The next twelve months will be critical for Pakistan’s sustainable economic growth, according to Najy Benhassine, the World Bank’s country director, who spoke at a seminar on Wednesday. Addressing an event titled Human Capital, Energy, Climate Change, and Infrastructure: The Role of the Private Sector, organized by CFA Society Pakistan, Benhassine stated that Pakistan’s economy is now on a stable trajectory. He emphasized that continued economic stability would help restore investor confidence.
Benhassine highlighted Pakistan’s strong potential, particularly in manufacturing and industry. He questioned what would unlock this potential, stating that the time for Pakistan’s economic progress is now. He added that while growth rates of 7-8% are often seen as necessary for development, even a 5% growth rate could significantly advance the economy. The policies and reforms implemented over the next year will play a decisive role in shaping Pakistan’s long-term economic direction.
Kamran Kamal, CEO of Hub Power Company Limited (HUBCO), underscored the importance of the private sector in driving the energy transition. He stressed that increasing electricity demand within industries is essential for a sustainable power sector. Kamal noted that financing opportunities for energy transition are readily available, and the private sector is well-positioned to benefit from them.
He also pointed out challenges within Pakistan’s power sector, warning that the situation could deteriorate as high-income consumers and industries increasingly shift to solar energy for self-sufficiency. This transition has already caused a 10% decline in grid electricity demand. Kamal criticized flawed planning in the power sector, which has resulted in surplus electricity generation while demand remains stagnant. He noted that solar energy adoption has grown significantly over the last two decades, with rising rooftop solar installations and the expansion of electric vehicles in the market.
Dr. Farhat Abbas, CEO of Aga Khan University Hospital, spoke about the pressing challenges facing Pakistan’s health sector. He highlighted rapid population growth as a major issue, which is straining available resources. Abbas emphasized the need for collaboration between the public and private sectors to address this challenge. While he acknowledged economic recovery signs in the last financial year, he pointed out that Pakistan continues to lag in human development.
Ali Aamir, CFO of The Citizens Foundation, addressed the country’s ongoing education crisis, revealing that 25 million children remain out of school. He expressed disappointment that despite the government’s declaration of an “education emergency,” substantial efforts to improve literacy rates have yet to materialize.
Related Posts
