...diKalim Hyder & Qazi Masood Ahmed 107 Why Private Investment In Pakistan Has Collapsed And How It Can Be Restored Kalim Hyder and Qazi Masood Ahmed* Abstract The purpose of this paper is to analyse the decline in private investment and formulate a comprehensive strategy to overcome this problem, which is the main cause of deceleration in the growth momentum of Pakistan’s economy. Due to lack of investor confidence, private investment has reached its lowest point in the recent economic history of the private sector led growth phase (1978 to 2002) in Pakistan. This paper argues that economic as well as non-economic factors are responsible for this declining investment. Economic policies are formulated in such a manner that the short-term objectives of lowering the fiscal and trade deficits were to some extent achieved but overall economic performance and investment were ignored. In order to control external trade deficits, a policy of devaluation increased the cost of production through an increase in prices of imported raw material especially of plant and machinery. Higher real interest rates due to excessive public borrowing that were due to the failure in reducing fiscal deficits has resulted in financial crowding out and has corroded the savings that might be used to finance private investment. The unexplained part of private investment that is not determined by economic factors can be attributed to non-economic factors, which include internal and external shocks. These shocks...
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...The Pakistan Development Review 36 : 1 (Spring 1997) pp. 69—86 Note Some Dimensions of Child Labour in Pakistan S. M. YOUNUS JAFRI and RAISHAD Child Labour between 5–14 years is prevalent in Pakistan. But no reliable and comprehensive data on this age group are available to tackle this issue. Though the Labour Force Survey, the main source of labour statistics, includes information on workforce above the age of 10 years, no study on the nature and extent of child labour between 10–14 years of age is available. Accordingly, this study, based on micro data of three labour force surveys from 1990-91 to 1992-93, has been carried out to fill this gap. The study indicates that the quantum of child labour age cohort of 10–14 years grew from 1.8 million in 1990-91 to 2 million in 1992-93. The growth of girl workers is higher as compared to boys. Industrial structure shows that at the national level and in the rural area, agriculture engaged the maximum number of children, followed by services, whereas in the urban area the services sector dominated. As for employment status, most of the children are unpaid family helpers. The occupational pattern indicates that the majority of them work on farms and on production activities. The data reveals that about three-fourths worked beyond the normal 35 hours per week. It is observed that in order to gain a deeper insight into the socio-economic characteristics of child labour, particularly that between 5–14 years, and the hazardous work performed...
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...DEVELOPMENT FINANCE & ITS ROLE IN RURAL AREAS TO ALLEVIATE POVERTY 2010 M. MOBASHAR ALI & RANA RASHID REHMAN STATE BANK OF PAKISTAN-BANKING SERVICES CORPORATION SIALKOT 9/3/2010 Contents INTRODUCTION 4 LITRATURE REVIEW 4 REVIEW OF POVERTY IN PAKISTAN 6 SBP INITIATIVES IN TO PROMOTE DEVELOPMENT FINANCE 8 ESTABLISHMENT OF DEVELOPMENT FINANCE GROUP 8 ESTABLISHMENT OF AGRICULTURE FINANCE DIVISION 9 PUBLIC AWARENESS PROGRAMS 10 DEVELOPMENT FINANCE PROGRAMS CURRENTLY IN OPERATION 11 NONGOVERNMENTAL ORGANIZATIONS (NGOs) 11 RURAL SUPPORT PROGRAM (RSP) 11 AGA KHAN RURAL SUPPORT PROGRAM (AKRSP) 11 SARHAD RURAL SUPPORT PROGRAM 12 NATIONAL RURAL SUPPORT PROGRAM (NRSP) 12 ROLE IN POVERTY ALLEVIATION 12 TRANSMISSION MECHANISM OF FINANCE TO POVERTY ALLEVIATION 14 DEVELOPMENT FINANCE SUCCESS STORIES 15 CONCLUSION 16 BIBLIOGRAPHY 17 Figure 1 8 Figure 2 10 Figure 3 10 Figure 4 13 Table 1 7 Table 2 7 Table 3 9 Table 4 10 Table 5 13 INTRODUCTION Development Finance is the offering of financial services to the entrepreneurial poor that contributes finally to the economic growth. Although the most notable of these services is the provision of credit, many other offerings are a part of Development Finance including credit for business activities and credit for emergency and for the fulfillment of life cycle needs. Many Development Financial Institutions (DFIs) give finance for...
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...12 Introduction to Micro And Macro Economics | Major Issues in Pakistan Economy: A Statistical Overview | | | | | Table of Contents Page Historical Background of Pakistan...............................................................................3 An Overview of Current Situation in Pakistan.............................................................5 Major Issues in Pakistan: .............................................................................................7 Illiteracy.............................................................................................................7 Poverty..............................................................................................................12 Corruption.........................................................................................................15 Overpopulation and Population Health.............................................................18 Unemployment..................................................................................................22 Inflation.............................................................................................................26 Energy crisis......................................................................................................30 Political instability............................................................................................33 Conclusion and Recommendations............
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...HYPOTHESIS 1: More than half of the population of Pakistan is food insecured despite agricultural growth. The food security of a country is the availability of food in that country, and the people’s access to it. It is often said, “Food insecurity anywhere, threatens peace everywhere”. The term food security reflects the desire to eliminate hunger and malnutrition. The World Food Summit in 1996 defined food security as, “when all people at all times have physical and economic access to sufficient, safe and nutritious food to meet the dietary needs and food preferences for an active and healthy life”. This definition implies that food security has three pillars i.e., physical availability of food, socio-economic access to food and food absorption. Pakistan is the sixth most populous country in the world, with a population now exceeding 170 million people. We are the 36th largest country of the world area wise. However, according to a Food Security Risk Index ranking of 148 nations, Pakistan, ranked 11th on the index, is at “extreme risk” During 2011-12, the overall performance of agriculture sector exhibited a growth of 3.1 percent but The conditions for food security are inadequate in 61 percent districts (80 out of 131districts1) of Pakistan.According to the National Nutrition Survey 2011 Almost half of the population of Pakistan (58% percent) doesn’t have access to sufficient food for active and healthy life at all times. FATA has the highest percentage of food insecure...
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...Introduction Balochistan is the largest province of Pakistan with 44 percent landmass of the country but has 5.6 percent of the population. The province which is almost half of the country’s land mass has been receiving least attention by successive governments since independence. Therefore the huge potentials of this province to become a strong economical hub could not be exploited and till today it remains the poorest of all four provinces. Apparently a barren province from agriculture point of view is rich in its natural resources. Huge reserves of mineral deposits, gas, oil and long sea shore makes this province extremely attractive at regional as well as at international level. The absence of basic development infrastructure and effective strategy coupled with backwardness, scant population base, rugged terrain exploited by sub nationalist leaders and sardars continue to undermine the progress and socio economic development of the area. Aim To carry out an indepth analysis of vast potential of natural resources in Balochistan with a view to suggesting a pragmatic natural resource development strategy for the province. Scope The paper will be developed in the following sequence:- a. Part I: Balochistan – Some Facts. b. Part II: Natural Resources – Potentials and Constraints. c. Part III: Recommendations. d. Concl. PART I FACTS ABOUT BALOCHISTAN Largest province of Pakistan, stretching over 44 percent of total area of the...
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...Provincial Economic Development: Performance, Challenges, and the Way Forward Khalid Ikram* 1. Introduction Analyses of economic development in Pakistan have traditionally followed a “top-down” approach. They examine the behavior of macroeconomic indicators for the country as a whole, referring only in a general, even cursory, manner to the trajectories of each province, and even more summarily to the policy issues, constraints, and opportunities that confront the different provinces. The implicit attitude—that it is the federation as a whole rather than the federating units that matter—is so firmly embedded in the official mindset that, even after 65 years of Pakistan’s existence, the authorities do not produce official statistics of province-level gross domestic product (GDP), investment, savings, exports, imports, labor productivity, and other key economic indicators. 2. The Importance of a Province-Level Approach Why is a province-level approach important? The issue is not merely of academic interest. It is necessary to strengthen studies at the province level, because policies to address questions of employment, poverty, and perceived deprivation, and to improve the delivery of key services are more effective if the perspective is as close to the ground as possible. The validity of this approach is recognized by the burgeoning number of regional or state studies in India and in other parts of the world—such as China, Malaysia, Vietnam, Thailand, Indonesia, Brazil...
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...Strengthening Democracy and Democratic Institutions in Pakistan UNDERSTANDING LABOUR ISSUES IN PAKISTAN PILDAT is an independent, non-partisan and not-for-profit indigenous research and training institution with the mission to strengthen democracy and democratic institutions in Pakistan. PILDAT is a registered non-profit entity under the Societies Registration Act XXI of 1860, Pakistan. ©Pakistan Institute of Legislative Development And Transparency - PILDAT All rights Reserved Revised Edition: December 2009 First Published: June 2005 Second Published: November 2006 ISBN: 978-969-558-147-6 978-969-558-021-1 978-969-558-021-9 Any part of this publication can be used or cited with a clear reference of this publication and PILDAT Published by Pakistan Institute of Legislative Development And Transparency No. 7, 9th Avenue, F-8/1, Islamabad, Pakistan Tel: (+92-51) 111-123-345; Fax: (+92-51) 226-3078 E-mail: info@pildat.org; URL: www.pildat.org P I L D AT BRIEFING PAPER FOR PARLIAMENTARIANS UNDERSTANDING LABOUR ISSUES IN PAKISTAN CONTENTS Foreword Profile of the Author Overview Labour in the Informal Economy Wages and Workers Finance Bill 2006 and Anti Labour Legislation Finance Bill 2008 and Labour Legislation Industrial Relations Act 2008 Strengths Weaknesses State of Trade Unionism in Pakistan Impact of globalization and economic growth on labour in Pakistan State Institutions State Tripartite Institutional Arrangements Pakistan Tripartite Labour Conference Provincial Minimum...
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...like entrepreneurship and entrepreneurs were done by several academicians all over the world in different countries. The issue got immense importance in the eyes of the researchers. The case of Bangladesh is also similar. After the period of British ruling when two new states India and Pakistan came, the economy of this subcontinent was backward, highly agricultural and characterized by massive poverty (Ray, 1992). During the ruling of Pakistanis, though the other side of Pakistan (West Pakistan) saw some economic developments, the portion which is now called Bangladesh (the then East Pakistan) could not see that light. Bangladesh got rid of Pakistani ruling in December 1971.But because of one-eyed behavior of the then Pakistani rulers huge economic problems were already prevailing in East Pakistan even at the pre-independence period. After independence, as a result of the post-war crisis, massive political unrested. The overall economy became more backward and stagnant. From then, even today Bangladesh is known all over the world for its mass-poverty and poor economic growth (Kamal, 1985). Even now-a-day, the dominant sector of economy is the agricultural sector. But investment in agriculture from commercial point of view has not been made much due to ownership problems, existing inheritance laws, uneconomic size of farm, socio-cultural traditions of the people and absence of governmental commitment for restructuring agricultural sector etc. (Saha, 1990). In case of industrial...
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...asma@gmail.com Abstract Training and skills development play a vital role in individual’s productive capacity and are integral part of Human Resource Development (HRD). This study aims to examine the role of training in determination of wages. By utilizing the cross-sectional data from Labor Force Survey 2005-06, results have shown that training is not significant in the determination of wages, which shows the poor quality of training in the overall economy. Results were obtained by Ordinary Least Square (OLS) technique. However, schooling and other demographic variables have expected signs and magnitudes. The recommendations of the study based on empirical findings are toward technical education and vocational training institutions; they should ideally have to devise their technical education and vocational training exactly according to the requirements of industry. Empirical results also emphasize to improve the quality of training. Keywords: Wages, Investment in human capital, Training, Cross-section data, Industries, Developing country 1. Introduction Training in general and skills development in particular, not only play a vital role in individual, organizational and overall national economic growth but are integral part of Human Resource Development (HRD). Empirical literature on the subject topic suggests that human capabilities can be improved through better education and training [Haq (2002)]. Education and training are indispensable instruments for improving labour mobility...
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...Organization 7 2. Review of literature 8 3. Analysis of Data 23 3.1 Global Causes of Unemployment 23 3.2 Costs and effects of Unemployment 24 3.3 Situation of Unemployment in South Asia 26 3.4 Situation in Pakistan 29 3.5 Role of Pakistan Government...
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...Preface Centre for Research in Economics and Business (CREB) was established in 2007 to conduct policy-oriented research with a rigorous academic perspective on key development issues facing Pakistan. In addition the Centre (i) facilitates and coordinates research by the faculty at the Lahore School of Economics, (ii) hosts visiting international scholars undertaking research on Pakistan and (iii) administers the postgraduate programme leading to the M Phil and PhD Degree at the Lahore School. An important goal of the Centre is to promote public debate on policy issues through conferences, seminars and publications. In this connection, the Centre organizes the Lahore School’s Annual Conference on the Management of the Pakistan Economy. The proceedings of which are published in a special issue of the Lahore Journal of Economics. The CREB Working Paper Series has been started to bring to a wider audience, the research being done at the Centre. It is hoped that these Papers will promote discussion on the subject and contribute to a better understanding of economic and business processes and development issues in Pakistan. Any comments and feedback on these Papers will be appreciated. i Abstract Analysis of economic development in Pakistan has traditionally followed a "top-down" approach. This approach—that it is the federation as a whole rather than the federating units that matter— is so ingrained that even after 60 years of Pakistan's existence the authorities do not...
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... 66.7% in rural areas depend on agriculture Reduction in Poverty Supply of FOOD Demand for INDUSTRIAL use Control over INFLATION Self-Sufficiency About 20% of Pakistan total land is cultivatable and is irrigated by one of the largest irrigation systems of the world. of our GDP comes from Agriculture 21.3% Irrigation by Indus Valley Civilization (4500BC) Rabi Crops (harvested in early summer) Crops (harvested in early winter) (Wheat, Barley, Oil-Seeds) (Rice, Cotton, Sugar-Cane, Maize, Millets, etc.) Kharif Rabi Kharif Chickpea (2nd) Cotton (4th) ugarcane (5th) Date Palm (5th) Rice (4th) Mango (4th) Milk (5th) Apricot (6th) Kinnow, Mandarin Oranges, Clementine (6th) Onion(7th) Wheat (7th) Wheat Rice Sugarcane Cotton These constitute about 75% of total crops production. Country largest crop is WHEAT 21.6 million metric tons (2005). is more than what all Africa produced (20million) and nearly equal what all South America produced (24 million). million tons of wheat in 2012 Which 23-25 World’s 4th largest producer of the COTTON World’s 3rd largest exporter of raw cotton COTTON produced is 15.6 million bales (2012) Bale of cotton is about 500 pounds Rate per pound in US $ 0.84 World’s finest long grained aromatic basmati RICE known as Basmati Pak10 Types; Super Kernel, Basmati Rice 385, Brown Rice, Parboiled Rice, etc. Pakistan exports 3.75 million tons 573...
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... Intolerance J. Extremism K. Geopolitical location III. IMPACT OF TERRORISM A. ECONOMIC LOSS B. SOCIAL BREAKDOWN C. PSYCHOLOGICAL DIORDERS IV MEASURES NEEDED TO CURB TERRORISM A. National commission B. Propagation of education C. Religious integration D. Employment for youth E. Dispensation of justice V . conclusion Pakistan is plagued with myriad problems, the gravest of them probably being terrorism. it has crippled the economy of the country and deteriorated the social fabric. it has also effected the psychological health of the citizens of the country. Many factors such as poverty, illiteracy, social injustice, madrassas, weakness of government among others have bred terrorism. Strickly speaking, there is no formal definition of terrorism. however, generally it is defined as the use of violence or threat of violence by individuals or groups, against non combatants, to further their vested interests. As is rightly said “ terrorism is tactic of demanding the impossible and demanding it at gun point” Illetracy is probably the most significant contributing factor of terrorism. according to the survey conducted, only one out of 5 aged 18-25 is capable of reading and writing and only one out of 20 individuals holds a college degree. with such a bleak picture, it is little wonder that people become vulnerable to the exploiters who use them for terrorist activities. Pakistan is a developing country and the rate of poverty has escalated in recent times in accordance...
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...and Communication Sec 14 4th January 2012 Child Labor Is Child Labor Acceptable in Pakistan? Child labor is a global phenomenon that is defined as the children working under the age of 14 or 16 years. While most of the developed world has been able to overcome with this so-called social evil, child labor has been prevailing in almost all of the developing countries. The International Labor Organization (ILO) and Human Rights Organizations have been active in eliminating the practice of child labor through the agreement on the protection of the rights of children and the labor. The issue of child labor came into consideration in Pakistan when most of the European countries in 1990s declared a boycott on the goods exported by developing countries that involved child labor. As a result, child labor laws were passed in Pakistan in 1991 which banned child labor in certain manufacturing sectors. According to Federal Bureau of Statistics, a survey funded by IPEC (International Program on the Elimination of Child Labor) showed that in 2010, the working children in Pakistan numbered to 3.8 million (Arshad n.p). Although it is argued that child labor deprives children from education and leads to immoral acts such as exploitation and child abuse, it can be justified in Pakistan considering the current economic situation and educational infrastructure in the country and because it could give some economic and social benefits to the nation; therefore, the ban against child labor may have...
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