As we all know the whole world is suffering in high inflation . Every country of the world is facing this economic crises . The situation is more or less the same in the developed countries of the world, but the situation is much worse in the developing countries. Poor Third World countries have very low per capita incomes. If we take the example of Pakistan, the gravity of the situation here is very high. The country's economic situation is not much different from that of Sri Lanka. The recent wave of inflation has broken the backs of the people. The increase in oil products has made up for the shortfall.A poor country like Pakistan where people do not have basic human rights. Food items are very expensive. The common man is deprived of the best treatment.
If we take a look at the current budget. So it turns out that this is just a manipulation of statistics. Pakistan's newly elected government presented a 9.52 trillion Pakistani rupee ($47 billion) budget for the fiscal year 2022-23. The budget aims at tight fiscal consolidation and to achieve 5 percent economic growth, which is lower than the 5.97 percent growth in the outgoing year.Finance Minister Miftah Ismail, who presented the budget vowed to remove fuel and energy subsides to revive the International Monetary Fund (IMF)’s stalled $6 billion bailout package. The revival of the IMF program is crucial for Pakistan as the country faces a balance of payments problem. There are concerns that Pakistan may face a default like situation if the IMF bailout package is not revived in the coming weeks.
“Current account deficit shrank to $623 million, in April 2022; only two-thirds of March 2022 deficit of $1,015 million. A rise in the workers' remittances (by $315 million) and a fall in imports (by $246 million) explain this reduction,” the State Bank of Pakistan said in a tweet.
IMF programs have required that Pakistan adopt more withholding taxes (never to be refunded), surcharges, and levies on essential goods such as oil and electricity, even though these measures hurt employment and investment growth. And when the government misses its fiscal targets, the Fund and Pakistan’s finance ministry agree on quarterly mini-budgets, which often include new taxes on school fees, bank transactions, Internet access, and so forth.
The new conditions set by the IMF includes increasing electricity tariffs, the cabinet taking the decision to gradually impose Rs 50 per litre petroleum levy to collect Rs 855 billion, and ending the government's role in determining the oil prices,
These conditions will make life miserable for a common man .
Shortages of electricity and gas have drowned the industry. Industrial production is non-existent because industries are closing down one by one. Millions of workers are unemployed. The country's economic situation is critical. If our industries are not revived, the country will sink economically.Investment in the country has stopped. Because when you go to the IMF again and again, the world thinks of you as a failed state that is only running on debt۔ The need is to run the country like a country. Debt does not run home. What will happen to the country?