In order for Pakistan to succeed economically, the country must fundamentally rethink its development path and abandon a model that has delivered repeated cycles of instability, inequality, and weak growth.
Economists and industrialists argue that without a unified, inclusive, and productivity-driven economic framework—one that prioritises revenue generation, domestic manufacturing, exports, and broad-based employment—Pakistan will remain trapped in low growth, rising poverty, and social strain. They stress that sustainable progress now hinges on deep structural reforms, policy coherence, and an economic vision that serves the wider population rather than a narrow elite.
Talking to media, economic nationalist and regional expert Dr Mehmoodul Hassan Khan said the country must prepare a new economic model supported by all sectors, and create a unified holistic and comprehensive plan supporting steady and inclusive growth for all. Revenue must rise to run the country sustainably because low tax collection cannot support essential reforms or future development.
Additionally, policy makers must “strengthen” local manufacturing, produce key inputs in the country and build domestic investment before relying on foreign capital.
He called for strong strategic partnership with the central Asian states – Uzbekistan, Kazakhstan, Tajikistan, Turkmenistan, Kyrgyzstan, Azerbaijan – as well as Russia, along with the “re-activation” of the CPEC Phase 2.0.
Industrialist Muhammad Farooque Shaikhani said the existing economic model of Pakistan has been unsuccessful to a great extent. He believes an innovation-driven, export-oriented model can succeed only if small businesses are empowered. This requires affordable energy, simplified taxation, easy credit, skill development, and technology access for small traders and manufacturers.
Export diversification, value addition, and local production of import substitutes must be encouraged. Transparent policies, fair competition, and strong accountability will restore confidence. When small industries grow, employment increases, exports expand, and economic benefits naturally reach common people.
In his opinion, given that unemployment is at a 21-year high of 7.1%, and the poverty rate is at 44.7%, current “economic stabilization” policies cannot achieve socio-economic prosperity and qualitative industrialization.
Meanwhile talking to Businesss Recorder, Dr Mohammad Farooque Afzal, Founder President, Economic Diplomacy Forum, said Pakistan’s current economic model has largely failed to serve the common man because it prioritizes elite privilege over productive growth.
Persistent tax exemptions, weak accountability, and protection of powerful interests have limited job creation and social investment. Growth, where it occurs, benefits a narrow segment of society. Rising unemployment and poverty reflect deep structural flaws. Without reforms addressing inequality, governance, and fiscal fairness, the model will continue to undermine public welfare and long-term economic stability.
He said success depends on moving away from protectionism and rent-seeking towards productivity and competitiveness.
Pakistan needs investment in skills, technology, and research linked to industry needs. Export growth must focus on higher value goods and services, while imports should support industrial upgrading. Transparent policies, reduced monopolistic practices, and reliable infrastructure are essential. Without institutional reform and policy continuity, innovation and trade-based growth will remain limited in impact.
He added that without justice, transparency, merit, and equal opportunities, sustainable and inclusive economic growth for the masses remains unattainable.
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