Economics An Aunt Sally
It is difficult to decipher the situation of the economy in Pakistan that who is playing and who the victim of this game is. Either our economy is playing with us or we are playing with our economy. The law and order situation has much influence on the stumbling economy. Sometimes foreign relations and sometimes the internal factors do not allow the economy to rise and to compete with the world. CPEC could be our game changer but due to political instability and the game of rights made it controversial. Our role was pathetic as we were not taking it as a national project but it was taken as a project of the specific area.
Loans are taken to balance but the burden of loans with usury even distracted our right path of utilizing our own resources. The loans are taken from different international banks e.g. Asian Development Bank, The Chinese bank, World Bank [IMF] etc. and now the governments have to pay back with heavy interests.
We have some serious social issues which are also a hindrance in developing e.g. when the election season arrives after 5 years(mainly) then the gulping government take heavy loans to complete the remaining projects as a sign of their successful period of ruling and then the overhauling government has to pay them and then the onus swells.
Imports and exports intuit the order of economics. From defunct to an extent, the melancholy condition is seen in reviving in exports and dwindle in imports.
From April of 1959 to January of 2018, the imports increased from 96PKR million (lowest of all times) to 618979PKR million (the highest of all times). In dollars, the vast gap is seen in imports and exports. According to recent reports, the exports declined from 25 billion dollars to 20.4billion dollars. This is the result of shoddy management and policies which resulted not only in the financial banalization of a nation and its plinth.
This storm strikes each and every sector and our gems have nothing to feed the nation. Our stock exchange was leading in last 2 years in Asia as we controlled the terror of terrorism and for investors, it was a haven for investment and then the political scenario damaged the roots and unyoke the chains of unity. It had a worse impact on the trust of investors. In May of 2017, the Pakistan stock market (KSE100) reached an all-time of high 52876.46 and it was expected that it will cross the psychological limit but the unfavorable conditions declined it to 45664 in starting of May 2018.
If one government try to improve then the opposition cries as they don’t want to see the government grooming and they used to divert their focus from their main work and fight of politics start and ultimately it leads to detraction from achieving goals. The public does not consider it as its matter but the reality is that all the matters are dependent on the public. The policies made by politicians or bureaucrat are in their own favor not in the favor of the local person.
The main thing is to open our mind’s eye and use of conscience as a decision power. Still, we have much potential to raise our status in the line of leading nations. We have to cultivate our own land then trusting others products.