Drying FDI: How long Pakistan can sustain on foreign aid?
Video     Photos     Pakistan     World     Islam     Health     Crime     Islamic News     Business     Society     India     Travel     Middle East     Sport     sci/tech      Contact      RSS

A criminal silence : The misery of Pakistani prisoners in Saudia

US policy shift: From threatening to appeasing Pakistan

Trump asks Saudi crown prince to share kingdom's wealth by buying more American weapons

Afghan Special Forces Slaughter Farmers in Chaotic Errant Attack

Morsi is not an ordinary prisoner, British MP warns Egypt

The Russian tilt: Can Pakistan bring Russia back to the seat of Super power?

The Afghan endgame: Did Pakistan clear the way for US and Taliban secrete talks?

Why did Pakistani woman meet Indian cricketer Shami in Dubai?

The real rulers of Pakistan

Saudi Arabia beheads Indonesian migrant worker

Document: US paying militants to capture territory in N Syria

US Senate to vote on ending Washington’s role in Saudi war on Yemen

Iranian FM Javed Zarif’s interview by Hamid Mir highlighted economic opportunities that must be capitalised

False case registered against innocent Shia Muslims at ASWJ’s behest

Anti-Terrorism Court orders arrest of TLP chief Khadim Rizvi, others in Faizabad sit-in case

Ghouta civilians say militants used them as Human Shields

Pleasing US: Muhammad Bin Salman's so called moderation drive

Iranian official urges dialogue between Yemen factions

The Bajwa Doctrine: from chauvinism to realism

Behind Faizabad Dharna: ISI spills the beans

Hundreds of Israeli Forces Deployed in Iraq

Iraqi forces capture senior Daesh leader near Mosul

Putin Furious After Britain Says He Ordered Attack

India forces continue to use inflammable chemical in IOK

Surgical strike again: Is India really carry out a surgical strike on Pakistan?

Republican senator expects Trump to pull out of Iran deal

Has Pakistan completely eliminated Haqqani network?

Positive overtures: Did Ghani realize importance of Pakistan?

Yemeni snipers carryout successful operations in the kingdom's soil

Pakistan doing bare minimum to contain Taliban: US official

Bin Laden Corpse Pictures Are Fake, Says Navy SEAL

Growing Chinese influence in Pakistan irks United States

At daggers drawn: Is Pakistan going to close diplomatic mission in India?

Diplomatic standoff: Envoy ‘won’t return to India till ties improve’

Britain, France, Germany propose new sanctions on Iran: Report

Belgium regains control of Saudi-run Mosque over fears of promoting extremism

Abid Boxer: The Hanging sword on Shahbaz Sharif

Sunni party leader urges Pakistan government to accept Iranian offer

Real aliens have been discovered in Peru+Video

UAE-Saudi disagreement in Geneva puts Yemen’s unity at risk

Bahrainis demand withdrawal of Saudi-led occupation troops

French judge issues arrest warrant for daughter of Saudi king

Why Zardari dumped Raza Rabbani

Full-scale genocide in Myanmar; 10,000 Rohingya Muslims were killed in a month

Raiwind Attack: A grim reminder to Tableeghi Jamat

Saudi crown prince hiding mother from King Salman for 2 years: Report

Does Riyadh hold a nuclear weapon?

Raheel Sharif lands in Lahore after Saudi prayer leader's visit

Daesh, LeJ terrorists to be tried in military court for bombing at Qalandar shrine

Trump caught between Saudi Nuclear ambitions, Israeli Opposition

Saudi Arabia, Bahrain, UAE directed 1996 foiled coup against Qatar

SC indicts Tallal Chaudhary for contempt of court over anti-judiciary speeches

Tillerson’s firing shows US will take harder line toward Iran nuclear deal: Analyst

IMN says Nigeria will keep Zakzaky detained until he dies

Biting the masters: Why did TTP attack Tableeghi Markaz?

Britain expels 23 Russian diplomats over alleged chemical attack on ex-spy, Cuts diplomatic ties

Raiwind Blast: Two dead multiple wounded

Iran Foils Suicide Bombings With Pakistan’s Assistance: FM Discloses

How PML-N lost the Senate?: An Inside story

Inside Zareef's visit: Would Pakistan Join Chahbahar port?

Toothless HRW and sheer violation of human rights abuse in Saudia

Looting the Pakistan: The Pakistanis who have offshore properties worth millions

Palestinians boycott US forum as Arabs meet Israelis

Saudi cabinet approves atomic policy ahead of bin Salman’s US visit

Head of US Central Command signals support for Iran nuclear deal

British scientist Stephen Hawking dies at age 76

Trump: The US has foolishly wasted $7 Trillion in the Middle East

Nine times Nawaz Sharif was too cute

Yemeni Army Destroys 300 Saudi Tanks, Military Equipment, Fires 20 Missiles in 2 Months

Islamic Jihad Military wing warns Israeli regime of attack against resistance

Trump-Netanyahu-House of Saud triangle a threat to world peace: MWM chief

'Punish a Muslim' Game Spreads Across U.K. in Letters

Iran and Pakistan bonhomie: A joint message for India and Israel

Saudi Arabia leads flood of arms imports to Middle East: Study

Washington will act unilaterally on Syria: US envoy to UN

UN expert says Myanmar's crackdown on Rohingya bears 'hallmarks of genocide'

Kathmandu airport crash: 49 dead as US-Bangla plane veers off runway

Former under-19 Shia hockey player taken into custody by Rangers

Trump invites Qatar to Camp David Summit

Netanyahu: Gulf states consider Israel an ally

Opposition candidate Sadiq Sanjrani sworn in as new Senate chairman

Who was a shoe attacker? Nawaz Sharif in the eye of storm

Saudi reforms: blessing for Pakistan?

London Sees Sharp Increase in Rapes, Murders, Robberies and Knife Crimes

US Continues Afghanistan Escalation, With Little Public Debate

How Pakistan can shape Afghan's Taliban behavior?

Iran's UK ambassador threatened with death

Syrian Kurds accuse Turkey of ethnic cleansing in Afrin region: Report

Qatar complains to UN over UAE, Bahraini aircraft airspace violation

Israeli, Saudi officials hold Egypt-mediated meetings in Cairo: Report

Powers that destabilized Syria are not Pakistan’s well-wishers: Khawaja Asif

Shoe thrown at Nawaz Sharif at Jamia Naeemia Lahore+Video

Dubai ruler’s daughter secretly jailed for over three years, drugged in hospital: Report

Softening public image of CM Punjab: What is behind Imam Kaaba's political stunt?

Is Pakistan going to become hub of Islamic finance?

Greece close to fatal accident with Turkey: Defense minister

Ink thrown at Pakistan's defence minister Khawaja Asif +video

Is Pakistan next target of world powers?

Report: Saudi soft power tactic paying dividends in Iraq

U.S. Forces Face Laser Weapons Off Yemen Coast

2015-10-19 05:40:20

Drying FDI: How long Pakistan can sustain on foreign aid?


Foreign Direct Investment (FDI) inflows into Pakistan have been drying up over the past few years. After hitting an all-time peak of $5.4 billion in 2007-08, net FDI sank to a low of $824 million in FY12, before recovering moderately. The net inflow for July-August in the current year, however, presents yet another dismal picture. Net FDI has collapsed to a paltry $87m, from $138m in the same period in 2013. During July-May 2014-15 the FDI fell to $803 million, almost half of $1,509 million in the same period last year, indicating that few countries were willing to put their money in Pakistan. The reasons are well-known but there is no focus on dealing with them The government’s penchant for high visibility projects that can be completed within its tenure so that they can be used to win votes has stopped it from focusing on what constitute the foreign investors’ most basic needs like skilled manpower, end of red tape and corruption and a hassle free infrastructure. One reason why Pakistan fails to attract foreign investors is the drastic reduction on expenditures under the Public Sector Development Program (PSDP). According to a study conducted by the World Bank last year, Pakistan is in dire need of building infrastructure and is required to invest at least 6.6 percent of national output in meeting deficiencies in critical areas like insufficient investment in transport, electricity, water supply and telecom. Instead of more investment in infrastructure, the axe invariably falls on the PSDP whenever extra funds are needed to fulfil the requirements of some ‘sensitive’ department.The agreement with Russia to build Karachi-Lahore 1,100 kilometre gas pipeline comes as a ray of hope. Moscow will lend Islamabad $2 billion to lay a pipeline that will transport liquefied natural gas (LNG) from Karachi to Lahore. There is a need to expand bilateral relations with Russia, which is a major regional and world power. Besides the right to exercise the veto power at the UNSC, Moscow has great economic potential. The interests of Pakistan and Russia converge in Afghanistan also where both are keen to put an end to terrorism and promote regional peace.



Categories:   Business ،
Tags:   pakistan ، LNG ، Budget Deficit ، FDI ، Deficit ،
From other agencies (RSS Reader)


- The News