Staff Report
ISLAMABAD: Former President of Islamabad Chamber of Commerce and Industry (ICCI) Dr. Shahid Rasheed Butt on Monday said the international community should not allow the Russia-Ukraine conflict to escalate otherwise it could harm the global economy which is recovering slowly.
The war can result in unforeseen consequences and it can inflict more harm to the global economy than the Coronavirus, in shape of economic carnage, societal turmoil, he said.
Shahid Rasheed Butt said that Russia is not an ordinary country therefore, caution should be observed while imposing economic sanctions and other measures lest it hurt the whole world. He said that Pakistan should stay away from Russia at this critical juncture, as the country cannot survive without the help of IMF.
Pakistan’s current account deficit for the ongoing year has been estimated to be around forty billion dollars and such a deficit can only be tackled through an IMF loan that is under influence of the western powers.
Therefore, he said, Pakistan should not anger the Western powers and formulate policies in line with the rapidly changing global scenario based on facts rather than aspirations and hopes.
Mr. Butt said that it is a fact that bilateral trade between Pakistan and Russia is very little while Pakistan’s majority of the trade is with the west and it is heavily dependent on the western countries and institutions.
He said that the price of oil in Pakistan is at its highest level which is likely to increase further due to conflict which will increase the suffering of the people and weaken the economy.
In addition, important crops are constantly failing and Pakistan has to import what it used to export a few years ago. Pakistan imports millions of tons of wheat from Ukraine because its price is the lowest in the world.
If the war drags on, Pakistan will have to buy expensive wheat from other countries which will further aggravate the food security problem in the country.
