PRIME Minister Shehbaz Sharif has unveiled Uraan Pakistan, a comprehensive five-year National Economic Transformation plan aimed at revitalizing Pakistan’s economy. The homegrown initiative, evolved by Minister for Finance Muhammad Aurangzeb and Minister for Planning Prof. Ahsan Iqbal, seeks to attract a staggering $10 billion in annual foreign investment, while also fostering a conducive environment to stimulate local investment.
The plan is surely ambitious and its implementation in letter and spirit has the potential to put Pakistan in the ranks of major economies. This is because it envisages sustainable export-led economic growth based on 5Es exports, e-Pakistan, environment, energy, equity and empowerment. It aims for a sustainable GDP growth rate of six percent by 2028, one million jobs annually and $10 billion in private investment per year. The potential is there and the Government too has demonstrated its sincerity and resolve to transform the economy and address its ills but as pointed out by the Prime Minister himself the five-year plan’s success, which specifically focuses on developing IT, agriculture, exports and mining and mineral sectors, was linked with national unity, political harmony and collective efforts by all stakeholders, including political parties, institutions and people.
Agriculture and IT can definitely help bring about an economic revolution and that is why these two sectors are already high on the priority list of the Government. A number of incentives have been provided to these sectors but more important is removal of political and other hindrances that discourage proper and accelerated investment in different sectors, especially agriculture. Opposition to water reservoirs and canals has become a fashion and the objective of national development is undermined for the sake of petty political interests. Similarly, administrative barriers are discouraging investment in the IT sector besides high rate of taxation and lack of desired infrastructure. Mining is also another sector that possesses immense potential to attract foreign investment but here again the issue is politicized by vested interests. The Prime Minister has once again emphasized the need for signing of a Charter of Economy as part of the effort to ensure continuity of economic policies and their fruition but the question arises why no practical process is initiated to realize this cherished objective. Almost all parties are represented in the parliament and progress can be made if concerted efforts are made by the Chairman Senate and the Speaker National Assembly for the purpose. However, people of Pakistan have become weary of the slogans of privatization and outsourcing as benefits of these strategies went to the elite class at the cost of welfare of the masse.
Some individuals and groups benefited by achieving control of established public sector entities and plans are afoot to provide such benefit to more people in the private sector in the name of better management of educational and health facilities. If the Government is running away from its responsibility of ensuring provision of even basic social services to the people then what for the taxes are being jacked up substantially. No one would disagree with the Prime Minister when he says sustainable development could not be achieved with costly electricity and that he wished to cut taxes by 10 to 15 percent. Furthermore, inputs would have to be made cheaper, investment would have to be encouraged and import curbs would have to be removed to encourage competition, efficiency and export-led growth. However, real progress towards achievement of these goals will come only when the critical issue of clash of policies and a gap between vision and practical measures is overcome through pragmatic planning and implementation. Prime Minister Shehbaz Sharif himself is work alcoholic and Ministers of Finance and Planning too have a vision and determination, which sparks confidence for meaningful progress on the implementation side, provided the system is allowed to function smoothly during the plan period.
