The textile and clothing sector is of strategic importance to Pakistan, accounting for more than 50 percent of its manufactured exports. The phasing-out of MFA type restrictions and other trade barriers is generally expected to have positive effects on Pakistan's exports of textiles and clothing...

This paper examines the determinants of private, domestic, and household savings in Pakistan. The analysis shows that private savings can be expected to grow gradually as a result of rising per capita income, falling dependency burden, improved financial deepening, and macro stability. Bivariate...

This paper presents a theoretical model with micro-foundations that captures some important features of Pakistan's economy which have emerged in sixty-four years of its history. A comparison of Pakistan’s economic performance during different regimes shows that macroeconomic fundamentals tend...

The broad objectives of the present study are to examine the impact of the global financial crisis as it folded during 2008 and 2009 on four major South Asian economies i.e., Pakistan, India, Bangladesh and Sri Lanka; identify policy actions taken to mitigate the adverse impacts of the crisis;...

This study attempts to evaluate exporters’ perceptions of the problems they face in exploiting their full competitive potential in the international market. Using firm-level survey data, we find that a shortage of skilled labor, the energy crisis, institutional rigidities, market...

This paper investigates why Pakistan was not able to weather and quickly recover from the global financial crisis compared to other South Asian countries and the larger Asia-Pacific region. The paper argues that in fact Pakistan's macroeconomic difficulties preceded the crisis due to the spike...

This paper proposes that the underlying cause of the macroeconomic problems facing Pakistan today are a series of supply shocks which have constrained output growth. It is argued that while the current debate has solely focused on government expenditures and revenues, it is critical to also...

This paper develops an open economy dynamic stochastic general equilibrium (DSGE) model based on New-Keynesian micro-foundations. Alongside standard features of emerging economies, such as a combination of producer and local currency pricing for exporters, foreign capital inflow in terms of...

Agricultural credit plays an important role in enhancing the agricultural productivity in developing countries like Pakistan. The study discusses various indicators of agricultural credit in Pakistan and presents results of estimated production function using institutional credit as one of the...

This paper re-examines the causal relationship between money and income and between money and prices in Pakistan. Using an annual data set for Fiscal Years 1959/60 to 2003/04 and employing Co-integration and Error Correction Models as well as the standard Granger Causality analysis we...