Assalam alaikum.

I have decided to open this thread to inform the respected members how Pakistan's economy is performing under the present government. Best way to judge in my opinion is to compare the figures between 1988-2000 period Vs. 2000 to 2007 period.

It is for all to see and conclude if Pakistan is doing better or worst.

Let us keep it a healthy debate. All views related to Economy are welcome.


DEBT

Pakistan's total stock of external debt and foreign exchange liabilities grew at an average rate of 7.4 percent per annum during 1990-99's rising from $ 20.5 billion in 1990 to $ 38.9 billion by end June 1999. Foreign exchange earnings on the other hand, either remained stagnant or increased at a snails pace during the same period. Despite the accumulation of almost $ 18.4 billion debt in the 1990s, foreign exchange earnings rose by only $ 4.0 billion. Consequently the debt burden (external debt and foreign exchange liabilities as a percentage of foreign exchange earnings) rose from 256.6 percent in 1989-90 to 335.4 percent in 1998-99. Following a credible strategy of debt reduction over the last six years, Pakistan has succeeded in reducing the country's debt burden. External debt and foreign exchange liabilities, instead of growing at the pace of the 1990s, were in fact reduced from U.S. $38.9 billion in 1998-99 to $ 36.5 billion by end-March 2006 a reduction of $ 2.4 billion in seven years. Most importantly, the burden of the debt has declined substantially during the same period. For example, the external debt and liabilities as a percentage of foreign exchange earnings which stood at 335.4 percent in 1998-99, declined to 127.6 percent by end-March 2006. The external debt and liabilities stood at 64.1 percent of GDP in end-June 1999, declined to 28.3 percent in end-March 2006.



_{Source: State Bank of Pakistan}

Overall Growth and Consumer Spending.

Pakistan's economy continued to maintain solid pace of expansion for the fourth year in a row in the fiscal year 2005-06 despite facing headwinds from rising oil prices at $ 70-75 per barrel and the widespread damage caused by the earthquake of October 8, 2005. With economic growth at 6.6 percent in 2005-06, Pakistan's economy has grown at an average rate of almost 7.0 percent per annum during the last four years and over 7.5 percent in the last three years, thus enabling it to join the exclusive club of the fastest growing economies of the Asian region. The growth momentum that Pakistan sustained for the last four years is underpinned by dynamism in industry, agriculture and services, and the emergence of a new investment cycle supported by strong credit growth.

The current economic upturn is substantially different in key respects from the occasional economic rebound of short duration that Pakistan witnessed in the 1990s.

Real GDP grew strongly at 6.6 percent in 2005-06 as against the revised estimates of 8.6 percent last year and 7.0 percent growth target for the year. When viewed at the backdrop of rising and volatile oil prices and the extensive damage caused by the earthquake of October 8, 2005 Pakistan's growth performance for the year has been impressive.

Key drivers of this year's growth have been service sectors and industry. Large-scale manufacturing grew by 9.0 percent as against 15.6 percent of last year and 14.5 percent target for the year showing signs of improvement on account of higher capacity utilization on one hand and strong base effect along with several other factors on the other hand. The services sector continued to perform strongly and grew by 8.8 percent. Construction too continued its strong showing, partly helped by activity in private housing market, spending on physical infrastructure, and reconstruction activities in earthquake affected areas. Consumer spending remained strong with real spending rising by 8.1 percent and investment spending maintaining its strong momentum at 10.3 percent increase in real investment. Agriculture, and particularly its crop sector could not perform up to the expectation and registered a contraction in growth. Livestock, a major component of agriculture, exhibited strong showing and pulled the overall growth in agriculture to 2.5 percent as against the target of 4.2 percent. Livestock has been the only saving grace as far as the performance of agriculture is concerned this year.

Pakistan's economy is undergoing structural shifts that are fueling rapid changes in consumer spending patterns. The ease of access to credit is boosting new entrepreneurship as well as consumers. In particular, the middle class is becoming an increasingly dominant force in the economic activity. Pakistan's per capita real GDP has risen at a faster pace during the last three years (5.6% per annum) leading to a rise in average income of the people. Such increases in real per capita income have led to a sharp increase in consumer spending during the last three years. As opposed to an average annual increase of 1.4 percent during 2000-2003, real private consumption expenditure grew by 13.1 percent in 2004-05 and by 8.1 percent in 2005-06. Relatively slower growth in consumption in 2005-06 is mainly the result of inflationary pressure in the economy. The extraordinary strengthening of domestic demand during the last three years points to the following facts. First, the higher consumer spending feeding back into economic activity is likely to support the on-going growth momentum. Second, it suggests the emergence of a strong middle class with purchasing power which is a healthy sign for business expansion. Third, extra-ordinary rise in consumer spending over the last three years appears to have contributed, in part to building inflationary expectations in Pakistan.
_{Source: All figures have been taken from State Bank of Pakistan.}

This was a summary of overall growth and consumer spending in Pakistan.

Per Capita Income

Per capita income is one of the main indicators of economic well-being. It is SIMPLY regarded as the average standards of living of the people in a country. Per capita income, (calculated as Gross National Product at market price in dollar term divided by the country's population), grew at a much slower pace of 1.4 percent per annum in the 1990s, due mainly to slower economic growth, declining trend in workers' remittances and fast depreciating exchange rate. The pendulum swung to other extreme during the last few years and the per capita income grew at a tremendous pace. The per capita income in dollar term has grown at an average rate of 13.6 percent per annum during the last three years rising from $ 669 in 2003-04 to $ 742 in 2004-05 and further to $ 847 in 2005-06. The main factor responsible for the sharp rise in per capita income include acceleration in real GDP growth, stable or even appreciation in exchange rate and four fold increase in the inflows of workers' remittances. Per capita income in dollar term rose from $ 742 last year to $ 847 in 2005-06, depicting an increase of 13.6 percent.

_{Source: All figures taken from State Bank of Pakistan.}

Micro-Finance

Microfinance plays a critical role in improving the lives of the poor people. The poor use financial services not only for business investment in their micro enterprises but also to invest in health and education, to manage household emergencies, and to meet the wide variety of other liquidity needs that they encounter occasionally. Evidence from the millions of microfinance clients around the world demonstrate that access to financial services enables poor people to increase their household income, build assets and reduce their vulnerability to the crises that are so much a part of their daily lives.

In the context of Pakistan and realizing the importance of microfinance as a tool of poverty reduction and social mobilization, the government has accelerated its efforts to establish strong foundations of microfinance in formal sector along with extending support to the informal sector (NGOs) as well. Khushali Bank (KB) was established as the first specialized microfinance institution in 2000 and the Microfinance Institutions (MFI) Ordinance was promulgated in 2001 to provide a separate regulatory framework for microfinance institutions. As a result, during the last five years, four specialized microfinance banks (excluding KB) have started operation, which includes the First Microfinance Bank Limited (FMFBL) and Tameer Microfinance Banks working at the national level, the Rozgar Microfinance Bank Limited (RMFBL) and Network Microfinance Banks Limited (NMFBL) which are operating at the district level.

_{Source: A few different articles here and there.}

MANUFACTURING.

A point to be noted is that Pakistan's economy where Agriculture Sector used to be the mainstay driving force has been taken over by the Manufacturing sector and all indications are that the gap between the two will continue to gorw in favor of the latter......ooopse. Boss is here....

**Runs**

I'm very interested about the current situation with regards to poverty reduction since Musharraf came to power. Also, I want to know a bit more about inflation and how it is being dealt with in Pakistan. Thank you so much brother for opening up this thread.

INFLATION

Inflation results in inefficient resource allocation and hence reduces potential economic growth and it is an ongoing problem pretty much everywhere since it hardly remains constant.

In the context of Pakistan, Inflation as measured by the Consumer Price Index (CPI) declined from 9.0 percent to a period-average of 8.0 percent in July-April 2005-06. This development with regard to prices is also reflected in the other measures of inflation used in Pakistan, namely core inflation, the Wholesale Price Index (WPI) as well as the Sensitive Price Index (SPI).

Four different price indices are published in Pakistan: the consumer price index (CPI), the wholesale price index (WPI), the sensitive price index (SPI) and the GDP deflator. The CPI covers the retail prices of 375 items in 35 major cities and reflects roughly the cost of living in the urban areas. The WPI is used to measure the price movement of selected items in the primary and wholesale markets. The items covered under the WPI are those which are offered in lots for sale. The WPI covers the wholesale price of 106 major items prevailing in the city of origin of the commodities. The SPI covers prices of 53 essential items consumed by those households whose monthly income ranges from Rs.3000 to Rs.12000 per month.

In Pakistan, the main focus is placed on the CPI as a measure of inflation as it is more representative with a wider coverage of 375 items in 71 markets of 35 cities around the country.

The overall inflation averaged at 9.3 percent in the fiscal year 2004-05 and the last fiscal year ended with an inflation rate of 8.7 percent in June 2005. Keeping in view the fact that inflation, once reached at high level, is difficult to bring it down to a low level in a short period of time. Accordingly, the government had set the average inflation target of 8 percent for the fiscal year 2005-06. The current fiscal year, however, started with an inflation rate of 9.0 percent in July 2005 but continued to decelerate, reaching at 6.2 percent in April 2006: the lowest in the last 23 months. Food inflation was closed to 9.7 percent at the beginning of the current fiscal year but decelerated sharply to 3.6 percent in April 2006- the lowest in the last 31 months. The measure taken by the Government, particularly since April 2005, when overall inflation reached 93 months high at 11.1 percent (the last-time inflation was at this level in July 1997) and food inflation peaked at 15.7 percent in April 2005 (last-time it was at 15.7 percent in May 1994), yielded handsome dividend in the shape of overall inflation decelerating to 6.2 percent and food inflation to 3.6 percent in April 2006. Non-food inflation averaged 7.1 percent in 2004-05, jumped sharply over the preceding year (3.6% in 2003-04). The current fiscal year (2005-06) started with non-food inflation at 8.5 percent in July 2005. By April 2006—in ten months time, it has decelerated marginally at 8.0 percent.

It is important to note that with the exception of house rent, energy and transport all other sub-indices of the CPI have registered nominal increases. In other words, inflation of these sub-indices remained under control. It would be safe to argue that this year's inflation was largely driven by food, energy, transport and house rent. While the government has little control on energy prices and the attendant rise in transport charges, this year's inflation remained relatively high for sure, at a slower pace, primarily on account of food and house rent.

Inflation by Income Group

Price hike affects various sections of the society differently. In most cases, the lower income group of society becomes victim of the severity of inflation on account of their erosion of purchasing power. To assess the impact of inflation across all income classes, the CPI is also computed for four income group with income limits ranging from Rs. 3000 to Rs. 12,000 per month. The incidence of inflationary pressure on various income Groups during July-April. A cursory look is sufficient to see that as compared to last years, inflation for all the four income groups are lower in the current fiscal year. Furthermore, the highest inflation at 8.5 percent is witnessed for the highest income group while rest of the three income groups faced almost the same inflation rate at 7.5 percent

Wholesale Price Index (WPI)

During the first ten months (July-April) of the fiscal year 2005-06 inflation, as measured by changes in WPI, picked up to 10.3 percent as against 6.9 percent in the same period last year. Like in the case of CPI based inflation, food component of the WPI registered decline at 7.2 percent as against 11.0 percent in the same period last year. The non-food component of the WPI registered sharp increase to 12.6 percent as against 4.1 percent last year. Fuel and Lighting component of the WPI rose sharply at 28.0 percent as against 14.6 percent in the same period last year. Manufactures and building material components exhibited smaller increases.

Sensitive Price Indicator (SPI)

The sensitive price indicator consists of 53 essential items. During July-April 2005-06, SPI recorded an increase of 6.7 percent as against 12.0 percent in the same period last year. With 33 food items, the SPI is heavily weighted in favour of food items which have a weight of 68.2 percent followed by utility items (15.4%), non-food items (10.6%) and transport (5.8%). Since the beginning of the current fiscal year and until April 2006, the prices of some essential commodities registered sharp increase while few of them registered decline and also some of them registered nominal increases. The items which have registered sharp increase include Moong, Mash and Gram pulses, beef, mutton and sugar. The items registered sharp decline include chicken, eggs, and red chillies. Minor reduction is also witnessed in the prices of wheat, masur pulse, rice Irri, and cooking oil. Most importantly, the price of wheat flour remained almost unchanged during the last 10 months


Price Stabilization Measures

In order to keep the prices of essential commodities under control, the government has been taking various measures throughout the year. These measures include liberal import regime for food items including zero rating of the imports of these commodities. The government has been expanding the supply of essential items such as sugar and wheat flour through the outlets of the Utility Stores Corporation (USC). Furthermore, in order to provide relief to the low and fixed income groups, the government has been selling wheat flour and sugar through the outlets of the USC at much lower prices than the market. In order to augment supplies of essential commodities at shortest possible time and at lower freight charges, the government has allowed the import of various items through land routes from neighbouring countries. The role of the Trading Corporation of Pakistan (TCP) has been enhanced. The TCP is very active in importing sugar from around the world to build strategic reserves with a view to shielding the consumers from the extra-market forces. The TCP has also been asked to import various kinds of pulses to meet the domestic consumption requirements and stabilize their prices in the country. The specific measures taken by the government during the year include:-

- The government has been selling wheat flour and sugar at Rs. 11.5 per kg and Rs.27.5 per kg, respectively through the USC as well as through its outlets in weekly bazaars and through mobile units. The USCs has hired 59 vehicles to sell wheat flour and sugar to the far flung areas of Pakistan. The government has been selling 3.0 million bags of 10 kg wheat flour as well as 32,000 metric tons sugar through the outlets of the USCs per month. The people of Pakistan are getting wheat flour and sugar at a much cheaper rate than the markets.

- The government has also allowed duty free imports of wheat and wheat flour, sugar and other essential consumer items such as live animals, beef, mutton, Onion, Tomato, Potato, Garlic etc. with a view to augment their supplies and reduce their prices.

- Besides these steps, a Prime Minister's Committee has been constituted to monitor the price situation in the country by keeping a watch on the supply and demand conditions. The Committee has to keep a watch on the price level of various commodities in the country through a proper system of monitoring on daily basis. In addition to this a close vigilance is kept on unusual rise in prices through weekly meetings of the Kitchen Items Committee, now called the Sensitive Items Price Committee (SIPC) and through the fortnightly meetings of the ECC of the Cabinet to ensure price stability in the country.

_{Source : Figures taken from State Bank of Pakistan.}

Great going Mushy now where are those "critics" who claim that Pakistan is not progressing under Mushy?

Foreign Exchange Reserves of Pakistan.:

Then :

1999-2000 = $1.97 Billion ; Total liquid reserves

and now :

2006-2007 = $15.61 Billion ; Total Liquid Reserves

_{Source: State Bank of Pakistan.}

Link

As of September 2007 : Pakistan's foreign exchange reserves crossed $16.1 billion mark despite the " outflow " of some 133 million dollars in portfolio investment .

Link

Foreign Direct Investment :

Then :

1997- 1998 : $ 822 million only.

Link

and now :

2006-2007 : A " Record " $ 8.42 Billion;

Link

I am pretty sure that the FDI was like $8.4 billion this year.

Thank god someone bothered to reply. I was starting to get bored. I will double check the figure from State Bank of Pakistan.

In the mean time, here is some more information for you :

FY 2000 the public debt was 96 %, which has declined to 54 % in FY 2006

Export was at US $ 8.5 billion in FY 2000 which has accelerated to US $ 16.5 billion in FY 2006.

Second last paragraph.

For FY06/07, FDI stood at $4.16b, and portfolio investments at $1.8b.

(http://www.finance.gov.pk/survey/sur_chap_...rview_06_07.pdf, Pg. 16)

Yes, you are right. I have corrected it to $8.42 billion as well as attached the link from State Bank of Pakistan. Thank you.

Yes, I checked. The figure is for the first 10 months only. Please check my link from State Bank of Pakistan totalling it as $8.4 billion.

Link from State Bank of Pakistan.

So I was right! Hopefully the FDI doesn't get affected by the political issues in the country. I mean it was snowballing so well, lets hope that it continues to do so.

FDI nearly doubled in one year, if the trend continues, good days are ahead of us. Lets hope Mush is reelected.

Dear bojangles, I myself is shocked beyong belief. I can not believe how much Pakistan has progressed under Musharraf economically. But the figures are there to witness the achievements.

This comparison is for everyone to see and decide for themselves.

1989-1999 is the era of Benazir, Nawaz, Benazir and then Nawaz again.
2000-2007 is the era of Musharraf.

It is actually quite amazing, I hope he stays on and this progress is continued. I think that the investment will continue to flow in that is if after the elections, and if everything goes well. Emaar Group from UAE is investing $43 billion over the next 13 years in Buddo and Bundal Islands (for that project, they have several others as well), and there are many more examples, so future looks bright.

Thanks.

I wasn't sure when the Pakistani fiscal period ended. When does it end, by the way?

Tax Collection :

Then :

1999- 2000 : Rs. 347.10 billion only.


and now :

2006-2007 : A " Record " Rs. 846.42 Billion

Link from State Bank of Pakistan.

Fiscal year end for Pakistan : End of June.

The fiscal year ends June, so July was the first month of this fiscal year.





Jul-Aug tax collection up 20.8%

Staff Report

ISLAMABAD: The Central Board of Revenue (CBR) has collected Rs 111.7 billion net during the first two months of fiscal year 2007-08 as compared to Rs 92.5 billion last year showing an increase of 20.8 percent.

According to official figures released by the Ministry of Finance on Friday the provisional figures show that CBR during July-August 2007 has surpassed the assigned target of Rs 106.4 billion for the first two months of 2007-08 by an amount of Rs 5.3 billion.

The CBR collected Rs 846.4 billion during the year 2006-07and the target for the year 2007-08 has been set at Rs 1,025 billion. Almost 11 percent of the target for the year has been achieved.

Based on the current trends, it is safe to say that the CBR is likely to achieve the target for the year.

Breakdown of the consolidated CBR collection for the first two months of FY08 show that direct tax collection amounted to Rs 28.74 billion, which is up by a hefty 35.6 percent. The share of direct taxes in the first two months stood at 25.7 percent as against 23 percent in the same period last year. Accordingly, the share of indirect taxes declined from 77.1 percent to 74.3 percent during the same period. Indirect taxes have risen up 16.4 percent during the period under consideration on the back of slower growth in imports.

Within indirect taxes, sales tax, which accounts for roughly 66.1 percent of indirect taxes and 49.1 percent of total taxes has shown a growth of 22.0 percent (Rs 54.847 billion). Sales tax collected from domestic economic activity is up by 57.2 percent while sales tax collected at import stage grew by 4.4 percent because of the growth in imports. Customs duty collection is up by 3.8 percent and the collection of Federal Excise Duty has shown a growth of 12.8 percent (collected Rs 9.687 billion).


http://www.dailytimes.com.pk/default.asp?p...5-9-2007_pg5_10

================================================================================

Great work by the government. The goal for this year is to cross the 1 trillion rupee mark, and by the looks of it, we will certainly pass it.

Inshallah.

I was just thinking, but if the King Abdullah Economic City is supposed to have a project cost of $26.6 billion, and it is so huge. (If you want some pictures I will show you of what it will look like); how effin big will the Bundal/Buddo project in Karachi be seeing that it has a project cost of $43 billion.


Remember that Pakistan is cheaper (in construction/salaries) then Saudi Arabia, and that Emaar Group is building both projects.

http://upload.wikimedia.org/wikipedia/en/3...conomicCity.jpg

Effective tax-collection is going to be really hard, in a country like Pakistan. Judicial laws can be set easily, but who is going to implement them? A huge portion of taxes go to corruption, and the force responsible for implementation (police) is corrupt beyond belief. Tax-collection can never effectively work without tackling this problem.

Here is an interesting report outlining the police problem & reforms:
REFORMING PAKISTAN POLICE: AN OVERVIEW

Pakistan gets record $5.493bn remittances



http://risingpakistan.wordpress.com/2007/07/17/

17 07 2007


Pakistan received the highest ever amount of more than $5.493 billion as workers’ remittances during the last fiscal year 2006-07.

According to the SBP, never before in the history of Pakistan, the country received more than $4.6 billion as workers’ remittances.

In the recently concluded fiscal year 2006-07, Pakistan received an amount of $5.494 billion as against over $4.600 billion in 2005-06, showing an increase of $893.53 million or 19.42 per cent.

The amount of $5,493.65 million includes $2.68 million received through encashment and profit earned on Foreign Exchange Bearer Certificates (FEBCs) and Foreign Currency Bearer Certificates (FCBCs).

During last month (June 2007), Pakistani workers remitted an amount of $505.55 million, up $41.68 million or nine per cent when compared with an amount of $463.87 million sent home in June 2006.

The inflow of remittances in the July 2006 to June 2007 period from US, Saudi Arabia, UAE, GCC countries (including Bahrain, Kuwait, Qatar and Oman), UK and EU countries amounted to $1,459.64 million, $1,023.56 million, $866.49 million, $757.33 million, $430.04 million and $149 million, respectively as compared to $1,242.49 million, $750.44 million, $716.30 million, $596.46 million, $438.65 million and $119.62 million, respectively, in July 2005 to June 2006 period.

Remittances received from Norway, Switzerland, Australia, Canada, Japan and other countries during the fiscal year 2006-07 amounted to $804.91 million as against $724.07 million in the fiscal year 2005-06, showing a rise of 11.16 per cent or $80.84 million.

The monthly average remittances for the period July 2006 - June 2007 comes out to $457.80 million as compared to $383.34 million during the same corresponding period of the last fiscal year, registering an increase of 19.42 per cent.

The inflow of remittances into Pakistan from most of the countries of the world increased last month as compared to June, 2006.

According to the break-up, remittances from US, Saudi Arabia, UAE, GCC countries (including Bahrain, Kuwait, Qatar and Oman), UK and EU countries amounted to $140.17 million, $96.47 million, $95.39 million, $68.16 million, $37.45 million and $12.47 million, respectively, as compared to the corresponding receipts from the respective countries during June 2006, i.e. $123.15 million, $79.51 million, $80.76 million, $59.07 million, $38.65 million and $9.70 million.

Remittances received from Norway, Switzerland, Australia, Canada, Japan and other countries during June, 2007 amounted to $55.33 million as compared to $72.04 million during June 2006.

Can anyone inform how many dams are initiated by the Musharraf government vs the governments of 1989-2000 era ?

Please keep this thread as a comparison thread and strictly to numbers or it will also get politically victimized.

There are several Dams projects which have been completed or under construction/study.

The purpose was to built small cale dams to help local power needs and water storage, some of projects have been carried under BOO or PPP, one of of the mega project is underway from funding of int financers and GOP.

Be specific what you are talking about, there are a dozen Dam projects completed or under study, but the basic Kalabagh or something like that, you can do under martial law or under a government which has support from all segments of society, which both we dont have this time.

Down goes the corruption in Pakistan.However, we certainly need to do better.

Corruption has toppled by mere 0.2 Corruption Perceptions Index (CPI) points in Pakistan during current year and jumped to 138 from 147 position with 2.4 CPI points. This was stated by Adil Gilani, Chairman, Transparency International (TI), at a press conference, releasing 'Corruption Perceptions Index (CPI) 2007', at Karachi Press Club here on Wednesday.



PAKISTAN'S RANKING CHART IN CORRUPTION SINCE 1995

======= Year Points Rank -------------------------------------

CPI 1995 2.25 39/41
CPI 1996 1.0 53/54
CPI 1997 2.53 48/52
CPI 1998 2.7 72/85
CPI 1999 2.2 88/99
CPI 2000 No Survey -
CPI 2001 2.3 79/91
CPI 2002 2.6 77/102
CPI 2003 2.5 96/133
CPI 2004 2.1 134/145
CPI 2005 2.1 146/159
CPI 2006 2.2 147/163
CPI 2007 2.4 138/180

=====================================
Copyright Business Recorder, 2007

The improvement is for all to see.

Thank you for the reply. :-)

I meant to ask how many dam projects were started and completed by the present government versus the dam projects started and completed by the previous governments.

In other words, How many dams can be credited only to present goverment vs the previous governments.

I could not find any information on the dams completed by the previous government (but I would not be surprise if they did not start work on a single project)

But here is a list of the dams that the present government has started/plans to start work on.

http://www.wapda.gov.pk/vision2025/default.asp

SABAKZAI DAM PROJECT

MIRANI DAM PROJECT

MANGLA DAM RAISING PROJECT

THAL FLOOD WATER CANAL

RAINEE CANAL PROJECT

BASHA DIAMER DAM PROJECT

SATPARA DAM PROJECT

SEHWAN BARRAGE COMPLEX PROJECT

GREATER THAL CANAL PROJECT

SANJWAL DAM

KURRAM TANGI DAM PROJECT

KALAM

NAULANG DAM PROJECT

HINGOL DAM PROJECT

CHASHMA RIHGT BANK CANAL PROJECT

RAINEE CANAL PROJECT

AKHORI DAM

GAJ NAI DAM

KALABAGH

YUGO

SKARDU DAM PROJECT

BAHTAR

DHOK PATHAN

ROHTAS

KHADIJI

GOMAL ZAM DAM PROJECT

MITHANKOT BARRAGE/ KACHHI CANAL PROJECT

KACHI CANAL PROJECT (KCP)

RIGHT BANK OUT FALL DRAINAGE PROJECT (STAGE-1) (RBOD-I)

BALOCHISTAN EFFLUENT DISPOSAL INTO RBOD (RBOD-III)

CONSTRUCTION OF 444 DRAINAGE TUBEWELLS IN MIRPUR KHAS (UNDER NDP)

WINDER STORAGE DAM PROJECT.

SUKLEJI DAM PROJECT

NAI GAJ DAM PROJECT

CHASHMA JHELUM LINK CANAL PROJECT.

just one question...

what are we doing to sustain this growth rate??? keep political instability, sanctions, war threats in mind...

.

So we agree there has been growth. Political instability and terrorism of our own people against our own people are the main problems. There are no sanctions on us and currently nobody is threatening war with us. So our future is in our own hands. Question thus arises do you want the architects of our growth in power for the next five years or do you want the corrupt and self-servient politicians in power to loot and plunder the country? The terrorism will sub-side once there is political stability. So let Mushy-Aziz team do the work for another five years making sure that they also strengthen the democratic institutions and provide law & order for all citizens. Confidence in Pakistan will accelerate foreign investment. Providing ample energy for industry is paramount to accelerated growth.

Thank you very much for your kind effort bro. I appreciate it. :-)

It is funny. I can not find even one dam built under the era of Nawaz or Benazir. This can not be. Impossible. I am still looking. If anyone else find please contribute here.

Sorry, this is not a political thread. This is a comparison thread and strictly related to economy and numbers.

The whole purpose of this thread is to show to the world and to fellow Pakistani members what did the common man got under Musharraf's era and what did the common man got under 1990-2000 Benazir, Nawaz, Benazir and again Nawaz era.

Let them see the achievements under each government and decide for themselves. If they want the democracy under Nawaz, Benazir, Fazal ur Rahman and likes or dictatorship under Musharraf and likes.

Next topic:


How many KM of " roads " were planned/built/completed under Benazir and Nawaz era and how many KM of roads are planned/built/completed under Musharraf era.



Attention: Strictly a comparison backed up by links. No tukka baazi please.

You can find a more comprehensive list of all the identified hydroprojects here

http://www.pakistanhydro.com/rivers.asp?rivers=All

I would post the list but it run to over 950 projects

Please people who say that nothing happenned under Musharraf. Time to make a difference. Please contribute by posting a comparison figure between what was achieved under Musharraf era and non musharraf era?

Was production of milk more in Pakistan during the era or Nawaz Sharif/Benazir as compared to the era of Musharraf ? Please give figures supported by links. Thank you.

Thanks for the link, it says that Pakistan has 45000 MW potential through dams alone. Of this 33800 MW are not being used or planned/being built.

This is what is happening under Musharraf !!

ISLAMABAD (June 05 2006): Although Pakistan's economy grew at an average rate of almost 7.5 percent per annum during the past three years, it missed its 7 percent growth target set for the current fiscal year, growing only by 6.6 percent. According to the 'Economic Survey 2005-06', released on Sunday, two of the major components of GDP--agriculture and large-scale manufacturing (LSM)--remained below the target while other sectors, which included construction, industry, services, and investment performed, as per government expectation, above the estimates.

The country's per capita income also increased by 14.1 percent during the current year from $742 to $847 per annum. However, during the past four years, overall growth in per capita income registered at 13.9 percent per annum.

The sector-wise details are as follows;

GROWTH AND INVESTMENT: The real GDP grew by 6.6 percent in 2005-06 as against 8.6 percent of last year and fell short of the target of 7.0 percent. With economic growth at 6.6 percent in 2005-06, Pakistan's economy grew at an average rate of almost 7.0 percent per annum during the last four years, and over 7.5 percent in the last three years, thus enabling it to join the 'exclusive club' of the fastest growing economies of the Asian region, the government claims.

POVERTY AND UNEMPLOYMENT: The strong economic growth created employment opportunities and therefore reduced unemployment.

According to Labour Force Survey 2005 (First two quarters), since 2003-04 and until the first half of 2005-06, 5.82 million new jobs were created as against an average job creation of 1.0-1.2 million per annum. Consequently, unemployment rate, which stood at 8.3 percent in 2001-02, declined to 7.7 percent in 2003-04 and stood at 6.5 percent during July-December 2005. The rising pace of job creation is bound to increase the income levels of the people. The IT sector alone has created 114,737 new jobs in 2005-06.

The government spent Rs 1332 billion during the last five years on poverty-related and social sector program to cater to the needs of poor and vulnerable sections of the society.

The government is of the view that percentage of population living below the poverty line has fallen from 34.46 percent in 2000-01 to 23.9 percent in 2004-05, a decline of 10.6 percentage points. The percentage of population living below the poverty line in rural areas has declined from 39.26 percent to 28.10 percent while in urban areas it has declined from 22.69 percent 14.9 percent in this period.

AGRICULTURE: Agriculture and particularly its crop sector could not perform up to the expectations, especially major crops registered a negative growth of 3.6 percent. Livestock with 8.0 percent growth, a major component of agriculture, exhibited strong showing and pulled the overall growth in agriculture to 2.5 percent as against the target of 4.2 percent. Livestock has been the only saving grace sector as far as the performance of agriculture is concerned this year.

MANUFACTURING: Overall manufacturing, accounting for 18.2 percent of GDP, registered a robust growth of 8.6 percent against the target of 11.0 percent and last year's achievement of 12.6 percent.

LARGER SCALE MANUFACTURING (LSM): According to the survey, LSM grew weaker-than-the expected at 9.0 percent as against 15.6 percent of last year and 14.5 percent target for the year, exhibiting signs of moderation on account of higher capacity utilisation, on the one hand, and strong base effect along with several other factors, on the other hand.

CONSTRUCTION: Construction continued its strong showing, partly helped by activity in private housing market, spending on physical infrastructure, and reconstruction activities in earthquake affected areas. The construction sector is estimated to grow by 9.2 percent in 2005-06 as against extraordinary growth of 18.6 percent last year.

PER CAPITA INCOME: Pakistan's per capita real GDP has risen at a faster pace during the last three years (5.6 percent per annum on average in rupee terms) leading to a rise in average income of the people. Such increases in real per capita income have led to a sharp increase in consumer spending during the last three years. Per capita income, defined as Gross National Product at market price in dollar term divided by the country's population, grew by an average rate of 13.9 percent per annum during the last four years - rising from $579 in 2002-03 to $847 in 2005-06. Per capita income in dollar term registered an increase of 14.1 percent in 2005-06 over last year, rising from $742 to $847.

PRIVATE CONSUMPTION EXPENDITURE: The survey further shows that as opposed to an average annual increase of 1.4 percent during 2000-03, real private consumption expenditure grew by 13.1 percent in 2004-05 and further by 8.1 percent in 2005-06.

INVESTMENT: During the fiscal year 2005-06, gross fixed capital formation or domestic fixed investment grew by 30.7 percent as against a rise of 28.6 percent last year.

The survey says that the private sector investment grew by 31.6 percent this year as against last year's growth of 29.1 percent. Public sector investment on the other hand registered massive growth of 46.7 percent as against a 32.9 percent increase last year.

Total investment increased from 18.1 percent of GDP last year to 20.0 percent of GDP in 2005-06 - highest in the last 12 years. Fixed investment as percentage of GDP is estimated at 18.4 percent as against 16.5 percent last year. Both public sector investment and private sector investment as percentage of GDP have increased to 4.8 percent and 13.6 percent, respectively, up from 4.4 percent and 12.1 percent of last year.

Almost 2.0 percentage points jump in investment is consistent with the rise in credit to private sector this year. This also reflects the confidence of the private sector on the improving macroeconomic conditions in the country.

MONETARY POLICY: Large expansion of private sector credit was Rs 345 billion in 10 months of the current fiscal year and the extremely buoyant attitude of the private sector can be viewed from the fact that the cumulative borrowing by this sector during the last three years amounted to over Rs 1100 billion as against the cumulative borrowing by this of Rs 921 billion in the previous 19 years (1984-2003). More importantly, credit to private sector as percentage of GDP surged from almost 20 percent in 1999-2000 to over 26 percent in 2005-06 - almost 6 percentage points increase in the last six years.

INFLATION: Inflation during the first ten months (July-April) of the current fiscal year was estimated at 8.0 percent as against 9.3 percent in the same period last year. Food inflation was estimated at 7.0 percent as against 12.8 percent in the same period last year whereas non-food inflation, at 8.8 percent, was on higher side compared with 6.9 percent in the same period of last year.

The core inflation, which excludes food and energy costs from the headline CPI, moved up and was estimated at 7.7 percent as against 7.0 percent in the same period last year.

House rent index also played an important role in building inflationary pressure this year. With second largest weight in the CPI (23.4 percent) after food (40.3percent), the house rent component of the CPI registered a decline to 10.3 percent as against 11.1 percent in the same period last year.

When viewed in the context of year-on-year performance of inflation, the current fiscal year exhibits significant abatement of price pressure and declaration in overall inflation as well as its sub-indices. The current fiscal year started with an inflation rate of 9.0 percent in July 2005, but continued to decelerate, reaching 23-month low at 6.2 percent in April 2006. Food inflation was close to 9.7 percent at the beginning of the current fiscal year but decelerated sharply to 3.6 percent in April 2006-the lowest in the last 31 months.

In order to keep the prices of essential commodities under control, the government has been taking various measures throughout the year. These measures included a liberal import regime for food items including zero rating of the imports of these commodities.

FISCAL POLICY: The overall fiscal deficit, that averaged nearly 7.0 percent of the GDP in the 1990s, had reduced to 2.3 percent in 2003-04 but increased to 3.4 percent in 2005-06 as against the target of 3.8 percent of GDP, mainly on account of better than expected revenue performance. The fiscal deficit, including earthquake spending, is estimated at 4.2 percent of GDP in the current fiscal year.

The Central Board of Revenue (CBR) is targeted to collect Rs 690 billion but it is likely to collect Rs710 billion - Rs 20 billion more than the target and 20.6 percent more than last year.

Public Debt Burden: Public debt burden continued to decline rather sharply over the last six years with significant improvement in fiscal situation.

The public debt-to-GDP ratio, which stood at 85 percent in 1999-2000, has declined sharply to 54.7 percent in 2005-06 - almost 30 percentage points reduction in debt burden in just six years is one of the significant achievements of the government.

The public debt as percentage of GDP declined from 61.4 percent to 54.7 percent - a 6.7 percentage decline in one year is other stellar occurrences of the current year.

Since public debt is a charge on the budget, its burden must be viewed in relation to government revenue. Public debt was 448.9 percent of total revenue last year but declined to 414.9 percent this year - a decline of 34 percentage points is not a mean achievement.

The 'Survey' says that exports were targeted to grow by 18.1 percent in 2005-06 - rising from $14.4 billion last year to $17.0 billion this year.

During the first nine months of the current fiscal year exports were up by 18.6 percent, rising to $12.1 billion from $10.2 billion in the same period last year. Given the performance of the first nine months, exports are likely to touch $17 billion mark by the end of this fiscal year.

The imports were targeted to grow by 26.0 percent in the current fiscal year - rising from $14.4 billion to $20.7 billion. During the first nine months were up by 43.2 percent in the first nine months of the current fiscal year - rising from $14.4 billion to $20.7 billion, showing an increase of almost $6.0 billion this year.

Major contributions to this year's additional import bill have come from machinery, chemical and petroleum groups. Over one-half of the increases have come from machinery and petroleum group and over 22.3 percent has come from petroleum group.

In particular, import of machinery, raw material and consumer durable groups are up by 30.8 percent, 36.1 percent and 41.8 percent, respectively as domestic investment has come back to life owing to stronger domestic and external demand.

TRADE BALANCE: During the first nine months of current fiscal, trade deficit amounted to $8620.3 million and was up sharply from $4263.3 million in the same period last year (During the first ten months (July-April) of the current fiscal year, trade deficit stood at $9427.1 million as against $4868.0 million in the same period last year). the major contribution to trade deficit came from petroleum group (41.5 percent), machinery group (21.5 percent), iron and steel scrap (11.9 percent) and consumer durables (9.2 percent).

WORKERS REMITTANCES: The government had fixed $4 billion target for workers remittances but total $3.63 billion has been received during the first ten months (July - April) of the current fiscal year, as against $3.4 billion in the same period last year, showing an increase of 5.2 percent. However, the prevalent trend shows that remittances may touch $4.4 billion by the end of the fiscal year.

CURRENT ACCOUNT BALANCE: The current account deficit, excluding official transfers, stood at $4696 million (3.7 percent of GDP) during July-March, 2005-06 as against a deficit of $1181 million in the same period last year.

FOREIGN DIRECT INVESTMENT: Pakistan has succeeded in attracting $3020.2 million in FDI during July-April, 2005-06 -the highest ever in the country's history, as against $891.5 million in the same period last year, showing an increase of 238.7 percent. By the end of the current fiscal year, FDI is expected to reach $3.5 billion mark, or close to 3.0 percent of GDP.

Over 90 percent of FDI has come to power sector, telecom sector, chemicals, pharmaceutical and fertiliser, oil and gas, and banking and finance. Almost 75 percent of FDI has come from USA, UK, Switzerland, Japan, UAE and Netherlands.

EXTERNAL DEBT: The 'Survey' says that a few years ago, Pakistan was facing serious difficulties in meeting its external debt obligations. Following a credible strategy of debt reduction, Pakistan has succeeded in reducing the rising trend in external debt and foreign exchange liabilities.

Pakistan's external debt and liabilities have declined by $2.3 billion - down from $38.9 billion by end June 1999 to $36.6 billion by end-March, 2006.

The country's debt burden, defined as a ratio of external debt and liabilities to GDP, stood at around 52 percent in end-June 2000, declined to 32.3 percent in end-June 2005 and further to 28.3 percent by end-March 2006.

The country's debt burden, also defined as 'external debt and liabilities as percentage of foreign exchange earnings', was 297 percent in 1999-2000, declined to 134.3 percent in 2004-05 and further to 127.6 percent by end-March 2006.

It may also be pointed out that Pakistan's external debt and liabilities were 22 times of its foreign exchange reserves in 1998-99 but declined sharply to 2.9 times in just six years. These statistics suggest that Pakistan's external debt burden has declined at a much faster pace than anticipated and that it is now on a solid downward footing.

On March 23, 2006, Pakistan successfully issued $500 million new 10-year Eurobond and US $300 million new 30-year Bonds in the international debt capital markets lead managed by J. P Morgan, Citi Group and Deutsche Bank. This transaction, which represented the first international 144A bond issued by Pakistan since 1999, raised significant interest amongst US QIBs and international Institutional investors.

The 10-year notes were priced with a coupon of 7.125 percent to yield 7.125 percent, framing a spread of 240 bps over the relevant 10-year US Treasury benchmark. The 30-year bonds were priced with a coupon of 7.875 percent to yield 7.875 percent, framing a spread of 302 bps over the relevant 30-year US Treasury benchmark.

Pakistan was able to achieve spreads on both the new 10- and 30-year bonds that were tighter than its previous 5-year issues. By issuing 10- and 30-year bonds, Pakistan completed its primary objective of establishing a full Pakistani international yield curve in record time.

http://www.finance.gov.pk/survey/survey.htm

You can find a load of information on the Pakistani economy here, reliable source too. I didn't paste it here because it is way to much of it.

It is funny how those anti Musharraf people with P.H.Ds in politics and who not for even a second stop whining about what the the current Mushrraf government doing are now shying away from this topic as they cant fight back with the numbers to justify that Nawaz or Benzair did better during their era.

Excellent thread 2 aliph 5 and good contributions by bojangles and others.

Go Mushy ....Go Mushy ....Go Mushy!!!

Ya, where are those people? Its going to take you guys several hours to read what I posted, but good luck.




Gracias.

I understand that the purpose of this thread perfectly well... thank you very much for clarifying anyway. and i agree that Pakistan's economic gains are really good under Musharraf.

My question is not political, and it remains unanswered as well, let me rephrase....

what long & short term economic policies have we adopted to sustain this growth if we face an adversity???.

GDP growth, openness of the economy, and stability in exchange rate, are three main factors that drives foreign investments. and this foreign investment is what is used towards stablizing the macro economics. Foreign investors arent investing into Pakistan because they have sympathy for Pakistan. They are investing because they see Pakistan as a place to make profit. We are way ahead of India for being a better place to invest. As against the ** STUPID " belief that Pakistan is being run on foreign aid (That did help to a little extent but one can not squarely label it as a cause for everything!!). Foreign investment in Pakistan is increasing because the current government and unlike the previous governments..mind you...is actually making the conditions right for the outside world. Never before so much of the resources have been injected into the internal system of Pakistan. Please read previous posts how much injection of resources is being taken place inside Pakista. Example being Infrastructure and dams( each dam increases the GDP by 3%) and etc.

and when I say NEVER. It means NEVER ever in the entire history of Pakistan. :-)

I hope I gave you an answer to your satisfaction. Now back to the topic which is comparison of economic performance backed up by figures/numbers and supported by links between the Nawaz/Benazir era combined and Musharraf era alone.

1989
Highways:

Total: 101,315 km total (1987);
Paved:40,155 km paved
unpaved: 61,160 km
Pipelines: 250 km crude oil; 4,044 km natural gas; 885 km refined products (1987)

http://www.theodora.com/wfb1989/pakistan/p...unications.html

1999
Highways:

total: 224,774 km
paved: 128,121 km
unpaved: 96,653 km (1996 est.)
Pipelines: crude oil 250 km; petroleum products 885 km
natural gas 4,044 km

http://www.photius.com/wfb/wfb1999/pakista...sportation.html

and Now in 2006
Roadways:

total: 258,340 km
paved: 167,146 km (including 711 km of expressways) + 1,227 km under construction.
unpaved: 91,194 km (2004)
Planned : 1,154 km Link

Pipelines: gas 10,257 km; oil 2,001 km (2006)

Link

Conclusion :

There are three figures. 1 when Benazir and Nawaz era started which was 1989. 1999 figures are where they left and from where Musharraf era started as well as how much changed since they took overand . 2006 figures show how much has changed since 1999.

Roads :

87,966 km of roads in 10 years under the combine era of Nawaz and Benzazir and 39,025 km of roads in 6 years under Musharraf era and 1,227 km of roads still under consruction.

Gas Pipeline:

No extention was made in the gas pipeline under the combined era of Nawaz and Benazir in 10 years whereas 6,213 km of gas pipe line was built under Musharraf era in 6 years only.

Oil Pipeline:

No extention was made in the crude oil pipeline under the combined era of Nawaz and Benazir in 10 years whereas 866 km of oil pipe line was built under Musharraf era in 6 years only. Another 705 km of Pakistan's section of IPI pipeline planned and waiting for formal approval.

Furthermore: Following is a site that details the undergoing construction/improvement of roads along with date of commencement as well as date of completion and expected date of completion. All were commenced under the Musharraf era. This site also shows how much has physically been completed !!
Link

I need feedback from the Nawaz and Benazir supporters to please contribute with numbers and link what did their governments do for the people of Pakistan. Also provide the comparison figures of present government.

Don't expect NS and BB supporters to post on this thread, they have lost the battle before it began.

That is why I love Accounting. It is straight forward, accurate and no scope for silly arguements.

Not one has come on this thread with some figures supported by links and said that look, Nawaz or Benazir out performed Musharraf in this !!