A situation of economic panic, unrest and pain is amongst the each and every segment of the society and following economic situations with regards to current scenario are unavoidable,
1. IMF program agreed, to be announced soon, and all conditions will be hard to face for the public of pakistan.
2. Dollar expected to be 160-65 at the end of the year.
3. Massive increase in electricity and gas prices expected after new budget and IMF deals implementation.
4. 700 billion on tax exemptions to be withdrawn, which is great unrest among the business community.
5. Interest rate to be raised to at least 12% and inflation will be at higher rate.
6. Many new taxes to be levied and existing taxes increased to boost revenue. (The expectation is a lot of these will be indirect taxes). Tax exemptions to salaried persons will be reduced also.
7. PM Imran and his cabinet is already unhappy with the IMF Program and From the way things are going it seems very difficult Pakistan will be able to complete the program.
8. Budget to be announced on June 11 or around the date and it can be unexpectedly delay after June also.
Cut down your expenditures to the maximum level you can. There will be economic pain and unrest among the general public and this time its first time in history that massive of the society even the well off are also in economic panic, which has never been seen before in the history of Pakistan! This is non-political advice. Get ready to seriously downgrade your lifestyle and expenses. Cut down your imports and luxury goods, maximise your exports, there will be great unfavourable balance of payment.
(Fayyaz AHMED Khan | Globaltaxconsultants.pk )
Leave Your Comments