Pakistan Economy Profile 2012

Economy - overview

Pakistan, an impoverished and underdeveloped country, has suffered from decades of internal political disputes and low levels of foreign investment. Between 2001-07, however, poverty levels decreased by 10%, as Islamabad steadily raised development spending. During 2004-07, GDP growth in the 5-8% range was spurred by gains in the industrial and service sectors - despite severe electricity shortfalls - but growth slowed in 2008-09 and unemployment rose. Inflation remains the top concern among the public, climbing from 7.7% in 2007 to more than 13% in 2010. In addition, the Pakistani rupee has depreciated since 2007 as a result of political and economic instability. The government agreed to an International Monetary Fund Standby Arrangement in November 2008 in response to a balance of payments crisis, but during 2009-10 its current account strengthened and foreign exchange reserves stabilized - largely because of lower oil prices and record remittances from workers abroad. Record floods in July-August 2010 lowered agricultural output and contributed to a jump in inflation, and reconstruction costs will strain the limited resources of the government. Textiles account for most of Pakistan's export earnings, but Pakistan's failure to expand a viable export base for other manufactures has left the country vulnerable to shifts in world demand. Other long term challenges include expanding investment in education, healthcare, and electricity production, and reducing dependence on foreign donors.

GDP (purchasing power parity)

$464.9 billion (2010 est.)
$443.6 billion (2009 est.)
$429.2 billion (2008 est.)
note: data are in 2010 US dollars

GDP (official exchange rate)

$174.9 billion (2010 est.)

GDP - real growth rate

4.8% (2010 est.)
3.4% (2009 est.)
1.6% (2008 est.)

GDP - per capita (PPP)

$2,500 (2010 est.)
$2,400 (2009 est.)
$2,400 (2008 est.)
note: data are in 2010 US dollars

GDP - composition by sector

agriculture: 21.2%
industry: 25.4%
services: 53.4% (2010 est.)

Population below poverty line

24% (FY05/06 est.)

Labor force

55.77 million
note: extensive export of labor, mostly to the Middle East, and use of child labor (2010 est.)

Labor force - by occupation

agriculture: 43%
industry: 20.3%
services: 36.6% (2005 est.)

Unemployment rate

15.4% (2010 est.)
14.4% (2009 est.)
note: substantial underemployment exists

Unemployment, youth ages 15-24

total: 7.7%
male: 7%
female: 10.5% (2008)

Household income or consumption by percentage share

lowest 10%: 3.9%
highest 10%: 26.5% (2005)

Distribution of family income - Gini index

30.6 (FY07/08)
41 (FY98/99)

Investment (gross fixed)

13.8% of GDP (2010 est.)

Budget

revenues: $24.75 billion
expenditures: $35.67 billion (2010 est.)

Taxes and other revenues

14.2% of GDP (2010 est.)

Budget surplus (+) or deficit (-)

-6.2% of GDP (2010 est.)

Public debt

50.6% of GDP (2010 est.)
50.2% of GDP (2009 est.)

Inflation rate (consumer prices)

13.9% (2010 est.)
13.6% (2009 est.)

Central bank discount rate

0.07% (31 December 2010 est.)
12.5% (31 December 2009 est.)

Commercial bank prime lending rate

13.462% (31 December 2010 est.)
14.189% (31 December 2009 est.)

Stock of narrow money

$53.08 billion (31 December 2010 est.)
$45.8 billion (31 December 2009 est.)

Stock of money

$NA (31 December 2008)
$52.76 billion (31 December 2007)

Stock of broad money

$85.22 billion (31 December 2010 est.)
$65.13 billion (31 December 2009 est.)

Stock of quasi money

$NA (31 December 2008)
$18.42 billion (31 December 2007)

Stock of domestic credit

$61.39 billion (31 December 2010 est.)
$56.11 billion (31 December 2009 est.)

Market value of publicly traded shares

$38.17 billion (31 December 2010)
$33.24 billion (31 December 2009)
$23.49 billion (31 December 2008)

Agriculture - products

cotton, wheat, rice, sugarcane, fruits, vegetables; milk, beef, mutton, eggs

Industries

textiles and apparel, food processing, pharmaceuticals, construction materials, paper products, fertilizer, shrimp

Industrial production growth rate

4.6% (2010 est.)

Electricity - production

89.23 billion kWh (2009 est.)

Electricity - production by source

fossil fuel: 68.8%
hydro: 28.2%
nuclear: 3%
other: 0% (2001)

Electricity - consumption

68.55 billion kWh (2008 est.)

Electricity - exports

0 kWh (2009 est.)

Electricity - imports

0 kWh (2009 est.)

Oil - production

63,580 bbl/day (2010 est.)

Oil - consumption

410,000 bbl/day (2010 est.)

Oil - exports

29,840 bbl/day (2009 est.)

Oil - imports

346,400 bbl/day (2009 est.)

Oil - proved reserves

313 million bbl (1 January 2011 est.)

Natural gas - production

38.41 billion cu m (2009 est.)

Natural gas - consumption

38.41 billion cu m (2009 est.)

Natural gas - exports

0 cu m (2009 est.)

Natural gas - imports

0 cu m (2009 est.)

Natural gas - proved reserves

840.2 billion cu m (1 January 2011 est.)

Current Account Balance

-$1.585 billion (2010 est.)
-$3.993 billion (2009 est.)

Exports

$21.46 billion (2010 est.)
$18.35 billion (2009 est.)

Exports - commodities

textiles (garments, bed linen, cotton cloth, yarn), rice, leather goods, sports goods, chemicals, manufactures, carpets and rugs

Exports - partners

US 15.8%, Afghanistan 8.1%, UAE 7.9%, China 7.3%, UK 4.3%, Germany 4.2% (2010)

Imports

$32.88 billion (2010 est.)
$28.62 billion (2009 est.)

Imports - commodities

petroleum, petroleum products, machinery, plastics, transportation equipment, edible oils, paper and paperboard, iron and steel, tea

Imports - partners

China 17.9%, Saudi Arabia 10.7%, UAE 10.6%, Kuwait 5.5%, US 4.9%, Malaysia 4.8% (2010)

Reserves of foreign exchange and gold

$17.21 billion (31 December 2010 est.)
$13.77 billion (31 December 2009 est.)

Debt - external

$56.12 billion (31 December 2010 est.)
$53.6 billion (31 December 2009 est.)

Stock of direct foreign investment - at home

$30.06 billion (31 December 2010 est.)
$28.04 billion (31 December 2009 est.)

Stock of direct foreign investment - abroad

$1.148 billion (31 December 2010 est.)
$1.102 billion (31 December 2009 est.)

Exchange rates

Pakistani rupees (PKR) per US dollar -
85.27 (2010)
81.71 (2009)
70.64 (2008)
60.6295 (2007)
60.35 (2006)

Join Hands with Imran Khan

A Martyr’s Mockery

A Martyr’s Mockery

I give only one message. It is the message of the morrow, the message of history. Believe only in the people, work only for their emancipation and equality. The paradise of God lies under the feet of your mother. The paradise of politics lies under the feet of the people. I have quite a few achievements to my credit in the public life of the Sub-continent but, in my memory, the most rewarding achievements have been those which have brought smiles of joy to the weary faces of our miserable masses, achievements which have brought a twinkle to the melancholy eye of a villager – (My dearest daughter: A letter from a death cell – Zulfiqar Ali Bhutto). 

With words as such the Bhutto still beckons; in his time of captivity as reason gave way to recluse and his conscience slowly embraced the wings of fate; the torrid soul spewed out the wisdom that had been cocooned in his being.   A hopeless hopeful in his last days, the firebrand who was once envisioned as the leader of the third world had been reduced to a politico gambit of the Martials.  As he penned his last words to his daughter, he forged in them his mettle and spirit; a solemn ode to the brave; a morituiri te salutant!

Ex post facto the nation has been in the pythonic grip of the military establishment and the once formidable PPP which boasted the collective strength and zest of a generation has relegated to a hodgepodge circus that will make Ze Bhutto turn in his grave.  The peoples “party” – as in a political ideology – has been morphed into a “party” of merry-making and good times as the convivial clowns feast on the treasury.  Forget about strength of conviction and tackling the issues; forget about the challenges of poverty and illiteracy; of Baloch sectarianism and injustice; of education and innovation; of mobilizing our talents and revamping our economics; the present assembly of blockheads in Islamabad will consider the completion of their tenure as their biggest toast to boast.  The spectrum of intelligence lies nestled between the infamous “aap ki nazar mein” to “kehna bohot asaan hai”.

Sandwiched between the shadow governance of our “heroic” army and the umbrella conspiracies of the western my- baaps; the status quo is of a frustrated defiance stripped naked of any morals and decency. From parliament to local government; any substantial investment towards any institution for the common good is viewed as a wasteful exercise in futility.  Under the present predicament, the collective mindset is of – a temporary opportunity so heavenly afforded in a narrow window of democracy to salvage the gains and consolidate the coffers – and it has reached demonic proportions.

As a result we have become an Orwellian prophecy; A Martin Seligman experiment on animal-psychology of “learned helplessness” – where an animal is repeatedly hurt by an adverse stimulus which it cannot escape.  Eventually the animal will stop trying to avoid the pain and behave as if it is utterly helpless to change the situation.  This learning is so powerful that even after the stimulus is stopped the behavior stays and when a chance to escape is presented, the learned helplessness prevents any action.

There is no denying the army’s tyranny of an abusive –cum- sadistic parent.  One even finds many an argument in favor of and justifying the Memo-gate (if proven true) that it highlights the desperado attempt of a civilian government to avert another coup d’état and assert its authority and significance, but this is just absolute claptrap nonsense.  If the army is to be denied any future endeavors then the purist way forward was and has always been for our elected leaders to cultivate an environment of trust fostering a meticulous and undistracted inquiry into the issues that plague us, followed by a piercing pursuit of solutions therefore.  Such an activity if conducted by an educated and progressive group of credible officeholders who are in-tune with the sentiments of the people they represent will be a genuine step forward to change; it will cement in our psyche that a government of the people, by the people and for the people is the righteous path to prosperity.  The CBMs or confidence building measures so oft used for international relations are needed closer to home as our society is further carved by sectarianism; regional upheavals and religious fanaticism.

The present government has failed miserably in all regards; if “democracy is the best revenge” then this brand of democracy is a mockery of the martyrs and it will avenge nothing.  The childish fixation on trivial matters masquerading ambitions of greed and plot has further fanned the archaic concepts of enlightened despotism and wants of a messianic revolution.  In the words of the great Bhutto – “If things do not change, there will be nothing left to change.  Either power must pass to the people or everything will perish”

پاکستان کیخلاف اصل سازش

پاکستان کیخلاف اصل سازش

سید طلعت حسین

Money-laundering charges: NAB initiates probe against Sharifs

Money-laundering charges: NAB initiates probe against Sharifs

FAZAL SHER

ISLAMABAD: The National Accountability Bureau (NAB) has initiated investigation into allegations levelled by Interior Minister Rehman Malik against Pakistan Muslim League-Nawaz (PML-N) leadership regarding $ 32 million money laundering.

“The reference against the Sharif brothers was sent by Interior Minister Rehman Malik and it will be decided on merit,” said spokesman for NAB Zafar Iqbal Khan while addressing a press conference at NAB headquarters here on Thursday.

To a question about the reports that President Zardari has directed the NAB chairman to initiate an inquiry against the Sharif brothers and reopen cases against them, he said that the President had only directed the Chairman NAB to ensure that there should be no political victimisation.

Malik had earlier claimed that he had evidence against the PML-N leaders’ involvement in $ 32 million money laundering.

Zafar said that the NAB had so far recovered Rs 2.012 billion from Rental Power Plants (RPPs) on the directives of Supreme Court (SC) and added that of Rs. 2.012 billion, an amount of Rs 109 million had been recovered from Pakistan Power House and Walter International, Rs 546 million from Techno Engineering, Rs 50 million from Young Generation, Rs 225 million from Gulf company and Rs 100 million from Reshma company. The NAB had recorded the statements of Raja Pervez Ashraf, Shaukat Tareen and Liaquat Jatoi but no money had been recovered from them, he said.

He said that the Interior Ministry had yet not put the names of ministers involved in RPPs case on Exit Control List (ECL) despite request of NAB.

Responding to a question, he said that nobody had been given clean chit in the case rather NAB was in the process of recovery from the RPPs. He said that Raja Parvez Ashraf‚ Shaukat Tareen and Liaquat Jatoi would be summoned again if needed.

The NAB spokesman said that the probe against federal minister Raja Pervez Ashraf and former ministers Liaquat Jatoi and Shaukat Tareen was underway over corruption charges in rental power scam.

He said that NAB had no role in writing a letter to Swiss authorities and there was clear judgment of the SC on the matter.

The NAB spokesman said that NAB had arrested member OGRA, Mansoor Zafar in gas prices scandal and issued arrest warrant against former Chairman OGRA, Tauqeer Sadiq and would soon arrest him.

Zafar said that an army team was questioning generals allegedly involved in NLC corruption reference and the NAB was in contact with the military’s investigation team.

He said that NAB had not given approval to the Capital Development Authority (CDA) for ‘LED’ street light project and added that NAB had identified deficiencies in the project after reviewing the CDA’s record related to the project

Reopening of NATO route: PML-N calls Gilani’s statements confusing

Reopening of NATO route: PML-N calls Gilani’s statements confusing

By Sumera Khan

Published: May 18, 2012

Iqbal claims PM was trying to confuse nation over issues linked with supremacy of Constitution, national security.

ISLAMABAD / LAHORE: 

Prime Minister Gilani is commander of the Pakistani Nato (No Action, Talk Only) and the commander is trying to fool the nation over important matters, a top PML-N leader said on Thursday.

While responding to the assertions of Prime Minister Yousaf Raza Gilani, PML-N leader Ahsan Iqbal claimed that the prime minister was trying to confuse the nation over core issues linked with the supremacy of the Constitution and national security.

He was of the view that the prime minister and his party were also acting like a Nato in Pakistan; its one-point agenda being No Action, Talk Only. He claimed that Gilani was not interested in strengthening the Constitution and the rule of law but was trying to complete his term by hook or by crook.

He was talking to reporters at the Allama Iqbal Airport here on Thursday.

“If he has still some self-respect left, he should have stepped down honouring the Supreme Court’s verdict, but he wants to be remembered as a cowboy…yes…Gilani has the right of appeal but he should exercise it after leaving the premier’s post, and once he proves his innocence, he can become prime minister again, if he cannot live without the post,” Ahsan said.

Another PML-N member claimed that the prime minister was stubborn in his attitude despite the fact that he was a convicted chief executive of Pakistan now and should immediately leave the prime minister’s office.

Opposition parties and members of the Parliamentary Committee on National Security (PCNS) have expressed their reservations over the government’s intention to reopen the Nato supply route soon. A member of the PCNS, who is from the opposition and who asked not to be named, claimed that the prime minister was trying to calm down the frayed tempers, though the issue had been settled between the government of Pakistan and the US. He added that “the government might have cut an underhand deal with the US and the recommendations of the PCNS will have a place only in the library of parliament, as it has no worth.”

Replying to a question about the government’s “confusing” statements on the reopening of Nato supply route, the Chairman of the PCNS, Senator Raza Rabbani, said until the government took a concrete decision to implement recommendations of the PCNS and a final review of terms of engagement with the US that were approved by parliament unanimously was made, he would not comment on the issue of Nato supplies.

Earlier in the day while referring to the PML-N’s criticism with regard to his status after the verdict of the Supreme Court, Prime Minister Gilani had claimed that the PML-N was trying to  get the verdict of the Supreme Court implemented by force and teach him the intricacies of the Constitution. He also tried to parry questions about the Nato issue by saying that “negotiations are under way with the US and the PCNS will not be bypassed’

Imran’s reaction

Pakistan Tehreek-e-Insaf Chairman Imran Khan claimed here on Thursday that if the Nato supply route was restored against the recommendations of parliament, then such a parliament was useless.

Talking to media persons at Allama Iqbal Airport, he said about Rs66,000 a minute were being spent on parliament, which was a sheer waste of money as the parliament’s recommendations went unheeded.

He said a national conference on the Nato supply route issue was due to be held on May 29.

Shah Mahmood Qureshi, Javed Hashmi and Dr Arif Alvi had been tasked with organising the conference, he added. He said the US would have to stop drone attacks.

He reiterated his stance that Pakistan should get out of the war on terror and try to resolve the matter through talks. (Additional input by Online)

Published in The Express Tribune, May 18^th, 2012.