RECENT SITUATION OF TRADING IN PAKISTAN
by Sameer Aziz
Exchange of goods and services between the individuals is known as trading. Imports and exports are the backbone of trade. When goods are brought into a state its import, while if goods are sent out of the state then its export. Pakistan’s imports have generally been greater than its exports, and Pakistan import goods from many states which includes goods like machinery, petroleum products, chemicals, transport equipment, edible oil, iron, steel, fertilisers, and tea which adds up to 70% of total import.While exports include goods like raw cotton, textile products, cotton yarn, rice, leather products, carpets, rug, surgical-instruments, sports goods, chemicals and pharmaceutical products.
The recent political situation of Pakistan is negatively effecting the trade especially at individual or local level. As a result now for some time, business climate of the country has unfortunately been affected by the political unstability in the state.
As every other business, trading also has its own weakness. A trade shortfall occurs when a country’s imports surpasses its exports through a specified time period. It is also referred to as a negative balance of trade. The balance can be premeditated on different classifications of transection: goods and services.
Like any business, “fear of losing” plays a vital role in the career of stock traders. Trading in stock market involves rapid decision making. Hence, you need to have a better emotional control to handle them efficiently. The hurdle is always there in any form of activity, but the collective result depends on how you approach it.
Just anyone cannot handle the stress or difficulties involved in trading, one must possess firm determination and firm goal. There are so many aspects to trading that one must know. Some of those are the number of deceptive information spread throughout the internet, your own prejudices, and the obligation of striking a balance between risk and return.
Trading is stressful enough, it’s not convenient to pre-elevate your nervous system and feel a heightened sense of anxiety. Due to this very reason many quit trading business, but at the cost of losing a considerable capital.
Pakistan’s worsening economic crises continues to get worse as the country struggles to cope with rapidly mounting debt, inflated energy imports, dwindling forex reserves, rising global inflation, political instability and a sustained drop in GDP. For the government, it is now a race against time to prevent the nation from a complete economic collapse, which could severely impact millions of citizens.
Such is the extend of the crises that the government auctioned a Pakistani embassy property in the US a few days ago. The government is even resorting to drastic measures like ordering shopping malls, restaurants, wedding hall and markets to shut down-early, hoping that it would save the nation around $273 million or 62 billion Pakistani rupees towards energy imports.
Among other moves, all government departments in the country have been asked to reduce electricity consumption by 30%. While Pakistan’s economy has been out of shape consistently for the past few years, the cash-strapped nation’s financial problems aggravated further in 2023.