{"id":29555,"date":"2023-11-29T06:54:43","date_gmt":"2023-11-29T06:54:43","guid":{"rendered":"https:\/\/news.pakistaninewspaperlist.com\/pakistans-economy-stuck-in-low-growth-trap-wb-the-express-tribune\/"},"modified":"2023-11-29T06:54:43","modified_gmt":"2023-11-29T06:54:43","slug":"pakistans-economy-stuck-in-low-growth-trap-wb-the-express-tribune","status":"publish","type":"post","link":"https:\/\/pakistaninewspaperlist.com\/news\/pakistans-economy-stuck-in-low-growth-trap-wb-the-express-tribune\/","title":{"rendered":"Pakistan\u2019s economy stuck in \u2018low-growth trap\u2019: WB | The Express Tribune"},"content":{"rendered":"
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\nISLAMABAD:
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Martin Raiser, the World Bank\u2019s Regional Vice-President for South Asia, has warned that Pakistan\u2019s economy is stuck in a \u201clow-growth trap\u201d with poor human development outcomes and increasing poverty.<\/p>\n

Raiser reaffirmed the bank\u2019s commitment to support the people of Pakistan in his address during a ceremony in Islamabad.<\/p>\n

In his address, Raiser delivered a stark assessment of the nation’s economic landscape.<\/p>\n

“Pakistan\u2019s economy is stuck in a low-growth trap with poor human development outcomes and increasing poverty. Economic conditions leave Pakistan highly vulnerable to climate shocks, with insufficient public resources to finance development and climate adaptation,” warned Raiser.<\/p>\n

“It is now time for Pakistan to decide whether to maintain the patterns of the past or take difficult but crucial steps towards a brighter future.”<\/p>\n

Raiser’s remarks underscore the urgency of the significant policy initiatives he unveiled during his visit. These initiatives, encapsulated in a series of policy notes, highlighted the critical policy shifts required for fostering a more productive, sustainable, resilient, and healthier Pakistan.<\/p>\n

The policy notes\u2014focusing on child stunting, fiscal sustainability, private sector growth, energy, learning poverty, agriculture, and climate change\u2014are the culmination of several months of outreach and engagements conducted across the country under the \u201cReforms for a Brighter Future \u2013 Time to Decide\u201d banner.<\/p>\n

They are intended to help inform the public policy dialogue in the context of the upcoming elections.<\/p>\n

Read also: WB wants Sukkur Barrage modernisation work in time<\/a><\/strong><\/p>\n

The policy notes advocated that Pakistan needs to address its acute human capital crisis\u2014including the high prevalence of stunting and learning poverty\u2014by adopting a coordinated and coherent cross-sectoral approach to basic services involving both provincial and federal governments.<\/p>\n

They suggested that Pakistan should improve the quality of public spending and take serious measures to expand the revenue base, ensuring that the better off pay their share.<\/p>\n

They also stated that the country should pursue business regulatory and trade reforms and reduce the presence of the state in the economy to increase productivity, competitiveness, and exports.<\/p>\n

He said that Pakistan should remove distortions that undermine the performance of the agricultural and energy sectors, including through subsidy reform and privatisation of electricity distribution companies.<\/p>\n

Highlighting Pakistan’s acute human capital crisis he said: \u201cAlmost 40% of children in Pakistan suffer from stunted growth, more than 78% of Pakistan\u2019s children cannot read and understand a simple text by the age of 10. These are stark indicators of a silent human capital crisis that needs priority attention,\u201d said Martin Raiser.<\/p>\n

\u201cWith additional spending on water and sanitation of around 1% of GDP per year and better coordination at the local level, stunting could be halved over a decade with significant positive impacts on growth and incomes. This is just one example of the huge economic benefits a coherent and decisive reform strategy could have\u201d.<\/p>\n

During his visit, Raiser will meet government officials at the federal and provincial levels, and representatives from the private sector and academia.<\/p>\n

He will also visit the Dasu and Tarbela hydropower projects, as well as project sites in Sindh and Punjab.<\/p>\n<\/div>\n