Eid economy recuperates.

Byline: Afshan Subohi

Eid amid the pandemic was expected to be different in Pakistan. However, after the lockdown ended on May 18 following the Supreme Court's order, the holy festival ended up being not as private or simple as projected earlier.

It is hard to shrug off the fear that this Eid could turn out to be the last one for some foolhardy urbanites as the virus spreads and the death toll continues to rise. Some sensible Pakistanis might still choose to celebrate the holy festival indoors and socialise virtually.

After two months under the lockdown, people in major cities swarmed the markets once allowed and the pent-up demand exploded in the face of caution. The mad rush in markets rendered standard operating procedures (SOPs) to contain the spread of Covid-19 redundant. The overwhelmed shopkeepers had to use physical force at times to drive customers out of their premises at closing time.

The Eid market loss of eight weeks of lockdown is not expected to be compensated perfectly in one week. Overall, business took a massive hit. In major cities, the dip is said to be as steep as 75 per cent year-on-year. But on a macro level, the loss is perhaps much less, according to background research. The projected quantum of Eid spending in 2020 at Rs560 billion across the country was a good 70pc of the last year's Rs800bn despite the pandemic.

The dejected city traders who in the end succeeded to sway the Supreme Court to their side blamed the government instead of the pandemic for what they called the 'financial slaughter'.

Pakistanis are estimated to have spent Rs560bn on Eid, down 30pc from the 2019 estimate of Rs800bn

'There is no case for a cure that hurts the body more than the disease,' said a top trader who was confused by the government's response to Covid-19. Leaders of trade bodies in Karachi and Lahore insisted that the market has slumped by 75-80pc this Eid season. 'Our expectations were already moderate this year because of a slacking economy and the erosion of family income. But the prolonged lockdown sealed our fate,' commented a leader, dismissing the higher mortality threat as a figment of imagination.

'We will be lucky if total sales are even 20-25pc of last year's,' said Ateeq Mir, chairman of the All Karachi Tajir Ittehad, over the phone. 'The situation could have been better had the government heeded our advice of smart lockdown five weeks back.'

Dr Hafeez Pasha, former federal minister, contested the claims about a...

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