Debt Reduction
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Pakistan must seek debt reduction/forgiveness
The
root of many of Pakistan's problems is its large debt. With a 38 billion
dollar outstanding debt owed to other nations, the International Monetary
Fund (IMF), and the World Bank, Pakistan's budget is intricately tied to
repayment of debt. As we have said before, this debt prevents significant
spending on the social and population related problems that Pakistan
faces. How
can we solve this? Debt forgiveness. If Pakistan were released from the
cycle of poverty that its massive debt creates, it would have the monetary
resources to spend on improving the economic and social status of it
citizens. This money could be spent on education, contraception, and
attracting foreign investors to provide the capital necessary to revive
the Pakistani economy. Therefore
we recommend that Pakistan aggressively seek complete debt forgiveness
from the nations and organizations to which it is indebted. Without total
forgiveness, Pakistan will never escape the cycle of borrowing and
spending that currently sustains its state of poverty. At the very least,
Pakistan must be allowed to delay debt repayment until it can create a
major economic upturn. With money to spend on education, quality of life
improvements, and recruitment of foreign investors, Pakistan's problems
will decrease.
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