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Positive trajectory indicates brighter economic future for Pakistan

Pakistan has successfully staved off the risk of default

LAHORE (Dunya News) – The positive indicators of the economy show that Pakistan is heading in the right direction that would open doors of development and prosperity.

A report available to Dunya News shows Pakistan held sufficient foreign exchange reserves. The State Bank of Pakistan (SBP) also revealed that liquid foreign reserves held by it increased by $30 million to $9.4 billion during the week ended on September 06, 2024.

In light of fresh statistics, it can be said that Pakistan has successfully staved off the risk of default, which loomed clear during the PTI era due to confrontational policies and strained relations with key domestic and international stakeholders.

The central bank also recently revised down the policy rate by 200 basis points to 17.5 percent owing to sharp decline in both headline and core inflation over the past two months.

The CPI inflation rate in August 2024 dipped to 9.6pc, lowest since October 2021. The Pakistani rupee has also strengthened against dollar mainly due to the economic-friendly policies of the government, marking the positive trajectory in the country.

The federal government also slashed fuel prices in August 2024, a move that would help restore confidence of the investors.

The remittances sent by overseas Pakistanis are likely to cross the $28bn mark during the running month of September 2024.

The statistics show Pakistan qualifies the conditions laid forth by the International Monetary Fund (IMF) for the bailout package. The IMF's board meeting is scheduled to be held on the 25th of this month to approve the loan programme for Pakistan.

The positive economic indicators serve as a testament that Pakistan is heading in the right direction to emerge as an stable economy.

Furthermore, the economic improvement also offers a profitable environment to foreign investors. The efforts being made by Pakistan for regional economic cooperation are also boosting the confidence of the investors.

Engaging independent power producers for reviewing the agreements in order to control power tariff, economic stability and provision of better facilities would definitely leave positive impression on masses.

The aforementioned positive economic indicators and growing economy revive a hope among youth and assures that the country is now in safe hands.

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