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Old Monday, November 15, 2010
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@Syeda Sabahat

It is often difficult to assess someone's essay writing ability by only watching its outline. However, brother Qaisrani has rightly pointed out one of your weakness. I would also give my comments which are a bit more technical.

First, you said: "Foreign aid is a raid on our resources." I am really amazed at this statement. How aid can be a raid on our resources, while in fact it is the lending of some other country's resources to ours. A better statement would be about its repayment, which surely is a drain on our resources.

Secondly, there are two basic reasons for taking foreign aid. First is to fill the savings gap (in simple words, pakistani save less, therefore if we want more investment for example big dams, roads etc, then we borrow from other countries to invest in those projects), secondly, we borrow because we export less and import more, so to bridge this gap we borrow from other countries.

Thirdly, the effects you stated about impact of foreign aid on our economy needs re thinking. You stated: "6:-ITS EFFECTS ON PAKISTAN a:-more dependence on import goods b:-threat to local industries c:-rise in unemployment d:-other effects"

How foreign aid leads to more dependence on imported goods? It is true that foreign aid sometimes requires to import from the lending country, but that kind of aid is low in case of Pakistan.

I am also confused about foreign aid being a threat to local industry. How it can be a threat? Most of the aid goes for projects that are of public nature like dams roads and health and education sector, then how this can be a threat to local industry?

I wouldn't comment more on other points. I would rather suggest you to please read more material about technical subjects, as it seems that you may not have sufficient background in economics.

Please consider these points as friendly suggestions. I would not have written about those technical problems, but my point is to highlight various issues when a non technical person wants to write about some technical issues without proper homework. This strategy may not fetch good marks.

I hope you consider these points of mine in good faith.

Regards
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