Is Pak economy getting better?

[Atif Khan]

Support your observations with REAL current figures only!

Predictions, forecasts, guesses or speculations should NOT be presented.

A comparison with last government is okay but not necessarily with the rest of the world.

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Sarfraz Khan

[Atif Khan]

Government report on its Progress

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Sarfraz Khan

[ZZ]

Reduction in oil prices recently would help Pak and India and other countries that do not produce oil. Deficit can come down.

[kmailik]

Some real facts that I picked up on PAK economy's performance since 12 October.

Quote from India Today - " Pakistan's Generals may be running the country but that hasn't upset investors. Since the military took power in the October coup, Karachi's stock market has leapt a spectacular 60 percent with gains across the board".

The Rupee's strenghth has grown by 8%, particularly in the last two months...

-During the period 1980-1990 (Zia through to Benazir's first stint in power) avearge annual GDP growth was 6.1%.

- During the period 1990-96 (Nawaz's first term and Benazir's second... and all those caretakers) average annual GDP growth was 5.4%.

- During the period 1996-99 (Nawaz's second term and the last caretaker governmnet) avearge annual GDP growth was just 3.1%.

- This year (1999-2000) the GDP is likely to grow 5.0 to 5.5%...

Hence Pakistan has turned the corner, and GDP levels are heading towards the levels of the 1980's.

Other encouraging factors:

- Highly respected former Citibanker Shaukat Aziz was appointed Finance minister, who managed to get all of Pakistan's rescheduled in first few months in power!
- Bumper cotton crop of 10.5 million bales (a record to date...)
- All disputes with IPP's (Independent Power Producers) successfully resolved.
- If government successfully brings in GST it is expected to raise 140 billion rupees in revenue (4 billion dollars)

[This message has been edited by kmailik (edited May 08, 2000).]

[Atif Khan]

I have some corrections here:

SBP's released yesterday its quaterly report on economy which forsee 4.4% real GDP for the FY 2000 ending June.

Targeted real GDP rate for 2000-01 is 5.0%.

Yeah, 13 out of 14 IPP's disputes have been solved but the most thorny one is still hanging around...

According to the current dollar value, Rs 140b=±$2.59b -- LOL

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Sarfraz Khan

[kmailik]

Thanks for the clarification Atif. It seems the Pakistan economy will still be in better shape this year than last - that is very encouraging news indeed! Which is the most thorniest of the IPP's that still has to be resolved?

[This message has been edited by kmailik (edited May 08, 2000).]

[Atif Khan]

Hubco is the last of 14 yet to be resolved. Thanks to Benazir's corruptos the agreement they made with that IPP. We are still suffering from foreign investments and internal energy disputes which is taking a heavy toll on people of Pak.

I believe, we should blame ourselves for most of the misdeeds.

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Sarfraz Khan

[kmailik]

Atif - I have just picked up some pretty good foreign investment figures for Pakistan from the KSE website:-

In the period Oct0ber 1998 till September 1999 (i.e last 12 months of Sharif government) total netflow (in rupees) of foreign investment in KSE was 3355.650 million rupees.

The figure for the period October 1999 - March 2000 (i.e first 6 months of Musharraf government) is 3393.623 million rupees.

This means that the Musharraf government is attracting TWICE THE AMOUNT OF FOREIGN INVESTMENT IN KSE than the previous government!!!

[Atif Khan]

By foreign investments, I mean some genuine investments to lift life standard in Pak. In case of stock exchanges, most investors come in here to gamble in the hope of making some money.

Stability what we need in the country. Stocks went down from 2000 to some 1800 in the last weeks due to some rumors on border clashes. Conclusion: Investments in stocks are not solid and reliable in the long term.

Next time, I will be coming up with an idea how to absolve Pak debts in the shortest possible time. Wish me good luck! LOL

[ZZ]

Originally posted by Atif Khan:

Next time, I will be coming up with an idea how to absolve Pak debts in the shortest possible time. Wish me good luck! LOL

Be quick, atif, i am sure ur idea will be worth nishan-e-pakistan. time is running out.

[kmailik]

I see your point Atif, and wish you the best of luck...unlike ZZ who like many Indian's is actually scared of Pakistani's being innovative and creative?