International
ADB report paints disconsolate picture of Pakistan's economy
Islamabad, April 14 (IANS) Pakistan is among Asia’s worst country in terms of struggle to handle its consistent economic fall with Islamabad dodging bullets of a complete economic meltdown.
With the current dire state of the crippling economy, Pakistan has now become the most expensive country with the highest living cost in the whole of Asia.
A latest report by the Asian Development Bank (ADB) has painted a scary, glum and worrisome picture of Pakistan’s economic growth.
A report by the ADB has maintained that living cost in Pakistan is the highest in Asia with at least 25 per cent inflation rate and an economic growth pace, expected to grow at a meagre 1.9 per cent, which is the fourth lowest in the region.
The report also paints a scary picture for the next fiscal year, projecting inflation rate to hover around 15 per cent and growth rate at 2.8 per cent, making both forecasts as the highest among 46 countries and fifth lowest respectively.
The ADB report, keeping Pakistan’s inflation rate at 25 per cent for the current fiscal year has made Pakistan the most expensive nation in Asia.
It is pertinent to note that Pakistan used to be the country with highest living cost in South Asia earlier before being pushed further into financial depression and economic stress, making it the most expensive nation in the whole of Asia.
The ADB report negates the projections of Pakistan’s central bank, The State Bank of Pakistan, which had set the inflation target at 21 per cent for the current fiscal year, a target which is going to be missed despite wreaking colossal losses in the share of 22 per cent interest rate.
“During the current fiscal year, the country’s economic growth rate might remain at 1.9 per cent — the fourth lowest after Myanmar, Azerbaijan and Nauru,” the ADB report said.
The ADB report comes at a time when Pakistan is going through its worst possible nightmare of aggravating economic crisis.
Islamabad has been in a visible recession phase for some time now, pushing millions of its citizens below the poverty line at a very fast pace.
The World Bank report last week revealed that about 98 million people in Pakistan are already living a poor life in Pakistan, adding that another 10 million more people might fall into the poverty trap.
Even though ADB reports have been optimistic about Pakistan’s economic revival and has projected figures closer to the country’s official forecasts; but its latest report has detailed on how Pakistan would continue to face serious challenges from new external financing requirements and the persisting old debt.
The matter will further intensify by tough global monetary conditions.
While Pakistan maintains that it is working up macroeconomic policies to handle the economic crisis; ADB report maintains that present political uncertainty would remain a major and key risk to the stabilisation and sustainability of any reform effort.
“On the external front, the potential supply chain disruptions from escalation of the conflict in the Middle East negatively affect the country’s economy. Pakistan’s large external financing requirements and weak external buffers, disbursement from multilateral and bilateral partners remained crucial,” the ADB report added.
“Further IMF support for a medium-term reform agenda would considerably improve market sentiment and catalyse affordable external financing from other sources,” the report said.
The ADB report should ring emergency alarm bells across quarters in Pakistan as it comes at a time when Federal Finance Minister Muhammad Aurangzeb is to meet the IMF Managing Director (MD) Kristalina Georgieva in Washington with a request for a new bailout package.
But, the meeting is also expected to be another challenge with pre-conditions put on the table by the IMF.
“There are very important issues to be solved in Pakistan. The tax base, how the richer part of the society contributed to the economy, the way public spending is being directed, and creating a more transparent environment,” the IMF MD Kristalina Georgeiva said while talking about Pakistan.
–IANS
hamza/khz
International
Lee Hsien Yang seeks refuge in United Kingdom
Lee Hsien Yang, the youngest son of Singapore’s founding father, the late Lee Kuan Yew, announced on Tuesday that he is now a political refugee in the United Kingdom after seeking asylum from the British government “as a last resort.”
“I remain a Singapore citizen and hope that someday it will be safe to return home,” Lee stated in a Facebook post, as reported by Channel News Asia (CNA).
Citing what he described as the Singapore government’s “attacks” against him, Lee, who is the younger brother of former Prime Minister Lee Hsien Loong, revealed that he sought asylum protection in 2022.
Lee Hsien Yang and his late sister, Lee Wei Ling, who passed away earlier this month, have been in conflict with their brother Lee Hsien Loong over the fate of their father’s home following his death in 2015, resulting in a public dispute that has estranged the siblings.
In an interview with the UK-based newspaper The Guardian, Lee alleged that a “campaign of persecution” compelled him to seek asylum in Britain.
In response to his claims, the Singapore government stated that there is “no basis” for his allegations of “a campaign of persecution” or other assertions regarding political repression in the country.
“Singapore’s judiciary is impartial and makes decisions independently. This is why Singaporeans have a high level of trust in the judiciary,” a government spokesperson remarked.
The spokesperson added that there are no legal restrictions preventing Lee and his wife, lawyer Lee Suet Fern, from returning to Singapore. “They are and have always been free to return to Singapore,” the spokesperson said.
Lee and his wife have been outside of Singapore since 2022, having opted not to attend a scheduled police interview regarding potential offenses related to providing false evidence in judicial proceedings concerning their father’s will and the family home.
Lee and his late sister, who had been living at the property, alleged they felt threatened while trying to fulfill their father’s wish to demolish the house. They also accused their elder brother, former Prime Minister Lee Hsien Loong, of abusing his governmental influence to advance his personal agenda.
International
Indo-Russian ties are stronger than ever before at BRICS
Kazan, Russia: Prime Minister Narendra Modi held a bilateral meeting with Russian President Vladimir Putin on the sidelines of the 16th BRICS Summit.
During the meeting, President Putin remarked, “I recall our meeting in July, where we had productive discussions on various issues. We’ve also spoken over the phone several times. I am very grateful you accepted the invitation to come to Kazan. Today, we will attend the BRICS Summit’s opening ceremony, followed by dinner.”
PM Modi responded by expressing his appreciation, saying, “I sincerely thank you for your friendship, warm welcome, and hospitality. It’s a great pleasure to visit such a beautiful city as Kazan for the BRICS Summit. India shares deep historical ties with this city, and the opening of our new embassy here will further strengthen these connections.”
International
Laos seeks to enhance nutrition amid climate change concerns
Vientiane (Laos), Aug 22 (IANS) Representatives from the Lao government and development partners have attended a conference here titled “Climate Change and Nutrition in Laos: Intersections and Interventions” to discuss the impact of climate change on nutrition in the Southeast Asia country and potential solutions.
Speaking at the conference, deputy director general of the Department of Hygiene and Health Promotion under the Lao Ministry of Health Viengkhan Phixay, said, “We gather to address a critical and interwoven issue: the impact of climate change on nutrition and how we can work together to tackle these challenges,” Xinhua news agency reported.
The Lao government is actively engaged in this endeavor, with numerous policies and initiatives aimed at addressing both climate change and nutrition, Lao National Television reported on Thursday.
“By leveraging the Scaling Up Nutrition network in Laos, which is led by the government, and supported by civil society, donors, and the United Nations, we have a robust platform to tackle the negative impacts of climate change while improving nutrition and overall health for everyone in Laos,” Viengkham said at the conference held on Monday.
The conference featured a series of presentations that not only detailed evidence-based research but also introduced innovative tools for measuring and enhancing nutrition under the impact of climate change.
The conference stressed the critical need for integrated approaches to tackle the intertwined challenges of climate change and nutrition, and setting the stage for impactful future collaborations.
–IANS
int/psd
International
One killed, seven injured in shootout in Iraq
Baghdad, Aug 22 (IANS) A civilian was killed while seven others were injured on Thursday in a tribal shootout in Iraq’s holy Shiite province of Najaf, according to a local security source.
The shootout erupted in the early hours between armed men from the local tribe in the al-Zarga area in northern Najaf, some 160 km south of Baghdad, a local police officer told Xinhua on condition of anonymity.
The clash resulted in the killing of an Iraqi civilian and the injury of seven others, including three Iranian Shiite pilgrims, the source added.
A joint force from the Interior Ministry’s emergency response division and Najaf provincial police arrested 53 gunmen from both sides of the shootout and seized weapons and ammunition, the Interior Ministry said in a statement.
It added that search operations are ongoing to locate additional gunmen and weapons, with more details to be released later.
The incident took place as numerous pilgrims traveled to the city of Karbala to observe Arbaeen, which marks the end of a 40-day mourning period for the killing of Imam Hussein, the grandson of Prophet Muhammad, in the Battle of Karbala in 680 A.D.
Typically, these pilgrims also visit Najaf as part of their journey to Karbala.
–IANS
int/jk/arm
International
Bangladesh seeks $1 billion budget support from World Bank
Dhaka, Aug 22 (IANS) Bangladesh’s interim government has sought $1 billion from the World Bank as budgetary support.
The call came from the country’s Power, Energy and Mineral Resources Adviser Muhammad Fouzul Kabir Khan’s meeting with Abdoulaye Seck, the World Bank’s Country Director for Bangladesh and Bhutan, in Dhaka on Wednesday.
He made the plea as the ministry owes more than 2 billion dollars to suppliers in import costs of power and energy, Xinhua news agency reported.
Khan mentioned that the interim government, which was formed with many pressing mandates, is due to settle a $2 billion debt left by the previous government in the power sector.
He said they have already suspended activities under the much-criticized Quick Enhancement of Electricity and Energy Supply Act 2010 and abolished the government’s power to set energy prices without any public hearing.
On August 5, the former Prime Minister of Bangladesh, Sheikh Hasina, was ousted from her country and power, ending her rule since January 2009.
This event was seen as a massive escalation, with what initially started as student’s protests and resulted in a major crisis in Bangladesh.
Earlier on August 8, Nobel laureate Muhammad Yunus took oath as the head of Bangladesh’s interim government.
–IANS
int/jk/as
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