Economist Dr. Kaiser Bengali has declared Pakistan’s economy in dire straits, stating the country is bankrupt.
During a recent press conference, Dr. Kaiser Bengali addressed Pakistan’s critical financial challenges, emphasizing the severe financial aid and investment shortage. He pointed out that international lenders and investors are increasingly distancing themselves from Pakistan, with many foreign companies also opting to exit the market. Dr. Bengali noted this trend underscores the country’s growing economic isolation and the urgent need for robust policy reforms.
Dr. Bengali criticized the government’s continuous extravagant spending and ineffectiveness in managing economic reforms. He suggested shutting down 37 redundant institutions that no longer serve federal purposes, which could save significant financial resources. However, he noted the government’s plan to merge many of these instead of closing them.
He also raised concerns about the government’s approach to workforce reductions, noting discussions on cutting 150,000 jobs across grades 1 to 16 while no actions are being taken against high-ranking officials. Out of the many institutions, only the Population Control Department has been marked unnecessary and is slated for closure, and the Gems and Jewelry Department is being merged with Petroleum.
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Disappointed with the government’s disregard for substantial economic proposals, Dr. Bengali has resigned from his positions on various governmental committees, including those focused on austerity, rightsizing, and expenditure reduction. He submitted his resignation to Finance Minister Mohammad Aurangzeb and Secretary of the Cabinet Kamran Afzal.
In his resignation, he lamented the government’s failure to implement his proposals to close 17 divisions and 50 departments that could save 30 billion rupees annually. Instead, the government’s current policies slash lower-grade positions, exacerbating economic decline.
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Dr. Bengali warned that Pakistan’s economy is on life support, facing severe inflation that devastates household budgets and escalates suicide rates among citizens as international bodies like the IMF pull back on financial support.
