Pakistan Crisis: What will Shahbaz government do? Unemployment crisis increased in Pakistan
Pakistan Crisis: The crisis in Pakistan is not taking the name of ending. Unemployment crisis is increasing rapidly due to efforts to reduce trade deficit by banning imports. A report has come in this regard. According to the report of the newspaper Dawn, a large number of companies are reducing production or shutting down operations due to shortage of raw materials. Dozens of companies have issued notices to stop production in recent months.
The report said that curbing the import of raw materials to improve the trade balance is giving rise to a major crisis. All the production units of Dowlance, a private company, are closed since the beginning of 2023. The company faced import-related problems in May 2022.
…. then the whole export would have stopped
According to the report, the company’s CEO said that in August 2022, the central bank had fixed a quota of 38 per cent against last year’s imports, but the situation worsened due to red tape. He said that if a small part of an equipment is missing, then the entire export stops. Thus production has come to a complete standstill.
Exports also declined by 23 percent
According to renowned economist Hafiz-e-Pasha, the unemployment rate in Pakistan will increase to 10 percent by the end of 2022-23. According to statistics, exports have also declined by 23 percent in February on an annual basis.