Customs Today
  • Home
  • Islamabad
  • Karachi
  • Lahore
  • National
  • Transfers and Postings
  • Chambers & Associations
  • Business
No Result
View All Result
Customs Today
  • Home
  • Islamabad
  • Karachi
  • Lahore
  • National
  • Transfers and Postings
  • Chambers & Associations
  • Business
No Result
View All Result
Customs Today
No Result
View All Result
Home Op-Ed Editorial

Case of unutilized loan

byDr. Aftab Afzal
22/03/2017
in Editorial, Latest News, Op-Ed
Share on FacebookShare on Twitter

The country is drastically in need of capacity building programmes for the bureaucracy and others who work in various organs of the government to face new challenges and situations as an emerging economy. Pakistan is passing through a transitionary period and not only its social structure and traditional values are changing, but trends of trade, business and economy are also passing through a critical process. However, the bureaucratic machinery is either incapable of understanding the new requirements of the changing world or it is reluctant to leave the colonial legacy of redtapism. Unfortunately, the bureaucratic cadre is still not willing to rid itself of the rigid conformity to the colonial rules which have no place in the modern government structure and are the things of the past. Sticking to the redundant bureaucratic rules seems to be a big hindrance in the way of decision-making. The latest example of incapacity of the government is its promptness to acquire $6.4 billion loan from the Asian Development Bank, but failed to utilize it in proper manners. Newspaper reports suggest the government could utilize only $1.8 billion and rest of $4.6 billion, which is around three-fourths of the total loan, is still unutilized and the nation has to pay extra charges as demurrage.

The loan was acquired for various developmental projects, but the allocation of the money is facing not only bureaucratic hindrances, but also difficulties in compliance of the complex requirements of the bank. As a result, nation is paying 0.15 percent as commitment charges on the unutilized loan. The bureaucracy is not responsible for the financial chaos alone, but the inability of the political leadership is also an equal partner in the matter. If the country lacks a full time finance minister, it also lacks a crew of politicians having modern visions and understanding. China has swiftly shifted its economy from communism to liberalism and secured high rate of progress within years. Pakistani leadership is still groping in the dark and is taking extra time to understand the emerging situation. The ADP issue is a tip of the iceberg as hundreds of other projects are waiting the government funding and are lying in limbos. If the bureaucracy needs refresher courses, the financial sector also needs reforms. The State Bank of Pakistan as the reserve bank is also facing bureaucratic rigmarole and is always seemed to be behind the schedule in decision making.

You might also like

Millers seek export of 633,000 tonnes of surplus sugar

13/08/2026

Petroleum levy collection surges to Rs1.567tr in FY26

13/08/2026

It is the duty of the political leadership to guide the official machinery as well as common citizens. If political leadership is incapable, it looks towards bureaucracy for advice on every matter of national importance and unending process of redtapism starts.

Related Stories

Millers seek export of 633,000 tonnes of surplus sugar

byCT Report
13/08/2026

KARACHI: The sugar mill owners have again urged Food Security Minister Rana Tanveer Hussain to allow the export of 633,000...

Petroleum levy collection surges to Rs1.567tr in FY26

byCT Report
13/08/2026

LAHORE: The government collected Rs1.567 trillion through the Petroleum Levy (PL) in fiscal year 2025-26. The figure exceeded the revised...

KP cabinet approves sales tax relief for Malakand, tribal areas, clears Rs5b youth programme boost

byCT Report
13/08/2026

PESHAWAR: The Khyber Pakhtunkhwa cabinet has approved two draft notifications granting sales tax relief to local service providers and industrial...

KCCI pledges to make Pakistan more prosperous on Independence Day

byCT Report
13/08/2026

KARACHI: Businessmen Group (BMG) Chairman Zubair Motiwala and Karachi Chamber of Commerce & Industry (KCCI) President Muhammad Rehan Hanif have...

Next Post

Dy Commissioner-IR Farva promoted to BS-18

  • Terms and Conditions
  • Disclaimer

© 2011 Customs Today -World's first newspaper on customs. Customs Today.

No Result
View All Result
  • Transfers and Postings
  • Latest News
  • Karachi
  • Islamabad
  • Lahore
  • National
  • Chambers & Associations
  • Business
  • About Us

© 2011 Customs Today -World's first newspaper on customs. Customs Today.