Different challenges for Pakistan economy
Pakistan has been facing different challenges regarding its economy. The economic situation of Pakistan is very critical and people are looking towards the solution of these challenges. Pakistan has different opportunities which can help it to solve its economic problem. But without tackling long term challenges and problems decisively, the country will no longer be able to take advantages of opportunities. Increase in debt and import and decrease in export, saving, investment, tax collection and lack of policy implementation, excessive taxation are some of the challenges faced by Pakistan’s economy.
Decentralization is one of the factors which can help increase the economy of the country. Local government should report to the provincial government about its activities and the provincial government should report to the federal government. If our government does this, we can do more by the same resources which are being wasted today by its direct involvement.
Interest rate is one of the factors which can increase the economy of the country. The government can offer low-interest rate to the public so that it becomes easier for the investors to borrow money from the banks and invest it in their business. Borrowing at a low-interest rate and investing money will increase the level of demand in the economy. It will increase the demand for the labor force to meet the high production level. GDP and living standard of people will improve.
Tax collection can play a vital role to improve the economy of Pakistan. The government should allow the Federal Board of Revenue (FBR) to work impartially, independently and transparently which will make FBR an efficient and effective tax administration. This will increase the confidence of taxpayers in FBR and increase tax collection in a fair manner. This higher collection of tax can be used for the development of infrastructure. It will help to create jobs by reducing unemployment and generate income for the millions.
While there is a crucial need to fix persistent challenges, more innate reforms are required to improve and attract talent to serve in the businesses and public sector. Instead of politicians, the academics, intellectuals and community leaders should come forward and play their role in social revolution.
SALMAN MOHAMMAD SALEEM,