Monday December 11, 2023

Sinking economy

June 16, 2018

The dwindling foreign reserves of the country have reached at an alarmingly low level. The reserves are not enough for six weeks of imports. But the relevant authorities haven’t taken significant steps to tackle the situation. Other than the continuous devaluation of the rupee, there is no attempt even to put a stop to needless imports, raise revenues through direct taxation and curb the flow of money abroad through irregular known channels. Merely devaluing the rupee without other economic reforms will only add to inflation. The ruling elite of this country, who seems to be bewildered by offshore havens providing sanctuary to people with money, has been continuously looking away from their responsibilities.

For a country like Pakistan – with an agro-based economy that produces seasonal vegetables and fruit – it is criminal to see stores located in elitist societies selling mostly genetically modified imported fruit. As long as economic, energy and financial regulatory decision-making is dominated by individuals with conflicts of interest and split loyalties, Pakistan’s economy will continue to sink.

Malik Tariq Ali