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IMF's Assessment of the Experienced and Competent PMLN & PPP's Economic Policies

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Pakistan’s economy is at a critical juncture. Misaligned economic policies, including large fiscal deficits, loose monetary policy, and defense of an overvalued exchange rate, fueled consumption and short-term growth in recent years, but steadily eroded macroeconomic buffers, increased external and public debt, and depleted international reserves. Structural weaknesses remained largely unaddressed, including a chronically weak tax administration, a difficult business environment, inefficient and loss making SOEs, and low labor productivity amid a large informal economy.

Without urgent policy action, economic and financial stability could be at risk, and growth prospects will be insufficient to meet the needs of a rapidly growing population.

https://www.imf.org/en/Publications...he-Extended-Fund-Facility-Press-Release-47092


Why nobody is talking about the so called competence? [MENTION=1269]Bewal Express[/MENTION] [MENTION=21699]Pakpak[/MENTION] [MENTION=138254]Syed1[/MENTION] [MENTION=135]Waseem[/MENTION]
 
Pakistan’s economy is at a critical juncture. Misaligned economic policies, including large fiscal deficits, loose monetary policy, and defense of an overvalued exchange rate, fueled consumption and short-term growth in recent years, but steadily eroded macroeconomic buffers, increased external and public debt, and depleted international reserves. Structural weaknesses remained largely unaddressed, including a chronically weak tax administration, a difficult business environment, inefficient and loss making SOEs, and low labor productivity amid a large informal economy.

Without urgent policy action, economic and financial stability could be at risk, and growth prospects will be insufficient to meet the needs of a rapidly growing population.

https://www.imf.org/en/Publications...he-Extended-Fund-Facility-Press-Release-47092


Why nobody is talking about the so called competence? [MENTION=1269]Bewal Express[/MENTION] [MENTION=21699]Pakpak[/MENTION] [MENTION=138254]Syed1[/MENTION] [MENTION=135]Waseem[/MENTION]

Tag in the copy and paste merchant
 
Pakistan’s economy is at a critical juncture. Misaligned economic policies, including large fiscal deficits, loose monetary policy, and defense of an overvalued exchange rate, fueled consumption and short-term growth in recent years, but steadily eroded macroeconomic buffers, increased external and public debt, and depleted international reserves. Structural weaknesses remained largely unaddressed, including a chronically weak tax administration, a difficult business environment, inefficient and loss making SOEs, and low labor productivity amid a large informal economy.

Without urgent policy action, economic and financial stability could be at risk, and growth prospects will be insufficient to meet the needs of a rapidly growing population.

https://www.imf.org/en/Publications...he-Extended-Fund-Facility-Press-Release-47092


Why nobody is talking about the so called competence? [MENTION=1269]Bewal Express[/MENTION] [MENTION=21699]Pakpak[/MENTION] [MENTION=138254]Syed1[/MENTION] [MENTION=135]Waseem[/MENTION]

Saazish!!

I don't mind the jaahil ***** biryani eating peasants who out of some misplaced loyalty, show loyalty to their heroic political champion, it's a type of battered wife syndrome, the guy who keeps you in the dirt but then feeds you horse manure to ensure you make to the end of the day can be appealing if you know nothing else.

However the educated who know what these crooks have been upto, who have sold out their soul for both money and out of political loyalty, they can never be forgiven. I guess as a believer I can only console myself with the fact what they don't get in this life will come at them double in the hereafter.
 
Look our Army can influence IMF reports! grand saazish [MENTION=138980]TalentSpotterPk[/MENTION] [MENTION=131701]Mamoon[/MENTION] [MENTION=51324]aqeelPK[/MENTION]
 
Pakistan’s economy is at a critical juncture. Misaligned economic policies, including large fiscal deficits, loose monetary policy, and defense of an overvalued exchange rate, fueled consumption and short-term growth in recent years, but steadily eroded macroeconomic buffers, increased external and public debt, and depleted international reserves. Structural weaknesses remained largely unaddressed, including a chronically weak tax administration, a difficult business environment, inefficient and loss making SOEs, and low labor productivity amid a large informal economy.

Without urgent policy action, economic and financial stability could be at risk, and growth prospects will be insufficient to meet the needs of a rapidly growing population.

https://www.imf.org/en/Publications...he-Extended-Fund-Facility-Press-Release-47092


Why nobody is talking about the so called competence? [MENTION=1269]Bewal Express[/MENTION] [MENTION=21699]Pakpak[/MENTION] [MENTION=138254]Syed1[/MENTION] [MENTION=135]Waseem[/MENTION]

They're too busy furiously typing long paragraphs worth of drivel.
 
IMF blames PML-N, PTI for inadequate policies

ISLAMABAD: The International Monetary Fund has implicitly blamed two political governments of the Pakistan Muslim League-Nawaz and Pakistan Tehreek-i-Insaf for misaligned policies and inadequate policy action, respectively, for the critical economic challenges the country is facing.

In its staff report on $6 billion bailout to Pakistan approved by its executive board earlier this week, the IMF has given a background of how the economic difficulties emerged and how corrective measures were delayed.

Without directly naming the two governments, the IMF held the PML-N government responsible for unbalanced policies and unfinished reforms. “Misaligned economic policies, including large fiscal deficits, loose monetary policy, and defence of an overvalued exchange rate, fuelled consumption and short-term growth in recent years, but steadily eroded macroeconomic buffers, increased external and public debt, and depleted international reserves,” it said.

While economic growth has been relatively fast — averaging close to five per cent over the past five years — macroeconomic vulnerabilities have rapidly increased on the back of weak policies supporting a consumption- and import-driven growth model. In particular, procyclical fiscal policies led to a surge in the FY2018 fiscal deficit to 6.5pc of GDP, 2.5pc higher than budgeted, pushing public debt to 75pc of GDP.

The IMF said the lacklustre progress in structural reforms continued to hamper investment and allowed inefficient state-owned entities (SOEs) to linger and a large informal economy to expand. While the macroeconomic deterioration, which eroded the stability gains achieved during 2013-16, had been largely due to homemade factors, the increase in oil prices and more limited capital flows added to this difficult picture.

Likewise, the IMF also blamed the current PTI government for delayed and yet unsatisfactory policy action for correction. Hence despite some exchange rate depreciation and significant monetary policy tightening, sizeable foreign exchange interventions continued through April 2019. “Similarly, fiscal slippages in the first half of the fiscal year have been significant despite the adoption of two budget amendments. Finally, increases in power and gas tariffs have not been sufficient to stem the accumulation of quasi-fiscal losses,” the Fund noted.

It also pointed out that sizable short-term financing from bilateral creditors provided critical financing relief, but “also deferred the urgency to tackle the underlying problems while increasing the maturing debt obligations due in coming years”.

Therefore, on the back of weakening confidence, economic activity has slowed considerably and inflation accelerated. High-frequency indicators, including the large-scale manufacturing index, domestic cement dispatches and motor vehicle sales, have continued to deteriorate, confirming a marked slowdown in economic activity.

Also, fiscal imbalances have continued to build. Despite the adoption of two supplementary budgets, the overall fiscal deficit (excluding grants) widened to over 7pc of GDP against the budgeted target of 5.1pc. “This deterioration is largely driven by a significant revenue shortfall, equivalent to 1.4 per cent of GDP relative to the budget target,” the Fund noted.

It said the authorities were committed to carrying out the new programme, but the outlook was subject to considerable risks. The risks relate mainly to domestic policy implementation as well as external events. It said Pakistan’s capacity to repay its Fund obligations in a timely manner was adequate but was subject to “higher than usual risks”.

Risks to Pakistan’s repayment capacity have increased on account of the continued decline in reserves and a delay in the adoption of adjustment policies. Adequate capacity to repay and debt sustainability will depend on strong policy implementation and adequate execution of the existing financing commitments.

The Fund also highlighted that despite the safeguards included in the design and financing of the programme, the risks to the programme were “particularly high”.

Managing successfully the transition to a market-determined exchange rate will be crucial to ensure popular support for the programme. In this respect, failure to maintain an adequately tight monetary policy could lead to exchange rate overshooting and second-round effects on inflation.

Fiscal slippages and resistance to some of the fiscal measures could undermine the programme’s fiscal consolidation strategy, thus putting debt sustainability at risk. Progress in governance and institutional building may be opposed by vested interests, weakening structural reforms and medium-term growth prospects.

Moreover, the absence of the ruling party’s majority in the upper house of parliament may hinder the adoption of legislation needed to achieve programme objectives. Also, there is a risk that provinces may underdeliver on their commitments to budget parameters.

Finally, a potential blacklisting by the Financial Action Task Force could result in a freeze of capital inflows to Pakistan, jeopardizing the financing assurances under the programme. Other risks, including those related to domestic security conditions, global trade, growth in major trading partners, oil prices and tighter global financial conditions, could exacerbate these challenges.

https://www.dawn.com/news/1493361/imf-blames-pml-n-pti-for-inadequate-policies
 
Dawn and their habit of spinning things they are comparing apple with oranges:

IMF held the PML-N government responsible for unbalanced policies and unfinished reforms. “Misaligned economic policies, including large fiscal deficits, loose monetary policy, and defence of an overvalued exchange rate, fuelled consumption and short-term growth in recent years, but steadily eroded macroeconomic buffers, increased external and public debt, and depleted international reserves.

with

IMF is blaming PTI for not doing the exchange rate depreciation at at faster speed and for not increasing the power and gas tariffs enough to cover the losses.


Well done Dawn!
 
Dawn and their habit of spinning things they are comparing apple with oranges:

IMF held the PML-N government responsible for unbalanced policies and unfinished reforms. “Misaligned economic policies, including large fiscal deficits, loose monetary policy, and defence of an overvalued exchange rate, fuelled consumption and short-term growth in recent years, but steadily eroded macroeconomic buffers, increased external and public debt, and depleted international reserves.

with

IMF is blaming PTI for not doing the exchange rate depreciation at at faster speed and for not increasing the power and gas tariffs enough to cover the losses.


Well done Dawn!

With most of these media houses it is we all know how poor PML-N was, lets try dragging PTI in all that as well.
 
[MENTION=131701]Mamoon[/MENTION] we are still waiting for your response on this, why did the Nooras leave an economic disaster behind. These were people you have supported and defended for the last 6 years.
 
Yeah as soon as I read the Dawn headline I'd knew it would be ** as usual.
 
IMF is a means to sustain modern day colonialism. They just want every global south government to suck the life out of their people through cuts, austerity and tax increases. They even have issues with government taking help from other countries because it makes them less deferential towards IMF.
 
I don’t know whether or not DAWN is being biased but i’ll admit that this govt has been sloppy at time. Still 1000% better than PPP and PMLN who destroyed this nation’s economy. As long as PTI does structural reforms, i’m happy.
 
IMF is a means to sustain modern day colonialism. They just want every global south government to suck the life out of their people through cuts, austerity and tax increases. They even have issues with government taking help from other countries because it makes them less deferential towards IMF.

Okay, so why don't you bail out Pakistan? Pakistanis need to get over their IMF phobia. For one you want their money and then proceed to speak negative against them :s Pakistanis need to realise that they need to pay taxes to have a functioning country. Cant live for free and then expect progress and benefits.
 
Okay, so why don't you bail out Pakistan? Pakistanis need to get over their IMF phobia. For one you want their money and then proceed to speak negative against them :s Pakistanis need to realise that they need to pay taxes to have a functioning country. Cant live for free and then expect progress and benefits.

Try reading up on IMF and its history of exploitation before coming up with lame and generic comments.
 
IMF is a means to sustain modern day colonialism. They just want every global south government to suck the life out of their people through cuts, austerity and tax increases. They even have issues with government taking help from other countries because it makes them less deferential towards IMF.

So the country has to live within its means. The IMF is what it is and no one is forced to go to it.
 
Dawn and their habit of spinning things they are comparing apple with oranges:

IMF held the PML-N government responsible for unbalanced policies and unfinished reforms. “Misaligned economic policies, including large fiscal deficits, loose monetary policy, and defence of an overvalued exchange rate, fuelled consumption and short-term growth in recent years, but steadily eroded macroeconomic buffers, increased external and public debt, and depleted international reserves.

with

IMF is blaming PTI for not doing the exchange rate depreciation at at faster speed and for not increasing the power and gas tariffs enough to cover the losses.


Well done Dawn!

Wow what a cheap twist by Don.com.

Not sure why would a reputed paper stoop to such low levels. Tey have literally become patwari.com since Panama leaks and getting worse daily. Most of their staff on twitter is also extremely anti PTI and pretty much team up with Jang colleagues to mock and abuse Imran Khan (criticism is different to personal insults).
 
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