WITH a coalition government all but settling in, it is surprising to note that none of the parties joining hands today had mentioned in their election manifestos any plan to repay the debt under whose heavy burden the country, with its economy and sovereignty, is struggling to just about survive. Does that mean the country will continue to live on borrowed money, while its leaders will continue to make tall claims? This is a frightening prospect.
Moreover, political parties had outlined various policies and objectives in their respective manifestos, focussing on economic development, social welfare and infrastructure improvement. However, specific strategies regarding loan repayment or handling national and international debts were not highlighted in the publicly available summaries of these manifestos.
On the other hand, the largest party in the National Assembly, for instance, presented an ambitious economic agenda in its manifesto. The party set a series of economic growth and development targets, including an annual gross domestic product (GDP) growth rate of six per cent, reducing inflation to single digits within a year, creating over 10 million jobs, and enhancing Pakistan’s exports to $60 billion by 2029.
Additionally, the manifesto said the party planned to improve the national savings rate to 17pc of GDP, and increase the investment-to-GDP ratio to 18pc. The party also intended to maintain a low current account deficit of 1.5pc of GDP, supported by relevant monetary and fiscal policies. Does any of it seem practically achievable?
Likewise, the junior coalition partner, in its pre-election manifesto, promised increasing minimum wages, doubling public investment, establishing a ‘Green New Deal’, ensuring education and healthcare for all, and expanding the outreach of the Benazir Income Support Programme (BISP). These pledges are aimed at economic revitalisation, social welfare improvement and sustainable development, but do not directly mention any loan repayment strategy. And without such a strategy, none of the promises has any chance of getting materialised.
The main opposition party has been no different. Its manifesto focussed on broad goals, such as anti-corruption measures, welfare state development and economic reforms, but there was nothing explicitly detailing with loan repayment or debt management.
The point is that our political parties across the board are the same. They sail in the same boat, and that boat has a failed navigation system. Everybody is talking about what a journey it will be, and what great fun awaits the passengers at the destination, but nobody is talking about the failed navigation system without which there can be no fun in the ride, no planned destination, and, therefore, no fun at the destination.
One wonders what the need is of having a new government in the country. Is it only to increase the debt on each and every citizen of Pakistan? Looks like it.
Hashim Hasan
Karachi
Published in Dawn, March 6th, 2024
