THIS refers to the editorial ‘Bond questions’ (Sept 29). One thing comes out clearly — that the government has not been able to sell its success story abroad. As opposed to the government’s claim that the economy is shining, the fact is that the economy is in deep trouble caused by depressed growth in agriculture and manufacturing.

The exports have fallen this year again and there is a large trade gap, while the current account is also in deficit. Perhaps the government wants to play safe by borrowing as much as it can, expecting a significant shortfall in export target and widening trade deficit and current account gap this year.

The government seems to be in no mood to carry out much-needed reforms despite slippages in various targets. The PML-N government has miserably failed to manage the economy and both domestic as well as foreign investors are wary of putting their money in a status quo environment under an inept leadership.

Arif Majeed

Karachi

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CAN anyone explain why was the finance minister in such a great hurry to issue Eurobonds, especially at a time when the IMF was going to release $500 million at just about the same time? Or did the IMF release of the tranche come as a pleasant surprise to our finance minister?

A sum of about $370 million is also expected to be released soon by the US as part of the Coalition Support Fund.

The high rate of interest and duration of the bond is sure to hurt Pakistan’s economy even more. The government should explain why it needs a high-cost loan and what it intends to do with the money.

Shahid Ehsan Khalid

Lahore

Published in Dawn, October 5th, 2015

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