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What Are The Factors Making Pakistan’s Exports Stagnant? Insight From Literature Review

Ghulam Mustafa and Saqib Hussain
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Ghulam Mustafa: Pakistan Institute of Development Economics
Saqib Hussain: Pakistan Institute of Development Economics

No 2023:99, PIDE Knowledge Brief from Pakistan Institute of Development Economics

Abstract: Lowering exports is considered as one of the paramount reasons of widening trade deficit of Pakistan, which has become a long-standing challenge that country is facing since the beginning of the century. During the last two decades, the contribution of exports in GDP has been declined from 16 to 10% (World Bank, 2021). If we look at Pakistan’s share in global trade, it is dropped from 0.15% in 2005 to 0.12% in 2021. Export competitiveness of Pakistan is shrinking, while the competitors like Bangladesh, India, and Vietnam are experiencing expansion in export competitiveness. The stagnancy in Pakistan’s exports brings about a number of challenges like increasing current account deficit, burden of foreign debt, exchange rate, and other macroeconomic problems (Government of Pakistan, 2021-22; Defever et al., 2020). Various reasons of declining export are suggested by the economists and researchers. To gather concrete evidence, a comprehensive desk review or literature review is required to unleash what factors are bringing down Pakistan’ exports. For that purpose, the underlying piece of research aims to weave up a review of existing literature on exports and unfolds the significant factors which influence exports.

Keywords: Exports Stagnant; Literature Review (search for similar items in EconPapers)
Pages: 12 pages
Date: 2023
New Economics Papers: this item is included in nep-int
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