Pakistan Economic Crisis: Millions in danger of losing jobs as industries shut down

Karachi: With Pakistan battling its worst economic crisis since its creation, various industries in the country are facing a significant decrease in production and are now bracing for massive layoffs in the workforce. According to the data released by the Pakistan Bureau of Statistics, the textile sector – once the pride of Pakistan – is one of the worst hit and has witnessed more than 14.8% decline in exports. Nasir Mansoor, Secretary General of the National Trade Union Federation Pakistan (NTUF) was quoted as saying by Pakistani media outlet ‘The News International’ that as many as one million workers, who are mostly employed in the textile industry of Pakistan, may lose their jobs. Statistics reveal that Pakistan has registered a decline of 2.5% in exports on a month-over-month (MoM) basis. Last month, the value of total exports from Pakistan was recorded at $1.3 billion. This was a marked decline from the $1.5 million registered in January 2021. According to reports in the Pakistani media, the devastating floods of 2022 has played a big role in fuelling the current crisis as the flood waters have destroyed at least 45% of Pakistan’s cotton crop. This has left leaving textile mills without the required amount of raw material. Attempts to import raw material have also failed due to delays in issuing of letters of credit. Last month, a joint press conference held by the textile associations of Pakistan had announced that around 7 million people working in the textile sector and related industries had lost their jobs since last summer. The automobile industry in Pakistan is also going through a similar crisis. The Pakistan Association of Automotive Parts and Accessories Manufacturers have revealed that around 25,000-30,000 workers in the automobile sector have been laid off due to an unabated drop in annual sales. Read all the Latest News , Trending News ,  Cricket News , Bollywood News , India News and Entertainment News here. Follow us on Facebook, Twitter and Instagram.