2011 to be tough for middle class: PEW

LAHORE The year 2011 will be tough for middle class and poor who have already been hurt by insurgencies, floods, Asias highest inflation, uncertainty, energy crisis and overall economic depression. Uncertainty, job insecurity, volatile labour market, loss of income and worries among low-income working class may result in additional problems, said the Pakistan Economy Watch on Wednesday in a report. It added majority of Pakistanis are unlikely to enjoy the New Year as it will bring more sufferings to the masses. The overall scenario is depressing and the possible outcome could be more frustrating resulting in enhanced political disorder, said Dr Murtaza Mughal, President PEW. The economic managers of the government are expected to continue supporting profit-making lobbies, while a part of masses will continue to trust hollow slogans that will never translate into reality. The political struggle is expected to eat up most of the attention of the coalition government with little time and funds left for welfare of the needy, it said. Leaders will continue to undergo internal as well as external political pressures while common man will have to brave ever-increasing financial squeeze, he added in the report. He said that people who have already been compromising on food, health, and education will learn to live with less amid price shocks and natural as well as artificial tragedies, he said adding that rising household budgets will be continue to be a major issue during 2011. The proposed taxes, developmental cuts and sluggish economic growth will keep on to bite while those who have wealth would go on to enjoy unjustified privileges. Policy rates will continue to climb while production will slide making things difficult for everyone, he said.

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