The write-up under this caption in the issue of July 10 of Business Recorder is indeed an interesting reading. It had to be, being a vindication of the current government policies. I am no economist to cross swords with the writer. But, there are a couple of questions which need to be answerable.
WHAT WE AS A NATION ARE FACING IS DEPICTED IN THE FOLLOWING URDU COUPLET: Qarz Ki Peetay Thay Mae, Par Samajhte Thay Kay Haan Rang Laigi Hamari Faqa Masti Ek din
The change of government in 1998 was accompanied by re-scheduling of national debts, not by any means condoning of these. Without any thought it the country was launched on the lavish life-styles of the Nawabs of Oudh and Moghal kings of Delhi in the East India Company days.
Take for instance, the banks' complaint of excess liquidity in the early months of the current decade short-sightedly they were let to remedy it by resort to introduction of car purchase loans. Anyone was, therefore, enabled to buy a car on credit against down payment of 10 percent of the price of car.
This resulted in enhancement of demand for both gaseous and liquid fuels for cars. It was inevitable that large quantities of these fuels will be imported, adversely affecting precarious foreign exchange reserves.
Massive import of cell phones in their millions took quite a chunk of foreign exchange reserves. Having become a status symbol, not only elders, even children attending elementary level schools are seen carrying a cell phone in their bags.
The case of computers for offices is no different. Indiscriminate provision of computers in even the most rudimentary of government offices has entailed no small expenditure-of foreign exchange. That computerisation of offices has not yielded the expected savings through redundancy of bulk of existing clerical personnel, is another matter altogether.
A certain minister for Information and Broadcasting had in his wisdom caused liberal proliferation of TV channels and cable operators. This in turn led to the increase in demand for TV sets and hence an enhancement also of the demand for electric power. This because the sets remain on almost round the clock. Frequent power outages of long and short durations were only to be expected.
Power outages are resulting in loss of millions of working hours both in commercial offices, and industrial establishments. In consequence, production is being hampered and the country's economy suffers.
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