INFLATION AND THEIR REASON

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Inflation is the situation where general prices of good may increase high this called inflation. Today inflation is on peak in Pakistan there are different reason for it. IT is the result of monetary phenomena. In Pakistan the main reason for inflation is increasing in prices of regular items such as wheat, sugar, ghee and Petrol. Our Government has totally failed to control these issues. Petrol prices is critical issue in Pakistan when this price increase automatically other supplementary items all consumable items may increase

CAUSES OF INFLATION IN PAKISTAN:

 

International Inflation

In the present time no country isolated from the rest of world. The world is going to globalization and these globalization will born many new target which every country need to be done. Therefore the economic conditions effect other country.

FALL IN PRODUCTION

The agriculture and industry sector of Pakistan is backward. The agriculture sector is surrounding by water-logging, agriculture disease flood and draughts. As a result per capital is yield very low. The country has very havy steel,iron,and automobile industry as a result production is very low. Above all factor effect by electricity sector which lead to lack of government policy.

Foreign Aid

Since independence Pakistan has struggle to cope with political and microeconomic instability and has been relaying on foreign aid. But I think need of investment and trade no aid. Today's Pakistan is surrounding of foreign aid. However in presence of current political system there is no hope of changing because they have no Policy for standing on international organization only one thing our politician know bagger work that’s all

 

Pakistan is the development country and inflation roots destroy to it soo badly. There is need to draw attention of authority like we to take such action to decrease the inflation rate in our country.



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