Pakistan’s Loss is Africa’s Gain on September 14, 2024China’s economic engagement with Africa has been a cornerstone of its foreign policy in recent decades. Through significant investments, infrastructure projects, and diplomatic initiatives, China has emerged as a dominant player in the continent’s economic landscape. The China-Africa Forum (CAF), established in 2000, has served as a crucial platform for fostering bilateral cooperation and strengthening […]
Privatization Redux May Backfire on August 25, 2024In a shocking turn of events that has sent shockwaves through the nation, the Pakistani government has announced plans to privatize electricity distribution companies across the country. This move, ostensibly aimed at improving efficiency and reducing losses, has ignited a firestorm of controversy and allegations of corruption. This move echoes the contentious sale of electricity […]
Economic Conservatism on August 9, 2024Pakistan has been grappling with economic challenges for decades. Inflation hovering at 12.6 percenet, unemployment – with 4.5 million individuals falling under the category, current account deficit at a of $464m and a burgeoning debt crisis have become synonymous with the country’s economic landscape. While various economic policies have been implemented over the years, many […]
Petrodollar Vs De-Dollarizatio on June 25, 2024The US dollar has reigned supreme as the world’s reserve currency for decades, a power fuelled by the petrodollar system. The petrodollar system refers to the arrangement where oil is primarily traded in US dollars. This seemingly simple concept has had a profound impact on the global economy and political landscape for decades. But whispers […]
The Budget Season(Part 1) – IMF vs FM on June 4, 2024The IMF staff report shares interesting numbers and projections for the financial year 2024-25 such as the expected growth rate of 3.5%, a sharp decline in the monthly inflation from 24.8% to around 12% and the CAD to reach 4.6 billion dollars by the end of the year. Heading into the Budget season this is […]
The Budget Season – II on June 4, 2024The discussion on the budget would remain incomplete without a focus on taxation. Pakistan’s budget for fiscal year 2024-25 walks a tightrope between the need for increased tax revenue and the challenge of fostering economic growth in a fragile environment. With a projected deficit of Rs 9,600 billion and a stagnant economy, tax reform is […]
Interest Rate Hike Cripples Pakistan on May 22, 2024In a startling turn of events, Pakistan finds itself in the grips of an economic crisis exacerbated by the highest interest rates in the world, maintained by its central bank, the State Bank. With an interest rate pegged at a staggering 22%, influenced by the IMF, the country’s economy is hurtling towards collapse, raising concerns […]
India’s Cosmetic Economic Ascent on May 1, 2024“It is a shining facade with human development lagging behind.” India’s economic story is often painted in vibrant hues. For decades, the nation has enjoyed impressive GDP growth, consistently ranking among the fastest-growing economies globally. India’s average growth rate over the last decade has been about 7 percent while China’s growth in comparison has been […]
The Silent Economy on April 20, 2024Gold has long been a cornerstone of global economics, with its value deeply intertwined with historical events, geopolitics, and economic factors. The fluctuation of gold prices throughout history has been closely tied to significant global events, providing a barometer for the state of world economies. From the pre-war days to modern times, the value of […]
Towards Equitable Development on April 8, 2024Pakistan’s monetary discussion will always remain incomplete without taking into account its fiscal federalism landscape. And within this realm, Pakistan’s National Finance Commission (NFC) Awards stand as a pivotal mechanism for distributing financial resources among the federal and provincial governments. Yet, as the country grapples with persistent fiscal disparities and inefficiencies, there arises a pressing […]