The Pakistan Economy Watch (PEW) on Tuesday asked the government to take note of worsening economic situation and take remedial steps without any delay. The current economic situation has emerged as the greatest threat to the limping economy which needs immediate attention of the top government officials, it said.
The government should immediately start negotiations to enter into a fresh IMF programme otherwise total economic collapse cannot be avoided, said Dr. Murtaza Mughal, President PEW. He said that exports are falling, imports continue to grow despite efforts, internal and external investments have dried up, capital is flying out of the country and economy is nose-diving which has raised concerns.
Dr. Murtaza Mughal said that negotiations with lending agencies should not be delayed as our economic situation will become weaker by the passage of time which will compromise bargaining power of Pakistan. He said that our economic managers have repeatedly offended IMF by breaking all promises to introduce reforms which have pushed other lenders to step back from commitments on one pretext or other.
Now, the country is heading towards a major balance of payments crisis which needs immediate attention of the authorities as no country in the world including China would offer an unlimited dose of dollars to save our economy. He said that government should fulfill reservations of multilateral lenders on energy, taxation, and water sector reforms to save the country from unimaginable losses.