1.Economy of Pakistan
At the time of independence Pakistan’s economy, which was having nothing to
survive, has made his way in the line of developing country through many
experiments in political and economic history. The economy had witnessed relatively
free market system at one time (mostly in democratic government periods like 1988
to 1999 and 2008 to on till now) and command at the time of 1971 to 1977 and all
dictatorship eras. For this reason, the economic history of Pakistan becomes more
interesting. Despite having so much turbulent time, Pakistan has witnessed the time
of fastest growth in South Asia region. But the inconsistent policies and narratives of
every government failed this state many times. These variable policies are still
freezing the Pakistan to live among the developing world. The capitalists and
landlords, who emerged because of different economic follies, have hijacked the
economic development of country. This elite joined hands with military and
bureaucratic muscle of the country and remained a key player in ousting different
democratic governments. Beside this, the linkage with international monetary
institutions during 80’s also started to engulf the economic independence of the
country and has trapped this country in to debt trap.
Pakistan is rich in every type of resources, but the situation is getting worse with
every passing day. Despite of having vast reserves of coal, oil, gold, gas and many
other valuable minerals, Pakistan is depending on international aid for its economic
and social revival. Pakistan has vast fertile land which led it to self-sufficiency infood. The share of different sectors in the economy has been changed much since
independence. Pakistan has also a large pool of human resource which can be turned
into productive one by adopting a wise policy.
Now the agriculture is sharing almost 21% in GDP which was more than 50% at the
time of creation of this state in 1947. Whereas, the industrial and services sectors
have gained in their share in GDP up to 20.9% and 57.7% respectively from 8.03%
and 39.3% in 1947. The trade account remained in deficit during most of the years
in history and is still in the same condition due to more dependence on imports. The
excessive dependence on imports and shortage in energy sector has also disturbed
our foreign exchange reserves. The continuous devaluation of Pakistani rupee was
also result of these economic problems. Public debt, to manage the economy, is rising
sharply as it reached more than 60% of GDP. It is evident from the above discussion
that Pakistan’s economy has a lot of problems, so an integrated economic, social and
political framework is needed to bring Pakistan out of this imbroglio.
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