It will be a terrible mistake for the PM, his acolytes to underestimate the strength of the wave that is about to hit them.
The government has nothing more than an MoU to ‘seek a commitment’ to conduct a set of feasibility studies.
Despite PM Imran Khan’s assurances that things will soon get better, Pakistanis are looking with great trepidation and anxiety at
Afghanistan should not be ditched but Pakistan should also keep its own interests in mind.
The exchange rate alone can no longer absorb the full impact of the deterioration in the current account.
Keeping the rupee below the threshold of 170 will become harder and harder.
The imbalances have already appeared, faster than anyone thought they would.
Pakistan looks set to face yet another energy crisis in the coming winter months, the third time in three years that liquefied...
If so there are very significant implications for Pakistan.
Gunning growth through public expenditure inevitably gives rise to external sector imbalances in Pakistan.
Without international legitimacy they cannot unlock the reserves or reactivate donor funding lines.
The country’s economy will not be able to grow if its isolation continues.
What looked like rank incompetence about a year ago is now beginning to smack of malfeasance.
Reza Baqir says next year’s external financing needs are fully secured, which is reassuring, but there are years after that too.
The fact is that the same numbers the govt was touting a few months ago are today painting a changing picture.
The situation is precarious, even though there are glimmers of hope shining through the cracks in some places.
Split between who owns executive powers and who exercises them means there is weak ownership over outcomes.
Ultimately the budget, and its aim to pump growth, will be left standing on two legs only — free oil and free dollars from abroad.
Budget for FY22 faces massive risks such as inflation and a resurgence of the trade deficit.
With the breadth of tax and duty cuts given to industry, the IMF will want to know how they intend to pay for all of this.