Pakistan Is Facing The Financial or Economic Breakdown New Records
Today, the Pakistan financial environment is badly affected by the intensification of the war on terrorism and also deepening the global economic crisis which totally penetrated into the Pakistan economy through the main route of the important and incredible decline in the Pakistan export. Moreover, today Pakistan is facing the financial or economic breakdown. The intensity of the global financial crisis has brought the negative impact on the financial situation of Pakistan. With almost six million people unemployed because of the adverse financial crisis.
The public sector development budget is under precedent pressure, while domestic and foreign investment has stagnated. There is widespread disillusionment with the institutions of the government which have failed to serve the people. In the foreign exchange markets, participants are waiting for announcements on the easing of restrictions. If we talk about the Pakistan financial breakdown new record in case of export categories, the textile sector is considered to be the worst performers falling about the 14 percent from the 3.7 billion dollars last year to just the 3.1 billion this fiscal year so far. Furthermore, textile exports fell across the board with the cotton yarn, cotton fabrics and ready made garments taking the biggest blow while knitwear exports rose the 5 percent and bed wear products registered the 15 percent increase.
According to the financial analysts that today Pakistan is facing the crucial phase of the economic situation. Bankers and investment experts have criticized the prospect of rescheduling the country Eurobond and also arguing that such a move would have a strongly detrimental impact on the Pakistan credibility in international capital markets. Moreover, there are reportedly several hundred global banks with holdings in the bonds and a reneging on its contractual obligations.
These days, Pakistan economic condition is considered to be the serious issue. Interest rate cuts have been instituted in a bid to boost industry and the maximum tariff rate has been cut as well. As the Pakistan government continues to remain under pressure to perform for both the multilateral as well as bilateral donors. The intensity of the global financial crisis has brought the negative impact on the financial situation of Pakistan. With almost six million people unemployed because of the adverse financial crisis. The public sector development budget is under precedent pressure, while domestic and foreign investment has stagnated. There is widespread disillusionment with the institutions of the government which have failed to serve the people
On the whole after discussing the present financial situation or the breakdown of Pakistan it is easy to conclude that now Pakistan has facing the devastating and horrible financial situation so in order to overcome this financial situation Pakistani government should adopt the meaningful and informative financial strategies in order to improve the financial condition of the Pakistan. For this purpose, Pakistani government should implement the meaningful strategies regarding the financial sector. Because for the improvement and development of Pakistan it is very important that Pakistani government should focus or give attention on the financial or the economic sector.