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Home Opinion & Editorial Opinion

Is Pakistani economy on the verge of collapse?

Ambassador Dr. Jamil by Ambassador Dr. Jamil
March 26, 2023

Indeed, the political crisis is at its peak in Pakistan, with the help of civil society and the Bar Council, many political parties have agreed to hold a multi-party meeting to find a solution to the ongoing political situation and problems in the country.

Recently, about 4 to 5 days ago, we saw flexibility in the attitude of Chairman Pakistan Tehreek-e-Insaf Imran Khan, who for the first time in the history of the PDM government seemed willing to participate in a multi-political conference and hold talks to end the political crisis. He also expressed his consent.

This suggests that signs of political ice melting between the Pakistan Tehreek-e-Insaf and the government have started to appear, and it can be hoped that the political conflict between the parties will end in the near future. The tug-of-war is not only a cause of heavy losses for the country’s economy but also for national interests.

Whenever we mention the law and order situation in a country or region, it is felt that when this situation deteriorates, there are political factors as well as real problems, which is the job of the court to decide.

Former US President Donald Trump has not been arrested in the United States, but he is facing court proceedings and cases and is being investigated under various cases in which his arrest is quite possible. There are also courts in Pakistan from where Imran Khan, chairman of Tehreek-e-Insaaf, has got relief.

Even if Imran Khan is arrested, Rakim Al-Haruf does not think that it will be a minor apocalypse, but the top leadership in other countries of the region, including other former prime ministers of the country, have been facing trials and arrests, which has created a new history. It is not likely to happen at the moment.

It is possible that the arrest of Imran Khan may temporarily create chaos and other law and order problems in the country, which will not be less than acting as a poison killer in this economic situation, which can definitely be expressed concern. Because a large number of people are affected by it.

In the context of the different economic situation of the country, many economists have given the opinion that Pakistan is going towards default, however, other experts say that Pakistan is also going through the economic history of other countries, default and the worst economic problems. Given the established history, reforms can be introduced and the current government has already started implementing the economic reforms recommended by the IMF. Friendly countries also did not unanimously refuse to give loans to Pakistan.

In the past too friendly countries have helped Pakistan to get out of such a dire economic situation and recently China rescheduled Pakistan’s debt and further strengthened the foundations of the best friendship.

In the context of the latest geopolitical situation whereby China has given a new dimension to the long-stalled relations between Saudi Arabia and Iran, Pakistan should also move towards improving its economic situation with this emerging scenario.

If we consider the partnership and mutual cooperation of other member countries including China and Pakistan in the Shanghai Cooperation Organization, then in a very short time Pakistan will come out of its economic crisis, the foundation of which has already been laid by China’s positive initiative. 

Translated by MM News editorial team

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