Rise Of Trump & Pakistan Real Estate
So the unthinkable has happened and Donald Trump is the elected President of the USA. The world is in shock and awe with a mixed and confused reaction to this historic upset in US elections. What does this mean for Pakistan in general, specially the Pakistani’s living in United States and how it can impact the Pakistan real estate market.
Although for some implicating Trump’s victory with Pakistan real estate may be far fetched. However we should keep in mind that policies of USA not only effect Pakistan but the entire globe.
Policy for Expats and Immigrants
Trump has taken a hard stance on Muslims including Pakistani’s and even if one considers it election rhetoric , it is clearly not a rhetoric for his supporters. Under Trump rule Muslim immigrants will face more racism and stricter Government policies. I do not think so that it will be some apocalyptic situation. Muslims will however be subject to general isolation as we saw after 9-11. It may not be to that scale but 11-9 will certainly make quite a few to remember there homeland Pakistan.
Policy on Visa & Immigration
Under Trump the US policy of Visa and Immigration for Muslims in general including Pakistani’s will be harder. Also a lot of Pakistani’s will prefer immigrating to other places or just staying port. In case Trumps radical policies show positive results, other European nations may follow suit.
In general i think Trump may actually be good for Pakistan – India relations. He has shown his interest to mediate between the two arched nuclear rivals as well.
Recently Trump made a reference to Pakistan in response to a question if he would support Modi government’s action against Islamabad amid escalating cross-border tension.
To this Trump said: “Well, I would love to see Pakistan and India get along, because that’s a very, very hot tinderbox…. That would be a very great thing. I hope they can do it.”
He further added that he would be happy to ‘mediate’ between the two neighbors to defuse the situation.
Support of CPEC
Trump has shown his interest in developing good relations with both China and Russia. This may be good news for the CPEC project as both Russia and China are showing a lot of interest in developing it. This could mean that USA may actually support the development of CPEC and Pakistan real estate specially in Gwadar will reap the benefits.
Impact on Real Estate
The real estate market of Pakistan is very much speculative and it may respond positively. Rise of Trump may be bad news for some but back home, this is good news for Pakistan. Expat Pakistani’s will bring newer opportunities and they may follow a similar trend of shifting investments back to Pakistan as after 9-11. One more important factor to consider is that Trump may actually be good for South Asia. He has repeatedly said that he wants to work along China and wants good relations between India and Pakistan. If Trump uses his position to stabilize the rivals in South Asia that may be a very good news not only for Asia but rest of the world.
This may give the needed boost to the Pakistan real estate sector. Investors will put some money back into the real estate sectors hoping for prices to rise under the speculation of foreign direct investments and a safer South Asia.
Investment Consultant and CEO at Imlaak
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