Non Aligned Movement (NAM)

[Krptonite]

US Dollar is losing its position World wide

Theres no statistical data that would indicate that. Nothing beyond news articles.

We will have the option to trade in Dollars, RNB or Euro or Roubles or Gold or Oil

How will you obtain gold or oil, Pakistan has no reserves or mineral deposits of any of them.

For dollars you would need to sell something in exchange for dollars, going against your assertion to move away from western markets. The same for euro.

To obtain RNB, you would need to sell something to the Chinese. You could then use those to purchase what you need from the Chinese market. Does Pakistan posses enough assets for exports to balance her imports. And in the case the chinese market cannot satisfy her needs ehich other markets accept the RNB.

You see the problem ?

Maybe we can open up trade with India and do land trade with Russia through the new North South Corridor.

Thats would in the short term be disastrous for the pakistani Industry in the short term. Cheaper Indian products would flood the market as the Chinese currently do and your local industry would need government protection.

In the longer term it would be immensely beneficial as it would allow GoP to effectively utilise its geographical position for economic gain.

 

[R2D2]

Theres no statistical data that would indicate that. Nothing beyond news articles.


How will you obtain gold or oil, Pakistan has no reserves or mineral deposits of any of them.

For dollars you would need to sell something in exchange for dollars, going against your assertion to move away from western markets. The same for euro.

To obtain RNB, you would need to sell something to the Chinese. You could then use those to purchase what you need from the Chinese market. Does Pakistan posses enough assets for exports to balance her imports. And in the case the chinese market cannot satisfy her needs ehich other markets accept the RNB.

You see the problem ?



Thats would in the short term be disastrous for the pakistani Industry in the short term. Cheaper Indian products would flood the market as the Chinese currently do and your local industry would need government protection.

In the longer term it would be immensely beneficial as it would allow GoP to effectively utilise its geographical position for economic gain.

We should be able to get Gold and Oil in return for our exports. We can get dollars in return for export to other markets also. The World economic situation is changing fast in favour of RNB. I suppose we can get dollars by selling RNB if we need them that much.

 

[ziaulislam]

The World has moved from a Uni-Polar to a Multi-Polar system. In this scenario, Pakistan has become a Tug of War match between USA and China. It is reported that PTI govt. stalled the CPEC projects at the behest of America.

Saudi Arabia recently made an agreement with Iran under Chinese brokering for re-establishing diplomatic ties. Saudi Arabia is also importing Diesel from Russia. Russia and China are doing their trade in Chinese Currency. Russia also made a deal with Brazil to replace trade in Dollars to another suitable currency. India is a US ally and still imports oil from Russia.

"According to reports quoting Russian lawmaker Alexander Babakov, the BRICS nations are in the process of creating a new medium for payments - established on a strategy that "does not defend the dollar or euro". He reportedly indicated that the new currency would be secured by gold and other commodities such as rare-earth elements."

Imran Khan made an abrupt visit to Russia on the day of Ukraine invasion which made Pakistan a target for the West. Zulfiqar Ali Bhutto also tried to switch from the Western Alliance to the Soviet Bloc but he was punished for it.

Pakistan is a small and now weakened player in international politics. It is suggested that Pakistan should not play an active role in taking sides so that it does not become a target. Instead, it should become active in the Non Aligned Movement (NAM) and keep trading ties with all the blocs. NAM was active in USA-USSR competition as an alternative forum for third world counties.

Additionally, Pakistan should focus on trade with Afghanistan and Iran by abolishing Customs Duties.

HOME | NAM PN

www.nam-pn.org

PTI stalled the project because it had no money and books didn't make sense..
And you see that now when country is bankrupted
Biggest bone of contention was ML 1 and some hydro powers (in favor of dams and WB projects)

ML 1 looks pretty expensive for a line update project especially when route is already there

Asian bank was leading the proj3ct & their estimate was 4.6b$

 

[Krptonite]

The World economic situation is changing fast in favour of RNB.

There's no data to suggest that.

We can get dollars in return for export to other markets also.

That would be contrary to your assertions for moving away from the western markets, infact it would require to you export more to them.

We should be able to get Gold and Oil in return for our exports.

It would be extremely inefficient to trade commodities for gold and oil. The sellers for gold and oil should be willing to accept the x amount of commodities from pakistan in exchange for them, A barter system if you will, governments usually hold commodities for collateral not as currency for exchange. Money was invented to surpass such a system as it is very primitive and outdated and the US dollar is the most utilised currency to carry out global trade, so it is economically prudent for a country to sell to the US as much as it can because then it can effectively utilise a currency that is accepted globally.

Its about other countries, if slowly rnb is also accepted as a medium of exchange in global trade then naturally economies will start shifting their export destinations, but currently and for the foreseable future that would be a remote possibility.

 

[R2D2]

There's no data to suggest that.


That would be contrary to your assertions for moving away from the western markets, infact it would require to you export more to them.


It would be extremely inefficient to trade commodities for gold and oil. The sellers for gold and oil should be willing to accept the x amount of commodities from pakistan in exchange for them, A barter system if you will, governments usually hold commodities for collateral not as currency for exchange. Money was invented to surpass such a system as it is very primitive and outdated and the US dollar is the most utilised currency to carry out global trade, so it is economically prudent for a country to sell to the US as much as it can because then it can effectively utilise a currency that is accepted globally.

Its about other countries, if slowly rnb is also accepted as a medium of exchange in global trade then naturally economies will start shifting their export destinations, but currently and for the foreseable future that would be a remote possibility.

You are pleading on America's behalf for no reason. Pakistan and other countries need to get out of American dominance comprising of many tenacles. If India wants to be an American policeman in Asia, it is its own choice. NAM's founding fathers included Indians who wanted to chart an independent path and not to get mired in great powered competition. Maybe that means slow GDP growth but it is worth the price. Maybe the bird will fly higher once it gets out of the cage.

 

[Krptonite]

You are pleading on America's behalf for no reason. Pakistan and other countries need to get out of American dominance comprising of many tenacles. If India wants to be an American policeman in Asia, it is its own choice. NAM's founding fathers included Indians who wanted to chart an independent path and not to get mired in great powered competition. Maybe that means slow GDP growth but it is worth the price. Maybe the bird will fly higher once it gets out of the cage.

Im not pleading on behalf of anyone, simply stating what is and postulating on what you're trying to assert. Change on the scale of what you're talking about requires political and social heft on the global stage that is currently unmatched by anyone except the western world.

Nation states act in self interest rather than emotions, and the current reality is such that trade is dominated by USD.

Understanding the problem is the first step to trying to affect change on it.

 

[nahtanbob]

PTI stalled the project because it had no money and books didn't make sense..
And you see that now when country is bankrupted
Biggest bone of contention was ML 1 and some hydro powers (in favor of dams and WB projects)

ML 1 looks pretty expensive for a line update project especially when route is already there

Asian bank was leading the proj3ct & their estimate was 4.6b$

No wonder Imran Khan cancelled CPEC projects

ML-I cost may be raised to $10b | The Express Tribune

Railways ministry proposes to increase cost of CPEC railway project by $3 billion

tribune.com.pk

CPEC’s strategic ML-1 project gets final nod | The Express Tribune

Ecnec approval paves way for loan negotiations with China

tribune.com.pk

We should be able to get Gold and Oil in return for our exports. We can get dollars in return for export to other markets also. The World economic situation is changing fast in favour of RNB. I suppose we can get dollars by selling RNB if we need them that much.

barter system will slow your economy in ways you won't appreciate

USD or RNB does not matter as long as there is a reserve currency or basket of reserve currencies. the real question is what can I do with my excess RNB. Can I purchase Chinese liquid or illiquid assets ?

 

[ziaulislam]

No wonder Imran Khan cancelled CPEC projects

ML-I cost may be raised to $10b | The Express Tribune

Railways ministry proposes to increase cost of CPEC railway project by $3 billion

tribune.com.pk

CPEC’s strategic ML-1 project gets final nod | The Express Tribune

Ecnec approval paves way for loan negotiations with China

tribune.com.pk

barter system will slow your economy in ways you won't appreciate

USD or RNB does not matter as long as there is a reserve currency or basket of reserve currencies. the real question is what can I do with my excess RNB. Can I purchase Chinese liquid or illiquid assets ?

Not cancelled he wanted better concessions and built phase wise

 

[nahtanbob]

Not cancelled he wanted better concessions and built phase wise

$10 billion for $4.6 billion project