Daily Times

The UAE, China, Saudi Arabia and now, Qatar. Prime Minister Shahbaz Sharif is on board yet another visit to friendly countries, trying to impress them with the arsenal in hopes of some concrete business deals. Notwithstanding the actual performance of this wild goose chase, much of the extravaganza has been centred around the spring of positive indicators from the economy signally that perhaps, the dark days are done with. While the approval of the IMF programme and a successful SCO moot may have given an extra dose of confidence to potential investors about a rare but much-needed detour to stability, the authorities needed to remember that in a situation as fragile as ours, just one round of bad news is enough to wipe away hard-earned successes.

There are swirling concerns about Pakistan’s fast-dwindling inability to retain the Fund’s trust considering how most of the assumptions underpinning the deal have not materialised and while Islamabad might have contemplated a breathing room for renegotiating terms, there is little patience for reforms on growth rate, inflation, large-scale manufacturing and imports.

Experts have already begun to dismiss the recent phenomenon as just the lull before the storm. Instead of letting the gamble backfire, it is high time the lawmakers set their priorities straight and roll out instant (not knee-jerk) measures to address the worrisome tax shortfall. More corrective measures are necessary to avoid further economic strain, which can only ensue if the provinces agree to stand behind the federal government so that its grand commitments can be honoured.

In light of these challenges, Islamabad would do well to establish transparency about its efforts to transform Pakistan’s economy. The government is said to be working on implementing reforms that aim to boost economic growth and stability. Hopefully, the sweeteners of these reforms would trickle down before the creditors begin to wonder about the futility of the entire exercise. A storm might be brewing on the horizon unless the right reforms and policies help Pakistan address the missed targets and emerge stronger in the long run. *