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Pakistan

Falling dollar, rising inflation

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Wisdom on the streets says that when the dollar soars high, inflation rises too, while a fall in the value of the greenback leads to a reduction in prices of necessities.

Tahir Malik Profile Tahir Malik

Perhaps for the very first time, the dollar has fallen by almost Rs. 15 against the Pakistani rupee, however, commodity prices have remained constant. Per unit cost of petroleum products, electricity and gas have not reduced either.

So why did the people not get any relief? A question being asked by everyone yet answered by none.

The truth is that the economy is suffering from a triple lack of planning, teamwork and expertise. Day by day, troubles faced by the country increase with alarming speed. All hopes by common folks to be able to earn and for inflation to fall have been dashed.

The government itself appears baffled and confused. The Finance Minister says GDP will grow by 4% this year. The International Monetary Fund  (IMF) and World Bank have put the figure at 1.5% and 1.3% respectively. Our population will continue to expand by 2.5% per annum. Thus, one way or the other, our GDP will go into negative growth. Experts say Pakistan needs to grow by at least 6% this year, otherwise, more than 3 million people will become unemployed.

The theory about dollar rates affecting inflation appears weak here. The government’s plans and its willingness to execute them is all that matters. Till now neither has the federal government shown us its vision, nor the direction it wishes to take the economy on. As for homework, well, the less said the better.

This sordid tale started with our own local Aristotle, Asad Umar, whose appointment was trumpeted as the gateway to Pakistan’s prosperity. Then we were informed that the IMF-sanctioned Hafeez Sheikh and Raza Baqir (Governor State Bank of Pakistan), have magic wands which will restore us to glory. Now, this responsibility lies with Hammad Azhar while Shaukat Tareen is also on the way to take up some charge or the other. How seriously the PTI-led government planned for the economy is evident from the current game of musical chairs.

Pakistan’s economy was heavily reliant on cotton and textile. Cotton is a boon, a crop that takes minimal water to grow while bringing in precious foreign exchange. Thanks to the untiring negligence of our rulers, we have had the lowest production of cotton in 30 years. Out of 212 total government organizations, 197 are running in loss. The steel mill is Rs. 480 billion in debt while for PIA this figure is close to Rs. 430 billion. The government’s bright idea about generating money is through increasing the price of basic utilities. It is now a real possibility that subsidy worth Rs. 140 billion will be abolished, transferring this amount over to the heavy ones the government is already shouldering.

Meanwhile, imports of sugar, wheat and cotton have increased too. The agriculture sector, once our economy’s mainstay, is now in tatters. In 2018, a bag of DAP fertilizer was retailing for Rs. 2200. By 2020 its price tag had soared to Rs. 3467 and today, it stands at a truly mind-numbing Rs. 5137. With such a rapid rise, how will the prices of food commodities not rise?

The desperate ruling coalition is focused only on procuring more and more loans.

We can now term the dollar-inflation theory an old wives’ tale. Unless the price of utilities and commodities goes down, nothing else will. For the immediate future, inflation remains our fate.

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Regional

President assures support to provinces for Green Pakistan Initiative

Asif Ali Zardari encourages the team of Green Pakistan Initiative to work hard for national and economic development

Published by Hussnain Bhutta

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Islamabad: President Asif Ali Zardari on Tuesday assured to extend full cooperation to all provinces to achieve the objectives of Green Pakistan Initiative for bright future of the country.

Chairing a meeting of the Land Information and Management System in Rawalpindi on Tuesday, he encouraged the team of Green Pakistan Initiative to work hard for national and economic development.

The President was informed about better management of water on modern lines and agriculture, canal cleaning, IT-based operations, and efficient water management in the agricultural sector under the Green Pakistan Initiative.

Asif Ali Zardari was also briefed about the concept of agricultural malls and the operations of smart farms for the convenience of farmers and the development of the agricultural sector.

 

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Pakistan

AGP denies 'interference' in judiciary in reaction to Justice Sattar's letter

The judge wrote to the IHC chief justice about the alleged meddling of the security establishment in judicial matters

Published by Faisal Ali Ghumman

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Islamabad: Denying the state agency’s involvement, Attorney-General of Pakistan Mansoor Usman Awan on Tuesday said that no member of the security establishment had ‘directly’ contacted the judiciary.

“They don’t and can’t do it,” he said while responding to the letter written by Islamabad High Court Justice Babar Sattar to the IHC Chief Justice that he received a message to spare from the audio leak case.

In a video statement to the media, Usman expressed concerns over the impression created by Justice Sattar's letter to IHC Chief Justice Aamir Farooq.

He stressed that such allegations of interference not only cast doubt on the integrity of the judiciary but also strained the relationship between the judiciary and the administration.

"The government or any state body doesn’t interfere in the constitutional matters of the judiciary," the AG asserted and urged for a fair assessment of the situation devoid of any baseless insinuations.

The senior official clarified that the judge's reference in the letter was solely for a social media campaign.

Some moments after the AGP delivered a video statement, Law Minister Azam Nazeer Tarar said the office of AGP requested the IHC for an in-camera briefing.

“Impression was created as if the matters of the court are being interfered with,” he added.

Information and Broadcasting Minister Attaullah Tarar said there would be no compromise on national security issues that needed to be discussed at appropriate forums through proper procedure.

He said the AGP was the representative of the State and his request for the in-camera briefing on a specific national security issue, had been taken out of context.

He pointed out the AGP had made the request just for the sake of national security.

Atta Tarar underlined the need of fully understand the sensitivity of national interest, adding that the Attorney General had already clarified his position on the issue. He said the national security issues should be discussed at the appropriate forums.

“If a matter needs discussion, the chief justice has the authority to call a full court,” he added. The minister expressed optimism that the institutions would collectively work for the national interests of the country.

Justice Sattar writes another letter to IHC CJ

Islamabad High Court (IHC) Justice Babar Sattar on Tuesday wrote another letter to Chief Justice Aamir Farooq regarding apparent interference in the judiciary.

In his letter to the CJ, Justice Sattar revealed that he received a message from a top official of the security establishment, urging him to back off from scrutinizing the surveillance methods.

The judge wrote, “I did not pay attention to such threatening tactics,”.

He also wrote that he did not pay attention to such threatening tactics, nor did he perceive that such messages posed a significant risk to the administration of justice.

Justice Sattar also pointed out that in cases related to the Pakistan Telecommunication Authority (PTA), a smear campaign based on indecency seemed to be aimed at undermining  the judicial proceedings.

He said that in the audio leaks case, notices were issued by the court to secret and investigative agencies, relevant ministries, regulatory bodies, ISI, IB, FIA, regulatory bodies PTA, PEMRA.

 

 

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Sports

Pakistan decide to bowl first against Ireland in third T20I match

The players from both teams are brimming with anticipation, eager to deliver stellar performances during the match

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Dublin: Pakistan on Tuesday won the toss and decided to field first in the third T20I encounter against Ireland.

The fixture is taking place at a stadium in Dublin, setting the stage for an exhilarating clash.

The players from the both teams are brimming with anticipation, eager to deliver stellar performances during the match.

Teams:

Ireland: Mark Adair, Ross Adair, Andrew Balbirnie, Curtis Campher, George Dockrell, Graham Hume, Neil Rock, Harry Tector, Lorcan Tucker (c & wk), Ben White, Craig Young

Pakistan: Babar Azam (c), Saim Ayub, Mohammad Rizwan (wk), Fakhar Zaman, Azam Khan, Iftikhar Ahmed, Imad Wasim, Shaheen Afridi, Hassan Ali, Abbas Afridi, Mohammad Amir

One change for Pakistan. Hasan Ali comes in place of Naseem Shah

 

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