Wednesday July 17, 2024

Pakistan can move ahead without IMF, say experts

By Our Correspondent
July 05, 2024
International Monetary Fund logo is seen inside the headquarters at the end of the IMF/World Bank annual meetings in Washington, U.S., October 9, 2016. — Reuters
International Monetary Fund logo is seen inside the headquarters at the end of the IMF/World Bank annual meetings in Washington, U.S., October 9, 2016. — Reuters 

LAHORE:Pakistan can come out of the IMF trap by investing in agriculture, IT and youth development, reducing the public sector non development expenditures, for making political system stable.

These views were expressed by the discussants in Jang Economic Session on ‘How Pakistan’s economic system improvised without IMF support?’ The panelists were Shahid Zaheer, Farah Naz Naqvi, Aima Mehmood, Ehtesham Rabbani and Mudassar Raza while moderated by Sikindar Lodhi.

Shahid Zaheer said that Pakistan can move ahead without the IMF, but for that it will have to correct economic direction first. The direction could be corrected only if Pakistan's deficit investment, trade deficit, inflation and imports do not increase. Otherwise, Pakistan’s economy could fall in the IMF trap due to its lavish expenditure patterns. Officers are not ready to reduce their expenditures. The government must make investments in potential sectors. Growth-oriented budget shall be made. Revisit the IPPs agreement and do practical steps to increase exports.

Farah Naz Naqvi said that human resource is the valuable capital of any country. There is need of positive approach among youth with good governance to use this capital. Pakistan has 64 percent young generation, but unfortunately untrained and unskilled. Country needs IMF when there is no focus on teachers’ training, failed education system and economic insecurity.

Aima Mehmood said that inflation and unemployment was not controlled in IMF programed countries and never progressed. The government has no plan for the youth. Pakistan has great potential in agriculture but the government has ignored it. Labour has no representation in the government. The situation explains that the human resource development and improvement in the system is not on the agenda of the rulers.

Ehtesham Rabbani said that economy is dependent on political system. Protocol system should be ended for economic betterment. There should be the rule of law at all levels, friendly relations with neighbouring countries. The country should be free from hatred, atmosphere of fear and dread should end. It is very important to control the growing corruption in the country.

Mudassar Raza said that it is really difficult to do anything without the IMF in prevailing circumstances. Only those nations progress who think out of box. The largest investment in Pakistan has been made in the textile sector but its exports never exceeded $20 billion.

IT is the only sector which does not require much investment, many problems can be solved by giving priority to this sector. Youth can bring foreign exchange in the country. There is need of IT training and skill development of youth to improve the economy. Spain, Italy, Japan and many other countries need young workers, luckily Pakistan has talented youth which just need to channelised. These youths are the asset to the country and will play their role in the development of the country.