Economic situation of Pakistan and World Bank report

The World Bank has said that Pakistan's economy is suffering from severe problems and the country's inflation rate of 24.5% is the highest level since the 1970s. The World Bank has said in the report on the global economic impact that the global economy is facing a slowdown due to many reasons, including the Ukraine-Russia war. Due to floods, the economic growth rate of Pakistan is likely to be 2 percent in the current financial year. Earlier, the World Bank had predicted 4 percent GDP growth for Pakistan. According to the World Bank, Pakistan is facing difficult economic conditions. The recent worst floods and political uncertainty are the major reasons for Pakistan's difficult economic situation. Pakistan faces serious external debt servicing risks. Due to floods in Pakistan, the GDP was damaged by 4.8%. The rupee has depreciated by 14 percent against the dollar since June to December. Climate extremes can affect the supply of food and essential commodities. Infrastructure and agricultural production are also feared to be damaged; meanwhile the country risk premium has increased by 15%. The Global Economic Prospects report estimates that the global growth rate is likely to be 1.7 percent in 2023.

From a common man to economists and sociologists, everyone is concerned and worried about the economic situation in Pakistan today. Due to the global recession, the Russia-Ukraine war and the resulting sanctions, many countries around the world seem to be in economic trouble. The increase in the prices of petroleum products has caused the energy crisis to worsen the situation. Pakistan can be said to be more unfortunate in that its economy has been dealt an irreparable blow by the global events as well as internally by the floods. Then the country's internal policies, poor planning by economists, unrealistic analysis and wrong decisions have put the nation in the worst situation, but the most disturbing thing is that our people are not aware of this situation. Instead of realizing it, they are playing politics within the country. It seems that our political leaders do not care about the country's economy, they only care about their own interests. Newspapers are full of political confrontations, scandalous statements and news of frivolous activities.

On the contrary, the people are suffering from the worst financial crisis. Inflation has broken their back. From electricity, gas, water to food items, there is nothing whose prices have not gone up hundreds of times. Poultry is touching Rs 600/- per kg and eggs Rs 285/- per dozen. Flour has become beyond the reach of the common man. In these circumstances, what is the status of the official assurances that the country will not default. When survival for the common man has become like gambling, then it is an example of bankruptcy of the country's economy. What attraction is left in living for the living people now? It is true that the divine punishment that has descended on this country in the form of floods is an inevitable consequence of climate change, but it is largely due to our shortcomings, lack of thought and carelessness. It is not possible to fully recover the financial and human losses caused by the flood water, but the government has certainly mobilized to deal with the problems that have arisen. Therefore, the world, realizing our helplessness and helplessness, has extended a generous hand to help us. It is admirable. In recent days, the conference held in Geneva, Switzerland, and the Davis Conference regarding global environmental pollution, rich and developed countries have shown full support to Pakistan. His role has been most commendable.

The situation identified in the World Bank report is enough to open the eyes of Pakistan's ruling elite to a picture of the future. This is not only a prediction but also a warning that needs to be taken seriously. It is high time that our economists and policy makers sit together and propose viable solutions to get the country out of this worst economic situation.?