Peshawar(PR):The Pakistan Economy Watch (PEW) on Friday said Indian attack on Pakistan will be a suicide for New Delhi and her economy will sustain damages beyond imagination due to Islamabad’s capability to hit back on aggressors.
Tensions between two most important countries of Saarc region will have a global negative impact on trade, commerce, agriculture and industrial output, it said.
A war will destroy Indian economy before the country is totally ruined due to a possible nuclear war, said Dr. Murtaza Mughal, President PEW.
He said that tensions will have a very negative impact on trade and economy while volatility in the financial markets will not be short lived as expected.
Dr. Murtaza Mughal said that India’s exports to the neighbouring country worked out to USD 2.17 billion, or 0.83 per cent, of the total Indian outward shipments while imports were less than USD 500 million, or 0.13 per cent, of the total inward shipments.
But, tensions will also damage her exports to other regions while flight of capital will also take place, he noted.
India’s move to review the most favoured nation (MFN) status accorded to Pakistan has raised some uncertainty for exporters on whether trade will normalise in the future, he said, adding that the MFN was largely symbolic as non-tariff barriers frustrated efforts of Pakistan to improve exports.
It may be mentioned that the official trade between two countries was recorded at 2.5 billion dollars during the last year.
Pakistan exports to India stood at 495 million dollars while it imported goods worth 1.86 billion dollars but now the situation is set to change, he said.
