Ministry stresses on production led growth

[AZ1]

Means don't care about import bill or CAD, just show the growth.

look whose talking lol $18 billion cad bhol gaye kia nawaz ko

 

[ziaulislam]

look whose talking lol $18 billion cad bhol gaye kia nawaz ko

First 8 month was 16b$ last 4 months under PTI was 2b$..
But CAD was all good before
Now even THE EARLIEST SIGNS of CAD is bad

Surprisngly how perception changes

Weird thing is that CAD isnt new PMLN did it THREE TIMES yet noone ever discussed this before ..(and they will do it the fourth time in 2028)

 

[Norwegian]

First 8 month was 16b$ last 4 months under PTI was 2b$..
But CAD was all good before
Now even THE EARLIEST SIGNS of CAD is bad

Surprisngly how perception changes

Weird thing is that CAD isnt new PMLN did it THREE TIMES yet noone ever discussed this before ..(and they will do it the fourth time in 2028)

Perception didn't change. Only govt did. And media is in the pockets of Noon Mafia.

 

[Pak Nationalist]

PTI did best in 3 years. It was in Pakistan interested. Since April 2021, PTI just want to lose election and they are making sure that they lose election by just selecting tarin.

I not a party but 3 years PTI did best for Pakistan but since i do not know what happend in April but everything inside has changed and doing worse than PMLN did to Pakistan Finance.

It wasn't best or worst. The macroeconomic stabilization program of the IMF dictates the same regime every time. The external sector imbalances were always going to rear their ugly heads due to the Pakistani economy's inherent structure, which is hooked up to consumption to grow. An economy that produces little exportable surpluses at home and what little it produces in the name of surplus relies heavily on imported inputs. Any semblance of growth would swell the import bill. Once that starts, growth is swamped due to the emergence of external sector imbalance, where imports rise much quicker than the increment in exports.

Until import substitution and export promotion do not take primacy, cheap and widespread provision of credit to small and medium enterprises does occur so these achieve scale to produce exportable surpluses and substitute imports, Pakistan will keep sinking deeper and deeper into the quicksand. After each boom and bust cycle, we take more and more debt to stay afloat and are now trapped in a vicious debt cycle where the debt servicing is eating up the development budgets.

Another essential thing to realize here is that import substitution and export promotion require medium-long term policies that give fruits in the medium term (10 years or so). This requires political stability in our political context. We need a single government to win 2-3 elections straight to put Pakistan on the path to sustainable growth, OR there needs to be a broad-based consensus on how the economy would be run via a charter of the economy or a national government. The impulse to win the next election would ALWAYS result in 3 years of macroeconomic stabilization and then undoing the sacrifices via belt-tightening of the first three years in the next two years by pumping growth which then does what I have explained above because the structural issues stand unaddressed and the nature of economy unaltered.

 

[ziaulislam]

It wasn't best or worst. The macroeconomic stabilization program of the IMF dictates the same regime every time. The external sector imbalances were always going to rear their ugly heads up due to the Pakistani economy's inherent structure, which is hooked up to consumption to grow. An economy that produces slight exportable surpluses at home and what little it produces in the name of surplus relies heavily on imported inputs. Any semblance of growth would swell the import bill. Once that starts, growth is swamped due to the emergence of external sector imbalance, where imports rise much quicker than the increment in exports.

Until import substitution and export promotion do not take primacy, cheap and widespread provision of credit to small and medium enterprises does occur so these achieve scale to produce exportable surpluses and substitute imports, Pakistan will keep sinking deeper and deeper into the quicksand. After each boom and bust cycle, we take more and more debt to stay afloat and are now trapped in a vicious debt cycle where the debt servicing is eating up the development budgets. Another essential thing to realize here is that import substitution and export promotion require medium-long term policies that give fruits in the medium term (10 years or so). This requires political stability in our political context. We need a single government to win 2-3 elections straight to put Pakistan on the path to sustainable growth, OR there needs to be a broad-based consensus on how the economy would be run via a charter of the economy or a national government. The impulse to win the next election would ALWAYS result in 3 years of macroeconomic stabilization and then undoing the sacrifices via belt-tightening of the first three years in the next two years by pumping growth which then does what I have explained above because the structural issues stand unaddressed and the nature of economy unaltered.

Dont blame IMF
Blame middle class who wont everything subsidized just like people in lebanon

Pakistani act like children and refuse to take reponsibility

Today majority support PMLN YET BLame IMF in same breath


IMF JOB IS SIMPLE..LEND YOU MONEY WHEN NOONE ELSE WOULD WANT TO ...BUT TRY THEIR BEST TO GET ALL THEIR MONEY BACK LATER

IMF IS NOT A CHARITY ITS A REVOLVING FUND..!!!

It cannt hand over charities

 

[Pak Nationalist]

Dont blame IMF
Blame middle class who wont everything subsidized just like people in lebanon

Pakistani act like children and refuse to take reponsibility

Today majority support PMLN YET BLame IMF in same breath


IMF JOB IS SIMPLE..LEND YOU MONEY WHEN NOONE ELSE WOULD WANT TO BUT TRY THEIR BEST TO GET ALL THEIR MONEY BACK LATER

IMF IS NOT A CHARITY ITS A REVOLVING FUND..!!!

Reread my comment. A wrong conclusion is drawn from it. It was a critique of the structure of our economy, which is addicted to consumption due to a highly narrow production base. I have no beef with the IMF, a lending agency that has to ensure its money is returned to it at the end of the day. In fact, what that individual called "good performance" of PTI was just PTI following the IMF's prescription, which remains unchanged when countries in BoP crises ask it for bailouts. It has to stabilize the economy by clamping down on demand.

 

[ziaulislam]

Reread my comment. A wrong conclusion is drawn from it. It was a critique of the structure of our economy, which is addicted to consumption due to a highly narrow production base. I have no beef with the IMF, a lending agency that has to ensure its money is returned to it at the end of the day. In fact, what that individual called "good performance" of PTI was just PTI following the IMF's prescription, which remains unchanged when countries in BoP crises ask it for bailouts. It has to stabilize the economy by clamping down on demand.

And this is the fault of our middle class asking for hands out

 

[Pak Nationalist]

And this is the fault of our middle class asking for hands out

The fault of the political economy (business elites seeking rents/subsidies and not becoming competitive by driving innovation, speculation (non-wealth creating investment in real estate, etc) being rewarded, real wealth-creating manufacturing-led investment made risky by frequent policy changes, lack of the rule of law, corruption), and political system. 5-year electoral cycles. More on this here:

//Another essential thing to realize here is that import substitution and export promotion require medium-long term policies that give fruits in the medium term (10 years or so). This requires political stability in our political context. We need a single government to win 2-3 elections straight to put Pakistan on the path to sustainable growth, OR there needs to be a broad-based consensus on how the economy would be run via a charter of the economy or a national government. The impulse to win the next election would ALWAYS result in 3 years of macroeconomic stabilization to stabilize the economy after the last artificially engineered boom cycle that had bust around the time elections were called and then undoing the sacrifices via belt-tightening of the first three years in the next two years by pumping growth which then does what I have explained above because the structural issues stand unaddressed and the nature of economy unaltered.//

 

[Sal12]

Tareen needs to go. Even significantly higher imports with massively depreciation of PKR, the GDP growth will be around 4% next year which was same as previous year when imports were controlled and PKR was bit strong around 152 then what is the benefit of mindless imports and devaluation of PKR. Bring back Abdul Hafiz Shekih.

 

[HammerHead081]

Tareen is an incompetent finance minister, he should be removed but from what i am hearing... he is being appointed permanently.

 

[hydrabadi_arab]

First 8 month was 16b$ last 4 months under PTI was 2b$..
But CAD was all good before
Now even THE EARLIEST SIGNS of CAD is bad

Surprisngly how perception changes

Weird thing is that CAD isnt new PMLN did it THREE TIMES yet noone ever discussed this before ..(and they will do it the fourth time in 2028)

Because there is awareness now after debacle of Dollar Dar era. If PTI want to leave Pakistan even worse off in 2023 then continue with current policy. This time growth may even reach 8% for a year thanks to increase of $10b in remittances. Just like stupid N leaguis dance around growth of 5.5% in 2017-2018.

 

[S.Y.A]

Blame middle class who wont everything subsidized just like people in lebanon

Pakistani act like children and refuse to take reponsibility

no, blame the govts that didnt do anything properly. including pti. its easy to criticize Pakistanis when you are sitting abroad.

 

[ziaulislam]

no, blame the govts that didnt do anything properly. including pti. its easy to criticize Pakistanis when you are sitting abroad.

I was sitting in pakistan for 30years
I dont feel any difference apart from realizing how corruption is accepted and not even frowned upon
The more corrupt a person is the more he is idealized
Hence we have statements like khata hey tu lagata be hey..corruption per hamara be haq hey..degree degree hutee hey aslai hu ya jalai


When you reward corruption then its not the fault of a person who does corruption

This is also not an education problwm..well bread Phds support it
Hell majority doesnt even believe taking money or kick backs is corruption

 

[S.Y.A]

I was sitting in pakistan for 30years
I dont feel any difference apart from realizing how corruption is accepted and not even frowned upon
The more corrupt a person is the more he is idealized
Hence we have statements like khata hey tu lagata be hey..corruption per hamara be haq hey..degree degree hutee hey aslai hu ya jalai


When you reward corruption then its not the fault of a person who does corruption

This is also not an education problwm..well bread Phds support it
Hell majority doesnt even believe taking money or kick backs is corruption

then its the upbringing of those particular individuals.

 

[Aneeq Rashid]

First of Rome wasn't build in a day nor it was destroyed in a day. Fixing pakistan as country is a long process. Pakistanis should prepare to work hard and live as they are doing now for next decade. Pakistan need this govt to stay for atleast a decade. Bangladesh, China, India and Asean country all were where Pakistan is today. They all did what this government is doing right now which is increasing export and reducing import by import substitution, increasing remittances by sending as much people outside of the country as possible. Increase tourism which is impossible right now due to covid but they can have everything else ready i.e continue developing the sites, work on changing travel advisories and promotion. And continue to attract investment and reduce capital flight.