Pakistan Economy : Updates and Discussions

BlackOpsIndia

Team StratFront
Dec 1, 2017
3,056
3,777
127.0.0.1
Right now the Afghan state is in retreat but does construe the Taliban is winning? See what I mean, it's a stalemate with the pendulum swinging .
No it's not stale mate, not from past year or so, Taliban is winning. You want me to cite some source I will ask you to read first hand reporting of reporters serving there, not stupid reports but actual ones, exposing the stupidity of US, lies of Pakistan and number of deaths, daily. Afghanistan is losing 1,000+ soldiers per month from quite many months. I read it in next few hours when a district falls to Taliban or they inflict heavy damage or Afghanistan forces joined Taliban cuz they were waiting for help from 3 days and nobody came. If you follow the daily news you will know the actual situation and right now it's very bad, infact very very bad.


Why haven't they quit? Don't you think there's a huge tussle within the strategic community in the US, the various arms of the US govt over whether to quit or stay, about the degree of the depth of involvement in Afghanistan, etc? If not, wouldn't they have quit as they did from Iraq?

They just want to quit but don't want to leave. Trump want it a shining achievement in his Resume that he ended Afghanistan war, doesn't matter how. They will still be here and in good numbers and US soldiers will still die but just for sake of name and convention they want to end "WAR", conflict will go on.

since we don't share a land border with Afghanistan but we definitely are players and stake holders in the Af Pak region.
We do share border with Afghanistan but it's illegally occupied by Pakistan. That's not propaganda but technically and morally correct statement. We are stake holder in Afghanistan but not really a player. The party we supported was gravely incompetent, even after being in power they just couldn't strengthen themselves.
 
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randomradio

Senior Member
Nov 30, 2017
11,552
8,791
India
Interesting stuff from the IMF.

This was from a few days ago:
IMFPakprev.png


I got this from today:
IMFPaknew.png


The revision is either authentic or changed under political pressure.
 

Paro

Bloom17
Dec 2, 2017
1,136
938
United States
I agree to above. For the bold, my view remains that if a substantial effort is made to settle the boundary issue with China and India backs their OBOR, you will find that the iron has been re-cast!

@_Anonymous_

Nothing much to add to your posts so far.

The US endgame is two fold:

a. Box Russia in and leave it boxed. Beyond will be going down a path US is weary of - Russians still pack a significant military punch.
b. Limit & then dismantle China. Now one can cite numerous examples of how that is a pipe dream, but the reality is that one need not militarily box anyone in. I would assume that a policy more akin to that deployed against USSR - that of raising the costs of technological and economic progress suitably modified for the present times, will remain the main thrust.
I doubt even the Americans foresaw the collapse of USSR. in 1990 interview with the CIA director, he said USSR would be the biggest threat west would face for the next 2 decades. A year later it collapsed.
 

advaidhya

Member
Aug 2, 2018
325
81
India
I doubt even the Americans foresaw the collapse of USSR. in 1990 interview with the CIA director, he said USSR would be the biggest threat west would face for the next 2 decades. A year later it collapsed.
USA asked Arabs to increase oil production in 1985 to take out all oil export revenue of USSR. USSR had become addicted to imports from 1975 when it became largest oil exporter and started using the imported goods from oil money to enhance its economy. USA thought that USSR will go back to 1975 levels of economy but will still maintain their military. USA also had plans to increase the cost by seducing the various ethnic states like Germany, Afghanistan, Yugoslavian muslims by either religion or by economic assistance due to the dominant position of USA.

But USSR had a coward Gorbachev who instead of cutting the economy back to 1975, decided to cut the military while still holding the economy. That backfired and USSR collapsed completely. Gorbachev was the main culprit in USSR collapse who behaved very foolishly.

It is impossible for USA to do this with China due to China being a technological power with both civilian and military goods manufacturing along with plenty of raw material domestically. China has extremely strong exports and massive surplus with almost all countries. If anything, USA is in the situation of USSR of 1980s whereby USA has massive amount of debt which is only being serviced due to USA petrodollar. If Arabs ever pull out of petrodollar, USA will collapse in a couple of years. It is USA that is collapsing and is just acting out of desperation. USA made deals with KSA to cut down Iran to gain favours for petrodollars in desperation to survive.
 

suny6611

Member
Dec 26, 2017
32
9
India
Imran Khan to swear unwavering loyalty to Beijing for fresh Chinese loans

When Pakistani Prime Minister Imran Khan arrives in Beijing later this week, the newly-minted leader will have his task cut out: To secure fresh Chinese loans for his country's hobbling economy.

Khan's four-day visit, which begins on Friday, is also significant for Beijing, which is worried over the tardy progress of the China-Pakistan Economic Corridor (CPEC) and Islamabad's new government's reported second thoughts on the project, a linchpin of President Xi Jinping's Belt and Road initiative.

"During his election campaign, he said some words against the Belt and Road initiative. We were worried if there would be some policy changes (if he came to power). But recently, I think, things have become better," Wang Dehua, a South Asia expert at the Shanghai Municipal Center for International Studies, told IANS.

"This is Imran Khan's first visit (to China) and will be a landmark one," Wang added.

In the run-up to Pakistan's general election earlier this year, Khan had slammed his predecessor Nawaz Sharif for alleged corruption in the Chinese-funded project.

Beijing grew more worried when the new government under Khan reportedly said Islamabad thinks the deals under the CPEC were "unfair" and wants to renegotiate them with Beijing.

"This was a misleading interpretation by the media," Wang added.

Xi Jinping has poured about a trillion dollars into the Belt and Road project that aims to connect Asia, Africa and Europe through a vast network of highways, railways and sea lanes.

Of the allocation, China has pledged some $60 billion for the CPEC alone, the crown jewel of its connectivity project that aims to connect Kashgar in its restive western province Xinjiang with Pakistan's Gwadar port in the troubled Balochistan region.

Beijing knows the strategic importance of Gwadar port in the Arabian Sea which, once developed, will give China easy access to one of the most important trade arteries, the Straits of Hormuz.

China is building railways, highways and industrial parks under the framework of the CPEC, which, it says, will give jobs and bring prosperity to Pakistan. Islamabad too says this publicly.

The "iron-brothers" keep swearing unflinching loyalty to each other.

India has made no bones about its opposition to the CPEC as it claims the part of disputed Kashmir held by Pakistan through which the route of project is planned.

Besides this, the West sees the Belt and Road as a tool for Beijing to spread its geo-strategic influence and push poor countries like Pakistan into a debt trap by giving them high-interest loans.

When China and Pakistan inked the CPEC deal in 2013, Pakistan's foreign debt was $61 billion, which now stands at about $95 billion. According to independent estimates, Islamabad owes $19 billion to Beijing alone.

Pakistani Railway Minister Sheikh Rasheed Ahmad lent credence to these reports when he announced that Chinese investment in a rail project was being lowered from $8.2 billion to $6.2 billion, citing his country's inability to repay.

"CPEC is like the backbone for Pakistan, but our eyes and ears are open," Ahmad said.

China vehemently denies the charge of "debt diplomacy", saying the US is jealous of the success of the Belt and Road initiative and Beijing's rise. It maintains that the CPEC has brought stability to the region.

Pakistan is a broke nation today whose biggest lender is China. Since 1980, Islamabad has gone to the IMF 13 times seeking bail outs.

When Khan made the 14th attempt, the IMF told Islamabad to disclose all the financial details of the CPEC about which China and Pakistan have been cagey.

Khan changed his mind, flew to "friendly" Saudi Arabia and came back with a $6 billion loan.

The leader, who has vowed to change the fortunes of Pakistan, will try his luck yet again when he meets Xi.

Asked if he thinks Beijing will give another loan to Islamabad, Wang said: "No comments."

Beijing has sounded positive about granting new loans to Islamabad with the Foreign Ministry saying that China supports Pakistan in dealing with a difficult financial situation.

In the face of a bleeding trade war with the US and a slowing down of China's economy, Chinese critics have begun questioning the way Xi is giving loans to other countries.

If Beijing extends another loan to Pakistan after sanctioning $2 billion earlier this year, it is to be seen what promise it exacts from Islamabad.

Also, Beijing would never want the US-dominated IMF to know about the financial details of the CPEC.

Khan is all praise for the CPEC now and might go back home happy. However, he might be conveyed Beijing's displeasure over Pakistan raising human rights issues in Xingjiang.

In October, Pakistan's Religious Affairs Minister urged the Chinese envoy to soften the restrictions placed on Uighur Muslims in Xinjiang. A Pakistani minister telling the Chinese envoy to handle the situation was unexpected for Beijing from its "best friend."

The issue of stability in Afghanistan is also likely to figure between both sides as Beijing wants a peaceful Kabul for geo-strategic reasons.

The two allies will also discuss America's foreign policy. The US has turned the heat on China on trade and other fronts. It has scrapped military aid to Pakistan and signed a big defence deal with India.

"It is natural that Pakistan will move closer to Beijing in the light of the growing proximity between Washington and New Delhi," Wang said.





as of now they owe $95 billion & China has "invested" only $19 billion . Under CPEC they claim $62 billion will invested by 2024.

without loans they r in no position to pay for all the imports per year.
they have nothing to add to their exports so as to foot this huge loan repayment bill.


lets shed some light on the economical fallout of such a debt ....
 

_Anonymous_

Senior Member
Dec 4, 2017
14,520
10,493
Mumbai
Pakistan: The rumble in India’s neighbouring jungle

@Hellfire ; @randomradio ; @Arvind ; @BlackOpsIndia
Except for the last couple of paragraphs, where he slips into that old MEA trope of people to people contact & by extension Aman ka Tamasha, etc thus continuing MEA's glorious record of confusing tactics for strategy, it's a very good piece summing up our current relationship status with Pakistan.

Note - I realise this post is out of place on this thread but since half the posts here were on a different tangent, I decided to post this piece here, to continue the discussion in the same vein as it were.

Request the moderators to move all off topic posts to a common thread, if they deem it proper to do so.
 

randomradio

Senior Member
Nov 30, 2017
11,552
8,791
India
Pakistan: The rumble in India’s neighbouring jungle

@Hellfire ; @randomradio ; @Arvind ; @BlackOpsIndia
Except for the last couple of paragraphs, where he slips into that old MEA trope of people to people contact & by extension Aman ka Tamasha, etc thus continuing MEA's glorious record of confusing tactics for strategy, it's a very good piece summing up our current relationship status with Pakistan.

Note - I realise this post is out of place on this thread but since half the posts here were on a different tangent, I decided to post this piece here, to continue the discussion in the same vein as it were.

Request the moderators to move all off topic posts to a common thread, if they deem it proper to do so.

Yep, it surmises most of the problems we have with Pakistan.
 
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lcafanboy

Senior member
Dec 22, 2017
1,870
1,866
Bangalore
Pakistan Rupee Suffers Massive Hit, at All-time Low of Rs 144 Against US Dollar
It opened at a high of 142 rupees in the morning and the local currency further devalued by 2 rupees to 144 rupees. It was the second devaluation since the current government came to power in August.
Updated on: November 30, 2018, 8:45 PM IST
PTI

News18 News18 News18 News18 News18
Pakistan Rupee Suffers Massive Hit, at All-time Low of Rs 144 Against US Dollar
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Islamabad: Pakistan's currency suffered a massive hit on Friday as the dollar rose to all time high at Rs 144, a day after the government celebrated its 100-day achievements, including new investments in the country to put it on the right track of development.

The Pakistani currency shed 10 rupees in inter-bank trading by Friday afternoon after it was traded at 134 rupees on Thursday.


It opened at a high of 142 rupees in the morning and the local currency further devalued by 2 rupees to 144 rupees.

"There is panic in the market and buying spree is going on but it will be addressed," an official of State Bank of Pakistan told PTI.


It is believed that the devaluation was linked with the government's talks with the International Monetary Fund (IMF) to secure loan.

Recently, the cash-strapped Pakistan's negotiations with the IMF for a bailout package faced difficulties as the international lender sought complete disclosure of Chinese financial support and hiking of energy prices and levying more taxes.

Zaffar Paracha, general secretary of the Exchange Companies Association of Pakistan (ECAP), said that the devaluation was expected before any agreement with the IMF.

"It seems a continuation of the IMF's condition for a bailout package," he said.

Paracha demanded the government to properly announce the devaluation to end the panic among currency dealers.

The devaluation comes a day after the Pakistan Government celebrated its achievements of 100-day in office.

Prime Minister Imran Khan addressing an audience on Thursday said that investors were coming to invest as country was put on right direction to development.

But it was not reflected in the currency market and dollar rose by Rs 10 in open market and was trading at highest Rs 144 at one point before rupee wobbles to gain some strength.

Faisal Vada, minister for water resources, told media that black marketing was the main reason for the massive devolution.

"Black market of dollars was on the peak when we took over and it is still on peak," he said, adding that government measures will help rupee to regain value in coming days.

Financial analyst Zubair Saleem said the sudden devaluation of the local currency is not a good sign for coming days for the business community particularly the importers.

"This is going to increase the import bill of the country and we might witness further devaluation of the rupee to the US dollar," he cautioned.

It was the second devaluation since the current government came to power in August.

On October 9, dollar had gained Rs 11.70 as panic gripped the market but finally it settled at around Rs 134. Earlier, the caretaker government in June and July devalued rupee massively form Rs 102 to Rs 130 against one dollar.
Pakistan Rupee Suffers Massive Hit, at All-time Low of Rs 144 Against US Dollar

@Neo @safriz @Sathya