Report: Impact of Currency Devaluation on Industries in Pakistan
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This report examines the impact of currency devaluation on the performance of industries in Pakistan. It begins with an executive summary highlighting the significant current account deficit and the continuous decline in the Pakistani Rupee's value against the dollar. The report then delves into Pakistan's economic conditions, including the weaker currency, dollar reserves compared to Asian countries, and the widening trade deficit. It provides a critical evaluation of the economic situation, discussing the devaluation of the currency and its effects on exports and imports. The report also explores the economic outlook, relationships with trade partners, and key industries within Pakistan, such as the textile, cement, and sugar industries. It analyzes the performances of these industries and the influence of currency devaluation on their operations, concluding with recommendations for improving Pakistan's economic policies and trade patterns.
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Running head: Impact of devaluation on currencies on the performance of industries
Impact of devaluation on currencies on the performance of industries
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1Impact of devaluation on currencies on the performance of industries
Executive summary
The Current account deficit was the highest in the FY 18 compared to FY 17. In the
FY 18, the CAD was around 6.3% whereas the CAD in FY 17 was around 4.3%. The
exchange rate within Pakistan was declining continuously and the cumulative exchange rate
decline was having growth of around 13.6% between July 2018 and March 2019. The value
of Rupee against dollar was around 3.2% and the amount is close to 146.52 a dollar against
rupee made the situation worse. In Pakistan, industries are heavily dependent on imported
raw materials for industrial goods and capital goods and components, and quotas and tariffs
block their access to advanced countries. A rise in the price of any component through
currency devaluation will increase the cost of imports. Pakistan is occupied by 70% of deserts
and this is acting as another factor behind the lack of growth within the economy.
Executive summary
The Current account deficit was the highest in the FY 18 compared to FY 17. In the
FY 18, the CAD was around 6.3% whereas the CAD in FY 17 was around 4.3%. The
exchange rate within Pakistan was declining continuously and the cumulative exchange rate
decline was having growth of around 13.6% between July 2018 and March 2019. The value
of Rupee against dollar was around 3.2% and the amount is close to 146.52 a dollar against
rupee made the situation worse. In Pakistan, industries are heavily dependent on imported
raw materials for industrial goods and capital goods and components, and quotas and tariffs
block their access to advanced countries. A rise in the price of any component through
currency devaluation will increase the cost of imports. Pakistan is occupied by 70% of deserts
and this is acting as another factor behind the lack of growth within the economy.
2Impact of devaluation on currencies on the performance of industries
Table of Contents
Introduction................................................................................................................................3
Economic Condition of Pakistan................................................................................................3
Weaker currency....................................................................................................................3
Dollar reserve of Pakistan and Asian countries.....................................................................4
Wide Trade deficit of Pakistan...............................................................................................5
Critical evaluation of economic condition of Pakistan..............................................................6
Devaluation of currency.........................................................................................................7
Economic outlook of the country...........................................................................................7
Relationship with trade partners.............................................................................................8
Key industries within the Pakistan.............................................................................................9
Performances of industries within Pakistan...............................................................................9
Impact of devaluation of currencies on Industrial performances of Pakistan..........................10
Conclusion................................................................................................................................10
Reference and Bibliography.....................................................................................................12
Table of Contents
Introduction................................................................................................................................3
Economic Condition of Pakistan................................................................................................3
Weaker currency....................................................................................................................3
Dollar reserve of Pakistan and Asian countries.....................................................................4
Wide Trade deficit of Pakistan...............................................................................................5
Critical evaluation of economic condition of Pakistan..............................................................6
Devaluation of currency.........................................................................................................7
Economic outlook of the country...........................................................................................7
Relationship with trade partners.............................................................................................8
Key industries within the Pakistan.............................................................................................9
Performances of industries within Pakistan...............................................................................9
Impact of devaluation of currencies on Industrial performances of Pakistan..........................10
Conclusion................................................................................................................................10
Reference and Bibliography.....................................................................................................12
3Impact of devaluation on currencies on the performance of industries
Introduction
Currently the impact of devaluation of currency is falling on the world economy. Due
to mismatch in the global terms of trade the currency price is not going to the desired
directions. In order to indulge the development of high grade of currency price, the economy
of Pakistan is already falling because of decreasing level of international trade and falling
GDP growth rate. Through this study, it will be easy for the economy of Pakistan to bring in
new changes within the policy by understanding the existing gaps in policy implication
depending on the crucial economic factors like inflation, rate of interest and taxation policies
for the export and import of the economy. Current situation of Pakistan is more prone
towards reduction of government expenditure, increase in tax that will create problems in the
end as the growth in domestic credit will fall, and the real interest rate will increase. More or
less the country is not aiming to increase the GDP. Through the development of better level
of employment opportunities for the country, Pakistan will improve its position in the global
market. Some of the industries like woollen textile industry, cement industry and sugar cane
industry had popped up previously (NAWAZ SHEIKH & Siddiqui, 2019). This report will
discuss the impact on the export and import off the country and the industries that are
involved in this. This will also discuss the influence of the devaluation in currency on the
exports and imports of the industries.
Economic Condition of Pakistan
Weaker currency
The devaluation of currency is nothing but the downward adjustment of the currency
of a country with respect to the other country’s currency. The devaluation is the tool of
monetary policies and this is used majorly to improve the trade balance of the country. In the
below diagram, devaluation of Pakistani currency is shown from Dec, 2017 to Nov, 2018.
Introduction
Currently the impact of devaluation of currency is falling on the world economy. Due
to mismatch in the global terms of trade the currency price is not going to the desired
directions. In order to indulge the development of high grade of currency price, the economy
of Pakistan is already falling because of decreasing level of international trade and falling
GDP growth rate. Through this study, it will be easy for the economy of Pakistan to bring in
new changes within the policy by understanding the existing gaps in policy implication
depending on the crucial economic factors like inflation, rate of interest and taxation policies
for the export and import of the economy. Current situation of Pakistan is more prone
towards reduction of government expenditure, increase in tax that will create problems in the
end as the growth in domestic credit will fall, and the real interest rate will increase. More or
less the country is not aiming to increase the GDP. Through the development of better level
of employment opportunities for the country, Pakistan will improve its position in the global
market. Some of the industries like woollen textile industry, cement industry and sugar cane
industry had popped up previously (NAWAZ SHEIKH & Siddiqui, 2019). This report will
discuss the impact on the export and import off the country and the industries that are
involved in this. This will also discuss the influence of the devaluation in currency on the
exports and imports of the industries.
Economic Condition of Pakistan
Weaker currency
The devaluation of currency is nothing but the downward adjustment of the currency
of a country with respect to the other country’s currency. The devaluation is the tool of
monetary policies and this is used majorly to improve the trade balance of the country. In the
below diagram, devaluation of Pakistani currency is shown from Dec, 2017 to Nov, 2018.
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4Impact of devaluation on currencies on the performance of industries
The line diagram shows that the value of Pakistani rupee was 105 Pakistani rupee per U.S.
dollar in the month of December in 2017 which became around 140 Pakistani rupee per U.S.
dollar in the month of Nov, 2018.
Figure 1: Fall in Pakistani Rupee in the fifth devaluation.
(Source: Mangi, 2018)
Dollar reserve of Pakistan and Asian countries
The comparison of devaluation is also important. The below graph presents the fall in
dollar reserve of the Asian countries which are the countries with which Pakistan has trade
relation.
The line diagram shows that the value of Pakistani rupee was 105 Pakistani rupee per U.S.
dollar in the month of December in 2017 which became around 140 Pakistani rupee per U.S.
dollar in the month of Nov, 2018.
Figure 1: Fall in Pakistani Rupee in the fifth devaluation.
(Source: Mangi, 2018)
Dollar reserve of Pakistan and Asian countries
The comparison of devaluation is also important. The below graph presents the fall in
dollar reserve of the Asian countries which are the countries with which Pakistan has trade
relation.
5Impact of devaluation on currencies on the performance of industries
Figure 2: Dollar reserve of Asian Countries from Sep, 2017 to Aug, 2018
(Source: Mangi, Haider & Dilawar, 2018)
The above figure shows that the fall in dollar reserve is found highest in case of
Pakistan followed by Indonesia. The fall in dollar reserve is found in case of Philippines,
Indonesia and Pakistan. One of the major trade partner of Pakistan is China. The figure shows
that China has maintained its dollar reserve as the line for China is constantly moving
forward.
Theoretically, it can be concluded that Pakistan has advantage in exporting to China
as the Pakistan’s exported good is cheaper to China. The above figure of dollar reserve for
Asian countries shows that there is more opportunity and advantages to the Pakistan to export
and to improve the trade balance. Improved BOP and trade balance can lead a country to a
huge economic growth.
Wide Trade deficit of Pakistan
The following figure is prepared from the data published by Pakistan Bureau of
Statistics. This figure shows the trends of export and import of Pakistan from 2013 to 2017.
Figure 2: Dollar reserve of Asian Countries from Sep, 2017 to Aug, 2018
(Source: Mangi, Haider & Dilawar, 2018)
The above figure shows that the fall in dollar reserve is found highest in case of
Pakistan followed by Indonesia. The fall in dollar reserve is found in case of Philippines,
Indonesia and Pakistan. One of the major trade partner of Pakistan is China. The figure shows
that China has maintained its dollar reserve as the line for China is constantly moving
forward.
Theoretically, it can be concluded that Pakistan has advantage in exporting to China
as the Pakistan’s exported good is cheaper to China. The above figure of dollar reserve for
Asian countries shows that there is more opportunity and advantages to the Pakistan to export
and to improve the trade balance. Improved BOP and trade balance can lead a country to a
huge economic growth.
Wide Trade deficit of Pakistan
The following figure is prepared from the data published by Pakistan Bureau of
Statistics. This figure shows the trends of export and import of Pakistan from 2013 to 2017.
6Impact of devaluation on currencies on the performance of industries
From the figure it is found that after 2015 the monthly import has increased and the export of
the country is falling down continuously. The trend for both the import and export is
fluctuating. However, the gap between export and import has widened over the time.
Figure 3: Pakistan Trade deficit widens
(Emerging Pakistan, 2019)
It can be said that the above figure shows a great imbalance in trade and the policies
are not made to improve the BOP. As the gap between export and import is widened over last
3 years.
Critical evaluation of economic condition of Pakistan
Looking at the previous financial year, it is found that Pakistan economy has
performed better, the growth of the economy has reached the margin of 5.8%. The economic
growth is mainly driven by the increase in the consumer demand (worldbank.org, 2019). The
government of Pakistan has taken the policy of accommodative monetary policy that has
widened the macro-economic imbalances. The Current account deficit was the highest in the
FY 18 compared to FY 17. In the FY 18, the CAD was around 6.3% whereas the CAD in FY
17 was around 4.3% (worldbank.org, 2019).
From the figure it is found that after 2015 the monthly import has increased and the export of
the country is falling down continuously. The trend for both the import and export is
fluctuating. However, the gap between export and import has widened over the time.
Figure 3: Pakistan Trade deficit widens
(Emerging Pakistan, 2019)
It can be said that the above figure shows a great imbalance in trade and the policies
are not made to improve the BOP. As the gap between export and import is widened over last
3 years.
Critical evaluation of economic condition of Pakistan
Looking at the previous financial year, it is found that Pakistan economy has
performed better, the growth of the economy has reached the margin of 5.8%. The economic
growth is mainly driven by the increase in the consumer demand (worldbank.org, 2019). The
government of Pakistan has taken the policy of accommodative monetary policy that has
widened the macro-economic imbalances. The Current account deficit was the highest in the
FY 18 compared to FY 17. In the FY 18, the CAD was around 6.3% whereas the CAD in FY
17 was around 4.3% (worldbank.org, 2019).
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7Impact of devaluation on currencies on the performance of industries
Devaluation of currency
The devaluation of the currency has an influence on the export and import of
the country. The industries that are engaged in the exports and imports are mostly affected.
Now, the comparison of devaluation on its business partner countries also have some short of
influence. For example, if the devaluation in country A is more than the devaluation in
country B, then country A will tend to export more and import less as export will be cheaper
and import will be expensive (Khan et al., 2018).
The reason behind the recent fall in the value of currency was the failure of
Central Bank of Pakistan to grip on the currency due to rising economic pressure. The
speculation of expecting the support of monetary fund from the International Monetary Fund
was also the reason behind the failure of Central Bank of Pakistan. The current economic
situation of Pakistan is bit faltering in nature and the status of the Pakistan Rupee has
witnessed record fall against the Dollar after the bailout of the country with the IMF deal.
The country has agreed a deal of around $6 billion loan from IMF with one condition. Their
currency has to be devalued against dollars that will increase the price of electricity and gas.
In this situation Pakistan should improve its policies to improve the economic
conditions by improving the trade pattern. The devalued currency has drawbacks but it
provides the opportunity to improve the trade pattern by raising its export. The focus should
be on raising the exports as it is cheaper to the importing country and export can potentially
raise the foreign reserve (Mohmand et al., 2015). Pakistan can give subsidies and tax
relaxation on exports to the domestic producers to encourage the export.
Economic outlook of the country
Due to increase in the macroeconomic imbalances, the exports were not happening
and trade was sluggish in nature compared to increase in imports due to significant rise in the
Devaluation of currency
The devaluation of the currency has an influence on the export and import of
the country. The industries that are engaged in the exports and imports are mostly affected.
Now, the comparison of devaluation on its business partner countries also have some short of
influence. For example, if the devaluation in country A is more than the devaluation in
country B, then country A will tend to export more and import less as export will be cheaper
and import will be expensive (Khan et al., 2018).
The reason behind the recent fall in the value of currency was the failure of
Central Bank of Pakistan to grip on the currency due to rising economic pressure. The
speculation of expecting the support of monetary fund from the International Monetary Fund
was also the reason behind the failure of Central Bank of Pakistan. The current economic
situation of Pakistan is bit faltering in nature and the status of the Pakistan Rupee has
witnessed record fall against the Dollar after the bailout of the country with the IMF deal.
The country has agreed a deal of around $6 billion loan from IMF with one condition. Their
currency has to be devalued against dollars that will increase the price of electricity and gas.
In this situation Pakistan should improve its policies to improve the economic
conditions by improving the trade pattern. The devalued currency has drawbacks but it
provides the opportunity to improve the trade pattern by raising its export. The focus should
be on raising the exports as it is cheaper to the importing country and export can potentially
raise the foreign reserve (Mohmand et al., 2015). Pakistan can give subsidies and tax
relaxation on exports to the domestic producers to encourage the export.
Economic outlook of the country
Due to increase in the macroeconomic imbalances, the exports were not happening
and trade was sluggish in nature compared to increase in imports due to significant rise in the
8Impact of devaluation on currencies on the performance of industries
domestic demand (worldbank.org, 2019). One of the main reason behind the slip in the export
is the country is having increased level of recurrent spending compared to decrease in
revenue due to non-taxable revenues. Even the agriculture department was not having that
level of growth. Due to lack of shortage in water, the Year to year productivity declined. The
exchange rate within Pakistan was declining continuously and the cumulative exchange rate
decline was having growth of around 13.6% between July 2018 and March 2019. This is the
main important factor behind the lack of growth in Pakistan (worldbank.org, 2019).
Relationship with trade partners
In order to improve the economic and commercial relationship with the global
countries the economy of Pakistan will be aiming to indulge the overall development of
exports compared to imports within the country (economic times, 2019). The Pakistan prime
minister decided to suspend the trade relationship with India and it is going to be hurt them
very much. Lack of agricultural productivity was previously forcing them to rely on Indian
exports of Tomatoes and Potatoes. However, this is not expected to improve the economic
situation of the country.
Previous section discussed about the dollar reserve is falling from 2017 to 2018 and it
has beaten all major Asian countries in terms of losing dollar reserve. In this situation, it is
recommended to Pakistan to raise the dollar reserve by improving the BOP. The BOP can be
improved by raising the export and reducing the import. The export can be raised by
subsidies and tax relaxation on exports to the domestic producers which is already discussed
in the previous section. Now, import can be reduced by raising the tax on imported goods,
raising the production within the country that are imported from the foreign countries and
encouraging people of Pakistan to use domestic products.
domestic demand (worldbank.org, 2019). One of the main reason behind the slip in the export
is the country is having increased level of recurrent spending compared to decrease in
revenue due to non-taxable revenues. Even the agriculture department was not having that
level of growth. Due to lack of shortage in water, the Year to year productivity declined. The
exchange rate within Pakistan was declining continuously and the cumulative exchange rate
decline was having growth of around 13.6% between July 2018 and March 2019. This is the
main important factor behind the lack of growth in Pakistan (worldbank.org, 2019).
Relationship with trade partners
In order to improve the economic and commercial relationship with the global
countries the economy of Pakistan will be aiming to indulge the overall development of
exports compared to imports within the country (economic times, 2019). The Pakistan prime
minister decided to suspend the trade relationship with India and it is going to be hurt them
very much. Lack of agricultural productivity was previously forcing them to rely on Indian
exports of Tomatoes and Potatoes. However, this is not expected to improve the economic
situation of the country.
Previous section discussed about the dollar reserve is falling from 2017 to 2018 and it
has beaten all major Asian countries in terms of losing dollar reserve. In this situation, it is
recommended to Pakistan to raise the dollar reserve by improving the BOP. The BOP can be
improved by raising the export and reducing the import. The export can be raised by
subsidies and tax relaxation on exports to the domestic producers which is already discussed
in the previous section. Now, import can be reduced by raising the tax on imported goods,
raising the production within the country that are imported from the foreign countries and
encouraging people of Pakistan to use domestic products.
9Impact of devaluation on currencies on the performance of industries
Key industries within the Pakistan
Major industries of Pakistan are breeding of livestocks and growth of spices and to
some extent tourism. The livestocks and spices are the main components of exports to other
countries by Pakistan. To some extent, the energy and mining industry is being popped up
within the economy of Pakistan. Now in order to involve the development of high class of
resource moving and more human resources absorbing industries that will bring more foreign
reserves to the country should be brought in so the currency instability can be minimised
(economic times, 2019). In order to increase the level of income the economy of Pakistan has
embraced the tourism indutry. Current industry of Pakistan is consisting of cotton textile
industry, woollen textile industry, cement industry and sugar cane industry. Recently the
country developed tourism industry in the areas of Pakistan occupied Kashmir (POK). Most
of the people of Pakistan was living on money that was being received from the tourist’s
visits but this industry is gradually falling. Pakistan is occupied by 70% of deserts and this is
acting as another factor behind the lack of growth within the economy (Hyder, 2019). All of
these industries are facing problems due to devaluation in Pakistan rupee.
Performances of industries within Pakistan
Inspite of increased level of internal demand of the country, the performances of
industries is not being up to the mark as development of industry is not occurring upto the
mark due to devaluation of Pakistan rupee against most of foreign currencies. Now in order to
bring in high quality of resources, administrative monitoring on the industries is important
and required. This is missing in the economy of Pakistan. This will definitely allow the
country to bring in high rate of economic activities that will increase the overall incorporation
of business incoming (Pakistan Bureau of Statistics, 2019). On the other hand, using the
overall resource distribution of economy, Pakistan has to bring up the trade concern by
bringing in better quality of trade with the global world. However, minimisation of effects of
Key industries within the Pakistan
Major industries of Pakistan are breeding of livestocks and growth of spices and to
some extent tourism. The livestocks and spices are the main components of exports to other
countries by Pakistan. To some extent, the energy and mining industry is being popped up
within the economy of Pakistan. Now in order to involve the development of high class of
resource moving and more human resources absorbing industries that will bring more foreign
reserves to the country should be brought in so the currency instability can be minimised
(economic times, 2019). In order to increase the level of income the economy of Pakistan has
embraced the tourism indutry. Current industry of Pakistan is consisting of cotton textile
industry, woollen textile industry, cement industry and sugar cane industry. Recently the
country developed tourism industry in the areas of Pakistan occupied Kashmir (POK). Most
of the people of Pakistan was living on money that was being received from the tourist’s
visits but this industry is gradually falling. Pakistan is occupied by 70% of deserts and this is
acting as another factor behind the lack of growth within the economy (Hyder, 2019). All of
these industries are facing problems due to devaluation in Pakistan rupee.
Performances of industries within Pakistan
Inspite of increased level of internal demand of the country, the performances of
industries is not being up to the mark as development of industry is not occurring upto the
mark due to devaluation of Pakistan rupee against most of foreign currencies. Now in order to
bring in high quality of resources, administrative monitoring on the industries is important
and required. This is missing in the economy of Pakistan. This will definitely allow the
country to bring in high rate of economic activities that will increase the overall incorporation
of business incoming (Pakistan Bureau of Statistics, 2019). On the other hand, using the
overall resource distribution of economy, Pakistan has to bring up the trade concern by
bringing in better quality of trade with the global world. However, minimisation of effects of
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10Impact of devaluation on currencies on the performance of industries
currency devaluation can be done only by fiscal policies by investing extensively on growth
of industries. The China said that it would continue to provide loans to Pakistan so to remove
dependencies on foreign loans (Pakistan Bureau of Statistics, 2019).
Impact of devaluation of currencies on Industrial performances of Pakistan
The current impact of the devaluation of currency of Pakistan is facing deep downfall
that is actually helping in the development of tourism indutry. Now the country is aiming to
bring down the effect of the global currency devalued against their rupee, it has been seen
that the country is facing lots of problem in the field of IMF and World Bank in getting the
loans from them. The immediate impact of the devaluation of the currency is the increase in
price of imports for the country (Khan, Ali & Ali, 2016). Now in order to indulge the
development of resources, the country will have to bring business and trade. Now they will
be having focus on the development of business but currently they are not in the position to
do so.
This will tend the economic development within Pakistan to endeavour better level of
industrialisation. Now in order to increase the heavy weight industries within Pakistan, the
government must target to reduce the rate of unemployment and inflation rate. Through the
development of high class of growth, the economy is basically aiming to increase the rate of
FDI that will easily stop the tourism industry activities and will bring in better employment
opportunity.
Conclusion
The above discussion of the reason behind the weak currency, poor dollar reserve and
wider trade deficit indicates there is a lack of proper monetary and fiscal policy to control the
economic indicators. Devalued currency can improve the export but there is lack of fiscal
policy to do so. Moreover, the export can reduce the wider gap between export and import. In
currency devaluation can be done only by fiscal policies by investing extensively on growth
of industries. The China said that it would continue to provide loans to Pakistan so to remove
dependencies on foreign loans (Pakistan Bureau of Statistics, 2019).
Impact of devaluation of currencies on Industrial performances of Pakistan
The current impact of the devaluation of currency of Pakistan is facing deep downfall
that is actually helping in the development of tourism indutry. Now the country is aiming to
bring down the effect of the global currency devalued against their rupee, it has been seen
that the country is facing lots of problem in the field of IMF and World Bank in getting the
loans from them. The immediate impact of the devaluation of the currency is the increase in
price of imports for the country (Khan, Ali & Ali, 2016). Now in order to indulge the
development of resources, the country will have to bring business and trade. Now they will
be having focus on the development of business but currently they are not in the position to
do so.
This will tend the economic development within Pakistan to endeavour better level of
industrialisation. Now in order to increase the heavy weight industries within Pakistan, the
government must target to reduce the rate of unemployment and inflation rate. Through the
development of high class of growth, the economy is basically aiming to increase the rate of
FDI that will easily stop the tourism industry activities and will bring in better employment
opportunity.
Conclusion
The above discussion of the reason behind the weak currency, poor dollar reserve and
wider trade deficit indicates there is a lack of proper monetary and fiscal policy to control the
economic indicators. Devalued currency can improve the export but there is lack of fiscal
policy to do so. Moreover, the export can reduce the wider gap between export and import. In
11Impact of devaluation on currencies on the performance of industries
spite of lower dollar reserve there is inefficient amount of effective policies to reduce the
import. To improve the economic condition of Pakistan, the government has planned to
improve four areas of industries namely Energy, Economy, Extremism and Education. This
can potentially bring the stability in the economic growth and proper utilisation of resources.
The continuous support of the government towards the growth of private sector will flourish
the flow of currency within the country. The utilisation of resource and productivity of
Pakistan can be improved by proper policy implication that will help to achieve economic
goals of a successful economy.
spite of lower dollar reserve there is inefficient amount of effective policies to reduce the
import. To improve the economic condition of Pakistan, the government has planned to
improve four areas of industries namely Energy, Economy, Extremism and Education. This
can potentially bring the stability in the economic growth and proper utilisation of resources.
The continuous support of the government towards the growth of private sector will flourish
the flow of currency within the country. The utilisation of resource and productivity of
Pakistan can be improved by proper policy implication that will help to achieve economic
goals of a successful economy.
12Impact of devaluation on currencies on the performance of industries
Reference and Bibliography
Awan, R. U., Anjum, A., & Rahim, S. (2015). An econometric analysis of determinants of
external debt in Pakistan. British Journal of Economics, Management & Trade, 5(4),
382-391.
Chaudhry, A. F., Butt, A. R., & Chani, M. I. (2017). Long-Run Relationship between Exports
and Imports of Pakistan. International Journal of Economics and Finance, 9(8), 204-
211.
economic times. (2019). Pakistan rupee drops in likely devaluation after IMF bailout.
Retrieved 1 September 2019, from
https://economictimes.indiatimes.com/markets/forex/pakistan-rupee-drops-in-likely-
devaluation-after-imf-bailout/articleshow/69360517.cms?from=mdr
Emerging Pakistan. (2019). Pakistan Targets First Export Jump in Four Years on Tax Breaks
| Emerging Pakistan. Retrieved 23 September 2019, from
http://emergingpakistan.gov.pk/pakistan-targets-first-export-jump-in-four-years-on-
tax-breaks/
Energy & Mining Statistics | Pakistan Bureau of Statistics. (2019). Retrieved 1 September
2019, from http://www.pbs.gov.pk/content/energy-mining-statistics
External Trade Statistical Data at 8-Digit Level Year 1990-1991 to 2017-2018 | Pakistan
Bureau of Statistics. (2019). Retrieved 1 September 2019, from
http://www.pbs.gov.pk/node/1358
ft.com. (2019). Pakistan’s currency plunges 5% in suspected devaluation | Financial Times.
Retrieved 1 September 2019, from https://www.ft.com/content/2bf2e10c-f474-11e8-
9623-d7f9881e729f
Reference and Bibliography
Awan, R. U., Anjum, A., & Rahim, S. (2015). An econometric analysis of determinants of
external debt in Pakistan. British Journal of Economics, Management & Trade, 5(4),
382-391.
Chaudhry, A. F., Butt, A. R., & Chani, M. I. (2017). Long-Run Relationship between Exports
and Imports of Pakistan. International Journal of Economics and Finance, 9(8), 204-
211.
economic times. (2019). Pakistan rupee drops in likely devaluation after IMF bailout.
Retrieved 1 September 2019, from
https://economictimes.indiatimes.com/markets/forex/pakistan-rupee-drops-in-likely-
devaluation-after-imf-bailout/articleshow/69360517.cms?from=mdr
Emerging Pakistan. (2019). Pakistan Targets First Export Jump in Four Years on Tax Breaks
| Emerging Pakistan. Retrieved 23 September 2019, from
http://emergingpakistan.gov.pk/pakistan-targets-first-export-jump-in-four-years-on-
tax-breaks/
Energy & Mining Statistics | Pakistan Bureau of Statistics. (2019). Retrieved 1 September
2019, from http://www.pbs.gov.pk/content/energy-mining-statistics
External Trade Statistical Data at 8-Digit Level Year 1990-1991 to 2017-2018 | Pakistan
Bureau of Statistics. (2019). Retrieved 1 September 2019, from
http://www.pbs.gov.pk/node/1358
ft.com. (2019). Pakistan’s currency plunges 5% in suspected devaluation | Financial Times.
Retrieved 1 September 2019, from https://www.ft.com/content/2bf2e10c-f474-11e8-
9623-d7f9881e729f
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13Impact of devaluation on currencies on the performance of industries
Hyder, K. (2019). Pakistan IMF deal: Rupee to be devalued against dollar. Retrieved 1
September 2019, from https://www.aljazeera.com/news/2019/05/pakistan-imf-deal-
rupee-devalued-dollar-190521111147765.html
jworldtimes. (2019). Industrial Sector in Pakistan. Retrieved 8 September 2019, from
http://jworldtimes.com/magazine-archives/jwtmag2018/october2018/industrial-sector-
in-pakistan/
Khan, U. E., Siddiqui, A. H., Zahid, M. U., & Uroos, A. (2018). Impact of Devaluation on
Balance of Trade: A Context of Neighboring Countries. Journal of Finance and
Economics Research, 3(2), 68-77.
Khan, Z., Ali, A., & Ali, S. (2016). Impact of Devaluation on Balance of Trade: A Case
Study of Pakistan Economy. Asian Journal of Economic Modelling, 4(2), 90-94.
Mangi, F. (2018). Pakistan Devalues Rupee Fifth Time This Year Amid IMF Talks.
Retrieved 23 September 2019, from https://www.bloomberg.com/news/articles/2018-
11-30/pakistan-s-rupee-falls-in-apparent-devaluation-amid-imf-talks
Mangi, F., Haider, K., & Dilawar, I. (2018). Pakistan Budget Deficit May Widen as Fiscal
Crisis Deepens. Retrieved 23 September 2019, from
https://www.bloomberg.com/news/articles/2018-09-18/pakistan-s-budget-deficit-may-
widen-as-financial-crisis-deepens
Mohmand, Y. T., Salman, A., Mughal, K. S., Imran, M., & Makarevic, N. (2015). Export
potentials of Pakistan: Evidence from the gravity model of trade. European Journal
of Economic Studies, (4), 212-220.
NAWAZ SHEIKH, A. H. S. A. N., & Siddiqui, D. A. (2019). Effects of Textile Policy on
Profitability and Dividend Payout Ratio of Textile Industry in Pakistan. Sheikh, AN,
Hyder, K. (2019). Pakistan IMF deal: Rupee to be devalued against dollar. Retrieved 1
September 2019, from https://www.aljazeera.com/news/2019/05/pakistan-imf-deal-
rupee-devalued-dollar-190521111147765.html
jworldtimes. (2019). Industrial Sector in Pakistan. Retrieved 8 September 2019, from
http://jworldtimes.com/magazine-archives/jwtmag2018/october2018/industrial-sector-
in-pakistan/
Khan, U. E., Siddiqui, A. H., Zahid, M. U., & Uroos, A. (2018). Impact of Devaluation on
Balance of Trade: A Context of Neighboring Countries. Journal of Finance and
Economics Research, 3(2), 68-77.
Khan, Z., Ali, A., & Ali, S. (2016). Impact of Devaluation on Balance of Trade: A Case
Study of Pakistan Economy. Asian Journal of Economic Modelling, 4(2), 90-94.
Mangi, F. (2018). Pakistan Devalues Rupee Fifth Time This Year Amid IMF Talks.
Retrieved 23 September 2019, from https://www.bloomberg.com/news/articles/2018-
11-30/pakistan-s-rupee-falls-in-apparent-devaluation-amid-imf-talks
Mangi, F., Haider, K., & Dilawar, I. (2018). Pakistan Budget Deficit May Widen as Fiscal
Crisis Deepens. Retrieved 23 September 2019, from
https://www.bloomberg.com/news/articles/2018-09-18/pakistan-s-budget-deficit-may-
widen-as-financial-crisis-deepens
Mohmand, Y. T., Salman, A., Mughal, K. S., Imran, M., & Makarevic, N. (2015). Export
potentials of Pakistan: Evidence from the gravity model of trade. European Journal
of Economic Studies, (4), 212-220.
NAWAZ SHEIKH, A. H. S. A. N., & Siddiqui, D. A. (2019). Effects of Textile Policy on
Profitability and Dividend Payout Ratio of Textile Industry in Pakistan. Sheikh, AN,
14Impact of devaluation on currencies on the performance of industries
and Siddiqui, DA (2019). Effects of Textile Policy on Profitability and Dividend
Payout Ratio of Textile Industry in Pakistan. European Academic Research, 7(2),
940-967.
worldbank.org. (2019). Overview. Retrieved 1 September 2019, from
https://www.worldbank.org/en/country/pakistan/overview#2
and Siddiqui, DA (2019). Effects of Textile Policy on Profitability and Dividend
Payout Ratio of Textile Industry in Pakistan. European Academic Research, 7(2),
940-967.
worldbank.org. (2019). Overview. Retrieved 1 September 2019, from
https://www.worldbank.org/en/country/pakistan/overview#2
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