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Pakistan Economy Crash: Whether Pakistan takes a loan from the world, it cannot save its falling economy only to support external help. Until good policies are made inside the country, the investment environment does not improve, no bailout package or debt can take it out of poverty.
Pakistan Economy Crash: Amidst the stress of Indo-Pak, Pakistan took a bailout package of $ 2.4 billion from IMF, but despite this, there was no significant improvement in its economic condition. Pakistan’s economy is not difficult to guess from the speed with which Pakistan is moving towards the decline. There are many reasons behind this falling economy. Let’s know the three big aspects, which are becoming the biggest obstruction in improving Pakistan’s economy.
Continuous falling investment
The investment environment in Pakistan is continuously deteriorating. Both savings and production capacity are extremely low. Earlier, where the per capita income of Pakistan was better than many Asian countries, now its standard of living is constantly falling. Unemployment and poverty have increased. In such an environment, foreign investors are also withdrawing from investing money in Pakistan. Due to this, the growth rate of the country is directly impacting.
Weak financial planning
Pakistan’s financial policies are neither stable nor based on long -term reforms. Due to frequent economic recession and wrong decisions, the country has to seek the help of agencies like IMF repeatedly. Tax exemption, subsidy and loans have weakened the economy further. Production in the country has decreased but domestic demand is increasing, due to which there is a decline in inflation and reserves.
Backwardness in global trade
The fast growing population has become one of the biggest challenges in Pakistan. There is heavy pressure on health, education and infrastructure. The government has limited resources and is not being used properly. Apart from this, Pakistan is continuously lagging behind in international trade. Exports have seen a decline rather than a boom and many business restrictions have also affected the country’s global image.
Also read: India-Pak: Pakistan became pauper due to revenge on India, loss of so many crores?
