The Ugly Truth About Pak Economy: A Brief History

[Khafee]

The so-called economists on TV or financial experts are all paid agents of neo-liberal school and IMF stooges. It is their job to create chaos....

If I tell you that within five years Pak can pay off its loans and create a long term growth framework... no one will believe me... but just as @Khafee posted... a clean bleaching is needed. Can Pak State do that?

Ever wondered why Pak State never aggressively explored natural resources?

Not in the interest of those who want to see PK in the vicious circle of the debt yoke, so ultimately the nuclear program is abandoned / rolled back.

A good analytical article about Pak economy.

Economy of fools
Aasim Sajjad AkhtarUpdated April 05, 2019

The writer teaches at Quaid-i-Azam University, Islamabad.

THE more things change, the more they stay the same. This adage captures much about state policy in Pakistan, but perhaps social and economic ‘reform’ most of all. The current hue and cry about the precarious state of the economy and the reforms necessary to get things back on track is remarkable precisely because it has all be said and done before. Many, many times.

The indefatigable Khurram Husain wrote yesterday about the three attempts at ‘adjusting’ the economy over the past decade — in fact ‘structural adjustment’ of the economy has been ongoing for more than 30 years! It was in 1988 that the first set of loan arrangements were agreed under the Structural Adjustment Programme between the PPP government and the IMF. Surely by now adjustment would have been successfully completed?

Every political regime here for more than three decades has spewed the same rhetoric about inheriting a mess from its predecessors, the need for urgent reform, and the unavoidability of swallowing the bitter pill of ‘adjustment’.

The regime then claims to have turned a corner — thanks in large part to aid handouts — but the turnaround is inevitably short-lived and things reach their lowest ebb by the end of the government’s tenure.

The next election cycle rolls around and the farce plays out again.

The role of the IMF and other multilateral and country donors in this story must certainly not be understated.

Aid packages are always accompanied by conditionalities; the money comes only if ‘structural adjustment’ of the economy is ensured.

It is always the same — privatise loss-making public enterprises, reduce government expenditures (and subsidies in particular), liberalise trade and financial markets, and make sure that the foreign investors are given incentives to bring in the big bucks.

In recent years, with ‘institutions’ in vogue in Western academic and policymaking circles, emphasis has also been placed on improving the performance of government institutions (via a never-ending supply of ‘expert’ consultancies).

Every political regime here has spewed the same rhetoric.

So if we’ve been doing this for the best part of 30 years, why is adjustment still necessary?

In short, because the world remains at the behest of financial oligarchs whose desire to pillage the resources of ‘underdeveloped’ regions whilst also monopolising emerging consumer markets is never satiated.

‘Adjustment’ is a barely disguised policy that removes all the regulations designed to provide at least some safeguards to the toiling classes that, until the 1980s, were a bona fide ‘stakeholder’ in the policy matrix in all countries.

It was in the late 1970s that the Keynesian policy frameworks that dominated the post Second World War period — featuring high levels of government intervention in the economy and the allocation of a substantial share of resources to labour — were displaced by what is now known as economic neoliberalism, or Washington Consensus.

At the time this ‘Consensus’ was forged by arch-conservatives like Ronald Reagan and Margaret Thatcher in the West, with handymen like Gens Zia and Pinochet doing the job in the East.

Organised labour and the political left were depicted as enemies of freedom — of the individual and the market — and almost 40 years later, the intellectual and political discourse in countries like ours is almost devoid of mention of the class wars that undergirded the shift towards neoliberalism.

The same is not true in Western countries.

The collapse of financial institutions between 2007-09 meant the ideological monopoly of neoliberalism was decisively challenged. Today, young educated people trying to secure a decent standard of living in an age of unbridled consumerism have become aware of the grave danger that ‘free market’ capitalism poses to their own well-being, and future generations.

It is high time that the young population of this country learns about the history of ‘adjustment’ so that at least the possibility arises of arresting the policy merry-go-round we have witnessed over the past three decades.

It was inevitable that the ‘tabdeeli’ brigade would falter as all others have before it — the crisis of political representation is directly related to the hegemony of neoliberal development models that no government dare challenge.

What is not inevitable is that we remain an economy of fools forever. Embryonic popular awakenings in different parts of the world about the need to once again consider an alternative to capitalism offer us hope.

The so-called experts will continue trying to convince us that the same old ‘reforms’ are necessary and bank on handouts from the IMF, the UAE, China or whoever is willing.

The real reforms we need are not rocket science: recover the commons (health, education, housing, employment, nature) from the profiteers, audit and reduce defence spending, and stop taking ‘painful’ steps that hurt the poor, and, instead, inflict some pain on the rich.

The writer teaches at Quaid-i-Azam University, Islamabad.

Published in Dawn, April 5th, 2019

https://www.dawn.com/news/1474072/economy-of-fools

Well the bottom line was literally at the bottom, but right it is "inflict some pain on the rich."

 

[VCheng]

The real reforms we need are not rocket science: recover the commons (health, education, housing, employment, nature) from the profiteers, audit and reduce defence spending, and stop taking ‘painful’ steps that hurt the poor, and, instead, inflict some pain on the rich.

In other words, no meaningful reforms are likely.

 

[CrazyZ]

Economic future of Pakistan linked with enhancement of exports: Imran Khan
April 04, 2019

Prime Minister Imran Khan says economic future of Pakistan is linked with enhancement of exports which so far have remained far below the actual potential.

He was chairing 80th meeting of Board of Administrators of Export Development Fund in Islamabad today (Thursday).

The Prime Minister said in past, revenue-centric economic policies with overemphasis on collection of revenues made the industry uncompetitive. He said the PTI government has made a paradigm shift in prioritizing the competitiveness of industry vis-à-vis revenue collection.

The meeting approved budget and the schedule of activities to be held during four-day TEXPO Exhibition 2019 at Lahore Expo Centre on 11th of this month.


http://www.radio.gov.pk/04-04-2019/economic-future-of-pakistan-linked-with-enhancement-of-exports-pm


So 1 issue is being addressed! What next?

Pakistan's exports of goods and services as % of GDP is 8%, is the third lowest in the world. Global average is 35%, for China and India its around 20%.

currently biggest issue for economy is massive loans, govt should try to reschedule loan as Mushraff did in the past

The Americans will consider debt restructuring only if Pakistan does every thing they want.....which is politically unacceptable. This would not resolve the forex problem.

 

[Dubious]

Pakistan's exports of goods and services as % of GDP is 8%, is the third lowest in the world. Global average is 35%, for China and India its around 20%.

Why is it so low? And why hasnt any govt bothered to improve it?

I mean even the common crook must know that IF Pakistan has more, they can loot more, right?

 

[Mangus Ortus Novem]

Not in the interest of those who want to see PK in the vicious circle of the debt yoke, so ultimately the nuclear program is abandoned / rolled back.



Well the bottom line was literally at the bottom, but right it is "inflict some pain on the rich."

.


With Friends like you.... no rollback or default or crap of any kind can happen.

UAE has always been there for Pak along with KSA. What you guys did with rolling back of the anti-Pak spy network is worth writing a novel!

KSA-UAE-Pak are Brothers-in-Arms to the End!

Somany things... and a new geo-strategic, politico-economic phase is now Finally underway... this time Persian-perel won't be allowed to spoil the party!

 

[KhanBaba2]

Yes , but does that mean we don't have to start ????????????? If we start this year we will see full fruits in 2025 …….. Just after 6 years …….

Of course you should start right now.

To earn 1 billion dollar you will need to export around 100 million kg. Research by Canadian Roundtable for Sustainable Beef ( I can't upload links) says you need 631 liters water per kg beef. You can do the math.

Your country is water stressed. You have to act now to start building dams. Or push for better crop irrigation methods. Otherwise all your hopes of increasing income by agriculture will be dashed. Your government is doing nothing on either of these fronts. Just giving speeches about going for cattle export will get you nowhere. Where is the cattle feed. What are the plans for increasing cattle feed production.

 

[Shah01]

1. Oil - 33% of our electricity comes from burning oil.

This is do able easily with very little government intervention by providing net metering for every household and installing solar panels (similar to UK). The benefit is two fold; Reduce the distribution losses plus also reduce demand at peak times (during summer). Same goes for agriculture; Install solar panels for tube wells and irrigate for free (no load on the grid, win win).

My other idea which others will find controversial is the state itself being involved in farming.

Contracts should be given to private companies to run these farms that stipulate that modern farming techniques have to be used and the farm should be managed in partnership with a state agriculturalist who will provide a degree of oversight and expertise

​

No state intervention please. It will ruin the farming sector. Nepotism will flourish when giving out contracts and this will become another loss making sector for the government (tax payer).
This:

In true capitalist spirit, screw the state, we need to take matters into our own hands.

​

I would like people to stop complaining and start acting. Work towards the future you would like to see for your next generation. Imagine the possibilities and work for them. Give a better Pakistan to the next generation.

Pakistan STILL doesn't fund its own seed research institutes with dedicated farmer relations outreach?

Well the research institutes are in their nascent state. It will take time and funding to get to a point where the west stands.

I mean even the common crook must know that IF Pakistan has more, they can loot more, right?

Nope. You will be amazed to know that common crook doesn't understand this. They have the mentality of looting everything today as there is no tomorrow.

@313ghazi I like your idea of pooling funds and starting a cooperative. This could setup value add industry for the agriculture. Although Pakistanis are long way from understanding cooperatives as the nation lacks the virtues needed for cooperation. I invite everyone who is exploring such ideas to get together and discuss things in person.
I will probably write something on Taxation if I get the chance.

 

[POPEYE-Sailor]

Here is nice explanation

 

[Dubious]

Nope. You will be amazed to know that common crook doesn't understand this. They have the mentality of looting everything today as there is no tomorrow.

That is the sad bit even our crooks are stupid

 

[Mangus Ortus Novem]

Economic Solutions' Framework: Laying the Foundation for a Sustainable Economy

All economies and their performace is the refelction of politics.

Dollar dominance is the result of politics.

Yuan management and slow, controlled trading is result of politics. Japanese property boom and bust was result of politics. ASEAN 'miracle' boom/bust/boom...politics. Buying T-bills is result of political decision.

Euro is purely a political decision. Had no underlying economic need other than trans-atlantic decision making and tightly nitting mainland Europe into a political entity. Ask PIGS the price they are paying for this. Greece, let us not forget.

The point is all economies mean political expression i.e. political economy. Just have a look at resource rich countries and their political make-up and their related economic performace.

If we look at the Pak economic history... apart from mere 7-9 years period of 1960s... primarily Pak economy has been a rentnier economy living off loans and aid packages. This is evident at both macro and micro level. The industrial, banking and export sector has the same behaviour. Just enough investment to keep things going.

No business or tech innovation. Getting the money out of the country or creating foreign shell (trading) companies to either under or over invoice. In any case just looking at the conoutry, consciously or unconsciouly, as a colony. The elite has all its assets abroad. An estimated $200 to $300 Bln is total net capital or assets abroad. Not all of it belongs to politicos.

In other words, if only Paks can invest in Pak then no foreign investment is needed. BD export boom in textile is Pak investor driven. Malaysia another destination. Again not all of it criminal produce but rather escaped capital due to 20 years of WOT and Karachi Burning.

We could indulge deeper about money sent back form Overseas Paks... through hundi... but the picture is there.

The Point!?: Pak is NOT a poor country.

What is a Developed Economy:

We can go into standard, known, features such as ease of doing business and all that jazz... however, let us focus on the quint essence of a developed or developing economy with solid foundations.

In essence a strong economy is a Giant Rules Engine with strong Exception Management System. Everything designed for Flow in the Process. Nothing else.
Without this there cann't be any innovation or business growth. Even in a communist political system of China one can easily find this fact.

A passing look at Pak's economy or general taxation system will show that the entire legislation is designed to retard economy activity. Or in other words a system designed to squeeze as much as possible from citizens and Pak State.

This in nutshell is the current Political Economy of Pakistan.

What Could be the Pak Political Economy?

Socialism? No!

Neo-liberal Capitalism? No!

Humanism? Yes

The very Idea of Pak was driven by a sense of this. To have a place where Paks could become Free Humans according to their unique Civilisational Heritage. Why else swim through ocean of blood?

Do the laws, regulations enable the advancement of Human Condition in Pak at the moment? Or do these enable the oppositie? Be it courts, civil services or daily life?

Except for 5 years under Ayyub Khan... Pak has been primarily a parlimentary system with British laws. These laws were designed to govern a Colony not a Free State. Yet Pak is still under the same laws. The entire legal framework is geared towards Control rather than progress.

This, however, is a separate discussion. Nevertheless, extremely relevant. But not now....

Creating a Humanist Economy:

With more than 50% living under the poverty line and 64% youth buldge redical steps need to be taken to Save The Social Fabric.

As an Artificial Intelligence dominated world is here... creating jobs for all these young population is a tremedous challenge.

Given the scope of this Framework I am forced to briefly highlight areas of focus and reform. Each element requires a Whitepaper in its own right.

1) Land Reforms:

Serfs living in Sindh or South Punjab are good to vote for Never Dying Bhutto but to elevate them from sub-human levels it is necessary that the landless farmers be given land from the Unionists who opposed the very Idea of Pak i.e. today's electables

2) Population Act:

A two child policy needs to be implemented under National Emergency Act. Easy said than done... but it must.

3) Education Act

A unified, standardised educational system from GB to Gawadar. In order to create ease of mobility in the job market later this is essential. Salaries of the teachers be the highest of any government employee. Only the best and highly educated should be hired through qualification exames. Only for 5 years. For renewal qualificaiton exame.

Free food and books. Any mismangement or theft means life in prison. You can forgive murders but not those who steal from educational instituitions. Compulsary education till 18 with focus on science, tech and paractial industrial skills. Urdu as medium. English as second.

4) Public Services Act

No more permanent government jobs. An AI based performance management system for all government employees. Except for Foreign Office.
Dismantle CSS. Direct hiring based on experience in business.
Create a country wide Rules Engine based on open source Enterprise Architecture spread across the country on Blockchain.

5) One Tax Act

Paks, poor ones, are criminally taxed through indirect taxes. On the other end corporate sector has the worlds highest tax ratio. This again is the reflection of rentnier mentality/system.

No sales or wealth tax.

A single Tax % for everyone living above the poverty line. This % has to be the same i.e. propotional to the income. If some earns a million he/she pays same % relative to income to someone who earns less. Justice in taxation.

Dismental tax office. Bring in AI solutions. Custom duties also be governed by unmanned systems. Pak State will have more revenues this way than any other schemes.

6) Agriculture Revolution

Per hectre yield of Pak farming lands is horribly low. This needs to become threefold at least. This is far easier way to reduce poverty than anything else.

The entire value chain related to Agri i.e. irrigation, machinery, fertilizers, storage, farm-to-market needs to be Pak made. Herein Value Addtion and Food processing/packaging is critical. Easily done. Just take out the parasites and redtape.

Biotechnology parks for Pak tech firms be established with 10 year tax break... provided there is complete tech transfer and skills development of Young Pak techies... Also essential that these have to be JVs only. No foreign firm be given this. Ban GMO except for cotton seeds.

Genetic Sciences and Tech centres of excellence and related business spin-off with subsidy and tax breaks for ten years.

7) Industrial Revolution

There is no luxury of time... from pure mannual labour intensive to high tech Pak must establish SEZs in all areas. Higher tax breaks for high tech. The key policy is to make Everything in Pak. Period.

Electronics, manufacturing and processing industries must be the focus in the first phase. Focus on transportation i.e. cars, buses, truck, high PK tractors etc. More competition the better. #BanSuzuki

8) IT Cities

There is a scope for at least four IT cities in Pakistan. Same as 7 policy should be to part of each step of the IT value chain. With Social Responsibility Act required of all IT companies to train young Paks through Skill Centres and Internships.

9) Banking Sector Reform

Pak banking sector is lazy. It has been fattening up by lending to government. Pak must allow competition by creating a Credit Issuing Agency.

Banking sector is owned by the same #CriminalEnterprise which own IPPs. Go figure!

10) Energy Act

IPPs be opened and tried under Economic Terrorism Act by special courts. Furthermore, renewable must form at least 50% of the energy mix. Dams. Dams and more dams.

Also, the need for Intelligent National Grid is critical. Nobody has paid any attention to transmission for last 30 years.

11) 10 New Cities

Firstly, Master Plan for Gwadar needs to be revisited with an eye on making it a second Karachi. Apart from this 10 small and medium seized cities needs to be planned using best practices available, in accordance to geography.

The cities must have a long term perspective to make them viable i.e miroc economically viable centres. Time to look at cities a different lens.

12) Free Karachi Act

Pass law to declare Karachi a Federal City or Second Capital of the State. Free Karachi from all political mafias.
Make Karachi go up. Must also be done for Lahore as well.

13) Tourism Yes, Disneyland No

There is no country like Pak. From GB to Gwadar... However, it is equally important that the 10000 years old Civilisation does everything possible to retain a distinct cultural and social hue.

The very distinct Pak Hospitality... the essence of Pak culture... is a Brand like no other. It is not just the landscape but the Pak People. It needs to be markted wisely.

Welcome to the Land of Dancing Horse

Welcome to the Oldest Living Cities

Welcome to the Oldest Civilisation

Paks are NOT whites... so trying to become would be useless. Then neither would be white nor Pak. Something which requires deep meditation!

14) Free Internet

With 5G coming this should enable in economic transformation. Fintech and Alibaba... can help women and young to have their goods /handicrafts sold worldwide.

Pak must also lauch statelites in this regard to provide free highspeed internet to all Paks.

15) Trains, trains and more trains

At the moment the entire train infrastructure is in shambles. Pak must plan for longterm and high speed trains... electric transmission. In this regard apart form track agreement... local manufacturing agreement with China needs to be signed.

Here blindly follow Chinese strategy.

16) China Model Yes, China Model No

China could do all those things because China is China. China doesn't have #DieselMullahs or ZAB or NS or #CriminalEnterprise

So following Chinese Model is not that easy. However, the elments of the Chinese Model can be implemented in Pak development.

A Thinktank of Sino-Pak Socio-Economists can become part of Sino-Pak Strategic Cooperation Framework.

17) MIC Pak & Co.

The expansion in Pak MIC and vertical integeration of private enterprises is needed. Not just lipservice. The export potential in product and services is huge and needs to become part of Military and Economic Diplomacy.

18) CPEC... to be a Road or a Bridge

CPEC can only deliver fruits for Paks if there is actualisation of SEZs, financial/trading centres and related services industry boom in Pak for China, MENA and Africa.

If Pak becomes just a road for China then the loss will be immense. Something to ponder.

And finally....

19) Financial System

At the moment Paks hold more gold privately than the State. Not bad for the people but bad for economy. RekoDig needs to be given protection under National Security Act. And all that gold must go straight to the State. PKR must have some underpinning of gold. It is miserably exposed.

#PetroPKR ??? Well it can be done but nobody has the guts to do it. Besides... too early in the game... so no flying horse just yet

Pak needs to plan today if and how it wants to escape the middle income trap...... the only solutions is spending equally on education as defence... perhaps double.

#2047PakAt100

@Reddington @zulu @Dubious @Khafee @niaz well gents, first attempt. Obviously, requires more detail in each facet. But then it becomes a book on Transformation!

 

[VCheng]

All economies and their performace is the refelction of politics.

An excellent post, but that basic premise may be argued the other way: Politics follow the economy, and not the other way around. The dollar is dominant because it is underwritten by the US economy, just as the Euro, Yen and Yuan are by their respective export oriented juggernauts.

The steps you propose are excellent, of course, but need that foundation too, if the PKR and the economy it represents is to deliver the humane model you propose for Pakistanis.

 

[zulu]

@Mangus Ortus Novem going to reply soon as it demands some research and effort to give real possible to do action plans.Man every points of yours deamnd full thread of its own i will inform and skip on parts where i got no exp and knowledge @Dubious @waz @Horus we need some control on our thread to keep it on topic and deleting junk /trolls response otherwise no point of such hard effort if its going to crap

 

[Mangus Ortus Novem]

An excellent post, but that basic premise may be argued the other way: Politics follow the economy, and not the other way around. The dollar is dominant because it is underwritten by the US economy, just as the Euro, Yen and Yuan are by their respective export oriented juggernauts.

The steps you propose are excellent, of course, but need that foundation too, if the PKR and the economy it represents is to deliver the humane model you propose for Pakistanis.

My dear Pak,

I guess I left the foundational political system intentionally out... for that we need to have a different dicussion thread. Otherwise, things get confused.

The very purpose of Pakistan was/is not to have a purposeless, directionless state so that people could die their hair blone...nothing wrong with it... but it underlines something deeper.

Without creating a political sytem that enables the Human Dignity, Development and Full Human Expression within the framework of Pak's Unique Civilisational Heritage... ship of the Pak State will remain adrift...directionless, soulless vessel.

The current sytem of #CriminalEnterprise is collapsing... IK cann't deliver. He is in Prisoner's Deilema.

But we will dig it further as we progress with that particular discussion.

Keep #PakPositive and #SayYesToJinnahModel

Mangus

 

[VCheng]

The current sytem of #CriminalEnterprise is collapsing... IK cann't deliver. He is in Prisoner's Deilema.

But we will dig it further as we progress with that particular discussion.

Keep #PakPositive and #SayYesToJinnahModel

Mangus

I agree that the present system is collapsing, but failure is simply not an option for PMIK. He was brought into power as the last hope that would put Pakistan on the right path, finally. We are all praying for his success in regards to the economy first of all and many other matters to follow.

 

[Reddington]

Economic Solutions' Framework: Laying the Foundation for a Sustainable Economy

All economies and their performace is the refelction of politics.

Dollar dominance is the result of politics.

Yuan management and slow, controlled trading is result of politics. Japanese property boom and bust was result of politics. ASEAN 'miracle' boom/bust/boom...politics. Buying T-bills is result of political decision.

Euro is purely a political decision. Had no underlying economic need other than trans-atlantic decision making and tightly nitting mainland Europe into a political entity. Ask PIGS the price they are paying for this. Greece, let us not forget.

The point is all economies mean political expression i.e. political economy. Just have a look at resource rich countries and their political make-up and their related economic performace.

If we look at the Pak economic history... apart from mere 7-9 years period of 1960s... primarily Pak economy has been a rentnier economy living off loans and aid packages. This is evident at both macro and micro level. The industrial, banking and export sector has the same behaviour. Just enough investment to keep things going.

No business or tech innovation. Getting the money out of the country or creating foreign shell (trading) companies to either under or over invoice. In any case just looking at the conoutry, consciously or unconsciouly, as a colony. The elite has all its assets abroad. An estimated $200 to $300 Bln is total net capital or assets abroad. Not all of it belongs to politicos.

In other words, if only Paks can invest in Pak then no foreign investment is needed. BD export boom in textile is Pak investor driven. Malaysia another destination. Again not all of it criminal produce but rather escaped capital due to 20 years of WOT and Karachi Burning.

We could indulge deeper about money sent back form Overseas Paks... through hundi... but the picture is there.

The Point!?: Pak is NOT a poor country.

What is a Developed Economy:

We can go into standard, known, features such as ease of doing business and all that jazz... however, let us focus on the quint essence of a developed or developing economy with solid foundations.

In essence a strong economy is a Giant Rules Engine with strong Exception Management System. Everything designed for Flow in the Process. Nothing else.
Without this there cann't be any innovation or business growth. Even in a communist political system of China one can easily find this fact.

A passing look at Pak's economy or general taxation system will show that the entire legislation is designed to retard economy activity. Or in other words a system designed to squeeze as much as possible from citizens and Pak State.

This in nutshell is the current Political Economy of Pakistan.

What Could be the Pak Political Economy?

Socialism? No!

Neo-liberal Capitalism? No!

Humanism? Yes

The very Idea of Pak was driven by a sense of this. To have a place where Paks could become Free Humans according to their unique Civilisational Heritage. Why else swim through ocean of blood?

Do the laws, regulations enable the advancement of Human Condition in Pak at the moment? Or do these enable the oppositie? Be it courts, civil services or daily life?

Except for 5 years under Ayyub Khan... Pak has been primarily a parlimentary system with British laws. These laws were designed to govern a Colony not a Free State. Yet Pak is still under the same laws. The entire legal framework is geared towards Control rather than progress.

This, however, is a separate discussion. Nevertheless, extremely relevant. But not now....

Creating a Humanist Economy:

With more than 50% living under the poverty line and 64% youth buldge redical steps need to be taken to Save The Social Fabric.

As an Artificial Intelligence dominated world is here... creating jobs for all these young population is a tremedous challenge.

Given the scope of this Framework I am forced to briefly highlight areas of focus and reform. Each element requires a Whitepaper in its own right.

1) Land Reforms:

Serfs living in Sindh or South Punjab are good to vote for Never Dying Bhutto but to elevate them from sub-human levels it is necessary that the landless farmers be given land from the Unionists who opposed the very Idea of Pak i.e. today's electables

2) Population Act:

A two child policy needs to be implemented under National Emergency Act. Easy said than done... but it must.

3) Education Act

A unified, standardised educational system from GB to Gawadar. In order to create ease of mobility in the job market later this is essential. Salaries of the teachers be the highest of any government employee. Only the best and highly educated should be hired through qualification exames. Only for 5 years. For renewal qualificaiton exame.

Free food and books. Any mismangement or theft means life in prison. You can forgive murders but not those who steal from educational instituitions. Compulsary education till 18 with focus on science, tech and paractial industrial skills. Urdu as medium. English as second.

4) Public Services Act

No more permanent government jobs. An AI based performance management system for all government employees. Except for Foreign Office.
Dismantle CSS. Direct hiring based on experience in business.
Create a country wide Rules Engine based on open source Enterprise Architecture spread across the country on Blockchain.

5) One Tax Act

Paks, poor ones, are criminally taxed through indirect taxes. On the other end corporate sector has the worlds highest tax ratio. This again is the reflection of rentnier mentality/system.

No sales or wealth tax.

A single Tax % for everyone living above the poverty line. This % has to be the same i.e. propotional to the income. If some earns a million he/she pays same % relative to income to someone who earns less. Justice in taxation.

Dismental tax office. Bring in AI solutions. Custom duties also be governed by unmanned systems. Pak State will have more revenues this way than any other schemes.

6) Agriculture Revolution

Per hectre yield of Pak farming lands is horribly low. This needs to become threefold at least. This is far easier way to reduce poverty than anything else.

The entire value chain related to Agri i.e. irrigation, machinery, fertilizers, storage, farm-to-market needs to be Pak made. Herein Value Addtion and Food processing/packaging is critical. Easily done. Just take out the parasites and redtape.

Biotechnology parks for Pak tech firms be established with 10 year tax break... provided there is complete tech transfer and skills development of Young Pak techies... Also essential that these have to be JVs only. No foreign firm be given this. Ban GMO except for cotton seeds.

Genetic Sciences and Tech centres of excellence and related business spin-off with subsidy and tax breaks for ten years.

7) Industrial Revolution

There is no luxury of time... from pure mannual labour intensive to high tech Pak must establish SEZs in all areas. Higher tax breaks for high tech. The key policy is to make Everything in Pak. Period.

Electronics, manufacturing and processing industries must be the focus in the first phase. Focus on transportation i.e. cars, buses, truck, high PK tractors etc. More competition the better. #BanSuzuki

8) IT Cities

There is a scope for at least four IT cities in Pakistan. Same as 7 policy should be to part of each step of the IT value chain. With Social Responsibility Act required of all IT companies to train young Paks through Skill Centres and Internships.

9) Banking Sector Reform

Pak banking sector is lazy. It has been fattening up by lending to government. Pak must allow competition by creating a Credit Issuing Agency.

Banking sector is owned by the same #CriminalEnterprise which own IPPs. Go figure!

10) Energy Act

IPPs be opened and tried under Economic Terrorism Act by special courts. Furthermore, renewable must form at least 50% of the energy mix. Dams. Dams and more dams.

Also, the need for Intelligent National Grid is critical. Nobody has paid any attention to transmission for last 30 years.

11) 10 New Cities

Firstly, Master Plan for Gwadar needs to be revisited with an eye on making it a second Karachi. Apart from this 10 small and medium seized cities needs to be planned using best practices available, in accordance to geography.

The cities must have a long term perspective to make them viable i.e miroc economically viable centres. Time to look at cities a different lens.

12) Free Karachi Act

Pass law to declare Karachi a Federal City or Second Capital of the State. Free Karachi from all political mafias.
Make Karachi go up. Must also be done for Lahore as well.

13) Tourism Yes, Disneyland No

There is no country like Pak. From GB to Gwadar... However, it is equally important that the 10000 years old Civilisation does everything possible to retain a distinct cultural and social hue.

The very distinct Pak Hospitality... the essence of Pak culture... is a Brand like no other. It is not just the landscape but the Pak People. It needs to be markted wisely.

Welcome to the Land of Dancing Horse

Welcome to the Oldest Living Cities

Welcome to the Oldest Civilisation

Paks are NOT whites... so trying to become would be useless. Then neither would be white nor Pak. Something which requires deep meditation!

14) Free Internet

With 5G coming this should enable in economic transformation. Fintech and Alibaba... can help women and young to have their goods /handicrafts sold worldwide.

Pak must also lauch statelites in this regard to provide free highspeed internet to all Paks.

15) Trains, trains and more trains

At the moment the entire train infrastructure is in shambles. Pak must plan for longterm and high speed trains... electric transmission. In this regard apart form track agreement... local manufacturing agreement with China needs to be signed.

Here blindly follow Chinese strategy.

16) China Model Yes, China Model No

China could do all those things because China is China. China doesn't have #DieselMullahs or ZAB or NS or #CriminalEnterprise

So following Chinese Model is not that easy. However, the elments of the Chinese Model can be implemented in Pak development.

A Thinktank of Sino-Pak Socio-Economists can become part of Sino-Pak Strategic Cooperation Framework.

17) MIC Pak & Co.

The expansion in Pak MIC and vertical integeration of private enterprises is needed. Not just lipservice. The export potential in product and services is huge and needs to become part of Military and Economic Diplomacy.

18) CPEC... to be a Road or a Bridge

CPEC can only deliver fruits for Paks if there is actualisation of SEZs, financial/trading centres and related services industry boom in Pak for China, MENA and Africa.

If Pak becomes just a road for China then the loss will be immense. Something to ponder.

And finally....

19) Financial System

At the moment Paks hold more gold privately than the State. Not bad for the people but bad for economy. RekoDig needs to be given protection under National Security Act. And all that gold must go straight to the State. PKR must have some underpinning of gold. It is miserably exposed.

#PetroPKR ??? Well it can be done but nobody has the guts to do it. Besides... too early in the game... so no flying horse just yet

Pak needs to plan today if and how it wants to escape the middle income trap...... the only solutions is spending equally on education as defence... perhaps double.

#2047PakAt100

@Reddington @zulu @Dubious @Khafee @niaz well gents, first attempt. Obviously, requires more detail in each facet. But then it becomes a book on Transformation!

Excellent post.

15) Trains, trains and more trains

At the moment the entire train infrastructure is in shambles. Pak must plan for longterm and high speed trains... electric transmission. In this regard apart form track agreement... local manufacturing agreement with China needs to be signed.

Here blindly follow Chinese strategy

Agreed. Our infrastructure needs to be upgraded and modernized. There should be a network of motorways, electrified High speed Trains (300-350km/hr) all over Pakistan. We should ask China for help in this regard. I wish for the day when we can have 350kph High Speed Trains in Pakistan.

1) Land Reforms:

Serfs living in Sindh or South Punjab are good to vote for Never Dying Bhutto but to elevate them from sub-human levels it is necessary that the landless farmers be given land from the Unionists who opposed the very Idea of Pak i.e. today's electables

Agreed. Land Reforms are a must. These Sardars, Waderas living in interior Sindh, Balochistan and South Punjab have kept people living in those areas in stone age. These people (e.g. Bhutto, Zardari, Talpur, Khosa, Jatoi, Leghari, Makhdoom etc) then control MPA's, MNA's, police, bureaucracy, judges etc.

Also these people then become Peers and Sajjada Nasheens (like Makhdoom Shah Mehmood Qureshi). These people also run private jails and can kill anyone they want and nobody can touch them (e.g. Shahzaib murder case).
Also, almost all of the electables in assemblies are these people.

The way I see it, there is only one way these feudal landlords can be dealt with. The way Mao Zedong dealt with feudal landlords in China in a brutal, cruel and ruthless manner. These feudal landlords are parasites.