Since the PTI has come into power we are hearing three main issues i.e. corruption, tax issue, trade deficit, and debt crisis.
Although we all know the basic socio-economic problems Pakistan is facing since independence. The PTI was the only government which at the beginning was looking, solution providers. Since coming into office, the PM Imran Khan has realized that describing solution is easy but implementation needs dire research work and courage.
The complex economic conditions and complex economic policies are not easy to unwind. In the current fiscal year 2018-19, the government has taken a record-high foreign loan which touches at $16billion in total.
Out of $16 billion, $13.6 billion was solely taken by the PTI government. $2.4 billion was taken by the caretaker government under Shahid Khakan Abbasi. $5.5 billion was awarded by Qatar, Saudia Arabis and the United Arab Emirates. $6.7 billion was external borrowing from China.
In the beginning, Pakistan has not shown the external borrowing from China but the international pressure from IMF and WB has shown these loans in total external debt figures.
The point here is that how long Pakistan can survive under debt crisis. The recent relief from the FATF blacklist has proved some space to breathe. But this is short term relief as the FATF has extended its period for Pakistan to settle its accounts.
The PTI internal policies to generate revenues from Tax Collection, Anti-Corruption measures, Tourism, Small business schemes, and policies in agriculture and trade seem insufficient to cater to national socio-economic problems and external debt crisis.
What do you think policies can bring positive change in the above-given scenario?