The escalating level of inflation inhibits economic growth. Spirit of the Eid festival
The country’s traditionally bustling marketplaces have taken on a somewhat gloomy atmosphere as a result of the dire economic circumstances.
For Pakistan’s tiny shops and companies, the holiday that concludes the Muslim fasting month of Ramadan used to be a sure source of income—a big-spending week that might match the revenue from the rest of the year.
But this year, with inflation at its worst levels in decades and political unrest shrouding the nation in uncertainty, many people are concerned they won’t even be able to cover their monthly rent.
Shehzad Ahmed, who owns a store in Lahore selling bags, jewels, and other items, stated, “There are no customers, there are no buyers.”
Inflation in the nation of more than 220 million people reached 35.4% in March. Over the course of a year, food prices increased by more than 47% while transportation expenses increased by 55%.
In order to avoid default, Pakistan must implement stringent reforms in order to release a tranche of a $6.5 billion bailout from the International Monetary Fund.
Years of financial mismanagement and political turmoil have destroyed the economy; the situation has been made worse by the global energy crisis and the terrible floods that submerged a third of the nation last year.
Muslims all throughout the world feast with family and friends, exchange presents, and dress up in new clothing and shoes to mark the end of Ramadan, or Eidul Fitr.
However, the country’s traditionally bustling marketplaces have taken on a very gloomy air due to the dismal economic situation.
According to dealer Saif Ali of AFP, “There are significantly fewer shoppers than last year — and it’s due to inflation.”
Sheikh Amir, who owns a modest store selling fake jewellery and glass bracelets, claimed that around Eid, he often makes enough money to last the whole year.
It’s been so hard these days, he added. “We are just going through the motions in the hopes that we will be able to make enough to pay the rent for our shops.”
In the week preceding the holiday, which starts with the sighting of the new moon, which is anticipated this weekend, major retail centres around the nation often experience an increase in spending.
Markets and stores are open until far after midnight in urban areas, with many running promotions or deals to draw in consumers.
Many bazaars are decorated with twinkling Christmas lights to entice shoppers, while street merchants put up stalls selling unique holiday goodies.
All of them have noted a big decline in sales this year.
Ali, who hoped to sell hundreds of handmade shawls in the lead-up to Eid, lamented that “business is slow.”
This Eid will be a frugal one for Fatima Azhar Mehmood, a mother with seven girls.
She explained, “I have to shop for them and also buy things for the house.”
Fatima went fabric shopping in the Old Lahore neighbourhood and intends to sew the daughters’ vacation costumes at home rather than purchasing off-the-rack clothing.
We need to purchase food, buy items for the kids, and soon our rent will also be due, she remarked.
“Everything is coming at us at once.”
Amna Asim made the decision to only give gifts to her children this year after being shocked by the high cost of products this year. Adult relatives would have to do without.
It’s imperative to shop for the kids, she remarked.
“We can’t exclude the children. We must buy something for the kids even if we don’t buy anything for ourselves.
