VCheng
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@VCheng I highly appreciate your posts on this forum and I would like to ask you how would you deal with this situation if you were the chief executive of Pakistan right now?
For this discussion, let us first start with some prerequisites.
The present situation is not just weeks and months in the making, or even years. This has been decades in the making, and will likely take as long as that to resolve. However, there are a few steps that can be taken in the short term to reduce the likelihood of further deterioration. The next thing to consider is the actual authority of the PM of Pakistan as it exists in reality, and not as the portrayal. For anything to be effective as suggested below, there must be changes that allow the PM the full spectrum of authority to be available to deal with the responsibilities of the position. Whether this is possible or not is another discussion entirely.
There are four important aspects to the present crisis: financial, economic, social, and defense.
Dealing with the financial crisis is fairly straightforward: agree upon the appropriate IMF program, and then successfully complete it, a feat that has never been achieved before. Let there be the determination not to let the difficulty of the adjustments be used as an excuse to not meet the specified goals, specially on the political front. It would be important to have everyone realize that even if the adjustments are done stepwise and not all at once, the long delayed pain will be fairly acute and sharp, no matter what. There is no way around this for anyone.
The economic crisis is much deeper that just the current imbalance of the government's books. To put it bluntly, it is an absolute disgrace just how pathetically low the economic output of a nation of 230 million has become. To begin tackling this, get the energy sector in order by dealing with the circular debt and letting free market mechanisms take hold rather than bureaucratic mismanagement, and giving the few remaining sections of the economy that produce exportable tangibles a free reign for needed inputs on a war footing.
The longer terms fixes require huge social changes: provision of health, education and justice. Two basic requirements are needed across changes of government so that consistent progress can be achieved: goal-oriented management, and appropriate funding. Making consistent policies in both domains will need commitment from all parties not to reverse any agreed upon steps upon change of government for short term political gains.
The last item is perhaps the most difficult and relates to defense of the realm. Is Pakistan ready to grow from its present demented mindset of being nothing more than a security state to becoming a state that benefits its citizens? What is needed to begin this transition is perhaps beyond the scope of the present discussion, but is included here just to highlight the importance of such a transition to make all of the above possible in an enduring manner.
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