In Pakistan agriculture contributed around 23.13 percent to the GDP of Pakistan, 17.72 percent came from the industry, and over half of the economy’s contribution to GDP came from the services sector.
Economic Crises
Pakistan is a country where more than half the population is living below the poverty line. Pakistan’s economy is facing adverse conditions due to a lot of reasons.
Even after having a tremendously huge GDP, Pakistan is still under a loan of $130192 million.
According to The Ministry of Finance, these are the five main challenges that are faced by Pakistan’s economy:
• higher inflation
• external deficit
• currency depreciation
• declining foreign exchange reserves
• mounting uncertainty
According to the ministry, it is expected that the expenditure side would come under further pressure in the remaining months of the current fiscal year.
And due to this economic uncertainty, we as a nation are also facing large-scale social issues like:
• Unemployment
• High crime rate
• Poverty
• Closure of foreign businesses
Path to Solution
Economic progress cannot be imported or borrowed. It must come from the long-term pursuit of appropriate strategies through policies implemented by competent governance. We must make a hierarchy in the division of the funds, give more funds to the department that is working for the betterment of the country and to the departments that play a vital role in the development of the country, for example, education, technology, trade, production, farming, etc.
Education
Education is a department that can play a vital role in the economic stability of Pakistan because the higher the literacy rate will be the more and more startups will be there which will create more jobs.
On the educational side, the University of South Asia is playing a huge role in the economic revolution, where most of the students aren’t able to continue their studies, University of South Asia is providing 90% of work-based scholarships to the financially needy. Here, they learn the extraordinary and build their startups. In the era of darkness, they are the beacon of hope.
Technology
Advancement in digital technology plays a vital role in lifting the chart of economic growth and productivity. Advancements in digital technology will not only stabilize our economy but will also create new and better jobs to replace the old ones. The era we are living in is the era of the next generation of technologies, the world is talking about quantum computers, artificial intelligence, blockchain technology, and nations trading in crypto. This is the time for us to be a part of this race and harvest our economy with the help of this blooming technology, as we become a part of this era, we will not only be able to use it for our purpose of economic stability but, we can also export these skills and earn foreign projects and fame on a global level.
Trade
Trade is an essential part of any economy, to revolutionize trade the export sector of the trade should be larger than the import sector so that in a large amount the state can have foreign currency, but in the case of Pakistan, we have a large import demand and have a very small export supply, a concerning reason as to why from the past 75 years our largest export sector only depends upon our farming. We don’t have any automobile industry tech industry or general industry that will create a demand in the global market.
Production
There is no major production unit in Pakistan to create such a product that has a demand on a global level. In order to add more value to our products, we must harvest new ideas by giving a chance to the new bees, a step that has become a desperate necessity. Once again in this field, University of South Asia is offering its part and helping its students to build up their own startups and create jobs under their supervision.
