Question

Discuss any six current issues of Pakistan economy . Also explain how government has taken steps to address these issues in current fiscal budget 2020-2021.

Answer 1

Ans.

The six current issues of Pakistan economy .

1. Unemployment :- Pakistan's economy is the major issue of unemployment currently and the current covid pandemic exaggerated the unemployment issue.

2. Depends on economic loans and aids :- Pakistan's economy is highly dependent on Chinese loan and economic aid form Saudi Arabia and other international financial institutions.

3. High Trade deficit:- Pakistan's economy is also facing issue very huge tarde deficit and the country's depends on imports is very high and import are increasing at a very high rate is alarming for the economy.

4. Fiscal Deficit : - the expense are very much higher in comparison to revenue collection and the fiscal Deficit is very high and increasing day by day.

5 . Terrorism : Terrorism is also a challenge infornt of Pakistan's economy and country is having sin of terrorism which hamper the economy growth and development.

6 . Inflation :- the inflation rate is very High and the currency is devaluating and thing are becoming more expensive .is also a major issue of Pakistan's economy .

The government has taken various steps to address these issues in current fiscal budget 2020-2021.

* The government has taken steps to reduce the fiscal Deficit and also tries to reduce the interest payments of loan to reduce the deficit and also take steps to push revenue collection.

* Government takes steps to reduce inflation to 6.5% for. 11 % and has also take measures for that.

* Government has allocated a huge chunk of budget for the development for backword areas .

* Government allocated fund for infrastructure, water , sanitization and other social development .

* The budget increase the salary of employees.

* High target for tax collection are set to reduce the fiscal Deficit and push the revenue collection.