Daily Times

The topsy-turvy roller coaster ride of the Pakistani rupee has been in the news for a long time now. Even on the days, we are not fearing for the Damoclean sword to fall on our heads and push us down the “default” hillside, our currency is still visibly overwhelmed; trying to give up every piece of itself to resist the fall in the international market. It was only in July that demons of high import payments and fast-depleting foreign exchange reserves had forced it to live thr horrors of the worst month in over 50 years. The floor may be back under its feet for now but a report by a Japanese bank warns all might not remain well. Pakistan has been included among the seven countries facing a high risk of the currency crisis. And why wouldn’t it when the state refuses to let go of its finder and treat it like a mature grownup? Babying it every step of the way only to create an impression that we are much, much stronger and more resilient than we actually are, our administrations have become fixated on acting like a protective parent. If the rupee is making merry on the way to recovery, why does the State Bank roll out limits on foreign currency transfer; going to the absurd painstaking details about allowances regarding children travellers?

The predicament of crippling circular debt; constant pessimistic reviews by rating agencies and literally non-existent economic activity all point to the same road we’ve gone down a million times. Whatever miracle we are seeing unravel before our eyes is bound to lose its spark sometime soon and the rupee would be back to getting hammered from all directions. Changing gears and focusing on a market-driven economy instead of looking outwards for assistance is the only key that matters right now because the economic ICUs or loan rollouts can only help a sinking ship with temporary sustenance. Pakistan alone can carry out the arduous task of plugging its holes. Act now or be perpetually trapped in a much deeper crisis later. *