In recent years, Pakistan’s trade deficit has hit a record high level of $30 billion in the first 11 months of...
SHIKARPUR: In recent years, Pakistan’s trade deficit has hit a record high level of $30 billion in the first 11 months of 2016-17. This shows an obvious difference of 42 per cent when compared to the same period in the previous financial year.
Additionally, exports have reduced by three per cent to $18.5 billion, while imports have skyrocketed by 21 per cent to $48.5 billion. Unfortunately, structural factors, mismanagement of resources and flawed policies have proved to be a great cause of trade gaps in Pakistan.
Consequently, the government needs to realise that export growth is essential not only for sustainability of external debt, but also to increase the economy’s growth rate to six per cent or more as well. It is necessary to reduce the trade gap over the next three years by almost $10 billion through an effective, strategic and vigorous trade policy.
Sheeraz Akhtar Bhutto
Published in The Express Tribune, July 29th, 2017.
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