Pakistan’s Monetary Policy: Some Fundamental Issues

Over the last three decades, the landmark transformation of central banks from secrecy to openness and transparency has significantly enhanced their performance to successfully anchor inflation expectations and achieve price stability. The extent of such a transformation of the State Bank of Pakistan (SBP), especially in terms of statutory objectives, monetary policy mandate, conflicts of interest, disclosures, and dissemination of effective public economic information is assessed vis-à-vis the current popular central banking practices. The assessment indicates that the SBP is yet to be transformed to be able to achieve price stability which is a cornerstone for the achievement of sustainable economic growth. On the statutory front, such a transformation requires amending the SBP Act 1956, in line with the statutes for the best monetary policy frameworks by; (1) making price stability as the overriding objective of the SBP; (2) putting in place a clear mechanism for its accountability against price stability, consistent inflation targets, and; (3) elimination of the cushion for government‘s involvement with the monetary policy decision making processes. Some of the other areas like, institutional capacity building of the SBP, in terms of the relevance and level of the academic qualification, research profiles, and experiences of the Board, higher as well as lower tier management need special attention. Such transformations may not only enhance assimilation, creation, sharing, and funnelling of existing as well as new knowledge into monetary policy formulation, but may help change the static mindset at the SBP, hence allowing the institution to flourish. JEL Classification: E5, E52, E58 Keywords: Statutory Objectives, Conflicts of Interest, Disclosures, SB

Assessing the Role of Money versus Interest Rate in Pakistan

We have empirically examined the role of monetary aggregate(s) vis-à-vis short-term interest rate as monetary policy instruments, and the impact of State Bank of Pakistan’s transformation into the latter on their relative effectiveness in terms of inflation in Pakistan. Using indicators of ‘persistent changes’ in the underlying behaviours of variables of interest, we found that broad money consistently explains inflation in (i) monetary (ii) transitory and (iii) interest rate regimes. Though its role has receded while moving from the transition to the interest rate regime, the interest rate instrument seems to be positively related to inflation, a phenomenon commonly known as price puzzle. In light of these findings, we recommend that the role of money should not be completely de-emphasised. JEL Classification: E31, E52. Keywords: Monetary Policy Instruments, Price Puzzle, ARDL, Pakista

Numerical Simulation of Nanoparticles with Variable Viscosity over a Stretching Sheet

The effects of different types of base fluids on carbon nanotube (CNT) nanofluids flow over a circular stretching sheet are numerically analyzed. The nonlinear variation of radial velocity in radial direction is assumed at surface of stretching sheet. The temperature dependent fluid viscosity is taken into consideration. Two different types of flows (assisting flow and opposing flow) are discussed under the buoyant force effects. Single walled CNT and multi walled CNT are considered as nanoparticles for better thermal conductivity of the nanofluids. A set of similarity transformations to convert the partial differential equations into ordinary differential equations is hired. The non-linear ODEs are numerically solved by employing fourth order Runge-Kutta method. Discussions of numerical simulations for flow characteristics have been made appropriately. A comparative study for various type of base fluids like kerosene, engine oil and ethylene glycol is also presented. From the predicted simulation, it is observed that the variation in Nusselt number is maximum for engine oil and minimum for kerosene oil however, the variation in skin friction coefficient is largest for kerosene oil and least for engine oil. Furthermore, numerical results are also validated with achieving a good correlation with existing results

Cattanneo-Christov Heat Flux Model Study for Water-Based CNT Suspended Nanofluid Past a Stretching Surface

This chapter discusses the magnetic field effects on the flow of Cattanneo-Christov heat flux model for water-based CNT suspended nanofluid over a stretching sheet. According to the authors, knowledge idea of Cattanneo-Christov heat flux model for water-based CNT suspended nanofluid is not explored so far for stretching sheet. The flow equations are modeled for the first time in the literature transformed into ordinary differential equations using similarity transformations. The numerical solutions are computed using shooting technique and compared with the literature for the special case of pure fluid flow and found to be in good agreement. Graphical results are presented to illustrate the effects of various fluid flow parameters on velocity, heat transfer, Nusselt number, Sherwood number, and skin friction coefficient for different types of nanoparticles

Antibiotic Susceptibility Pattern in a Tertiary Care Institution

Background: Isolation of different types of organisms from urine, high vaginal swab (HVS), pus and blood and determining their sensitivity and resistance pattern. Methods: The study was conducted in the Department of Pathology (Microbiology Section) Rawalpindi General Hospital. Four thousand and seventy five (4075) indoor and outdoor patients were analyzed by taking their different samples i.e. Blood, Urine, HVS and Pus, which were then cultured on different media i.e. MacConkey’s and Blood agar. CLED media was preferred for urine. Results: Out of 4075 samples, 515 cultures yielded growth. These included 170 samples of HVS, 163 of pus, 158 of urine and 24 of blood. Escherichia coli (29.8%), Staphylococcus species (26.52%) and Pseudomonas (18.66%) were the most common organisms isolated. Conclusion: Due to high resistance, antibiotic use policy should, strictly adhere to WHO guidelines and their unnecessary use should be discouraged

Evaluación de concentraciones de macrominerales en sangre de vacas Desi lactantes y secas

Objective. This study was conducted during winter season at rural livestock farm of district Sargodha, Pakistan, in order to define the macrominerals status in blood plasma of lactating and dry Desi breed cows. Material and methods. Twenty lactating and twenty dry cows were used and their blood plasma was analyzed for Ca, Mg, Zn, Cu and Fe using atomic absorption spectrophotometer. Results. In lactating cows, the plasma Ca concentration was lower than dry cows (6.8 vs. 7.6 mg/dl, p<0.001), while Mg concentration was similar between lactating and dry cows. Plasma Zn concentration in lactating cows was higher than dry cows (0.78 vs. 0.60mg/l, p<0.01) and it resulted lower than the normal range in both groups. Plasma Cu level in lactating cows was lower than dry cows (0.56 vs. 0.76 mg/L, p<0.001) and it was lower than the normal range only in lactating cows. Lactating cows resulted in higher plasma Fe concentration compared to dry cows (3.8 versus 2.6 mg/L; p<0.01). Conclusions. From our findings, it can be concluded that the observed minerals level meets the needs of ruminants and the plasma level of different minerals is affected by the physiological stages of cows.201

Bioconcentration of some macrominerals in soil, forage and buffalo hair continuum: A case study on pasture irrigated with sewage water

AbstractThe present study aimed to evaluate the bioaccumulation of some macrominerals in grazing buffaloes fed forage irrigated with sewage water or canal water. In particular, the transfer of sodium (Na), magnesium (Mg), potassium (K) and calcium (Ca) from soil to plant and in turn to animals was evaluated under sub-tropical environmental conditions. Samples of soil, forage and buffalo hair were collected and digested by wet method. Sodium and K concentrations were significantly higher in the soil but lower in the forages; however, Mg and Ca concentrations in both soil and forages were higher. The correlation between soil, forage and hair showed an imbalanced flow of Na, Mg and K and a balanced flow of Ca from soil to forage and then to animals. Based on the findings, the highest rates of transfer of minerals were found for sewage water treatment, whereas lowest rates were found for canal water treatment, except for Na. As the transfer of minerals depends on their bioavailability, the highest values may be due to the high rates of mineral uptake by plants. Thus, the high transfer rate of some elements by plants could become toxic in future causing detrimental effect to grazing livestock