The most comprehensive reforms aimed at liberalization, deregulation and privatization of the economy were initiated by the Nawaz Sharif Government in 1991 and institutionalized under the Protection of Economic Reforms Act 1992. These same policies were followed subsequently by Benazir Government, the second Nawaz Sharif Government, the Interim Governments, the Military Government of 1999-2002 and the Elected Governments since 2002.
The paper proposes a regime in which the Treasury and the Fed would cooperate around debt management at all times and would fully collaborate in the case in which the monetary policy rate is pinned at the zero lower bound.