International organisations are expressing concerns about Pakistan’s economic situation. The recent declaration by the World Bank labeling Pakistan as a country suffering from a continuous cost-of-living crisis, coupled with breaking a 50-year-old record of inflation during the first half of this fiscal year, reflects the worst performance of past governments, including the Muslim League-Nawaz, People’s Party, and PTI.

The current rulers are criticised for lacking a clear economic agenda and instead seem focused on maintaining power, as evidenced by the latest report from the Asian Development Bank, which indicates that Pakistan has the highest inflation rate among South Asian countries. A comparison with other nations in the region reveals stark disparities: India’s inflation rate is at 4.6%, Bangladesh at 8.4%, Bhutan at 4.5%, Maldives at 3.2%, Nepal at 6.5%, and Sri Lanka at 7.5%, while Pakistan’s average inflation is expected to reach up to 25% this year, with a projected decrease next year.

The relentless escalation of prices for essential commodities like petrol, electricity, and gas has stripped people of their fundamental right to survival. Pakistan’s total debt has surpassed 64 trillion rupees, with local debt reaching 39.8 trillion rupees after a 24% increase. A loan of 14.4 trillion rupees was acquired in just one year, raising questions about its allocation for public welfare projects.

Corruption has reached alarming levels, and unless the government takes decisive action to eradicate it from institutions and plug the leaks, the country’s problems, losses, and corruption will persist. The deteriorating situation is pushing the country towards chaos and conflict, and timely intervention is crucial to avoid dire consequences.

Pakistan urgently needs economic stability, but the February 8 elections have further complicated political and economic affairs. The failure to learn from past mistakes is evident, with Moody’s raising serious questions about the credibility of Pakistan’s general elections.

The new coalition government lacks the mandate to make tough decisions, but immediate steps are necessary to transition to an Islamic economy and eliminate the usurious system, as emphasised by a Supreme Court decision. Pakistan’s economic woes have pushed it far behind in the global human development index, with a ranking of 164, trailing even countries like Haiti and Zimbabwe.

Economists argue that Pakistan’s problems are worsening instead of being resolved. The current economic structure exacerbates inflation and poverty, and until mega corruption scandals are resolved and corrupt individuals are held accountable, Pakistan’s economy will not recover, and people’s lives will not improve. Revelations of institutional corruption continue to shock the nation and strict action needs to be taken against this.

Imran-ul-Haq,

Lahore.