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This blog is for students, managers and those lay people who are interested to contribute to, comment on or simply share their workplace problems and are keen to learn about issues relating to public finance, corporate finance and macro-economic management affecting their lives.

Friday, May 14, 2010

Future Economic Outlook-does it cheer you up?

  • The economy has finally started to show signs of relative stability by achieving the first set of targets set by International Monetary Fund, which happens to be the prerequisite for the second tranche from IMF.
  • As a matter of direct consequence of IMF’s revenue target the government is reluctant to cut the oil prices further and it has further decided to review petroleum prices on
    monthly basis instead of fortnightly basis.
  • All signs are that domestic inflation would be difficult to tame given relatively high POL and Food prices.
  • While country’s burgeoning trade and current account deficits have shown some signs of improvements, it is imperative that the foreign exchange numbers are still very much against the country.
  • The interest rates might go down in near future owing to tremendous pressure from business community provided that in addition to high interest rates, slowing exports orders have already made things worse for corporate.
  • Country’s foreign exchange position would mainly depend on IMF as Pakistan has already approached IMF for $4.00 billion finance in addition to $7.5 billion stand by facility.
  • Exchange rate would remain volatile in absence of any major investments from abroad.


  1. i have ur article ispromising but i just heard on tele tht Electricity prices will be high by 6% in future budget.i dont live there but i have knowldge tht people are not benefitting form this basic facility.so why do they have to pay for somethng they merely have?

  2. This is not an article, these are official statistics. This shows that the future is bleak for common folks. Inflation is always triggered by increase in the prices of basic inputs like petrol and electricity. I went to market myself today and was shocked to learn that prices have increased many times over since the advent of democracy.