THE government should realise that steep devaluation of the rupee is no panacea for economic stability. Rather, it will push more Pakistanis below the poverty line.
It is disinformation that Pakistanis don`t pay taxes. The fact is that all 220 million of them pay.
The fact that more than 80 per cent indirecttaxes andless than20pcdirect taxation is the major cause of our backwardness. Consider this harsh reality; the poorest10pcpay17pcofthe tax revenue and the richest10pcpay only10pc of the revenue. Is this fair? Unless these abnormalities are corrected, it is impossible to take the more than 130 million citizens out of poverty.
The fastest way to reduce poverty besides direct taxationis to encourage direct foreign investment in Pakistan.
Other means include bringing back the billions of dollars in funds and properties stashed abroad.
There should also be a thorough probein why the previous government issued the sale of bonds at rates as high as 8.25 per cent.
