Economic System Of Pakistan Economics Essay

Economic System Of Pakistan Economics EssayPakistan is among some of developing countries who imbibe achieved an bonnie harvest-festival rate over 5. Pakistan thrift has been emerged as an deliverance with 27th largest in world in term of Nominal. Pakistan has a meld rescue, major decisions be taken by Government and private enterprise, and excessively economy is exercised by these both sectors. Pakistan economy excessively depends on its change sector resembling agriculture, textile etc. Pakistan came in being in 1947 and that sequence to the fifth decade of it the growth rate of it higher than the worlds economy at that time. In the decade of 1960 Pakistan was considered as a model f economic progression throughout the world. It was so much appreciated over callable to its economic development. Its yearly average growth rate at that time was 6.8 %. Karachi was the most dominant city who was participating god role for change magnitude the gross domestic product rate a nd many opposites cities copied him and South Korea was one of them. Pakistan economy was grim in the decade of 197 t0 1990 due to mismanagement of fiscal policy. But again it was recovered by policy of deregulation.This is a chart of trend of rough domestic product of Pakistan at market prices estimated by the International pecuniary Fund with figures in millions of Pakistani Rupees.YearGross Domestic overlapUS Dollar ExchangeInflation Index(2000=100)Per Capita Income(as% of USA)196020,0584.76 Pakistani Rupees3.37196531,7404.76 Pakistani Rupees3.40197051,3554.76 Pakistani Rupees3.261975131,3309.91 Pakistani Rupees2.361978283,4609.97 Pakistani Rupees212.831985569,11416.28 Pakistani Rupees302.0719901,029,09321.41 Pakistani Rupees411.9219952,268,46130.62 Pakistani Rupees682.1620003,826,11151.64 Pakistani Rupees1001.5420056,581,10359.86 Pakistani Rupees1261.712Government of Pakistan has do considerable economic policies and also made new jobs and also severe for reduction the po verty using their scarce resources. Government be workings effectively and collecting the taxes from all types of communities whether they argon elite or midst and by using these taxes making the new products hence unemployment is decreasing, make growth rate is increasing and poverty is also decreasing. Pakistan is exporting much than before, they are producing double than 1990, they are nerve-racking to improve their ports and there roads in which easily transactions can be transported. Pakistan is bearting benefits from agricultures trade, and estate expects to get more(prenominal)(prenominal) and more profit from trade. Pakistan is also progressing by using their resources effectively like using CNG instead of petrol, Hence the import of oil from other countries has been lessen and the cost f many other things also be decreased. Now CNG has taken place in many fields like automobiles.Pakistan has become the 85th arena among 181 countries in flagship report. Pakistan is better than china and Russia and also comes highest in South Asia. Pakistan Government investing more in IT part and making their affair more mobile. But Now Pakistan economy is way out to dogs due to inflation and other economic crisis, Pakistan Economy has to face a crisis like Balance of payment. In year 2008 Pakistan had been bailed out by fiscal funds to repay your loans that were increase $ 7.6 zillion to $ 11.3 trillion. Pakistan economy condition in 2000 was the best condition that it had ever because that time it was emerged due to its spectacular growth, average GDP was 7% between 2003 to 2007.In October 2007 Pakistan revenue change magnitude and become $ 13 jillion due to increased in exports to $ 18 billons. Hence it was a turning point for Pakistan economy because $ 8.4 one million million had been invested by foreigners. Depression arrange of Pakistan economy was 2008 because this time was a great terrorism. Terrorism had very ruinous impact on the overal l economy, nurture of money decreased, growth of output rate decreased. Everyone felt thread and investment f foreigners also decreased hence devaluation of rupee occurred. Political environment also the reason f this situation, the average of inflation n 2011 was 5 % to 7 %.3Economic comparison of Pakistan 1999-2008 forefinger1999200720082009GDP$ 75 cardinal$ 160 gazillion$ 170 jillion$ 185 billionGDP Purchasing Power Parity (PPP)$ 270 billion$ 475.5 billion$ 504 billion$ 545.6 billionGDP per Capita Income$ 450$ 925$1085$1250Revenue collectionRs. 305 billionRs. 708 billionRs. 990 billionRs. 1.05 trillionForeign reserves$ 1.96 billion$ 16.4 billion$ 8.89 billion$ 17.21 billionExports$ 7.5 billion$ 18.5 billion$ 19.22 billion$ 18.45 billionTextile Exports$ 5.5 billion$ 11.2 billionKHI stock exchange (100-Index)$ 5 billion at 700 points$ 75 billion at 14,000 points$ 46 billion at 9,300 points$ 26.5 billion at 9,000 pointsForeign Direct Investment$ 1 billion$ 8.4 billion$ 5.19 bi llion$ 4.6 billionExternal Debt Liabilities$ 39 billion$ 40.17 billion$ 45.9 billion$ 50.1 billionPoverty level34%24%Literacy rate45%53%Development programsRs. 80 billionRs. 520 billionRs. 549.7 billionRs. 621 billionMajor part Pakistan income consists of its agriculture products and it produces a huge amount of next objects presented by FOASTAT and the ranking of producing these products are given belowNo of objects regimenRank01Seed3rd02Sugarcane5th03Riceeleventh04Wheat10th05Onionquaternary06Dates5th07Cotton4th08Mango6th09Buffalo Milk2nd10Orangeseleventh11Chickpea3rd12Apricot3rd4Pakistan best Natural resources are its land and rivers according to a survey Pakistans 25 % land for cultivation and it is watered by the canals, rivers and some other ways.Pakistan product exports are the part f industrial sector and according to the accountants Pakistan 24 % GDP and 64 % merchandise export relies on this sector. There are some others industries involve like cements, chemical, surgic al etc. 250px-Manufacturing_by_Province.jpgSmall business has great impact on the overall economy of a country here is also same thing SME has contributed more than 40 % in the economy of the country. It also reduced the unemployment, use the skilled people and increased the growth rate of output. Small businesses are running almost 90 % enterprises and also make the jobs for people close to 80 percent. Pakistan is also better auto mobile industry and investing in it. It also contributes the GDP like 2.8 percent. In 2010 Pakistan is on number one that used CNG. or so 3000 CNG pumps are running in the country and more than 2000 are in under construction.Pakistan is a country that is rewarded by its natural resources like rivers, cultured land, mountains and many other minerals. Among them one of the significant mineral is mining, using their induce resources like labor It etc Pakistan has been found a most dominant country in this field. According to a survey at least 6, 00,000k m 2 areas have metallic and non metallic commodities. Recently, a mining survey explores an bountiful which is the evidence of great minerals. In 1995, minerals policy took a step and express we will explore ourselves and call foreigners investors and it was favorably answered and now four projects are going for finding some new minerals.5250px-Service_Sector_by_Province.jpgPakistan serves sector is also trying to improve GDP yet also they are contributing about 53 percent. Pakistan is also improving their IT department by investing more because it can make them more efficient and effective. The massive part of economy is gradually grow towards telecommunication according to a survey Pakistan has more than 18 million internet networks and 91 million mobile users in 2008. Banks are also providing massive amount to the people and industries for investing more and more, it is a good sign because money is continually flowing and the value f money could be increased. There was a very horrible situation in banking sectors in 2008 inspite of that Pakistan banking sector was massively enough bullying at that situation. Pakistan is non using their resources rightly in case of electricity, due t this disease a lot of small business has to take out down and hence unemployment also increase. Like other countries Pakistan also has not good planning how to secure our increasing population.