"Poverty retards economic development in Pakistan"

Abstract

Ever-since creation of Pakistan in 1947, Pakistan has been confronting the multifarious problems of which socio-economic remained throughout irritant and crucial area. The economic and financial planning as well as management witnessed diverse changes not only in the theme and objective of economic agenda but also methodology for implementation and the trickle down effect in the multifaceted society could not see a • .developed or for that matter vibrant state study of economy . Similarly, despite five years plan strategy carved out by different regimes at different occasions co ld not met sizable success in view of disruption in policy mechanics and impediments in implementation due to either slow movement of development projects or over all sources constraints. The resultant phenomenon further aggravated economic development due to lack of consistency and continuity in economic policies and non-existence of dispersal approach towards benefits to all segments of society in divisible manner. These and other relevant factors caused to create society of has and have nots finally eroding the bridge role of middle class which was playing the intermediary role in the past specially during . ' the period of 60s .attributed to the real economic development of Pakistan. The chequered history of Pakistan in the economic field cannot be studied in isolation unless a political factor in the form of strengthening and flourishing of democratic institutions is taken into account. The political instability, which brought Martia Law in the country, could nqt restore the confidence o domestic and foreign investors for the economic growth directly linked with economic development and political awareness, which go hand in hand . Coronary the size of poverty started enlarging with the passage of time with the result it was touching its height during "last" I decade. The study under reference will give an in sight into these areas of real concern which have contributed to poverty as retarding factor for economic development as far as Pakistan is concerned. As obvious, poverty is an outcome of less economic development being symbol and cause both for poverty in relation to under development of rural areas where basic amenities for human development are not available. Special mention is non­ availability of clean drinking water, basic health facilities, basic education and shelter in rural areas, which has reduced the common man to greater degree of poverty . The urban population has its own peculiarity with regard to size and extent of poverty, which ultimately differentiate the percentage between the rural and urban population, and even within one province the percentage is different. Case in point could be poverty percentage in Southern Punjab is higher than the central Punjab and, similarly, . percentage in southern NWFP is higher than the Northern NWFP . The case of Sindh is also not different one because poverty percentage is higher in upper Sindh as compared to lower Sindh, which includes •urban • areas of Karachi and Hyderabad . As far as Baluchistan is concerned the position is more pathetic and degenerating in almost all sectors of economy. Due to interference of donors agencies particularly the interest of multilateral institutions i.e. World Bank, Asian Development Bank and the role of IMF in finalization of joint strategy for poverty reduction in Pakistan has given new direction to the over all strategy. The dimension given to measures adopted so in the form of devolution plan at grass roots level with empowerment of civil society through local .government system le ding towards public private partnership with due roles of NGOs and CBOs. This strategy has involved such institutions/stockholders in development activities not only at II the stage of identifications and feasibility of projects on partnership based with a view to bring an awareness in the society to mobilize its resources in the result oriented manner • but also to supervise/manage these are s of activities. • The implemental ion and completion of such projects directly targeting projects for poor sections of society can give a boost to bring about a l).ealthy change in the priorities of local government institutions under the concept of power sharing and decentralization of powers from top to lower revel. This strategy coupled with other institutional arrangements and public private support with the help of donor agencies would be achieving better results by arrangement self-employment for the local population . Micro credits are receiving good response for small-scale business enterprises to overcome rising unemployment. Apart from' other employment opportunity to be made available in different public and private sector organizations the study has highlighted different areas directly and indirectly responsibility for creating poverty and causing to effect different segments of society on various counts which will turn hopes and dreams into reality but in a phased .manner with consistent efforts and wIl planned/placed policy mechanism and effective institutional arrangements in collaboration and close cooperation of all stockholders.