Pakistan's economy on ventilator, claims expert.

KARACHI -- Due to a lack of adaptation and implementation of policies, in letter and spirit, which could be in the country's favour, Pakistan's economic situation is not good; it is on the ventilator. The figures shown by the government are 'fancy and are not long-lasting at all'. The claims by the officials are also 'not factual'.

So far, Pakistan has gone to the International Monetary Fund 23 times for bailout and if the government did not make drastic changes in its policies, the country would have to go to the IMF for a bailout in future again.

These views were expressed by senior economist Dr Kaiser Bengali on Wednesday.

He was the guest of honour at the Young Economists ConfeArence 2020 at the Department of Economics, University of Karachi. The students and faculty have arranged the conference under the theme of 'Sustainable growth and economic development in Pakistan' at the Arts Auditorium.

The past and the present governments have focused on increasing the tax collection only without realising the fact that they should have to reduce their expenditures first and also establish new industries and create new sources to generate income.

It is unfortunate that no government till date has adopted a policy which could provide relief to the masses and society. Their policies are always meant to entertain and to provide more luxuries to the elite class of this country.

'New loans are taken to pay back old loans. There is no policy that could bear fruitful results and bring betterment in the country. There is no change in the mindsets of the governments.'

He informed the audience that governments did not reduce their expenditures but always cut the development projects and funds allocated for them due to which there was also lack of proper facilities and infrastructure in the country and particularly in megacities like Karachi.

Load on service sector

He observed that society could not pay taxes as the whole load had been shifted on the shoulders of the people associated with different services. Dr Bengali suggested that non-essential items should immediately be banned in the country to save foreign exchange.

Tens of thousands of people are living below the poverty line but there is nothing for them and on the other hand, we can find pet food and shampoo in stores, which is very irritating, he said.

He shared that international companies were making huge amounts of money from the local market and took the funds to their own countries. He...