Is Pakistan’s economy headed towards sustainable and equitable growth? Ft. Miftah Ismail

[Silverblaze]

Only in Pakistan where doing the right thing leads to loss of votes / public support. This is how Pakistan became a failed near bankrupt state. Because the public vote / support only the policies that are long term destructive for country's economy and finances

Why do we waste our brain cells on this wannabe milton friedman.

PML-N is the only party in recent history that brought about reduction in exports. This mufta should answer this along with the fact as to why his pizza muncher leader didn't even bother to document even 5% of lahore's economy let alone the whole country.

Janab, people get angry but the fact is the Pakistani corrupt elite's model of running economy is - we strategic, give money or we call you bad zionist juice people.

Isn't it scary that our remittances and foreign aid makes up more than 10% of our entire GDP and despite getting deferred oil payments that we received, God knows how many times, they still go to IMF every 3 years on average.

 

[ARMalik]

The same old nonsense being repeated by just another puppet of the corrupt government and Establishment. IK's Riasat -e-Madia is descending into sood khori faster than in the last 70-years. I have lost all respect for him and his handlers sitting in Pindi. The ruling elites are simply screwing the common man and sicking more blood out of them.

I wonder why PMLN, PPP, PMLQ weren't banned in Pakistan after what they deliberately did with country's economy in the election year of 2008, 2013 and 2018? View attachment 812013

You are jumping from one thread to another like a monkey with the same graph. Come on dude, it is becoming too obvious and too embarrassing to what your agenda is. Interesting you have an Israeli flag in your avatar. Fake Riasat-E-Madina slogan will only work for another few months before even more people begin to realise that this fellow IK is the chip of the same old corruption block.

 

[Abid123]

May Allah clean Pakistan from this PMLN/PPP cancer.

 

[Abid123]

The question we need to ask is: Why do Pakistanis not pay tax? Less than 1% of Pakistanis pay tax. The reason why we live on loans is because we dont pay taxes. The day Pakistanis start paying tax we would not need IMF. We would become "economically independent". The goverment revenue would be increased by billions of dollar.

 

[CrazyZ]

Miftah Ismail and most Pakistani financial experts need to understand that the rich always get richer because they invest in wealth producing assets and invest into developing themselves (degrees, courses, books....etc). The poor remain poor because they spend entirely on consumption. This has been been proven all over the world and various times in history.

Same applies at the national level. Countries that invest in their human resources and into wealth producing assets (factories, data centers, productivity enhancing agriculture equipment...etc) will get richer. Countries that focus on import consumption....will remain poor.

To solve this problem Pakistan needs to invest in export industry, domestic energy production and to develop its human resources.

 

[K_Bin_W]

May Allah clean Pakistan from this PMLN/PPP cancer.

AMEEN

 

[Patriot forever]

PPP when took IMF programme stabilised our macros and put Pakistan on the somewhat right trajectory with growing exports, not an overly overvalued currency.

Pakistan economy generally was in a much better position when plmn took office from PPP and left it in shambles.

Hollow rhetoric because everything he did in power ( and the right policies they are opposing even today) pushed us more to IMF and secondly these jokers are exactly doing the same right now as well blocking and abusing major reforms.

II will soon right a comprehensive post with actual numbers and policy initiatives so that gullible people can not be tricked by these charlitans.

SBP was never a ghar ki londi as was in plmn term, from currency to interest rate to money printing. That is the reality.

He is playing on interest rate of 13.5% maybe you should listen to Raza Baqir, the main reason was to control the excess liquidity pushed through sbp printing done by him by taking over SBP. He is criticising that

Listen to purely technical aspects of the discussion filtering out political partisanship (which is already limited in the exchange). It is a very thought-provoking interview. Refreshingly, someone cites solutions.

 

[Patriot forever]

Miftah Ismail and most Pakistani financial experts need to understand that the rich always get richer because they invest in wealth producing assets and invest into developing themselves (degrees, courses, books....etc). The poor remain poor because they spend entirely on consumption. This has been been proven all over the world and various times in history.

Same applies at the national level. Countries that invest in their human resources and into wealth producing assets (factories, data centers, productivity enhancing agriculture equipment...etc) will get richer. Countries that focus on import consumption....will remain poor.

To solve this problem Pakistan needs to invest in export industry, domestic energy production and to develop its human resources.

SME is the backbone for productivity and wealth generation in any economy. They actively destroyed it. Pumping economy by SBP printing increases consumption not productivity or wealth creation. This is why you see the divide because every thing fell flat once the pumping stopped.

The current government took all the necessary steps at the cost of politics to ensure that.

In charlitans ko roundabout pay phansi dena chaye what they did to actively deindustrialize this country, what they did with the power sector, promote import consumption by subsidising it.

He is criticising people like Raza Bakir and Hafeez sheikh, ye chutiye is not worth their shoes in pure academic terms.

The interest rate was increased to 13.5% by Raza Bakir was to mop up the access money supply flooded through SBP printing in this charlitan tenure , we were literally in a freefall on the external side with accelerating pace had the excess liquidity not been removed from the system.

 

[Patriot forever]

He talked about sustainable growth and deliberately slowing down economy ( which I agree is deliberately done by Shaukat tareen and Raza Baqir and is the need of time).

This idiot should be asked about sustainable growth when during his tenure average exports were less than PPP, remittances were stagnant even IT was stagnant. These things are the key to sustainable growth.

He talked about SBP autonomy and says during his tenure SBP was autonomous.

1) Then why the **** was 7 trillion was injected by SBP through government spending when in no way the market was able to handle such money supply. ( Moderating money supply is one of the core reason SBP exists and uses various tools to manage the most promonent is interest rate).

2) Whay was the interest rate kept so low when so much money was pumped into the economy?

3) Why was the currency kept overvalued in the face of rising imports and decreasing exports?

SBP duty is to prevent such things from happening. They appointed their own prostitute as SBP chairman and ran it like a brothel.
Let me link all 3 points mentioned above and explain why SBP was a personal brothel in their tenure ( raw materials, finished goods imports every thing was cheaper to promote consumption)

By injecting liquidity comes increased consumption along with it comes increased inflation. Instead of raising the interest rates to counter that money supply and inflation they did the opposite and kept the interest rates lower to further enhance consumption. To counter that inflation they managed the pkr and flooded the market with subsidised imports.

Some people still question why we were so deep in IMF ***, this is the reason.

 

[Patriot forever]

He talked about sustainable growth and deliberately slowing down economy ( which I agree is deliberately done by Shaukat tareen and Raza Baqir and is the need of time).

This idiot should be asked about sustainable growth when during his tenure average exports were less than PPP, remittances were stagnant even IT was stagnant. These things are the key to sustainable growth.

He talked about SBP autonomy and says during his tenure SBP was autonomous.

1) Then why the **** was 7 trillion was injected by SBP through government spending when in no way the market was able to handle such money supply. ( Moderating money supply is one of the core reason SBP exists and uses various tools to manage the most promonent is interest rate).

2) Whay was the interest rate kept so low when so much money was pumped into the economy?

3) Why was the currency kept overvalued in the face of rising imports and decreasing exports?

SBP duty is to prevent such things from happening. They appointed their own prostitute as SBP chairman and ran it like a brothel.
Let me link all 3 points mentioned above and explain why SBP was a personal brothel in their tenure ( raw materials, finished goods imports every thing was cheaper to promote consumption)

By injecting liquidity comes increased consumption along with it comes increased inflation. Instead of raising the interest rates to counter that money supply and inflation they did the opposite and kept the interest rates lower to further enhance consumption. To counter that inflation they managed the pkr and flooded the market with subsidised imports.

Some people still question why we were so deep in IMF ***, this is the reason.

From the background explained in the above post. Now moving on to what the SBP is current team is doing to fix these issues.


1) Government borrowing through SBP is curtailed.
2) Interest rates were hiked to mop up the excess money supply.
3) Currency was brought back to near its REER value to promote competitiveness of our exports and overcome the stagnation of remittances growth.
4) Introducing schemes like TERF and another one being worked on specially targeting SME to enhance credit availability to promote industrialization/ wealth creation.
5) Better and more efficient regulations on banking industry to make the banking industry adapt to finance productive sectors of our society which needs the credit the most instead of financing government spending sprees ( which carried no risk).
6) Working actively with government to optimise the fiscal spectrum so that the monetary (SBP heavy) and fisical ( Finance ministry heavy) policies work in sync to enable stable and sustainable growth.

The current government in spite of all the policitical hits have supported this because our long term survival demands such tough decisions.

This is the only solution to end the dependance on IMF in the long run.

The video shared below is much more worthy of anyone's time.

Bloomberg - Are you a robot?

 

[Patriot forever]

Just listened to first 15 minutes..

100% agree to his points regarding privatization of total loss organizations like Steel mills, PIA, railways.

Also on his point for massive import bill caused by automobile companies (toyoyta, suzuki etc). These companies should participate in Exporting instead of only importing parts & assembling.

But the real question is... Why they didn't do these actions when they were in power. How come everyone become smart only in opposition. What I understand is that every party give highest priority to its political benefits. They make money with import duties, they facilitiate their investors / industrialists, do not do any brave action which disturbs vote bank like will not privatize Steel mills or PIA because of all political inductions in these all time loss departments etc. Easy to say such stuff in opposition. Real test was when they were in power.

In reality every government owned entity performed much worse in his tenure.

Ontop of that instead of correcting the power sector he completely destroyed it by doing the same things PPP did at a much more destructive scale.

These motherfu**rs ammended the IPP policy and further increased the ROI in the revised 2015 policy.

This government tried to correct that was successful in reaching a deal with the IPP under precious policies but not the 2015 policy due to Chinese involvement.

 

[Patriot forever]

Baten chodn*y ka jahan aur hai and ground realities ka jahan aur.The sooner the nation relalizes the financial terrorism committed by these buch of thieves and the tough decisions that were needed to be taken to get us out of it the better for the survival of this country.

https://twitter.com/x/status/1487495277107949569

 

[Norwegian]

Baten chodn*y ka jahan aur hai and ground realities ka jahan aur.The sooner the nation relalizes the financial terrorism committed by these buch of thieves and the tough decisions that were needed to be taken to get us out of it the better for the survival of this country.

https://twitter.com/x/status/1487495277107949569

What nation? There is no nation. There are just Patwaris, Jiyalas etc

 

[SecularNationalist]

La....Ra mera

 

[Enigma SIG]

Do you think this corrupt Judiciary will ban them not a chance.

Corrupt Judiciary wants no one asking questions.