Semi-privatising may prevent regional favouritism, helping the Pakistan flag-carrier airline remain a shared symbol The privatisation of Pakistan International Airlines (PIA) has become a contentious topic, sparking debates across the political landscape. As Pakistan’s national carrier, PIA holds deep symbolic significance, often viewed as more than just an airline but as a shared emblem of Pakistan’s identity. This makes its future a subject of national interest and has understandably attracted a variety of stakeholders. Several potential buyers have expressed interest, including private entities, but recent developments indicate that the provinces of Khyber Pakhtunkhwa (KP) and Punjab are also vying for…
Author: M. Azam Tariq
Financial relief for consumers and the broader reforms aimed at stabilising Pakistan’s energy sector In a decisive step toward reforming Pakistan’s energy sector, the government has terminated power purchase agreements (PPAs) with five Independent Power Producers (IPPs), a move projected to save consumers Rs60 billion annually while reducing electricity tariffs. Prime Minister Shehbaz Sharif recently announced the decision during a federal cabinet meeting, positioning it as part of a broader effort to cut costs and bring much-needed efficiency to the power sector. With circular debt now exceeding Rs2.7 trillion, this move is seen as a vital measure to ease the…
Pakistan and China set to revolutionise banking with reducing dollar dependence and boosting regional currency use The China-Pakistan Economic Corridor (CPEC), a flagship project valued at approximately fifty-six billion dollars, is poised to be a revolutionary step for Pakistan’s economy. It has far-reaching implications, touching various sectors and fostering economic development. CPEC is not only boosting infrastructure and trade but is also expected to reorient Pakistan’s financial and banking sectors by facilitating cooperation between Pakistani and Chinese banks. This collaboration will present a unique opportunity for both nations to strengthen their financial systems and explore new avenues of mutual benefit.…
Saudi Arabia-Pakistan pact in technology, agriculture and renewable energy can help balance trade disparities Since Pakistan gained independence in 1947, it has maintained a close and evolving relationship with Saudi Arabia. This partnership has been shaped by deep-rooted cultural ties, economic exchanges, and mutual diplomatic interests. While bilateral relations between the two countries have grown significantly over the decades, there are still several challenges that both sides need to address to fully capitalise on their potential for cooperation. Economically, bilateral trade between Pakistan and Saudi Arabia stands at approximately $3.5 billion, with a significant trade imbalance favouring Saudi Arabia. Pakistan…
Technology, modern infrastructure and farming tools to boost productivity Investment opportunities in Pakistan are often discussed with a heavy emphasis on industry-backed sectors. These sectors, while vital, tend to receive a disproportionate amount of attention and resources. However, sectors such as agriculture, which hold significant potential, are frequently overlooked. Today, I want to underscore the importance of investing in Pakistan’s agriculture sector and how it can serve as a catalyst for both national economic growth and the financial well-being of the population. Agriculture is the backbone of Pakistan’s economy, deeply intertwined with the country’s natural resources, primarily arable land and…
Pakistan, a nation with a population exceeding 245 million, faces numerous challenges that hinder its progress. Among these challenges, unemployment stands out as a significant issue, with millions currently without jobs. This situation has led to widespread poverty and various psychological difficulties, creating a cycle that is difficult to break. The high unemployment rate not only affects individuals but also hampers overall economic growth and national development. To address these pressing issues, it is imperative to focus on the progress of the private sector. The private sector plays a crucial role in job creation and economic expansion. It has the…
Integration of new officials and policy reforms aim to drive efficiency and accountability for better citizen outcomes Pakistan faces a severe economic crisis, with significant challenges in its health and education sectors. The healthcare infrastructure comprises 1,201 hospitals, 5,518 basic health units, 683 rural health centres, and other facilities, totaling 123,394 beds. Despite this, 50% of the population lacks access to primary healthcare, and 42% have no health insurance. This highlights the urgent need for reforms to improve healthcare accessibility and quality. In education, the 2021-23 Pakistan Economic Survey reveals 11.35 million students in pre-primary education, 25 million in primary…
Embracing fiscal discipline, curbing wasteful spending and equitable resource allocation helpful measures The recently presented and passed Budget 2024-25, totaling Rs18.9 trillion, sets an ambitious revenue target of Rs13 trillion. The Prime Minister and Finance Minister have emphasised that robust revenue collection is essential for a strong economy and self-sufficiency. However, despite this rhetoric, no concrete steps have been taken to reduce expenditures. Instead, new facilities have been granted to bureaucrats and officials, signaling a lack of commitment to fiscal discipline. This focus on increasing revenue without curbing wasteful spending raises concerns about the budget’s effectiveness in achieving true economic…