Pakistan’s economic condition is getting worse day by day due to rising debt, dwindling foreign exchange reserves, political instability and huge decline in GDP. There is no employment in the country. A few days ago, about 30,000 students had come to take the exam for only 1,167 vacancies of police recruitment, who were made to sit in the stadium of Islamabad.
The worsening economic crisis of the neighboring country can be gauged from the fact that Pakistan is even ready to sell its embassy to America.
The condition of Pakistan has become such that people here are not getting even basic facilities and if they are getting then the cost is more than normal. In some places, the cost of an LPG cylinder is close to Rs 10,000. Naubat has come to such an extent that in the last few days many marriage halls, markets and some other businesses of Pakistan had to be closed.
In order to lighten the ever-increasing burden on the exchequer and to get rid of this problem, Prime Minister Shahbaz Sharif’s government has also taken several steps in a hurry.
What is the reason behind the worsening economic crisis
Severe shortage of foreign exchange: There is a huge shortage of foreign exchange reserves in Pakistan. There has been a decline of US $ 6.7 billion in the currency reserves here. Meanwhile, China has also reduced its investment in Pakistan, due to which cooperation has also decreased. The politics of the country is also faltering, which has affected the economy of the country.
Problem aggravated by energy crisis: The Government of Pakistan has taken several steps to save electricity. One of which has ordered the markets to be closed till 8.30 pm. At the same time, this time limit for closing marriage halls and malls has been limited to 10 o’clock.
Apart from this, production of electric fans and bulbs has been stopped till July 2023. Under this scheme, a ban has also been imposed on the production of energy-inefficient bulbs and fans from February and July. To save electricity, it has been said by the ministry that all government meetings will be held during the day. Street lights have been turned off.
Growing Poverty: Poverty is increasing continuously in Pakistan. In the international poverty index, an increase of 35.7 per cent has been recorded in the poverty rate in the year 2022 as compared to the previous year. In the list of world’s poorest countries, Pakistan reached 92nd place out of 116 countries.
Employees not getting salary Employees in Pakistan are not even getting their salaries on time. The worst condition is of the railway sector. Railway has not been able to give gratuity to the retired employees, which is around 25 billion rupees. Not only this, there is not enough money to pay salary. Salary and pension of these employees are also not being received on time. Food inflation rose 35.5 percent year-on-year, while transport prices in Pakistan rose 41.2 percent in December.
how was last year
The year 2022 has been the worst year for Pakistan in terms of economy and trade. Sectors facing the brunt of the economic downturn during 2022 include the textile industry and its allied sectors, agriculture, import material-based industries and automobiles, leading to a huge wave of unemployment and job losses in Pakistan.
Pakistan’s currency fell to at least Rs 49.31 against the US dollar and the interest rate shot up to at least 16 per cent, the highest since 1998-1999.
The inflation rate is around 30 to 40 percent while the Consumer Price Index (CPI) is currently around 25 percent. Moreover, the Sensitive Price Index (SPI) is expected to be 28 per cent during the first five months of the current financial year, FY2023. The business community has termed the year 2022 as the worst performing year for Pakistan’s economy.