The decrease in Pakistani currency continuously results in economic crisis in Pakistan stated the PBF (Pakistan Business Forum) as its head called upon SBP (State Bank of Pakistan) to get the necessary measures done to stop market speculation and solve the issues.
He added, “High inflation, unemployment and low profitability continue to plague the business community and despite that the government has withdrawn its electricity concession given to exporters and is projected to increase the levy on petrol and diesel to Rs50 per litre by January 2023. Adding to their miseries, the government is also considering imposing GST – all negative indicators for the country’s economy,”
“Even bond and currency markets, which had shown more confidence in Pakistan after the IMF deal, are pricing in high once again over concerns of the country defaulting on its foreign debt,” stated Jawad.
“Since the end of August, the yields on some of the government’s international bonds have jumped by a third, while the currency is one of the worst performing in Asia,” according to the statement.
“Is it not shameful for Pakistan that we rejoice in repaying the $1 billion Sukuk, but don’t take any steps to save the dollars we are wasting. Using daylight will save $3.5 billion,” as per PBF CEO.
Moreover, he stated, “We still have foreign debt of $130 billion and $73 billion due in three years. Our deficit for next three years is a minimum of $20 to $30 billion. Additionally, super inflation is killing the poor. This is a financial emergency.”
