Floods have washed away the livelihood of millions of those who had to depend on agriculture. The economy is in shambles. The growth rate will nose down to zero from 7% in Musharraf time and 2.5% in the times of "democracy". The Prime Minister and the President and even whole bunch of 100 something Cabinet ministers have no clue to what an economy is. It is for this reason that they have to hire a banker then a member of Musharraf team to to manage the economy. But the damage is so much that even he is unable to do anything. The only answer that they can think of is reckless borrowing which will sink whatever is left of the economy.
After a recent blog post, It is debt, and not the floods, that can sink Pakistan economy, we have received a number of emails asking for relevance of the present economic team in these testing times vis-a-vis that of Musharraf. We do not intend to venture any opinion and leave it to the readers to judge for themselves. An older post has been retrieved from the archives and is presented again in the following paragraphs:
It was about a couple of months ago that a TV channel in Pakistan aired interview with Pervez Musharraf in which he announced to come back and repair the damaged economy. He has, however, kept his strategy very close to his heart. The telephone calls, which flooded that channel suggest that under Musharraf, economy was much better. Controlled inflation, stable exchange rate, affordable and available gas, electricity, water, and decent growth rate and above all no IMF. Do you subscribe to the assertion that all these indicators were signs of healthy economy under the dictatorship? If yes, why.? If not, please give your reasons.
Please keep your comments to economic and public sensitivity issues. No political point-scoring please.