ISLAMABAD – Public holidays definitely provide much-needed breaks to people but it can disrupt business operations and lead to lost productivity, especially in times of financial crisis.
Pakistan, a country with $350 billion economy, is currently faces massive balance of payments crisis, with nearly billion of dollars to repay in debt and interest.
Prime Minister of Pakistan Shehbaz Sharif made announcement of public holiday in the country to mark 26th anniversary of historic nuclear tests. PM announced the holiday to mark the Youm e Takbeer as the country joined ranks of nuclear powers after atomic tests.
All state-run departments, banks and Stock Exchange, lower and higher courts, and schools and other educational institutions were closed, while markets remain closed.
A report shared by local TV channel claimed that a single holiday in Pakistan impacted around 1 to 2percent loss in the national GDP, that’s amounting to more than 100 billion in local currency. As per estimation, a single public holiday can impact the national exchequer between $1.1 to 1.3 billion, with a more significant impact if the holiday is announced without prior announcement.
| Impact of Public Holidays on GDP | Estimate |
| GDP loss | 1-2pc |
| Equivalent GDP loss | Over Rs100 billion |
The sudden decision disrupts planned activities for many businesses, industries, and corporations. Many Pakistanis are expressing disapproval of frequent public holidays, especially amid challenging times.
