Loud Thinking

My letter published by the English daily “Express Tribune”.

A proposal to improve our forex reserves By Syed Nayyar Uddin Ahmad

Letter Published: January 18, 2014

LAHORE: The government is making allout efforts to put the economy back on track as soon as possible. As they say, a sick economy is like a sick man, who regains strength slowly if the treatment is done along the right lines. In this regard, I suggest that the government launch a scheme, under which all US dollar deposits in Pakistan should get an annual profit rate of three per cent (to be paid biannually) from a fixed future date, for a period of five years.

Here, we already know that we are getting loans from the International Monetary Fund at three per cent and also that the government has plans to obtain $600 million from selected foreign banks at about six per cent.

In my humble opinion, if the above proposal is implemented, the government will receive a flood of US dollars and this will significantly improve our balance-of-payments deficit and foreign exchange reserves.

Syed Nayyar Uddin Ahmad

Published in The Express Tribune, January 19th, 2014.

Like Opinion & Editorial on Facebook, follow @ETOpEd on Twitter to receive all updates on all our daily pieces.