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World Bank gives 48-hour ultimatum to Pakistan

WB Loans to India:

India - Uttar Pradesh Sodic Lands Reclamation Project III

IDA - Higher Incomes in India's Karnataka Watershed

Though India brags about its economy it also borrows heavily from World Institutions.

So does China.

World Bank's loans to China total $1.5 bln in 2008 fiscal year_English_Xinhua

So what is the big deal about it.There is nothing to be ashamed about borrowing from WB.

Institutions like WB have bin created to provide financial support to developing countries.
But having said that its a different deal all together if these institutions (WB , IMF , ADB) able dictate their financial policies on recipient govt against the wishes of govt and it ppl.

As happened with India in early 90s.
 
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we are well on the way to helping them SMC, he meant that statement in a good way, dont make this another India bash thread.

Nah, if anything, he seems to be coming across as arrogant. India is really in no condition to talk about suffering of citizens.

---------- Post added at 11:03 PM ---------- Previous post was at 11:02 PM ----------

India or No India..u will have to uplift ur country...Can't fool the citizens all the time about the impending invasion threat from monster INDIA...

Another diversion attempt.
 
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I saw only one Pakistani in the Forbes Billionaire List:

The World's Billionaires Page 16 of 41 - Forbes.com

Tax Reforms need to be introduced. There are at least 20-30 billionaires in Pakistan, but they never declare their assets and stay below the radar, the big guys including the politicians need to pay taxes. But WB dictation is still not needed.
 
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Nah, if anything, he seems to be coming across as arrogant. India is really in no condition to talk about suffering of citizens.

---------- Post added at 11:03 PM ---------- Previous post was at 11:02 PM ----------



Another diversion attempt.

dear am not derailing..u will have to blame yourself not INDIA...(don't feel bad thinking about India's development..its superficial, make believe bollywood,..but u and me have no choice..like beggars.
 
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dear am not derailing..u will have to blame yourself not INDIA...(don't feel bad thinking about India's development..its superficial, make believe bollywood,..but u and me have no choice..like beggars.

Where the hell am I blaming India for anything? Do you even understand my point and what I am talking about or are just speaking out of your ***?
 
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Where the hell am I blaming India for anything? Do you even understand my point and what I am talking about or are just speaking out of your ***?

calm down dear calm down..we r discussing here WB aid given to poor countries that are difficult to repay due to current circumstances
 
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calm down dear calm down..we r discussing here WB aid given to poor countries that are difficult to repay due to current circumstances

Yup, but that wasn't exactly what I posted. Well if you have nothing relevant to say about what I posted then it's a good idea to not say anything instead of making diversions. That's what I hate about so many Indians.
 
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Infact no one has trust on government , Pakistanis all over the world wanted to invest in Pakistan but they dont have trust on government PPP or Nawaz /Choudary or MQM (All are corrupt)

ur whole system is at fault.... milking the GREAT country for selfish power & money..sustained thru mere hatred of INDIA. tell me which act of yours is not INDIA centric ?
U spend thru the roof militarily (reason INDIA)
U have a intell agency (INDIA specific)
U have Nukes (again INDIA)
*
*
*
the list is endless
 
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ur whole system is at fault.... milking the GREAT country for selfish power & money..sustained thru mere hatred of INDIA. tell me which act of yours is not INDIA centric ?
U spend thru the roof militarily (reason INDIA)
U have a intell agency (INDIA specific)
U have Nukes (again INDIA)
*
*
*
the list is endless

In fact our democratic system intrupted by miltery frequently that is reason still bad people are in our government .

We should develop good relation with India , both countries can get benefit from each other.

Few black sheeps are present at both sides but majority of Indians and Pakistanis are friendly in nature.
 
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yes thats highly unlikely, but Pakistan is facing odd from all sides, US pressurizing PA to move in NWZ,WB pressurizing to increase TAX, Pakistan being facing an Indian hostilities along Indo-Pak border and the recent FB hysteria which could provoke millitants to launch a Jihad against America and those who standby it.
So in a worst case scenario that is ,Army being slaughtered in NWZ,US increasing Demands,Drone strikes and Bullcrap Do more Anthem, Public revolting in streets over No electricity and High prices of basic comodities, India exploiting these conditions to suite its interests,Religious fundamentals taking up Arms,Sucide Bombings increasing and the over all destabalizing factors multiply. Than Pakistan might do the unthinkable.
Better for WB and Westren powers, not to Push Pakistan towards that ugly picture.


This is like pakistan pointing a gun to its own head and threatening the world to give more money or otherwise it will shoot itself.

this is only what I can make out of your post.
 
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Infact no one has trust on government , Pakistanis all over the world wanted to invest in Pakistan but they dont have trust on government PPP or Nawaz /Choudary or MQM (All are corrupt)

Trust has to be gained and it shall take time anyways.
It is time that this reality dawn upon the leaders that even if they are sincere, they have to ensure enough transparency to win the trust of the people.

It is not just Pakistanis, even friendliest countries like China cannot invest blindly and need to have assurance of a transparent and consistent mechanism in Pakistan.
Otherwise Chinese investors are pretty much comfortable working in Pakistan.

There is a reason that Musharraf era was much better economically and it was not because of aid, it was because he was more trusted by nation in terms of money matters, the business community trusted him and so did the allied countries.

Musharraf was no genius and made a lot of mistakes and bad choices but he had the advantage of being a dictator which manifested in better decision making on some fronts atleast. He was certainly after power but was not after making money as much as our politicians are, so even he seems like Mahatir Mohammad compared to the current lot.

The current government is focused on legislation but what is the executive part doing in terms of kicking off projects and development of the country?

The current government has failed to generate similar trust in matters related to investment till date.

The fact that the democratic setup is struggling due to interruptions is clear as well and gives them certain grace period to get their act together.
Problem is that it is the third year and we see nothing the government has done, war is being fought by Army which is also doing the rescue work in Hunza, media and government were sleeping on the humanitarian crisis in Hunza.
Media may be forgiven since it is not something they have to do under oath, however the government's ignorance is criminal.
What did it achieve in making Gilgit Baltistan a province?
The test came and it failed to raise awareness and apprise the nation of the problem.
The IDPs and earthquake victims were helped by the generous people of Pakistan and many friends from other countries as well, was it not worth the precious time to do the same in this case?

Of course the democracy is in a teething process and is facing overwhelming challenges in terms of security, but did they not promise a lot of things to the nation?
What was the purpose of moving the nation to the streets over the judicial crisis and getting rid of a dictator if all they can do is whine over the baggage they carried from the previous setup?
What more time is needed for them to deliver a ray of hope...just a ray of hope?
Despite the huge amount of loans we see very few if any steps taken to improve economy in a real sense where its benefit can be felt by the masses.

The amazing level of incompetency and complete lack of transparency regarding the plan to tackle the energy crisis has been one major factor in laying bare the painful truth...as long as incompetent people are appointed ministers, there is no way the government can restore the confidence.

The added frustration is due to the reason that not only there is a crisis prevalent currently on which we see inaction but there seems no coherent mid and long term plan we can see in action and pin our hopes on.

This warning should serve as a wake up call, we have to realize that this money can never sustain us in long term.
We have to become organized and devise a real long term plan to outgrow our economic woes.

Is it impossible?
Of course not...
The reason i say it is that once you do not even formulate a plan you can never take on a complicated problem head on...
We have not even drafted a comprehensive program spanning a decade or two; if we do we can surely defeat our demons.

Everything is tied to economic growth, we have bank on ourselves and do better in the planning and execution of our plans.
 
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This is like pakistan pointing a gun to its own head and threatening the world to give more money or otherwise it will shoot itself.

this is only what I can make out of your post.

Actually it is not at all akin to shooting ourselves, not evaluating our situation on a daily basis would be akin to shooting ourselves.

Pakistan's economy has taken a huge hit due to the simple fact that we helped USA and literally poked our nose in the hornets nest, the gravity of the conflict not only shifted towards Pakistan but the unprecedented bloodbath we faced (not over yet) resulted in an extremely unstable situation whereby the investments literally came to a standstill and businesses have started running in bare survival mode.
We have to take stock of our situation and evaluate how we can overcome this problem, even if it involves compromising on some front or delaying some plans...we have to be practical.

Economy is not isolated from military or strategic plans, if economy is suffering then every country has to revisit their strategy before the problems go beyond the point of no return.

Even if one is fighting a genuine threat, there is a certain cost beyond which one cannot justify the fight as one worth fighting indefinitely.
That is the ground reality.

India did not openly attack Pakistan in this decade despite having a very serious intention and a much stronger military and economy; because the cost to fight and defeat Pakistan would destroy India too...it does not get any simpler than this.
Same applies to Pakistan as well, there is always a cost beyond which one is committing suicide...one has to define that point.

Our military strategy should not be decoupled from the economic impact of sustaining a war indefinitely...if our allies cannot help us in this regards when it is their war as well...then we have to really ask ourselves, what alternate is there for us since this is our backyard and we do not have any option but to face the seeds we sow today, for good or for bad.

Pakistan should not be shy to ask more from its allies, they are not shy to ask for more from us anyways.
 
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Regional Economic Outlook: Poverty can be reduced through VAT: IMF

By Sajid Chaudhry

ISLAMABAD: The value-added tax (VAT) could provide sufficient fiscal space to Pakistan not only to meet internal and external economic shocks but would also enable the country to spend more on poverty reduction and basic necessities like health education.

International Monetary Fund (IMF) Resident Representative Paul Ross based in Islamabad said this in his lecture on Regional Economic Outlook on Middle East and Central Asia at the Planning Commission on Thursday.

Ross said that revenues are badly needed in Pakistan and VAT is an important step to generate badly needed revenues. VAT is a significant step towards self-reliance and reduced dependence on others.

He did not offer any comment on the ongoing tussle between the federal government and Sindh on imposition and collection of VAT on services as well as possible failure of recently started negotiations between the Centre and provinces on VAT enforcement from July 1, 2010. He also declined to offer any comment on what would be the reaction of IMF incase Pakistan fails to enforce VAT on goods and services according to the performance benchmark agreed with IMF.

Explaining Pakistan’s $7.6 billion loan repayment schedule, Ross informed that the country would require repaying the IMF loan in eight installments starting from February 2012 to 2014 based on repayment amount on Special Drawing Rights (SDR).

When asked about the premature end of the IMF loan programme for Pakistan and what would be the repayment schedule, he said that loan repayment would be in accordance with the already issued schedule and no change will be made in this regard.

He, however, mentioned that VAT was proposed by Pakistan and IMF fully supports this proposal as it feels that VAT would also reduce the vulnerabilities of the country and would help reduce reliance on donor countries and multilateral institutions and would enable the country to implement its development agenda for higher economic growth and poverty reduction.

Replying to a question on trend of oil prices in the next fiscal year, he said that IMF has forecast in its recent report that oil prices will remain within $30 per barrel to $180 a barrel during the next five years.

Replying to a question on why the IMF was unable to forecast about the recent economic crisis in the world, Ross explained that IMF saw some of its symptoms but did not voice enough against it as a precaution.

Explaining the impact of Dubai crisis on Pakistan’s banking sector, remittances and labour exports, Ross was of the view that Dubai crisis will have a limited impact on Pakistan’s banking sector. He however, said that Pakistan receives a major portion of remittances from United Arab Emirates (UAE) and there would definitely be an impact on its remittances. Similarly, Pakistan’s labour force constitutes 10 percent of the UAE labour needs and crisis has already forced many companies to lay off their workforce including Pakistani workers. He said that the impact in such areas would be visible in next year.

In his presentation on Regional Economic Outlook on Middle East and Central Asia, he explained that oil importing countries of MENA region were slowly gaining traction, recovering from last years slowdown, trade is rising along with the global recovery and remittances are bolding up well, investment and bank credit to growth, although still muted, are beginning to rise.

Growth is slowly picking up but the government budgets remain under pressure. Financial markets are recovering, but capital inflows remain low. Competitiveness remains the overarching challenge, growth slated to remain slow and unemployment looms large.

Growth figures contained in the Regional Economic Outlook suggest that Pakistan’s real gross domestic product (GDP) growth would be 3 percent in 2010 and 4 percent in 2011, nominal GDP growth would be $178.9 billion in 2010 to $191.1 billion in 2011.

Consumer Price Inflation, year average percentage point would be 11.8 percent in 2010 and 6.3 percent in 2011, broad money growth 14.3 percent in 2010 and 11.8 percent in 2011, central government’s fiscal balance as percentage of GDP minus 4.6 percent of the GDP in 2010 and 3.8 percent in 2011, central government’s total revenues excluding grants as percentage of GDP would be 14.4 percent of GDP in 2010 and 15.1 percent of GDP in 2011, central governments total expenditures and net lending as percentage of GDP would be 19.5 percent of GDP in 2010 and 19.3 percent of GDP in 2011, total government debt as percentage of GDP would be 56.4 percent of GDP in 2010 and 55.3 percent in 2011, exports of goods and services to be $23.6 billion in 2010 and $23.9 billion in 2011, import of goods and services would be $38.8 billion in 2010 and $40.9 billion 2011, current account balance would be $6.7 billion in 2010 and $7.7 billion in 2011, current account balance as percentage of GDP would be 3.8 percent of GDP in 2010 and 4 percent of GDP in 2011, gross official reserves would be $14.7 billion in 2010 and $17.8 billion in 2011, total gross external debt as percentage of GDP would be 31.8 percent of GDP in 2010 and 33.5 percent in 2011, capital advocacy ratio as percentage of risk weighted assets would be 12.1 percent in 2008 and 13.5 percent in 2009, return on assets would be 1.2 percent in 2008 and 1.3 percent in 2009, non-performing loans as percentage of total loans 7.7 percent in 2008 and 11.5 percent in 2009.

http://www.dailytimes.com.pk/default.asp?page=2010%5C05%5C28%5Cstory_28-5-2010_pg5_6
 
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Actually it is not at all akin to shooting ourselves, not evaluating our situation on a daily basis would be akin to shooting ourselves.

Pakistan's economy has taken a huge hit due to the simple fact that we helped USA and literally poked our nose in the hornets nest, the gravity of the conflict not only shifted towards Pakistan but the unprecedented bloodbath we faced (not over yet) resulted in an extremely unstable situation whereby the investments literally came to a standstill and businesses have started running in bare survival mode.
We have to take stock of our situation and evaluate how we can overcome this problem, even if it involves compromising on some front or delaying some plans...we have to be practical.

Economy is not isolated from military or strategic plans, if economy is suffering then every country has to revisit their strategy before the problems go beyond the point of no return.

Even if one is fighting a genuine threat, there is a certain cost beyond which one cannot justify the fight as one worth fighting indefinitely.
That is the ground reality.

India did not openly attack Pakistan in this decade despite having a very serious intention and a much stronger military and economy; because the cost to fight and defeat Pakistan would destroy India too...it does not get any simpler than this.
Same applies to Pakistan as well, there is always a cost beyond which one is committing suicide...one has to define that point.

Our military strategy should not be decoupled from the economic impact of sustaining a war indefinitely...if our allies cannot help us in this regards when it is their war as well...then we have to really ask ourselves, what alternate is there for us since this is our backyard and we do not have any option but to face the seeds we sow today, for good or for bad.

Pakistan should not be shy to ask more from its allies, they are not shy to ask for more from us anyways.

No..it would not destroy India..Certainly it would damage its economy..

India simply did not do a military strike because..if India ever did a military strike your whole country would get united and you would not be facing all these bombings and fighting an internal war..

but this is not about India...so plz do not bring India into this.
 
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