Financial institutions are sure to invest aggressively in government debt papers.
Till economic growth picks up and enables net real income to rise and/or interest rates become stable for a quarter of two, we can
Why do net FDI inflows remain below 1pc of GDP even after the launching of the multi-billion dollar CPEC is a question that merits
Export earnings from China increased from $1.21bn in 2010 to $2.04bn in 2021, whereas imports shot up from a fairly large amount
Even the inflow of the $1bn tranche expected from the IMF cannot provide enough cushion to the forex reserves because of the...
The World Bank in its latest report has also singled out Pakistan as the country offering maximum energy subsidies and termed them
Demand-depressing effects on the interest rate tightening will continue which will mean lower-than-expected GDP growth for FY22.
Global challenges for all developing economies continue to compound and Pakistan is no exception.
Unless export of workforce rises again to half a million a year, constantly high growth in remittances cannot be guaranteed.
The euphoric demand for housing finance and a liberal supply of loans remains subject to ground reality checks.
One can expect that in the coming weeks, imported inflation will hit Pakistan’s economy.
A more disturbing aspect of credit distribution across Pakistan is that credit flows towards rural areas remain too thin.
We are now at a stage where after meeting debt servicing obligations financing budgets, little is left for developmental expenses.
What is more upsetting is that one cannot expect an immediate and significant easing of food inflation.
The recent amendments in the SBP Act mean that the govt will become increasingly reliant on banks to borrow funds.
Aggressive 250bps rise in interest rates announced in less than a month is sure to dampen domestic demand and imported inflation.
Imports of petroleum products more than doubled and crossed $10bn in July-Dec 2021 from less than $5bn in July-Dec 2020.
Improved liquidity management will eventually help the central bank prepare.
Bill proposes changes that will leave no room for govt to ask central bank to intervene or not to in the foreign exchange market.
2022 promises the unfolding of several exciting developments in inflation management through monetary policy.