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Pakistan essay
← The Asian ContinentThe Sense of Place →

Pakistan. Custom Pakistan Essay Writing Service || Pakistan Essay samples, help

Pakistan has been affected by politic identities and diasporas’ groups that have influenced the economical development of the country (Hasan, 81). Virtually, Pakistan’s economic development has been affected by its political orientation. The country has been associated with terrorist groups such as Al-Qaeda and Taliban. This has affected the locals as well as the government in place. United States has been arguing that Pakistan has been harboring and offering training grounds for the terrorist groups (Kibria, 130). As a result, the government has shifted its focus from development activities to the fight against terrorist as well as strengthening its military. On the same, linking Pakistan with terrorism has negatively affected its image in the international scene. Most investors have diverted their focus for starting development projects in the country, as they fear attacks either from the United States or from the terrorist groups.

On the same, economic relations between the state and corporations such as state capitalism, social capitalism, market capitalism and Islamic economics have highly influenced the growth of the economy in a great way. For instance, these corporations played a big after the 2008 financial crises (Kukreja, 21). Essentially, financial crises began in the United States and spread across Europe to other countries, including Pakistan. It began to seriously affect the economies of various countries in the world. Financial markets were brought down. Previously, Pakistan was among the largest developed countries in the world. However, following the financial crises in 2008, Pakistan lost its position in the international economic dominion and currently occupies a lower position. This decline in economic performance has been registered in most sectors, which had close connections with the developed countries. For instance, the prices of oil fell to $ 77 a barrel, almost half the price it was registered a month ago. This resulted in a strain of the government spending. This implies that the state and corporations have not been in a position to positively influenced economic growth in the country(Kibria, 120). For example, the government has not come up with policies to regulate its prices of basic local commodities. On the same, the prices of imports, such as oil and agricultural products, continue to decline due to the lack of proper polices to regulate its imports. As a result, its position in international ranking has continued to go down. Various corporations in the economy have also not played their role effectively. Their failure to contribute to economic development has been influenced by the position of the country in the international scene (Imran, 56). For instance, market capitalism has not been able to effectively participate in international exchange as the prices of exports fall and rise. This has rendered the country to economic instability.

Pakistan has not been able to solve the puzzle of economic development after the financial crises in 2008. Indeed, the country has severe economic problems that are directly connected with the financial turmoil in developed countries, such as United States and Western Europe (Kochanek, 89). On the same, its international resources are depleting at a fast rate. This has raised the fear that the country might be forced to default its foreign obligations.

Pakistan has the lowest credit rating among the developing countries in the world. John Chambers, managing director with Standard & Poor has observed that,” only Seychelles has a lower rating and it has already defaulted on its debt”. Thus, Pakistan is on the path of experiencing more financial problems if something is not done to alleviate the situation (Andrus, 14). More specifically, lack of economic developments is associated with financial problems of industrialization. Notably, Pakistan’s economic turmoil is a result of an increase in import bill. There has been unrelenting increase in the prices of oil as well as reduced prices of agricultural commodities. The most essential commodities, such as food and oil, have experienced increased prices in relation to international traded agricultural products and oil.

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