No Debt burden on Pakistan. Pakistani debt the most soft in the world.

[ziaulislam]

First of all debt is not good just keep thing straight ...

Secondly India's debt is higher but their income from foreign sources is also higher so they can pay the installments but with increasing trade deficit we are unable to pay the installments ...

We cannot make correction unless we recognize the problem ... debt is problem for us lets recognize it first ...

Best way to look at us gdp to debt ratio (how much u own)and debt servicing ratio(how much u pay)

 

[The Accountant]

Best way to look at us gdp to debt ratio (how much u own)and debt servicing ratio(how much u pay)

No brother ... Debt to gdp is half of the picture but your external loans are in dollars ... Lets assume there is no exports and you have just 1 billion dollar loan ... How will you pay it ? Irrespective the debt to gdp ratio you cannot pay it as rupee is worthless for international payments ... If you all export proceeds will be utilized in debt repayments how will you pay for imports?

Who cares?

Morons like patwaris dont as they are the one who are beneficiary of it ...

 

[ziaulislam]

No brother ... Debt to gdp is half of the picture but your external loans are in dollars ... Lets assume there is no exports and you have just 1 billion dollar loan ... How will you pay it ? Irrespective the debt to gdp ratio you cannot pay it as rupee is worthless for international payments ... If you all export proceeds will be utilized in debt repayments how will you pay for imports?


Morons like patwaris dont as they are the one who are beneficiary of it ...

Well the issue there is CAD
Let say u have no loans at all...CAD can still make problems
International debt is small amount of your actual debt

 

[Kamikaze Pilot]

Every day 2 to 3 multinational companies are stepping into Pakistan.

Is it hyperbole?

 

[The Accountant]

Well the issue there is CAD
Let say u have no loans at all...CAD can still make problems
International debt is small amount of your actual debt

Exactly thats why we are in debt trap ...

Thats totally baseless ... Our external liabilities are well above 80 billion dollars which is huge for 300 billion dollars economy ...

 

[Indus Pakistan]

These are multinational companies and the brand concept in Pakistan is just a story of recent days. Plus Pakistan went through US sanctions which made things bad for us.

Perhaps you can enlighten more but my feeling is most of Pakistanb economy is not in hands of real businessmen. Instead we have a trading class that relies on politics to make money. This involves of creating restricted markets [by import controls by the state] and then the monopoly is gifted [via import licences] out to those who are connected or bribe the politicians. This sort of businesss environment encourages rentier types who just use the import licences to team up with global brands to import their products under the guise of "local industry" when in fact they are just a glorified assembly outfit. It's like when I buy IKEA furniture which comes in boxes and I have to assemble it at home - I can't claim that I have manufactured the furniture.

Then there is the other racket. The export monopoly. They just export raw materials abroad without even adding a rupee value to it. Cotton, rice, etc is just exported raw. The only thing that covers up this 'mafia' economy is that we have millions of poor ex-pats who send dollars at remittances which help to sort of even the books.

What is your take on my thoughts?

 

[BHarwana]

Perhaps you can enlighten more but my feeling is most of Pakistanb economy is not in hands of real businessmen. Instead we have a trading class that relies on politics to make money. This involves of creating restricted markets [by import controls by the state] and then the monopoly is gifted [via import licences] out to those who are connected or bribe the politicians. This sort of businesss environment encourages rentier types who just use the import licences to team up with global brands to import their products under the guise of "local industry" when in fact they are just a glorified assembly outfit. It's like when I buy IKEA furniture which comes in boxes and I have to assemble it at home - I can't claim that I have manufactured the furniture.

Then there is the other racket. The export monopoly. They just export raw materials abroad without even adding a rupee value to it. Cotton, rice, etc is just exported raw. The only thing that covers up this 'mafia' economy is that we have millions of poor ex-pats who send dollars at remittances which help to sort of even the books.

What is your take on my thoughts?

Thank you for bringing up this.
Yes we should move beyond exporting raw materials. I read your post other day where you posted about buying a bag of Pakistani rice and I want to say I appreciated it very much and we need to have more people like you who prefer their shopping based on the betterment of Pakistan rather than taste. This culture needs to grow.
Over sea Pakistani are doing a great deal for the betterment of the country and people need to appreciate it, although ignorance is very high in our society and usually people become jealous of their relatives who got a chance to exit the country and make good earning for them selves and their country back home. This needs to be changed many Over sea Pakistanis are scammed by their relatives back home just because they are earning more than them.

One more thing I would like to add the Over sea Pakistanis need to do one more favor they live in those countries which can help boost Pakistan's economy and they need to start developing a more economic mind not just send remittances back but rather start helping their country in more ways like exploring the markets abroad and convey data and laws back home to increase exports to those countries help in providing details on packaging and product standards and help make business easy for people back home. We will all need to work as a joint body. There are many Over sea Pakistanis here but I never saw any post where those people explained on how to excess foreign markets, we all need to work as one body and reduce cost for each other and take each other to progress. We have to hold to unity faith and discipline, we need each other.