ISLAMABAD: A key document from the Planning Commission reveals that Pakistan’s economy is facing 10 major threats, and to achieve economic growth, political stability and improvements in law and order are essential.
According to the document, the energy sector, substandard education and healthcare, and climate change are significant obstacles to national development. The economy is also hindered by low exports, political instability, and a lack of coherent policies.
The document further states that financial and current account deficits, a challenging business environment, and a growing population are serious concerns. Climate change is impacting water and food supply, while the education and healthcare sectors are contributing to economic challenges. Rising poverty also poses a severe threat to the national economy.
It has been highlighted that the current GDP growth rate is insufficient to address these challenges, and with the current pace of growth, the economy will only reach a 4.7% growth rate by 2047.
It is emphasised that to eradicate unemployment, stabilize the economy, and reduce poverty, the GDP growth rate should be 9.8% by 2047. The number of youth in the country is rising every year, but job opportunities remain scarce. Immediate measures are necessary to leverage technology, promote regional development, and address the impacts of climate change.
The document recommends improving private investment, agricultural output, industrial development, and better management in the energy sector. To boost exports, attract foreign investment, and promote the SME sector, significant steps need to be taken. Additionally, human resources must be optimized to eliminate poverty and enhance productivity.
The document warns that, based on the current GDP growth rate, Pakistan’s economy will not reach $3 trillion in two decades. For stable growth, political stability should be the top priority, law and order must be improved, and public finance management needs to be enhanced and implemented effectively.
