Pakistan is currently facing political chaos along with inflation and economic challenges while the facts are pointing out that the government will have to deal with more economic problems in the coming days.
After a survey at the beginning of this year, it was reported that the unemployment rate across Pakistan was 6.3 percent, which has now exceeded seven percent due to the closure of industries. The data also shows that Pakistan's GDP has gone from five point seven percent to negative one percent. According to a report, the total reserves in the previous regime were more than sixteen billion dollars, which after the change of government, were reduced to 7.8 billion dollars in November and were barely enough for one month's imports. However, experts believe that the economy will also depend on the expected inflow of dollars and loans from friendly countries, but it will increase manifold by the end of the financial year in June 2023.
A major part of Pakistan's imports is cotton. Cotton accounts for fifty-five percent of the country's exports. The flood disasters in the country and the wave of climate change have greatly affected the rate of cotton, which will result in Pakistan having to import cotton to meet export contracts and domestic needs. According to an estimate, more than fifty thousand people have become unemployed due to the closure of the textile industries of Faisalabad.
The US dollar is soaring while the Pakistani rupee continues to depreciate against it. The Pakistani bank is buying dollars at 224 and selling them at 225, but currency converters are not getting dollars even at 245 rupees. This means that Pakistani banks are artificially driving the wheels of the economy. During the previous regime, external remittance was 31% which has reduced to 25%, and now it will decrease further due to the high flight of the dollar and the 16% interest rate of the State Bank of Pakistan. Apart from this, several important financial payments have been stopped and the government is facing great difficulty in fulfilling international agreements.
According to a news report, the cancellation of payment of $34 million to international service providers by the State Bank of Pakistan is also a major issue, after which mobile users will not be able to download Google Play Store services in Pakistan from December 1, 2022. will Apart from this, one billion dollars out of seven and a half billion dollars has to be paid on December 2, after which Pakistan's foreign exchange reserves will be reduced to six billion dollars and after which Pakistan will not be able to make any further payments.
If PTI Chief Imran Khan's announcement to leave the assemblies is implemented, then there will be a need for huge sums of money to hold elections in both provinces, especially for the Punjab Assembly, and then just to complete the constitutional term of the current government. Four months left. In the financial year 2022-2023, the total deficit was estimated at 4598 billion dollars, which has reached close to 6000 billion dollars. Thus, from December this year, Pakistan will have to face the crisis of oil, energy, and trade. The government of Pakistan, which is facing the worst economic conditions and a serious financial crisis, decided to make Africa a commercial market and take financial advantage of it in the name of 'Luck Africa', from November 29 to December 1. The development conference is going on and it is being considered as a spoil in the current situation.
Under the Ministry of Trade and Investment, the third Pakistan-Africa Trade and Development Conference and One-Country Exhibition are being held in Johannesburg in South Africa, in which the Federal Minister of Commerce Syed Naveed Qamar is present in South Africa. A delegation of around 225 exhibitors and business delegates from Pakistan representing twenty major sectors including pharmaceuticals, tractors and agricultural machinery, engineering and sports equipment, and chemicals have visited. About one hundred and thirty companies are exhibiting their products in this one-country exhibition. Officials and businessmen of civil member states of the South African Development Organization are also participating in this conference.
South Africa's Minister of Trade and Industry and other officials and high-ranking officials are also participating in the conference. The series was launched in 2017 to promote bilateral relations and improve the trend in the field of trade. Looking at the last financial year, the volume of Pakistan-Africa trade was 2074.72 million dollars. A total of thirty-two countries in the continent of Africa are connected through an organization called the African Union. Experts say that the imports of only 860 million dollars by 32 countries are just frivolous behavior in the name of trade.
The fear of the default of the country, which was being expressed since this government, seems to be increasing and the federal government is making efforts to save the country from default. The Prime Minister of Pakistan is visiting various friendly countries. He has raised his voice in the United Nations meeting regarding the agricultural and productive loss of the country due to floods. Many countries have also sent aid to Pakistan for rehabilitation. But it is not yet clear what the results will be.
Despite the current government coalition for the instability of the country's economy and the financial crisis, this time again the people are suffering from the burden of taxes and inflation only because of their homeland.
.png)
0 Comments