Like any other country, Pakistan too felt the harsh impacts of the pandemic on the economy. During the first wave, Prime Minister Imran Khan’s government, apart from successfully getting a moratorium on loan repayments to the IMF and other major lenders, launched a construction package aimed at restarting the economy. While the strategy wasn’t a bad one, as an uptick in construction usually results in the activity of ancillary businesses to increase proportionately as well, the results have been largely underwhelming. Yesterday, following a virtual telethon for NPH, it was announced that the interest rate would be reduced further, from 5% to 3% and the loan limit increased by 100% to Rs10 million. Perhaps it is time the government diverts some of its energy towards important long-delayed economic reforms that would allow people to lift themselves out of poverty and comfortably buy or mortgage a home of their own.

Source: Pakistan Today March 29, 2021 16:41 UTC