Revival of Pakistan Fantasies Transforming into Realities

Hats Off to COAS & His Team for Well Managing Our Mismanaged Homeland

By,

Mehboob Ahmad
Sr. Regional Manager Martin Dow Marker.
Ph.D. MGT (Marketing), MS-Marketing, MBA-Marketing, B. Sc. (Zoology)., AKU-MERCK-ABMTC,
OSHA Certified

Pakistan is not only the homeland of about 250 million people rather our homeland is the main
source of hope and sovereignty for everyone living inside or the diaspora strata. The decline in the
economic indicators in the previous months has put everyone in a situation of uncertainty about
the future of the country. Unbearable utility expenses have spread a wave of discomfort across
national borders.

The prevalence of uncertainty proves to be a poison for any economy. Panic purchase always
facilitates the monopolists & and brokers in the economy. The same is happening in Pakistan for
the last 2 years. The declining economic indicators, compromised purchase capacity & and
increasing inflation are pushing the society into the retaliating behavior which in turn is ruining
the social norms of our society.

This situation called for action of the patriotic forces to play their part in deploying efficient
managers & ensuring remedial actions for managing this bleak situation. The current steps taken
by the caretaker government under the vision of patriotic elites have worked tremendously in terms
of stability in the exchange rate and economy. The careful selection of technocrats as caretaker
ministers is a reflection of seriousness from the apex leadership.
Looking into these tremendous efforts, the author, decided to review the current literature & and
practices for suggesting some measures to boost the output of these efforts for stabilizing a
mismanaged Pakistan. After an exhaustive review of contemporary fiscal policies being practiced
in stable economies, the following measures are suggested to put the economy on the right track
forever.

Glancing at Government spending suggested in budget 2023, the major allocation is for subsidies
to State Owned Enterprises (SOEs). The allocated amount is 1.1 Trillion which unluckily exceeds
the developmental budget of the year. It’s not the job of the Government to operate SOEs.
Unluckily due to the politicized decision of Mr. Z.A. Bhutto State has to own the private
enterprises which are still being governed by the federal/Provincial governments. The government
should immediately privatize all the non-strategic SOEs to reduce the burden of subsidies. These
SOEs should preferably be handed over to foreign investors (The local investors prefer to get
benefit from the prime location real state of these SOEs) with a pledge to bring in the latest
technologies to run the relevant industry. It will reduce the burden of subsidies, and create more
employment opportunities via the upgradation of industries.

The second most exhausting burden is the payment of PKR 714 Billion in lieu of pension from
public taxes. Unluckily, governments have given uneven rise & and perks to pensionaries just for
political gain. It’s a brilliant example of social injustice.

The current census results confirm about 15 million people over 60 years of age amongst them,
about 3 million are pensionaries. Everyone serves the country through his life span as per his
dedicated role. All the people who reach retirement age are the responsibilities of the state. Then
why oblige a specific group at the cost of depriving others?

Upon retirement, total commutation should be put at the discretion of the retired person to invest
in the venture of his likelihood. He should get the ROI of his investment as a pension. No payment
from public taxes. Every individual reaching the age of 30 must be enrolled in EOBI (Currently
charging a monthly contribution of Rs.250/=). With a spending of 300 Billion a year, every
individual reaching the age of 60 years will be eligible for pension while the public sector
employees will be privileged to have ROI of their commutation investment too. It’s an efficient
way to get rid of the pension burden from public taxes. Double pensions should strictly be banned
for all public servants.

These measures will rationalize the pension spending to an approximate of 200 billion. After
spending 300 billion for EOBI coverage of 100 million people, we will have left over funds of 200
billion which should be dedicated for the education sector. The current public sector education
institutes are proving to be inefficient, Government must ensure performance based appraisal &
career development plan for the teachers to ensure the Maximum academic take home for the
students like the private institutes following.

The third notable spending in the budget is the transfer of PKR 1.5 Trillion in grants to the
provinces. After the 18th amendment, the political elite decided to devolve more resources to
provinces for their political gain. Reviewing the last 10 years' performance after this amendment,
no notable project has been constructed by provinces except the metro, Orange line and a few
health facilities. Most of the funds are engulfed by the ruling elites. For efficient utilization, the
grants should be project-based rather than discretionary.

Health cards allegedly proved to be a major source of corruption. Provinces have spent trillions
of Rupees on health cards by allowing universal access in the IK era. It was the ugliest attempt for
political gain. Instead of opening gateways for corruption, these funds should be spent on updating
the public health sector. With such huge funds, tertiary care facilities could be constructed & and
operated in each district of Pakistan.

The prompt way to increase foreign reserves is to bring in FDI, improve tourism (Allowing all
tourism attractions in northern areas with foolproof security for foreigners), privatise SOEs and
floating Bonds with sovereign warranties, and improve value-added exports.

Concluding the discussion, the current steps taken by the COAS and his team are an auspicious
attempt to put the country on its righteous path. If continued with the same zeal will ensure
prosperity with every passing day but if some of his team member possesses malafied intentions
then these steps may prove to pain killer for a cancer patient.