Financial woes

Inflation has been gradually building up since last year and has now become a worldwide phenomenon. For a developing country like Pakistan, the abnormal rise in inflation has endangered its economic stability. There are various factors that contribute to price hikes. Besides political reasons, natural phenomena like unfavourable weather conditions which affect food production also lead to a shortage of commodities in the market.

As production costs rise, profiteers get a perfect excuse to increase their prices significantly. Developed countries follow the rule of increasing exports and decreasing imports of goods and services to mitigate the effects of inflation. People also start using local products to reduce the import bill. Pakistan needs to do something similar to handle the recent wave of inflation.

Jai Kumar Malhi

Hyderabad