comparison of developed and developing countries

8/8/2019 comparison of developed and developing countries

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PAKISTAN


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BASIC

INFORMATION


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About Pakistan:

Pakistan's history has been characterized by periods ofmilitary rule, political

instability and conflicts with neighboring India. It is the sixth most populous country in the world

and has the second largest Muslim population afterIndonesia. Pakistan also has the secondlargest Shia Muslim population. It is the only Muslim-majority nuclear state and is classified

as major non-NATO ally of the United States. Pakistan is one of the founders of the organization

of Islamic conference and a member of the United Nations, Commonwealth of Nations, Next

Eleven economies and G20 developing nations.

Independence Day:

14th august 1947.

Name:Islamic republic of Pakistan

Capital:

Name: Islamabad.

Location:Located in south Asia. It has a 1,046-kilometre (650 mi) coastline along the ArabianSea and Gulf of Oman in the south and is bordered by Afghanistan and Iran in the west, India in

the east and China in the far northeast. Tajikistan also lies very close to Pakistan but is separated

by the narrow Wakhan Corridor. Thus, it occupies a crossroads position between South Asia,

Central Asia and the Middle East.

Area:

803,940 km2

Land boundaries:

Total: 6,774 kmBorder countries: Afghanistan 2,430 km, China 523 km, India 2,912 km, Iran 909 km.
http://en.wikipedia.org/wiki/Military_dictatorshiphttp://en.wikipedia.org/wiki/Political_corruptionhttp://en.wikipedia.org/wiki/Political_corruptionhttp://en.wikipedia.org/wiki/Indo-Pakistani_Warshttp://en.wikipedia.org/wiki/List_of_countries_by_populationhttp://en.wikipedia.org/wiki/Islam_by_countryhttp://en.wikipedia.org/wiki/Indonesiahttp://en.wikipedia.org/wiki/Shia_Muslimhttp://en.wikipedia.org/wiki/List_of_Muslim_majority_countrieshttp://en.wikipedia.org/wiki/List_of_states_with_nuclear_weaponshttp://en.wikipedia.org/wiki/Major_non-NATO_allyhttp://en.wikipedia.org/wiki/United_Stateshttp://en.wikipedia.org/wiki/United_Nationshttp://en.wikipedia.org/wiki/Commonwealth_of_Nationshttp://en.wikipedia.org/wiki/Next_Elevenhttp://en.wikipedia.org/wiki/Next_Elevenhttp://en.wikipedia.org/wiki/G20_developing_nationshttp://en.wikipedia.org/wiki/Arabian_Seahttp://en.wikipedia.org/wiki/Arabian_Seahttp://en.wikipedia.org/wiki/Gulf_of_Omanhttp://en.wikipedia.org/wiki/Afghanistanhttp://en.wikipedia.org/wiki/Iranhttp://en.wikipedia.org/wiki/Indiahttp://en.wikipedia.org/wiki/Tajikistanhttp://en.wikipedia.org/wiki/Wakhan_Corridorhttp://en.wikipedia.org/wiki/Square_metrehttp://en.wikipedia.org/wiki/Square_metrehttp://en.wikipedia.org/wiki/Military_dictatorshiphttp://en.wikipedia.org/wiki/Political_corruptionhttp://en.wikipedia.org/wiki/Political_corruptionhttp://en.wikipedia.org/wiki/Indo-Pakistani_Warshttp://en.wikipedia.org/wiki/List_of_countries_by_populationhttp://en.wikipedia.org/wiki/Islam_by_countryhttp://en.wikipedia.org/wiki/Indonesiahttp://en.wikipedia.org/wiki/Shia_Muslimhttp://en.wikipedia.org/wiki/List_of_Muslim_majority_countrieshttp://en.wikipedia.org/wiki/List_of_states_with_nuclear_weaponshttp://en.wikipedia.org/wiki/Major_non-NATO_allyhttp://en.wikipedia.org/wiki/United_Stateshttp://en.wikipedia.org/wiki/United_Nationshttp://en.wikipedia.org/wiki/Commonwealth_of_Nationshttp://en.wikipedia.org/wiki/Next_Elevenhttp://en.wikipedia.org/wiki/Next_Elevenhttp://en.wikipedia.org/wiki/G20_developing_nationshttp://en.wikipedia.org/wiki/Arabian_Seahttp://en.wikipedia.org/wiki/Arabian_Seahttp://en.wikipedia.org/wiki/Gulf_of_Omanhttp://en.wikipedia.org/wiki/Afghanistanhttp://en.wikipedia.org/wiki/Iranhttp://en.wikipedia.org/wiki/Indiahttp://en.wikipedia.org/wiki/Tajikistanhttp://en.wikipedia.org/wiki/Wakhan_Corridorhttp://en.wikipedia.org/wiki/Square_metre


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Coastline:

1,046 km

Natural resources:Land, extensive natural gas reserves, limited petroleum, coal, iron ore, copper, salt, limestone

Religion:

The religious breakdown of the country is as follows!

Islam 173,000,000 (96%) (Nearly 76% are Sunni Muslims, 20% are Shi'a Muslims.)

Hinduism 3,200,000 (1.85%) Christianity 2,800,000 (1.6%)

Sikhs Around 20,000 (0.001%)

The remaining are Parsis, Buddhists, Jews, Bah's, and Animists (mainly the Kalasha of

Chitral).

Major source of income:

Service sector accounts for major portion of national income.

Politics:

Nature of government:

Parliamentary federal democraticrepublic.

political Parties:

Pakistan People's Party Parliamentarians

Pakistan Muslim League (N)

Pakistan Muslim League (Q)

Muttahida Majlis-e-Amal

Awami National Party

Tehreek e insaf
http://en.wikipedia.org/wiki/Islam_in_Pakistanhttp://en.wikipedia.org/wiki/Sunni_Muslimshttp://en.wikipedia.org/wiki/Shi'a_Muslimshttp://en.wikipedia.org/wiki/Hinduism_in_Pakistanhttp://en.wikipedia.org/wiki/Christianity_in_Pakistanhttp://en.wikipedia.org/wiki/Sikhism_in_Pakistanhttp://en.wikipedia.org/wiki/Parsi_peoplehttp://en.wikipedia.org/wiki/Buddhisthttp://en.wikipedia.org/wiki/History_of_the_Jews_in_Pakistanhttp://en.wikipedia.org/wiki/Bah%C3%A1'%C3%AD_Faithhttp://en.wikipedia.org/wiki/Animisthttp://en.wikipedia.org/wiki/Kalasha_of_Chitralhttp://en.wikipedia.org/wiki/Kalasha_of_Chitralhttp://en.wikipedia.org/wiki/Parliamentary_republichttp://en.wikipedia.org/wiki/Federal_republichttp://en.wikipedia.org/wiki/Democratichttp://en.wikipedia.org/wiki/Republichttp://en.wikipedia.org/wiki/Islam_in_Pakistanhttp://en.wikipedia.org/wiki/Sunni_Muslimshttp://en.wikipedia.org/wiki/Shi'a_Muslimshttp://en.wikipedia.org/wiki/Hinduism_in_Pakistanhttp://en.wikipedia.org/wiki/Christianity_in_Pakistanhttp://en.wikipedia.org/wiki/Sikhism_in_Pakistanhttp://en.wikipedia.org/wiki/Parsi_peoplehttp://en.wikipedia.org/wiki/Buddhisthttp://en.wikipedia.org/wiki/History_of_the_Jews_in_Pakistanhttp://en.wikipedia.org/wiki/Bah%C3%A1'%C3%AD_Faithhttp://en.wikipedia.org/wiki/Animisthttp://en.wikipedia.org/wiki/Kalasha_of_Chitralhttp://en.wikipedia.org/wiki/Kalasha_of_Chitralhttp://en.wikipedia.org/wiki/Parliamentary_republichttp://en.wikipedia.org/wiki/Federal_republichttp://en.wikipedia.org/wiki/Democratichttp://en.wikipedia.org/wiki/Republic


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Language:

Pakistan is a multilingual country with more than sixty languages being spoken. English is

the official language of Pakistan and used in official business, government, and legal

contracts, while Urdu is the national language.

Languages No. of speakers (%)

(2008 est.)

Main areas spoken

Punjabi 44.17 PunjabPashto 15.44 Khybar pakhtoon kawa

Sindhi 14.12 Sindh

Saraiki 10.42 South Punjab

Urdu 07.59 Karachi

Balochi 03.59 Balochistan

Others 03.59

45%

15%

14%

10%

8%4% 4%

LOCAL LANGUAGES

Punjabi Pashto Sindhi Saraiki Urdu Balochi Others
http://en.wikipedia.org/wiki/Multilingualhttp://en.wikipedia.org/wiki/Official_languagehttp://en.wikipedia.org/wiki/Urduhttp://en.wikipedia.org/wiki/National_languagehttp://en.wikipedia.org/wiki/Multilingualhttp://en.wikipedia.org/wiki/Official_languagehttp://en.wikipedia.org/wiki/Urduhttp://en.wikipedia.org/wiki/National_language


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Total population:

(in million)

Years 2007 2008 2009

Population 158.17 160.97 163.76

158.17

160.97

163.76

155

156

157

158

159

160

161

162

163

164

165

2007 2008 2009

POPULATION(Mn)

Comment:

With a population growth rate of 1.95%(2009est.) Pakistan is facing a formidable

challenge of tackeling the issue of economic development and poverty reduction.in the

wake of growing population, need for food security and provisions of employment

opportunities and shelter are becoming a burden on the economy.

With a current rate of population growth the pakistans population is likely to be doubled

in 39 years. The high growth rate, therefore is matter of great concern.

Without population stabilization, addressing the critical issues such as the environment,

energy, food/water supplies, migration and security is extremely difficult.

Population by Urban/ Rural Areas:


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(I

n millions)

103.9 105

104.2

55.6 57.3 59.1

159.5 162.3163.2

0

20

40

60

80

100

120

140

160

180

2007 2008 2009

POPULATION DISTRIBUTION(Mn)

RURAL URBAN TOTAL

Comment:

It would not be possible to sustain the urban infrastructure with its growing needs if the

Population continues to grow at the present pace.People crowd the cities which alreadycannot hold more people.

Increase in urban and rural population ensure that the living conditions in urban areas will

get worse with no proper access to drinking water and sanitation.

Per capita income:

year 2007 2008 2009

Population (rural) 103.91 105.06 104.1

Population (urban) 55.66 57.32 59.1


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year 2007 2008 2009

Per capita income 921 1042 1046

(In u.s $)

Comment:

In year 2009 it grew by a meager percentage because of slower economic growth and

depreciation of pak rupees.

The last few years have been in full contrast, with per capita income at a much stronger

pace.

The per capita income in dollar terms has increased from 921$ (in 2007) to 1046$(in

2009). The main factors responsible for rise include acceleration in real GDP growth and

fourfold increase in workers remittances.


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Labor force

Total labor force:

YearIndicators

2007 2008 2009

Labor force 50.33 51.78 52.00

Employed 47.65 49.09 48.37

Unemployed 2.68 2.69 3.63


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Unemployment rate:

Year 2007 2008 2009

(%) 5.32 5.20 5.26

5.32

5.2

5.26

5.14

5.16

5.18

5.2

5.22

5.24

5.26

5.28

5.3

5.32

5.34

2007 2008 2009

UNEMPLOYMENT RATE (%)


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Health

Health:

yearIndicator

2007 2008 2009

Registered doctors 123,125 127,859 133,956

Registered nurses 57,646 62,651 65,387

Population/doctor 1,251 1,225 1,212

Population/bed 1,508 1,517 1,575


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Comment:

In Pakistan health services are provided through (I) the health care delivery systems and(II) public health intervention. The former include basic health units (BHUs) and ruralhealth centres (RHCs) forming the core of primary health care while public health

intervention includes a number of public health programs which are federally led withprovincial implementation and institutional mechanism.

The country's focus on producing more Doctors has led to marked improvement in theDoctor-to- population ratio. The population to facilities ratio in respect of a doctor andbeds has improved in comparison to previous years.

Notwithstanding improvement in doctors/beds to population ratio, it must be recognizedthat Pakistan's key health indicators still lag behind in relation to international targetsarticulated within the millennium declaration which makes a case for reform measurewithin the health sector. Public health intervention includes a number of public healthprograms. These include the National Program for prevention and control of T.B,Malaria, HIV/ AIDs and child health care program etc. To bring a visible change in

health status of the country, the government of Pakistan has intensified its efforts. Thefollowing core programmes are being implemented with a much sharper focus on thepoor and underprivileged segments of the society.

CPM:


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Education

Expenditure on education:

Indicators

year

Public sector

expenditure

(in bln)

As % of GDP % of total

expenditure

2007 216.5 2.50 12.00

2008 253.7 2.47 09.80

2009 275.5 2.10 11.52

4.3

4.4

1.82 2

3

0

1

2

3

4

5

2007 2008 2009

EDUCATIONAL EXPENDITURE (%)

GDP TOTAL EXPENDITURE


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Comment:

Being an important component of social sector, govt. is adopting most feasible strategies

for the growth of educational sector including dependence on the available financialresources, paradigm of structural development and essential element of policyframework.

Public expenditure on education as percentage to GDP is lowest in Pakistan due tofinancial resources constraint that paved the way to synchronization in terms of GDPallocation.

In comparison to year 2007 investment on education has declined to 2.10% which is onthe lowest side in accordance to its requirement given the importance of the sector.

Along with investment, growth in budgetary allocation for this sector has also declined to8.6% which was 17% in previous years.

Foreign aids to finance this sector seem ineffective as Pakistan is unable to match the

standard for allocation of investments in education.


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Literacy rate by sex (age 10 years & above):

Year

Indicators

2007 2008 2009

Male 67 69

Female 42 44

Total 55 56

(In terms of %)

55 56 5767 69 71

42 44 46

0

20

40

60

80

2007 2008 2009

LITERACY RATE (%)

TOTAL MALE FEMALE

Comment:

Our education system has to meet the basic learning needs of our society emphasizing basicliteracy and life skills, increasing access and completion of quality education, address genderproblem , geographical and structural disparities, and enhance the efficiency of educationgovernance.

The point of consideration is Literacy remains higher in urban areas (71%) than in rural areas(49%) and more in men (69%) compared to women (44%).


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Level of education:

Enrollment Institutions Teachers

Year

Level

2007 2008 2009 2007 2008 2009 2007 2008 2009

Primary 17,041,937 17,233,231 17,366,139 158,372 157,899 158,023 445,835 438,823 437,106

Middle 5,367,608 5,365,907 5,400,435 40,094 40,837 41,326 313,488 320,609 323,894

High 2,315,216 2,435,708 2,536,608 23,554 23,967 24,320 366,606 372,249 378,269

Higher/sec. 902,448 961,661 997,703 3,095 3,218 3,292 71,246 74,222 75,821

Degree/college 348.814 352,302 361,072 1,166 1,198 1,219 20,768 20,976 21,112

Universities 640,061 741,092 741,092 120 124 124 44,537 46,893 46,893


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ECONOMIC INDICATORS


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GDP

GDP growth:

872310282

12280

0

5000

10000

15000

2007 2008 2009

GDP AT CURRENT PRICE(Rs Billions)

5.325.2

5.26

5.1

5.2

5.3

5.4

2007 2008 2009

GDP GROTH RATE(%)

Comment:

The growth has shown a accelerating trend in year 2009 in comparison to previous years.Notwithstanding the intensity of the multiple shocks Pakistans economy has had to face

GDP growth rate(at market price)

GDP(at market price)

(in billion Rs.)

Year 2007 2008 2009 2007 2008 2009

Growth 5.7% 2.0% 3.7% 8723 10282 12280


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over the past two years, in relative terms, its economy has exhibited a fair degree ofresilience. Compared to other countries affected by the global financial crisis, it isremarkable that Pakistan is among a handful of countries with a positive rate of growth,and among a very few with the lowest decline in real GDP growth.

The contribution to economic growth is spearheaded by the services sectorwith 96.1 percent stake while only 3.9 percent contribution came from theCommodity Producing Sector (CPS).

One of the important components of CPS, agriculture alone contributed 50.1percent to real GDP growth; however, this is more than neutralized by 50.4percent negative contribution from large-scale manufacturing. Thanks to 16.7percent positive contribution from small-scale manufacturing, the overallnegative contribution of the manufacturing sector stood at 31.9%.

In the service sector major contribution to GDP growth came from transport, storage andcommunication(14.6%), wholesale and retail trade(27.1%), social services(38.6%).


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Fiscal developments

Revenue:

Revenue(as % of GDP)

Component

year

Total revenue Tax revenue Non-tax revenue

2007 14.9 10.2 4.7

2008 14.6 10.3 4.0

2009 14.6 11.3 3.8

Total Revenue

(in billion Rs.)

Year 2007 2008 2009

Amount 1298 1500 1809

Comment:

On the revenue side, tax-to-GDP and hence, revenue-to-GDP ratios either remainedstagnant or showed secular decline, owing mainly to structural deficiencies in the taxsystem and administration, both at the federal and provincial government level.

However, in 2008-09 total revenue as percentage of GDP recovered slightly due to amarginal improvement in tax revenues as a percentage of GDP.


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Expenditure:

Expenditure

(as % of GDP)

Component

year

Total expenditure Current Development

2007 20.8 15.8 5.0

2008 22.1 18.0 4.4

2009 18.6 15.8 2.8

Comment:

Notwithstanding, difficulties being faced by the economy during the fiscal year (2008-09), better fiscal discipline and improving expenditure management led to substantialimprovement in the fiscal outlook.

Total expenditure has fluctuated between 15 to 18 percent of GDP during the last threeyears. Total expenditure as a percentage of GDP stood at 18.6 percent as compared to22.1 percent last year. The spike in 2007-08 was mainly due to huge unprecedentedexpenditures incurred on account of subsidies and political expediency on the part of the

outgoing government. Year 2009 witnessed correction on this count and expenditure control measures brought

significant downward adjustment in expenditure.

The narrowing of gap between revenue and expenditure is likely to come from additionalresource mobilization rather than expenditure curtailment. At this critical juncture, theeconomy needs fiscal stimulus and compression of the revenue expenditure gap at theexpense of growth enhancing expenditure could prove counterproductive.

Fiscal deficit:

Total expenditure

(In billion Rs.)

Year 2007 2008 2009

Amount 1800 2277 2431


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(as % of GDP)

Year 2007 2008 2009

Deficit 4.3 7.4 4.3

(In billion Rs.)

Year 2007 2008 2009

Deficit (378) (777) (562)

Comment:

The overall fiscal deficit witnessed a sharp decline until 2007&2009, except for 2008when the pendulum swung to other extreme.

This declining trend in fiscal deficit was due to falling expenditures rather than rising

revenues.

The shifting of expenditure from current expenditure to development expenditure whileleaving total expenditures stagnant mostly at around 18percent of GDP has helped toimprove the fiscal position. While the reduction in fiscal deficit in 2008-09 occurredmainly through a drastic cut in development expenditures, revenues fell short of thetarget.

Consumer price index


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Component of CPI:

Year

Items

2007 2008 2009

CPI (general) 7.8 12.0 22.4

Food group 10.4 17.5 26.6Non-food group 6.0 7.9 19.0

Core inflation 5.9 8.3 17.8

Comment:

This year the increase in the price level has been extraordinary in Pakistan. The inflation ratemeasured through the Consumer Price Index (CPI) has climbed to 22.3 percent during 2008-09over the corresponding increase of 12.0 percent. Inflation accelerated at a rapid pace mainlybecause of rising food prices; a weaker rupee/dollar exchange rate; the gradual withdrawal ofsubsidies on gas, electricity and petroleum; the imposition of custom duty on the imports ofvarious items; and an upward revision in the support price of wheat and sugarcane crops.

Both the food and non-food inflation contributed to the overall CPI inflation but in

different ways as various factors influenced the two CPI components separately. Theincrease in food inflation was influenced mainly from a shortfall in the supply of someessential consumer food items such as wheat, meat, sugar, milk and poultry whereas thenon-food price inflation was mainly driven by the price of POL products and the resultantrise in transportation costs.


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Exchange rate

Average yearly exchange rates:

In terms of U.S $

Years 2007 2008 2009

Rates 60.35 60.63 81.41

Comment:

Pakistan has witnessed tremendous pressure on exchange rate during July-October 2008-09 when rupee depreciated by 16.3 percent. The reasons being substantial loss of foreign

exchange reserves massive buying by businesses seeking to avoid exchange losses onimports along with other factors like trade related outflows, political uncertainty andspeculative activities in the foreign exchange market.

With signing of Standby Arrangements with the IMF, the rupee got back some of its lostvalue and with substantial import compression, improvement in overall external balanceincluding revival of external inflows from abroad the exchange rate hovered aroundRs.80.50 during April 2009.


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Foreign investments

FDIs:

Data for July-April

(in million US $)

Items

Year

Direct Portfolio Total

2008 3719.1 98.9 3818

2009 3205.4 (451.5) 2753.9

2010

3818

2753.92500

3719.13205.4

2000

98.9 -451.5

500

-1000

0

1000

2000

3000

4000

5000

2008 2009 2010

LABOUR FORCE(Mn$)

TOTAL FDI FPI

Comment:

Pakistan has also witnessed a substantial fall in FDI inflows in 2008-09 in line withall other developing countries. However, the case of Pakistan is exacerbated bythe deteriorating security environment.

The overall foreign investment during the first ten months (July-April) of the fiscal

year 09 has declined by 42.7 percent and stood at $ 2.2 billion compared to $3.9billion in the same period of last year.

Foreign direct investment (private) showed more resilience and stood at $3205.4million during the first ten months (July-April) of the fiscal year 09 as compared to$3719.1 million in the same period last year thereby showing a decline of 13.8percent. Private portfolio investment on the other hand showed an outflow of$451.5 million as against an inflow of $98.9 million during the comparable periodof last year.


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Less progress in FDIs is majorly caused by political instability, higher interestrates, energy crisis, most important of all instable law and order situation.


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Balance of payments

Exports:

July-April($ millions)

($ millions)

Particulars 2008 2009 Change%

Absoluteincrease/decrease

%share

Food group 2050.0 2560.3 24.9 510.3 17.3Textilemanufacture

8706.4 7898.9 (9.3) (807.5) 53.5

Petroleumgroup

974.0 702.4 (27.9) (271.6) 4.80

Othermanufacture

2926.2 2938.8 0.4 12.6 19.9

All other items 566.3 661.7 16.9 95.4 4.50Total 14762.2 15222.9 (3.0) (460.7) 100

Comment:

Exports in FY 09 showed a decline of 3.0% in comparison to previous year.

The major negative contribution to this sector came from textile and petroleum which

witnessed a decrease of 9.0 percent and 27.3 percent respectively. However non-textile and petroleum sector showed a positive growth of 5.3 percent which

is more than offset by negative contribution by textile and petroleum.

In spite of overall decrease in exports, the export of food group on back of stellar growthperformance of the rice registered healthy growth of 24.9 percent and other items postedan increase of 16.9 percent.

Export growth is hindered owed to lack of diversification in export goods . The trend ofPakistans export of major items remain more or less same having concentrated on five


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items namely cotton manufactures, leather, rice, synthetic textile and sports goods. Thesefive categories accounts for 73.5 percent of total exports during July-March 2008-09.Within these few items cotton manufactures remain major contributor in total exports.The exports structure suggests that the intensity of concentration is changing slowly.

Imports:

July-April($ millions)

($ millions)

Particulars 2008 2009 Change%

Absoluteincrease/decrease

%share

Food group 3527.4 3419.6 -3.1 -107.9 11.8Machinerygroup

4249.8 4272.1 0.5 22.3 14.8

Petroleum

group

8670.4 8012.7 -7.6 -657.6 27.7

Consumerdurables

1689.1 1412.3 -16.4 -276.8 4.9

Raw material 6372.5 6042.7 -5.2 -329.9 20.9Telecom 1897.4 857.1 -54.8 -1040.3 3.0All other items 5652.8 4905.9 -13.2 -746.9 17.0Total 32059.4 28922.4 -9.8 -3137.0 100.0

Comment:

Imports declined by 9.8 percent and stood at $ 28,922.4 million during July-April 2008-09 as against $ 32,059.4 million of the corresponding period last year. The overall importbill is lower by $ 3,137 million than imports in the comparable period of last year. Import

compression measures lowering domestic demand coupled with massive fall ininternational oil prices have started paying dividends and imports witnessed slowdown.Beside that depreciation of rupee had also played a significant role for lower importsduring current fiscal year.

With the exception of machinery group, the lower level of overall import bill is outcomeof reduced imports spending on telecom ($1040.3 million), raw material ($329.9 million),consumer durables ($276.8 million), others (746.9 million), petroleum group (657.6million) and food group ($ 107.9 million). The imports less of petroleum group and


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excluding petroleum and food group witnessed decline of 10.6 percent and 11.9 percent,respectively.

Further it isrevealed thatfood group

accountingfor 11.8

percent of total imports, shown a negative growth of 3.1 percent. Import of textile machinery is witnessing a declining trend since 2004-05 with current decline of

49.0 percent during July-April 2008-09 over the comparable period last year revealing thecontinuous deteriorating outlook for the textile sector for past few years and declininginternational demand.

Trade balance:

Comment:

Terms of Trade represent the relative prices of exports in terms of prices of imports. Pakistan iswitnessing persistent deterioration in terms of trade for almost two decades now. After witnessingdeterioration of 11.5 percent during last year 2007-08, countrys terms of trade indices with baseyear 1990 = 100 aggravated to 56.3 during July-March 2008-09 from 57.5 in the corresponding

July-June July-April

Year 2007 2008 2oo9

Amount -9711 -12313 -10794


Year 2007 2008 2009

Amount


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period of last year. Thus against the 10.0 percent deterioration in the corresponding period offiscal year 2007-08, terms of trade deteriorated by 2.1 percent during July-March 2008-09.

Deterioration in the terms of trade is the lowest ever since 2002-03 which is reflection ofdeclininginternationalprices of

commodityand oil.

The deterioration in the terms of trade has also contributed to deterioration of the current accountdeficit in 2007-08 and modest decline implies that current account deficit is witnessing someimprovement. The reason for deterioration of terms of trade index is the unit value index ofimports is rising at a faster pace than unit value of exports

Improvement in trade deficit arises due to massive decline in imports on the back of importcompression measures taken by government, massive decrease in international prices of oil andcommodity and depreciation in the rupee value.

Current account:

Comment:

The current account deficit has improved by $2.6 billion and stood at $ 8.547 billionduring July- April 2009-09 as against $ 11.173 billion in the corresponding period of lastyear, thereby showing an improvement of 23.5 percent.

The improvement in the current account deficit started in the period November- April2008-09 when it has shown remarkable improvement by 74 percent over thecorresponding period last year on the back of reduction in trade and services accountdeficits.

This improvement contributed by deceleration in import growth owing to easing of thedemand pressures and helped by commodity and petroleum prices crash. Increase inworkers remittance and reduction in services account deficit leads to improvement ofinvisible account.


Year 2007 2008 2009

Amount -6878 -11173 -8547


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External debt:

Year 2007 2008 2009

Amount (bln US $) 40.5 46.3 50.1

As % of GDP 28.3 28.1 30.2

Comment:

During the first nine months of the current fiscal year 2008-09, Pakistans total external debtincreased from $ 46.3 billion at end-June 2008 to $ 50.1 billion by end-March 2009 anincrease of US $ 3.8 billion or 8.2 percent.

A high and persistent current account deficit implies greater financing requirement by the

economy. A global environment plagued by the economic slowdown has hampered non-debtcreating inflows like FDI and in constricted availability of the non-debt creating inflows; thegovernment has to resort to multilateral and bilateral sources for its financing requirement andthus leading to the stock of outstanding external debt.

In relative terms, EDL as percentage of GDP increased from 28.1 percent at end-June 2008 to30.2 percent by end-March 2009 an increase of 2.1 percentage points. This is the highest everrise in a single year for almost one decade [See Table-9.1]. A significantly depressed economicgrowth and massive depreciation of rupee against dollar partially explains this increase in EDL asa percentage of GDP.


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UNITED KINGDOM


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BASIC

INFORMATION


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About United Kingdom:1927; England has existed as a unified entity since the 10th century; the union between Englandand Wales, begun in 1284 with the Statute of Rhuddlan, was not formalized until 1536 with anAct of Union; in another Act of Union in 1707, England and Scotland agreed to permanently joinas Great Britain; the legislative union of Great Britain and Ireland was implemented in 1801 with

the adoption of the name the United Kingdom of Great Britain and Ireland; the Anglo-Irish treatyof 1921 formalized a partition of Ireland; six northern Irish counties remained part of the UnitedKingdom as Northern Ireland; the current name of the country, the United Kingdom of GreatBritain and Northern Ireland, was adopted in 1927

Name:United Kingdom of Great Britain and Northern Ireland

name: London

Location:

Western Europe, islands including the northern one-sixth of the island of Ireland between theNorth Atlantic Ocean and the North Sea, northwest of France.

Area:

total: 244,820 sq km

land: 241,590 sq km

water: 3,230 sq km

note: includes Rockall and Shetland Islands

Land boundaries:

Total: 360 kmBorder countries: Ireland 360 km

Coastline:

12,429 km

Natural resources:

coal, petroleum, natural gas, iron ore, lead, zinc, gold, tin, limestone, salt, clay, chalk, gypsum,potash, silica sand, slate, arable land.

Capital:


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Religion:

Government type:

Christian (Anglican, Roman Catholic, Presbyterian, Methodist): 71.6%,

Muslim 2.7%,Hindu 1%,other 1.6%,unspecified or none 23.1%

Constitutional monarchy and Commonwealth realm.

Political parties:

Conservative [David CAMERON]; Democratic Unionist Party or DUP (Northern Ireland) [Peter ROBINSON];

Labor Party [Harriet HARMAN];

Liberal Democrats (Lib Dems) [Nick CLEGG];

Party of Wales (Plaid Cymru) [Ieuan Wyn JONES];

Scottish National Party or SNP [Alex SALMOND];

Sinn Fein (Northern Ireland) [Gerry ADAMS];

Social Democratic and Labor Party or SDLP (Northern Ireland) [Margaret RICHIE];

Ulster Unionist Party (Northern Ireland) [Sir Reg EMPEY]


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SOCIAL INDICATORS


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Total population:(in million)

Years 2007 2008 2009

Population 60.776 60.943 61.284


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Labor forceTotal labor force:

30.48

30.89

31.25

30

30.2

30.4

30.6

30.8

31

31.2

31.4

2007 2008 2009

LABOUR FORCE(Mn)

Year 2007 2008 2009

Labor 30.48 30.89 31.25


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Unemployment rate:

Year 2007(2006 est.)

2008(2007 est.)

2009(2009 est.)

Rate (%) 5.3 13.6 15.2


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Education

Literacy rate by sex:

Year

Indicators

2007(2003 est.)

2008

(2003 est.)

2009

(2003 est.)

Male 67 69 69

Female 42 44 44


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Total 55 56 56


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Economic indicators


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GDP

GDP growth:

GDP growth rate GDP (ppp)(tln $)

Year 2007 2008 2009 2007 2008 2009

Growth 2.8% 3.1% (4.8)% 1.928 2.13 2.149


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Fiscal developments

Revenue:

In trillions$ In billions$Year 2007 2008 2009

Amount 1.001 1.154 819.9

Expenditure:

In trillions $Year 2007 2008 2009

Amount 1.071

1.239

1.132

Fiscal surplus/deficit:

In trillions $

Year 2007 2008 2009

Amount (0.07)

(0.085)

0.067


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Inflation rate:

Year 2007 2008 2009

Rate 2.3% 2.3% 2.1%


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Exchange rate

Average yearly exchange rates:

In terms of U.S $Years 2007 2008 2009

Rates 0.4993

0.5302

-0.6494


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Foreign direct investments

In trillions $

Years 2007 2008 2009

Values 1.135 1.288 1.025

1.135

1.288

1.025

0

0.2

0.4

0.6

0.8

1

1.2

1.4

2007 2008 2009

FOREIGN INVESTMENTS(Tr US$)


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Balance of payments

Exports:

In billions $

Years 2007 2008 2009

Values 450.3 442.2 351.3

Imports:

In billions $

Years 2007 2008 2009

Values 604.2 621.4 473.6

Current account balance:

In billions $

Years 2007 2008 2009

Values (88.1)

(119.2)

(32.2)


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External debt

In trillions $

Years 2007 2008 2009

Values 8.28 10.45 9.088


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Foreign exchange & gold reserve

In billions $

Years 2007 2008 2009

Values 47.04 57.3 52.98


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China


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BASIC

INFORMATION


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About china:

221 BC (unification under the Qin or Ch'in Dynasty); 1 January 1912 (Manchu Dynasty replaced

by a Republic); 1 October 1949 (People's Republic established).

Name:

People's Republic of China.

Capital:

Location:

Eastern Asia, bordering the East China Sea, Korea Bay, Yellow Sea, and South China Sea,

between North Korea and Vietnam.

Area:

Total: 9,596,960 sq km

land: 9,326,410 sq km

Land boundaries:total: 22,117 km

border countries: Afghanistan 76 km, Bhutan 470 km, Burma 2,185 km, India 3,380 km, Kazakhstan

1,533 km, North Korea 1,416 km, Kyrgyzstan 858 km, Laos 423 km, Mongolia 4,677 km, Nepal 1,236

km, Pakistan 523 km, Russia (northeast) 3,605 km, Russia (northwest) 40 km, Tajikistan 414 km,

Vietnam 1,281 kmregional borders: Hong Kong 30 km, Macau 0.34 km

Coastline:

14,500 km

Natural resources:

coal, iron ore, petroleum, natural gas, mercury, tin, tungsten, antimony, manganese,

molybdenum, vanadium, magnetite, aluminum, lead, zinc, uranium, hydropowerpotential (world's largest).


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Religion:

Daoist (Taoist), Buddhist, Christian 3%-4%,Muslim 1%-2%.

Languages:

Standard Chinese or Mandarin (Putonghua, based on the Beijing dialect), Yue(Cantonese), Wu (Shanghainese), Minbei (Fuzhou), Minnan (Hokkien-Taiwanese),Xiang, Gan, Hakka dialects, minority languages (see Ethnic groups entry.

Government type:

Communist state

Political party:

Chinese Communist Party or CCP [HU Jintao];eight registered small parties controlled by CCP.


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SOCIAL INDICATORS


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Population

Total population:

In billionsYears 2007 2008 2009

Values 132.13

133.00

133.014


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Population by rural/urban:


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Per capita income


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Labor force

Total labor force:

In millionsYears 2007 2008 2009

Values 769.9 800.7 812.7


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Unemployment rate:

Years 2007 2008 2009

Values 4.0% 4.2% 4.3%


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Health

Infant mortality rate:

Life expectancy:

Total fertility:

Deaths/1000

Years 2007 2008 2009

Values 21.16 16.51

Years 2007 2008 2009

Values 73.18 74.51

Children born/women

Years 2007 2008 2009

Values 1.77 1.54


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Education

Literacy rate by sex:

Year

Indicators

2007(2000 census)

2008(2000 census)

2009(2000 census)

Male 95.1% 95.1%

Female 86.5% 86.5%

Total 90.9% 90.9%


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ECONOMIC INDICATORS


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GDP

Growth:

11.9

9 8.7

0

24

6

8

10

12

14

2007 2008 2009

GDP GROWTH RATE(%)

GDP growth rate GDP (ppp)(tln $)

Year 2007 2008 2009 2007 2008 2009

Growth 11.9% 9.00% 8.70% 7.099 6.460 4.814


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Fiscal developments

Revenues:

In billions$Year 2007 2008 2009

Amount 513.2 674.3 972.3

Expenditures:

In billions$ In trillions$

Year 2007 2008 2009

Amount 497.8 651.6 1.137

Fiscal surplus/deficit:

In billions$

Year 2007 2008 2009

Amount 15.4 22.7 (164.7)


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Inflation rate:

Year 2007 2008 2009Rate 4.8% 5.8% (0.8)

%

4.8

5.8

-0.8

-2

0

2

4

6

8

2007 2008 2009

CONSUMER PRICE INDEX(%)


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Exchange rate

In terms of U.S $

Years 2007 2008 2009

Rates 7.61 6.94 6.82


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Foreign direct investments

In billions $Years 2007 2008 2009

Values 747.68

758.9 576.1


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Balance of payments

Exports:

In trillions $Years 2007 2008 2009

Values 1.22 1.43 1.20

Imports:

Years 2007

(billion$)

2008

(trillion$)

2009

(billion$)

Values 904.6 1.131 921.5

Trade balance:

In billions $

Years 2007 2008 2009

Values 315.4 299 278.5


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External debt

In billions $

Years 2007 2008 2009

Values 363 400.6 347.1


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Foreign exchange & gold reserve:

1.534

1.955

2.206

0

0.5

1

1.5

2

2.5

2007 2008 2009

FOREIGN & GOLD RESERVES(Trillion US$)

In trillions $Years 2007 2008 2009

Values 1.534 1.955 2.206


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COMPARATIVE ANALYSIS

(2009 EST.)


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GDP

U.K Pakistan China

GDP(PPP) 2.149($tln) 449.3($bln) 8.789 ($tln)GDP growth (4.8)% 2.7% 8.7%


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Labor force

U.K Pakistan China

Labor force 31.25(mln) 55.88(mln) 812.7(mln)

Unemployment rate 15.2% 4.3%


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Labor force by occupation

U.K Pakistan China

Agriculture 1.4% 39.5%

Industry 18.2% 27.2%

Service 80.4% 33.2%


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Population below poverty line

U.K Pakistan China

14% 24%(2006est) 2.3%(2007est)


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Fiscal surplus/deficit

U.K Pakistan China

0.067($tln) (6.84)($bln) (164.7)($bln)


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Public debt

% of GDP

U.K Pakistan China68.5% 45.3 18.2


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Inflation

U.K Pakistan China

CPI 2.1% 14.2% (0.8)%


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Trade balance

U.K Pakistan China

(122.3)$bln (13.7)$bln 278($bln)


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Exchange rate

U.K Pakistan China

0.6494/U.S $ 81.41/U.S $ 6.8249/U.S $


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Infrastructure

U.K Pakistan China

Airports 506 145 482

Roadways 398,366km 259,197km 3,583,715km

Railways 16,454km 7,791km 77,834km

Waterways 3200km N/A 110,000


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HDI

Composition:

U.K Pakistan China

Literacy rate 99% 49.9% 90.9%

Life expectancy 79.16 year 65.62 year 74.51 year

GDP/capita 35,200 $ 2600$ 6600 $

Ranking 21 141 91


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CPM


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Documents

comparison of developed and developing countries