Karachi : At this point of time, one of the biggest challenges which we are facing is our Fiscal Framework, which requires broad based reforms to improve and recover continues Funding Gaps. What we need is to reduce our borrowing, which is massive, said ateeq ur rehman (economic & financial analyst).
The size of our economy is approx. $350 billion. While comparing with the size of our population it is insignificant. It has to be in Trillions for which we have to overcome our Balance of Trade and Balance of Payment Deficits. Reducing Imports and Increasing Exports is the solution. The best way to reduce the imports is to improve our Import Substitution Industries, Agriculture and Sea Food / Maritime Industry. We can grow our Exports tremendously by adding the Barter / Regional Trade.
The Barter / Regional Trade eliminates currency swap, saves time and fuel and reduces cost of doing business. It is a biggest solution of eradicating cross border smuggling and illegal market access.
He added that the barter trade mechanism list include various commodities that Pakistan can export to Iran, Russia, and Central Asian Countries. In exchange, they can import crude oil, liquid natural gas, liquid propane gas, chemical products, fertilizers, fruits, wheat, industrial machinery and vegetables from the these countries.
These days due to the Liner Diversions, the Shippers are facing two major problems: Huge Rise in Sea Freight plus Surcharge and enormous Transit Time. Regional Trades Does not require such kind of Ocean Shipping or Payment of heavy charges for transit of goods. Its only overland transportation within the region and from one country to another by road said ateeq.
