Big blow to Pakistan
The impact of the ongoing diplomatic tension between Pakistan and Afghanistan is now visible on the ground reality. The sourness in relations between the two neighboring countries has now caused a deep blow to their economy. Recently revealed figures show that there has been a huge decline in trade between the two countries. This decline is not trivial, but the level of business has directly fallen by 53 percent. Where earlier queues of trucks and movement of goods were common, there is now silence. This situation is especially giving sleepless nights to the exporters of Pakistan, who are facing huge financial hit every month.
Billions of rupees lost in a few months
There was a time when the total volume of trade between the two countries was 2.61 billion dollars. But now it has reduced to just 594 million dollars. Pakistan’s prestigious newspaper ‘The Nation’ has confirmed this 53 percent decline in one of its reports.
The main reason for this huge decline is being said to be the frequent clashes between Kabul and Islamabad and the resulting closure of trade routes. According to the report, due to closure of roads and tension on the borders, Pakistani exporters are facing a loss of about 177 million dollars every month. This amount amounts to billions in Indian rupees.
alarm bell for pakistan
Experts on economic matters believe that even though both sides are suffering losses in this tug of war, Pakistan has been hurt more deeply. Economic analyst Qutbuddin Yakubi said that government and non-government figures indicate that Pakistan has lost a very large and established market in the form of Afghanistan.
At the same time, Mirwais Haji Zada, first deputy of Afghanistan Chamber of Commerce and Investment, threw light on another important aspect. He said that our businessmen and farmers have suffered losses, but Pakistan’s loss is much bigger. The reason for this is not only the stoppage of trade with Afghanistan, but the way for Pakistan to reach ‘Central Asia’ also went through Afghanistan. Now that route has also been closed in a way, due to which Pakistan’s regional trade ambitions have been hampered.
Efforts to negotiate failed
It is not that no efforts have been made to solve this crisis but the results on the ground have been limited. Afghanistan-Pakistan Joint Chamber of Commerce has also confirmed this decline in trade and admitted that traders on both sides are incurring huge losses. According to Chamber officials, efforts were made to reopen the roads, but the matter is being postponed from Pakistan’s side.
Joint Chamber chief Khanzan Alokozai informed that a seven-member committee was formed with Pakistan to solve the problems. This initiative also got approval from the Islamic Emirate (Government of Afghanistan). The plan was that representatives of the private sectors of both the countries would meet and exchange ideas. But this proposed meeting was postponed and till now the matter is hanging in the balance.