion rupees for education and 16.9 billion rupees for the health sector, while 442 billion rupees were allocated for defense spending.

Under a series of mini-budgets, spending on education, healthcare and infrastructure has been lashed, while defense spending has been increased. For example, the government in October projected that it would increase its defense budget by 25%, or 110 billion rupees, to 552 billion rupees for the current fiscal year.

Pakistan has one of the world's largest out-of-school populations, at about 7.3 million.

The UNESCO report said diversion of national resources to the military and loss of government revenue meant that armed conflict shifted the responsibility for education financing from government to households.

Meanwhile, Pakistan's ruling elite maintain their perks and privileges at all costs. Prime Minister Yousaf Raza Gilani recently gave the go-ahead for luxury parliamentary lodges to be built at a cost of 3 billion rupees.

The country's debt servicing obligations have been squeezing the resources meant for development projects, particularly in the social sector, while more than 75% of the 170 million population, particularly those in rural areas, live in highest level of deprivation level and lowest level of economic development.

The Public Sector Development Programme budget for the present fiscal year has been cut by 46% to 150 billion rupees in order to limit the fiscal deficit.

Even in times of crises, such as during last year's devastating flooding, defense priorities have not been changed. According to the United Nations, the floods brought an economic and humanitarian disaster bigger than the December 2004 Asian tsunami and last year's Haiti earthquake, and affected about 20 million people.

This year's budget envisaged a 17% increase in defense spending, while next year's is expected to increase it further, leaving little scope for improved public welfare.

The consequences assets will be a large, unhealthy, non-skilled, illiterate and poor population and undeveloped and underdeveloped natural resources.

The country's economy is forecast to grow 2.3% in the fiscal year to June 30. If that falls short, to under 2%, per capita income, an important benchmark to determine the health of an economy, will shrink given annual population growth of 2%. More people will fall below the poverty line and struggle to survive on less than a dollar a day.

Pakistan's total external debt jumped 49% in the four years to June 2010, to $55.62 billion from $37.24 billion in June 2006. Even after paying $6.03 billion during the past three years, the foreign debt burden is still $53.7 billion.

In the fiscal year to last June, the government spent $3.1 billion on debt servicing - $2.34 billion as payment in principal and $775.5 million as interest. There is no plan for retiring the country's debt burden - though the government does have a solid plan for securing more loans from international lenders.

A welfare state safeguards the welfare of people by looking after their needs for education, healthcare and infrastructure, as it prioritizes social development in its annual budget allocations.

It is next to impossible to imaging Pakistan becoming a welfare state where the rich still easily avoid paying taxes; where at least 500 billion rupees are spent on defense, and hundreds of millions of rupees are set aside as interest on foreign loans.

Syed Fazl-e-Haider (www.syedfazlehaider.com ) is a development analyst in Pakistan. He is the author of many books, including The Economic Development of Balochistan (2004). E-mail, sfazlehaider05@yahoo.com

 

[qamar1990]

Reading isnt your strength isnt it?

The attractivity of a country to FDI is dependent to many factors as well, the absence of terror attacks, stability is really the most basic requirement kiddo.

Market opportunities, production costs, infrastructure, resources, skill level of the workforce, business environment/attitude, law, economic governance etc etc are also crucial.

No surprise that your economy is in the current state as it is

PS: FDI is crucial for economic success, especially for developing countries.

what does india have besides absence of terrorism that foriegn investments are happening?

 

[Secur]

No Sir. The numbers and the text are taken from that source. It is an animated infographic so I cannot cut and paste it here.

My friend , first of all , I am quite sure that on the matters of expenditure of money and allocation of budgets , our sources can tell us better than any other ones ...

Secondly , the link mentions " yearly expenditures " , not anything about " GDP " and that is something very different from what you are understanding and suggesting

The figure is merely 2.5-3% of GDP but I am not sure ...