In a bid to revive economy, federal government of Pakistan is confederating an economic recovery plan which has suggest tough conditions. Saliant features of the Economic recovery Plan as given below.
1. Restrict all economic activity from 8am to 6pm. Meaning all markets, businesses to close at 6pm including restaurants etc
2. Personal vehicle usage to be restricted to 3 days only or Car must have 3 occupants. (Issue on implementation traffic police in all provinces has been asked to device a plan)
3. Reduce foreign flights to Gulf states by half and each traveling passenger must justify trip. (MOFA and MOI instructed to prepare method) also revert old system of no more then 2 international flights on foreign carriers a year for more then 2 trips citizen must travel PIA or other Pakistani carriers. If NTN not provided at time of booking a flat fee of Pkr 5000/- domestic travel and Pkr 65,000/- for international flights to be imposed and collected at airport before boarding.
4. Stop all self financed Hajj and Umrah and ziarats. Citizen must receive NOC from Ministry of religious affairs, Finance and travel history must be used to determine.
5. Any dollar remittance for education overseas only from taxes money. If your tax returns do not justify citizens ability to fund a child’s education overseas that transaction must not be allowed.
6. Minimum one year closure of money exchanges nationwide. Only banks to be allowed to change currency after due diligence being prepared by SBP.
7. Essential imports priority. All LCs to be categorized as per importance and need. Unless exporter justifies import with confirmed orders for export no new machinery or plant import LC to be opened.
8. All inward settlements to be credited in PKR all foreign currency accounts in local banks to be put on temporary hold and withdrawals only in PKR on SBP set rate.
9. Govt official foreign trips to be halted unless host country is paying. Only state visit for bilateral importance to be undertaken with minimum support staff and no private citizens or family members to travel and PM and other dignitaries to use only commercial flights for travel
Unless destination has no commercial airline connectivity.
A total of 22 point preliminary summary including above 9 points has been proposed to Ministry of Finance with a lot of resistance at every level. Situation is dire and all out efforts are being made to keep appearances and maintain positive sentiment but officials are saying that IMF has become increasingly difficult and demanding unrealistic steps. The current govt is fighting all such adverse proposals with full force but finding it increasingly impossible to further delay such harsh and impractical steps. Meanwhile Pakistani elite are quietly setting up businesses and relocating their wealth overseas. Let us not forget only 2 years ago Sri Lankan economy was tipped as the best performing economy in this part of the world and today is left in ruins. Important and very painful days ahead.