By Zubeida Mustafa
Pakistan’s saving rate betrays its people’s weakness for spending. The nation manages to save only five per cent of its gross domestic product — a figure much lower than in most other Third World countries. The saving rate in India is 20 per cent. It’s 30 per cent in Indonesia and 28 per cent in China and Nigeria.
But in spite of their notoriety for ostentatious living and wasteful habits, it is wrong to think that people in this country do not set aside any of their earnings for the proverbial rainy day. And those who do not manage to save despite their best efforts worry about their inability to save. Continue reading “Saving habits: cultural factors are decisive”