Author Dr. Ashfaque H. Khan

Economy in Doldrums

I will start with at least three major challenges that Pakistan faces today. The first being the low economic growth that has been persisting since 2008-09. Pakistan’s economy is growing at an average rate of 3.0 to 4.0 percent per annum, notwithstanding what our honourable finance minister has claimed about the growth accelerating to 5.3 […]

By: Dr. Ashfaque H. Khan

Squandered Opportunities

The past decade has been one of the worst for Pakistan’s economy because the weak and unprofessional economic teams of the two successive governments have led to a dramatic slide in almost all key economic indicators. The governments of the Pakistan Peoples Party (PPP) and the Pakistan Muslim League-Nawaz (PML-N) have not only damaged the […]

By: Dr. Ashfaque H. Khan

Understanding Dar’s Budget

The government of Pakistan Muslim League (Nawaz) presented the fifth and final budget of its five-year term in the Parliament on May 26 in an atmosphere of extreme political uncertainty. Since the revelation of the Panama Leaks in April last year, the clouds of uncertainty on the political front have rendered the government virtually dysfunctional. […]

By: Dr. Ashfaque H. Khan

Dwindling Revenues, Increased Borrowing

When the Pakistan Muslim League government, led by Prime Minister Nawaz Sharif, took charge in June 2013, Pakistan’s economy was already facing serious challenges. Central Bank foreign exchange reserves had declined to a level barely sufficient to provide cover for 45 days of imports and the country was heading towards an external payment default. Under […]

By: Dr. Ashfaque H. Khan

IMF Stabilisation Policy Now Dated

“The longer demand weakness lasts, the more it threatens to harm long-term growth as firms reduce production capacity and unemployed workers are leaving the labour force and critical skills are eroding. Weak demand also depresses trade, which adds to disappointing productivity growth”. Christine Legarde, Managing Director, International Monetary Fund (IMF), September 2016. The above statement […]

By: Dr. Ashfaque H. Khan

‘Economic gimmickry’

The Government must change its policy direction towards job-rich growth as proposed by the G-20 leadership other than the stabilization policy alone, which stifles demand and chokes growth. The policy direction should not be fixated towards managing the budget deficit alone. The last eight years of the so-called “stabilization policy” has suffocated Pakistan’s economy. It […]

By: Dr. Ashfaque H. Khan