Imran Khan's victory behind reversal of US dollar in Pakistan: ICST
ISLAMABAD - Islamabad Chamber of Small Traders (ICST) on Monday said Imran Khan's victory has reversed the trend of dollarisation of the economy before taking control of the government which is highly laudable.
The retreat of US dollar and strengthening rupee indicate confidence of masses and business community in the incoming Prime Minister Imran Khan and his team, it said. The fall of the dollar can be attributed to the high expectations of the business community, bright outlook, stability of the market, and highly improved political environment, said Patron Islamabad Chamber of Small Traders Shahid Rasheed Butt.
He said that continued appreciation of rupee will reduce foreign debt by tens of billions of rupees, reduce prices of many necessities at home and send a very positive signal to the international community.
Shahid Rasheed butt said that in the money market ninety per cent people are selling dollars while only ten percent are buyers which has added to the worries and stockpile of US currency with currency dealers.
If the appreciation of rupee continued then it will benefit the economy and the masses as it will reduce inflation as the policy of depreciating rupee to boost export is good for nothing, therefore, it should be dumped, he demanded.
He noted that the stock market is also buyout and that if the new government could manage at least 10 billion dollars from any other source than IMF, it will be a great accomplishment.
The business leader said that a lot of borrowing took place during the last ten years which was wasted to mismanagement as production capability or quality of goods could not be improved.
This is the reason exports could not be improved substantially despite packages and other efforts by the former governments. He said that Pakistan currency will remain under threat as far as Pakistan goods fail to compete with the products of competing nations while masses will pay the price. The government should not consider imposing financial emergency or introducing mini-budget and it should extend the tax amnesty scheme.