Asad Umar's Exit: Causes and Effects on Pakistan Economy

[RiazHaq]

http://www.riazhaq.com/2019/04/asad-umars-exit-causes-and-effects-on.html

Who removed Pakistan Finance Minister Asad Umar and why? What was expected of him? Did he fail to deliver it? What are the qualifications of Dr. Hafeez Shaikh who has been picked to replace Asad Umar? Is he better suited to deliver a deal with IMF and other international financial institutions?


Pakistan's Current Account Deficit. Source: Trading Economics

What are Pakistan's biggest economic issues now? Budget deficits? Trade deficits? Current account imbalances? Lack of exports? Lack of domestic savings and investments? Low FDI? What must the new economic team do to address short term and long term problems with Pakistan's economy that are forcing the nation to seek 13th IMF bailout in last 40 years?


Pakistan's External Debt. Source: Wall Street Journal


ALKS host Faraz Darvesh discusses these questions with Misbah Azam and Riaz Haq (www.riazhaq.com)

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http://www.riazhaq.com/2019/04/asad-umars-exit-causes-and-effects-on.html

 

[Clutch]

It will be just a temporary effect.... It isn't like Pakistan is going to suffers forever because Asad Umar is gone...

 

[jupiter2007]

Dr. Hafeez Shaikh wasn’t able to fix the economy during Zardari Government. Do you think he can fix it now? He can only patch it like he did before.

In order to have a sustainable economy, finance minister must think outside the box. He must look for longer term solution without cutting corners. Asad Umar was trying to do that, public may had to suffer a little but he was trying save pakistan from economic collapse and humiliation and create sustainable economy so we don’t have to go back to IMF again.

Will loanshark every encourage you to payoff the debt? Hell no, he will continue to make money as long as debt is there and you will continue pay the interest on the loan. Dr. Hafeez Shaikh Is IMF man and he will make sure that we won’t be able to pay off the debt.

 

[Murgah]

ik made a biggest mistake by removing asad umer

 

[Samlee]

This Was The Most Horrible Decision Of IK As Yet.

Pakistan's C/A Deficit Decreased By Almost 30%.This Goes To Show His Policies Were Working

 

[maithil]

Najam Sethi had dropped a hint about this in his program. Reportedly he was hesitant in signing supplementary grants to the boys just before the budget. If he had given extra money, Deficit would have soared higher. Proved to be his undoing.

 

[SIPRA]

I fail to understand, why people are over-hyping the exit of Asad Umer? Pakistan is in a great economic mess, created during the last 10 years, and it will remain in it, for quite sometime, whether Asad Umer or somebody else, is there.

Pakistan's biggest economic crime, in my view, is that it has a huge source of natural energy, in form of hydro-power, which it has wasted, for decades. Still not very serious to use it. Had only this source been harnessed; Pakistan would not have been facing these hardships. It is just like, as if a country has oil reserves, and it fails to utilize it. Such a country is bound to doom.

 

[khail007]

IMO what was done in last 10 years, the economic condition of Pakistan will not improve. Either there is Asad or Hafeez does not make the difference.
PPP was very critical to Asad Umer as his policies started to show the minor signs of improvement. Now they will not utter a word against Hafeez.
Asad Umer removal/resign was just to cap his policies which could lead to some positive effects on the economy of Pakistan.
The below link could provide the food for thought:

 

[Fawadqasim1]

we need to grow some spine and start extracting our oil and gold there is no other way.

 

[tkmd]

This decision was not one made by IK. It was made by the puppet Masters in GHQ. That's why IKs govt was clueless about his removal and multiple Minister's were denying his removal up to the night before he was removed.

A finance Minister won't fix Pakistan. A Prime Minister with a strong honorable and united party behind them could .It would require putting military in it's place and national sacrifice for some time .It would require the average Pakistani to want to work in a factory or mine or in a field. But vast majority of our brethren want some admin job or a handout .

Hence I don't see a national will or political class with the honor and discipline to make Pakistan what it was envisioned as .