Musharraf's Coup Revived Pak Economy; Boosted Education, Human Development

[Viper0011.]

#Pakistan’s debt-fueled journey from $6b to over $15b in foreign exchange reserves under #PMLN #Nawazsharif #PTI #PPP Pakistan’s journey from $6b to over $15b - The Express Tribune …

In addition to total disbursements amounting to $4.5 billion from the IMF since 2013, Pakistan has also raised at least $3.5 billion from the international bond market by floating Sukuks and Eurobonds.

In its many reports on the economy, the SBP has made it abundantly clear that it is not particularly fond of the government’s approach to shore up foreign exchange reserves on borrowed funds.

It should be noted that repayments to the Paris Club — following the debt rescheduling of December 2001 – are set to begin in 2016-17 whereas IMF repayments will start from 2017-18. It is against this backdrop that the SBP believes shifting financing away to non-debt creating inflows (i.e. foreign investments) is a must to strengthen the country’s debt servicing capacity in the future.

“A sustainable solution requires narrowing the FX gap with real earnings from exports and/or remittances, rationalisation of imports, and curbing smuggling,” the central bank advised the government in one of its recent reports.

I am not sure if the purpose of your post was just to do propaganda, or there was an actual reasoning behind it.

1) Every modern country or a growing economy had debt. India's debt ratio is far more than Pakistan. I don't see them worrying so much about it and doing the propaganda this much?? While its your right to be worried about your country's debt problem, it is ALSO your responsibility to write things in a non-propaganda, paid press manner, and you have to be unbiased for it. Which I don't think is the case.

2) The Chinese bought US treasury bonds in hundreds of billions as US was trying to raise capital during the financial crises. So issuing bonds are perfectly legal way. If it was that wrong or bad, ask your father or uncles, they wouldn't have invested into it

3) Pakistan's REAL journey, since this government came in, was from $ 11 Million to 20+Billion (till date). So this is a HECK of a progress in three years. You continue at this pace, guess what? You could pay off your debt in the next 6-8 years!!!! Do you STILL want to complain about the debt that would reduce by the day as soon as the economy picks up and the CPEC becomes operational? If your strategy can't look at what's coming, its not a "Strategy", its "Current, Operational Analysis". So may want to rewrite your post, then making it JUST another one of propaganda crazy threads.

4) Pakistan is now in shape to make whatever payments she needs to, and still grow the savings account. Once electricity is produced at the needed capacity, the real growth will start across the country. You have to wait for the electric projects to start.

These guys in the government, are cleaning up the mess of over 70 years and in JUST 5 years. That's a HELL of a progress report. The Chinese didn't invest knowing their hard earned money won't have a return. There is a LOT more strategy going into these things than what you can comprehend. Keep writing, be objective and don't take sides, expand your view point, debate with others and don't write stuff from the crazy cloud, you'll do fine

 

[MEAGAN FOXSS]

MUSHARRAF'S SO CALLED COUP BROUGHT AMERICA AND NATO TO AFGHANISTAN THEY STRAIGHT AWAY STARTED TERRORISM IN PAKISTAN . THIS IS LITTLE IAM SAYING YOU DON'T KNOW THE LEVEL OF MUSHARRAF TRAITORNESS . . . THANKS

 

[RiazHaq]

I am not sure if the purpose of your post was just to do propaganda, or there was an actual reasoning behind it.

1) Every modern country or a growing economy had debt. India's debt ratio is far more than Pakistan. I don't see them worrying so much about it and doing the propaganda this much?? While its your right to be worried about your country's debt problem, it is ALSO your responsibility to write things in a non-propaganda, paid press manner, and you have to be unbiased for it. Which I don't think is the case.

2) The Chinese bought US treasury bonds in hundreds of billions as US was trying to raise capital during the financial crises. So issuing bonds are perfectly legal way. If it was that wrong or bad, ask your father or uncles, they wouldn't have invested into it

3) Pakistan's REAL journey, since this government came in, was from $ 11 Million to 20+Billion (till date). So this is a HECK of a progress in three years. You continue at this pace, guess what? You could pay off your debt in the next 6-8 years!!!! Do you STILL want to complain about the debt that would reduce by the day as soon as the economy picks up and the CPEC becomes operational? If your strategy can't look at what's coming, its not a "Strategy", its "Current, Operational Analysis". So may want to rewrite your post, then making it JUST another one of propaganda crazy threads.

4) Pakistan is now in shape to make whatever payments she needs to, and still grow the savings account. Once electricity is produced at the needed capacity, the real growth will start across the country. You have to wait for the electric projects to start.

These guys in the government, are cleaning up the mess of over 70 years and in JUST 5 years. That's a HELL of a progress report. The Chinese didn't invest knowing their hard earned money won't have a return. There is a LOT more strategy going into these things than what you can comprehend. Keep writing, be objective and don't take sides, expand your view point, debate with others and don't write stuff from the crazy cloud, you'll do fine

It's a question of the amount and source of debt vs investment and savings.

India has much higher savings rate than Pakistan.

Most of India's public debt is domestic, not foreign.

India's mix of foreign inflows is mostly FDI, not loans.

That's the big difference between India and Pakistan.

During Musharraf years, most of Pakistan's foreign inflows came as FDI and export earnings, not debt.

Pakistan savings rate was also higher in Musharraf years.


To understand more, please read: Haq's Musings: Declining Investment Hurting Pakistan Economic Growth

why don't you compare Pakistan "growth" under musharraf to that of VIETNAM?

yes economy grew but compared to its peers the progress was not even near!

how many power plants did he initiate?

and let's not even bring india into the argument @RiazHaq

@That Guy

Comparing #Pakistan economic growth rate (5% 1970-2008, about same as India's) with other nations. Via Washington Post

Why trying to help poor countries might actually hurt them - The Washington Post

Read more at:

Haq's Musings: A Brief History of Pakistani Economy 1947-2010

 

[LeGenD]

And you should know that trying to justify a treasonous coup by a General is always going to fail, no matter how avidly the contorted justifications are conjured up.

Treasonous coup? Who advised Nawaz Sharif (then PM of Pakistan) to give orders to prevent the flight carrying Pervez Musharraf to not to land in Pakistan before the coup event?

If you will threaten the life of COAS of Pakistan, what will you expect in return?

 

[ice_man]

@RiazHaq i asked you to compare Pakistan and vietnman from 1998-2008 and see for yourself.

Economy of Vietnam - Wikipedia, the free encyclopedia

Economy of Bangladesh - Wikipedia, the free encyclopedia

now compare these two with Pakistan under musharraf and comeback then we may discuss

 

[Tameem]

@RiazHaq Your thread title should reflects reality...
COAS Musharraf Immediate total surrender on just one Phone call from US Revived Pak Economy; Boosted Education, Human Development

 

[RiazHaq]

@RiazHaq i asked you to compare Pakistan and vietnman from 1998-2008 and see for yourself.

Economy of Vietnam - Wikipedia, the free encyclopedia

Economy of Bangladesh - Wikipedia, the free encyclopedia

now compare these two with Pakistan under musharraf and comeback then we may discuss

These are false selective comparisons.

Pakistan's performance under Musharraf's rule needs to be compared with Pakistan's performance before and after Musharraf's rule.

Haq's Musings: Musharraf Earned Legitimacy By Good Governance

@RiazHaq Your thread title should reflects reality...
COAS Musharraf Immediate Surrender on just one Phone call from US Revived Pak Economy; Boosted Education, Human Development.

This is just nonsense.

Musharraf did not surrender.

He made a rational calculation of the cost of supporting or opposing US after 911.

And I believe he made the right decision.

If you're serious about exploring the topic, please read the following:

Haq's Musings: What if Musharraf Had Said No to US After 911?

 

[nForce]

wow

@RiazHaq For once at least, I agree with you on this.

 

[ice_man]

These are false selective comparisons.

Pakistan's performance under Musharraf's rule needs to be compared with Pakistan's performance before and after Musharraf's rule.

Haq's Musings: Musharraf Earned Legitimacy By Good Governance



This is just nonsense.

Musharraf did not surrender.

He made a rational calculation of the cost of supporting or opposing US after 911.

And I believe he made the right decision.

If you're serious about exploring the topic, please read the following:

Haq's Musings: What if Musharraf Had Said No to US After 911?

How is it false comparison when Bangladesh and Vietnam were giving average 6% annual growth and Pakistan was not. both had true growth Pakistan's was a false piped dream. no real investment in infrastructure or industries.

how many power projects did mushi initiate it?

as for 9/11 "rational" calculation please tell me before WoT how many TTP or suicide bombs happened in Pakistan.

 

[waleed3601]

General Musharraf's coup was illegal and ended with Pakistan is a worse place than when he started.

read the 3 posts by RiazHaq on page 1 of this thread then reassess your statements with facts not nonsensical rhetoric.

 

[RiazHaq]

How is it false comparison when Bangladesh and Vietnam were giving average 6% annual growth and Pakistan was not. both had true growth Pakistan's was a false piped dream. no real investment in infrastructure or industries.

how many power projects did mushi initiate it?

as for 9/11 "rational" calculation please tell me before WoT how many TTP or suicide bombs happened in Pakistan.

You don't understand basic economics of investment and growth.

GDP growth is heavily dependent on investment and savings in each country.

Pakistan needs investment of 20% of GDP to achieve 5% economic growth, a capital-to-output ratio (COR) of four.

Domestic savings rates in Bangladesh (20%) and Vietnam (30%) are much higher than Pakistan's 10%.

Gross domestic savings (% of GDP) | Data | Table

So Pakistan requires external capital in the form of FDI and debt to make up for lack of domestic savings.


Domestic savings rate was about 18% and foreign direct investment reached $5.2 billion, or 3.5% of Pakistan's GDP. These investments fueled economic growth from 2000-2008. In my view, the activist judges led by former chief justice Iftikhar Mohammad Chaudhry have contributed significantly to the sharp decline in FDI and domestic investments in the country.


Gross Fixed Capital Formation in Pakistan. Source: ADB


Foreign Direct Investment (FDI):

World Bank's data shows that foreign direct investment (FDI) in Pakistan reached a peak of over $5 billion (3.6% of GDP) in 2007 and then fell sharply in the wake of Justice Chaudhry's reversal of the privatization of Pakistan Steel Mills. FDI has essentially dried up and the Pakistan Steel Mills Corporation has accumulated losses over Rs. 100 billion in spite of multiple bailouts at taxpayers expense. It is currently operating at just 3% of capacity and its monthly payroll adds up to Rs. 500 million, according to Dawn.


FDI as % of GDP in Pakistan Source: World Bank


Haq's Musings: Declining Investment Hurting Pakistan Economic Growth

 

[Jaanbaz]

So why did General Musharraf leave? Because the problems created by his dictatorship caught up with him, as they always do. Always.

Because Al-Qaida backed Judiciary allied with N League had more street pwoer then him thus proving most Pakistanis are radicals and if given the opportunity would accept an Taliban style Emirate.

 

[VCheng]

Because Al-Qaida backed Judiciary allied with N League had more street pwoer then him thus proving most Pakistanis are radicals and if given the opportunity would accept an Taliban style Emirate.

That assessment may be scary but not far from the truth these days. All the more reason to attempt to reverse this slow descent into hell..

 

[Jaanbaz]

That assessment may be scary but not far from the truth these days. All the more reason to attempt to reverse this slow descent into hell..

There is no way of reversing the inevitable . Once you're fully in, you can't just convince yourself to pull out that easily.

 

[VCheng]

There is no way of reversing the inevitable . Once you're fully in, you can't just convince yourself to pull out that easily.

Pakistan is not yet fully in the radicalized camp.