The United States of America (USA) has turned down Pakistan's request for budgetary and balance of payments support, sources in the government told Business Recorder. The budget for fiscal year 2008-09 has envisaged a deficit of 4.7 percent, which is unlikely to be met as the Finance Minister had remained vague about revenue sources identified in the budget.

At the same time, expenditure in general and subsidies in particular are unlikely to be curtailed, given the increase in the number of those living below poverty line due to rising inflationary pressures. Balance of payments position is also unlikely to improve if oil prices remain high in the international market. Therefore, any increase in exports, forecast at 15 percent for 2008-09 in the trade policy announced by Ahmed Mukhtar, is not expected to provide the necessary cushion to absorb the rise in the import bill.

Given the two deficits ie budget and trade deficit, the request by Pakistan government to the US team to extend assistance for budgetary support reflected its deep concerns over impending economic crisis. Sources said that Pakistan's request for further financial assistance had been placed before the US team, which was present in the Finance Ministry on Monday, for the third US-Pakistan economic dialogue, but the response was not encouraging.

"Pakistan's economy is in a serious condition, and the government has not prepared any contingency plan," sources quoted the leader of the US team, Assistant Secretary of State for Economic, Energy and Business Affairs, Daniel S Sullivan, as commenting.

The US team was also of the view that Pakistan is not aggressively seeking foreign and local investors, who are nervous due to the current state of political and economic affairs, sources said. "It was a very disappointing round of talks between the US and Pakistan as nothing was achieved in real terms," they added.

The US team was also of the view that Pakistan is not aggressively seeking foreign and local investors

CIA operating inside the city .. while US keeps bombing on the borders .. the rest is left for RAW to explode inside the cities .. & here we go again .. Pakistan is not doing enough !!!

Thats what happens when you choose to be a beggar nation... The choice my friend does not lay in the hands of the beggar.

We were well on our way to getting out of the begging status. Pakistan was one of the two best Asian destinations for investment. That is until NS and AZ played their magic.

Ishaq Dork managed to incite a capital flight that was close to treasonous. What can we say?

Waiting for GEO/AAJ to run the economic success stories of the post musharaf era

SurVivor: "THE NATION IS NOT THE BEGGAR" its the stupid two bit monkeys in public office that need a strong kick in the pants.

But who voted these idiots in.............the PUBLIC !!!!!!!!!!

Yara you know full well thats not true. Majority dont take part in the system. The rest are basically serfs of these feudal lords who go in voting for who they are told at the threat of death.

This isn't the UK and you should know full well that elections does not mean there is democracy.

Now thats what i call hitting the nail on the head! Anyone who have ever steeped foot inside a Pakistani polling station will know this.

Good Very Good .............

The government has plans to impeach the president. That's the only plan you will get out from them.

A very nice friend USA.

Very nice. No use no support ?

Excuse me but don't expect people to throw money in a begging bowl whenever our country decides to beg shamelessly and wag its tail in front of the whole world!!

This is extremely shameful that this country with vast resources is still begging since 1947 whereas other countries who gained independence with or after us have moved on and are economic power houses!!

This clearly shows us that our people are being held hostage by the military and the politicians!! Our people need independece from the clutches of these morons. I just hope that one day someone from within ordinary people will rise up and wipe out al these morons and give power back to ordinary people!!!

Agreed! My message to those fools in office, stop spending the national treasury on shopping from Beverly Centre or buying the latest Amazon or LS series for your brats, that way we wont have to suffer the embarrassment as a nation of having to see our public officials grovelling at the feet of the US or IMF for money like so two bit Bikhari.

I wonder if anyone has questioned where is all that large number of Gold deposited by patriotic Pakistani women and where is all those billions of Rupees which were deposited by Patriotic Pakistanis during Nawaz Sharif Government in the scheme started by Gunja Nawaz in the name of

"Karz Utaro Mulk Sanwaro"


After collection huge amount of cash and Gold ornament by Nawaz Sharif on the pretext that these will be used to pay off international debt, the Accountibility of all that large number of Gold and money was never done and nor Nawaz told the nation how much debt was paid from that.