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Business Recorder
21-06-2025
- Business
- Business Recorder
PTI questions PBS figures
ISLAMABAD: The Opposition Leader in National Assembly Omar Ayub on Friday severely criticised the government, accusing it of relying on what he called 'outdated and unreliable' statistical data – warning that such practices were eroding evidence-based policymaking and stalling economic progress. Talking to journalists following a meeting with World Bank officials and a briefing by Commerce Ministry on tariff-related issues, he expressed serious concerns over the credibility of figures published by the Pakistan Bureau of Statistics (PBS), citing glaring inconsistencies. Referring to the recently released Economic Survey of Pakistan, he described many of the indicators as 'absurd,' claiming the figures were 'fudged, fabricated, and misleading.' PTI warns oil reserves may run out in 10-12 days He took particular aim at the livestock data, which he said epitomised the flawed nature of PBS reporting. 'The way PBS claims to collect data on the increase in livestock numbers defies logic,' he remarked. 'It lays bare the absurdity of the data driving our national economic policies.' During the Commerce Ministry's briefing, he said that the opposition MPs grilled officials over the reliability of the statistics underpinning country's trade policies. He argued that obsolete metrics were distorting sectoral analysis, especially in agriculture, where livestock accounts for 64 per cent of data. This, he said, grossly skewed the broader economic picture. 'Our regional competitors are racing ahead with real-time data and modern analytics, but we're still stuck in the past. A 21st-century economy cannot run on 20th-century statistics,' he regretted. He went on to claim that tariff mechanisms had been better managed under the previous Pakistan Tehreek-e-Insaf (PTI) government – a point he said was implicitly acknowledged by some current officials during the briefing. Copyright Business Recorder, 2025
Business Recorder
21-06-2025
- Politics
- Business Recorder
Lack of commitment to education
EDITORIAL: In a glaring indication of the low priority our policymakers assign to education, the total expenditure by federal and provincial governments to the sector was a mere 0.8 percent of the GDP in FY2024-25, reveals the Economic Survey of Pakistan. Instead of improving, the figure has been falling from year to year since 2018-19 when it was 2.0. To put this issue in perspective, the countries that are on course to sustainable development allocate much higher amounts to education. India, for instance, spends around 3.1 percent of its GDP on education, and Bangladesh 2 percent. Compared to Pakistan many African countries also spend a lot more. And the UNESCO recommends that countries allocate 4 to 6 percent of their GDP. As per its Education 2030 Framework for Action, this is a key benchmark for assessing a government's commitment to education funding. As a result of Pakistan's minuscule allocations to education — the building block of socioeconomic progress and prosperity — an estimated 22.8 million children are out-of-school, deprived of the opportunities to realise their full potential and contribute to society. The officially claimed literacy rate is 60.6 percent, which is misleading since it includes anyone barely able to write his/her own name. Unfortunately, successive governments have neglected the constitutional provision that calls for free and compulsory education for all children five to 16 years of age. The situation is particularly dire in rural areas, where in many cases schools lack basic facilities, like toilets, drinking water and electricity, which act as a disincentive for young people, especially girls, to go to school. Another overlooked but critical issue is curriculum. Due to a general retrogressive trend in society there is little room for reforming content of what is taught as well as new teaching methodologies that are reflective of the country's changing needs. In an age when technological advancements are transforming the job market our education system largely remains focused on rote learning rather than fostering creativity and problem-solving essential to generate innovative solutions to challenges. Our policymakers need to realise that investing in education is not a luxury; it is a necessity and a human right that must be accessible to all, irrespective of who they are and where they are. Education must get the priority it deserves for Pakistan to realise the full potential of its population. It is also a great equalizer. The governments at the centre and in the provinces must allocate a decent percentage of the GDP to this sector so young people acquire knowledge and skills needed for human development, and necessary to increase productivity and economic growth. Copyright Business Recorder, 2025
Business Recorder
19-06-2025
- Business
- Business Recorder
Net-metering adds 2,813MW to power generation capacity
LAHORE: An installed capacity of 2,813MW from net-metering has resulted into an increase in Pakistan's total installed electricity generation capacity. As of July-March FY 2025, Pakistan's total installed electricity generation capacity stood at 46,605MW, reflecting a 1.6 percent increase compared to 45,888 MW recorded in the corresponding period of FY 2024. According to Economic Survey of Pakistan, the percentage shares of hydel, nuclear, renewable, and thermal are 24.4 percent, 7.8 percent, 12.2 percent, and 55.7 percent, respectively. The share of thermal power as a dominant source of electricity supply has declined over the past few years, showing an increased reliance on indigenous sources. Out of the total electricity generation of 90,145 GWh, the share of hydel, nuclear, and renewable stands at 53.7 percent. This shift marks a positive development of the economy, as the energy mix transitions away from thermal generation towards more sustainable and environmentally friendly alternatives. A number of fast track solar initiatives have been taken to reduce the impact of high prices of oil and LNG in the international markets resulting in high electricity tariffs and drain foreign exchange reserves, the government has approved the Framework Guidelines for Fast-Track solar PV Initiatives 2022 for fast-track deployment of solar PV. The framework is based on three key pillars, including substitution of expensive imported fossil fuels with Solar PV Energy, Solar PV Generation on 11kV Feeders and solarization of public buildings. For solarization of 11kV feeders, solar PV-based power generation capacity shall be procured for the substitution of expensive imported fossil fuels used for power generation. Exact quantum will be determined on approval of the IGCEP by NEPRA. For solarization of 11kV Feeders, PPIB has prepared and shared the standard RFP and Energy Purchase Agreement with all DISCOs for approval from their respective Boards. Under Public Building Solarization, PPIB has prepared model RFP documents and contract agreements to facilitate Public Sector Entities (PSEs) in the solarization of their buildings. PPIB conducted competitive bidding for 330 buildings on the Lease Purchase Model and 85 buildings on the own-cost model. PPIB is also actively engaged with several PSEs to provide technical support in the solarization of their buildings. Copyright Business Recorder, 2025
Business Recorder
14-06-2025
- Business
- Business Recorder
Sustainable growth: ‘Agri experts should come up with doable policy interventions'
FAISALABAD: In the face of deteriorating agriculture growth depicted in the Economic Survey of Pakistan, agricultural experts should come up with doable policy interventions for sustainable agricultural growth, said Prof Dr Zulfiqar Ali, Vice Chancellor, University of Agriculture Faisalabad. Addressing the concluding session of four-week Agricultural Policy Capacity Building Workshop on 'Exploring Perspectives, Analytical Tools, Emerging Trends and Effective Communication in Agriculture' at the Center for Advanced Studies (CAS) Auditorium, Prof Dr Zulfiqar Ali said that the researchers should devise the policies recommendation with the special focus on productivity enhancement, crops diversification, soil health and nutrition, climate smart agriculture, sustainable markets structure, and revitalization of farmers cooperatives, to benefit the farming community and ensure food security. He said that recent Economic Survey has presented the grim picture of the sector that needs immediate attention of the scientists, industry and other stakeholders. Punjab Higher Education Commission Chairperson, Prof Dr Iqrar Ahmad Khan, said that declining agriculture growth would provoke deep crises that must be addressed with research-based intervention and solid policy measures and its implementation that are crucial to feed the ever-increasing population and alleviate poverty. He called for greater role of the Universities in generating sound evidence and policy recommendations for all sectors of the economy. He quoted some social media reports of very low okra price in Kamalia on Eid-ul-Azha due to low demand compared to supply. He attributed this to lack of value addition options compared with the advance countries and emphasized on the need for research to translate into goods, services and solutions to societal issues. He said that PHEC is committed for the transformation of education and research with special focus on academic opportunities and challenges in age of Artificial Intelligence and digital transformation. Dr Muhammad Ejaz Qureshi, faculty at the Australian National University, said that the workshop is aimed at enhancing analytical, communication, and leadership capabilities in agricultural policy research; strengthen policy design and implementation skills; improve the quality of research proposals and competitive grants aligned with national development agendas; promote strategic communication through policy briefs and evidence-based storytelling; encourage an integrated, interdisciplinary approach to agricultural policy reform. Dr Qureshi appreciated the initiative of the University management for arranging such useful activities for the faculty and the students. He stressed upon the need to transfer these ideas into actions by working together to improve agriculture policies through policy research and generating evidence. Bangladesh Agriculture University Prof Dr Mohammad Jahangir Alam spoke on agribusiness and food policy, particularly addressing value chain development and nutrition security in emerging economies. He said to improve food security in developing countries, we need to build strong value chains in agriculture. Connecting farmers to the markets can help increase income and ensure better nutrition for communities. Dr Sumaira Ejaz Qureshi, faculty at University of Canberra in Australia, discussed about translating complex data into sound policy decisions through a case study of student and faculty feedback to enhance quality of education. Dr Zeena Alsamarra'I, University of Canberra explained that future of education in the era of AI and digital transformation. She focused on institutionalizing Generative AI and making sound policies so that the academic community can get benefit from positive side of AI driven technological disruption. She emphasized capacity building of faculty and the students in age of digital transformation. Prof Dr Asif Kamran, Director of Agriculture Policy and Outreach, explained that the Agriculture Policy, Law and Governance Center at UAF is committed to continuous engagement with policy think tanks and policy makers and to build the capacity of the students and faculty to conduct policy research and craft sound policy recommendations based on their research. Prof Kamran acknowledged funding support from Endowment Fund Secretariat, USDA; Pak Korea Nutrition Centre (PKNC), Australian Centre for International Agriculture Research (ACIAR) under CSIRO implemented project entitled 'Climate resilient and adaptive water allocation in Pakistan. Copyright Business Recorder, 2025
Business Recorder
14-06-2025
- Business
- Business Recorder
Opposition leader hails 20pc defence budget hike
ISLAMABAD: Opposition Leader Omar Ayub tore into the federal budget for 2025-26 on Friday, calling it a 'disaster' and 'Leila' budget – but gave a full-throated thumbs-up to the 20 per cent defence budget hike (minus military pensions), citing last month's tense showdown with India. Opening the budget debate in the National Assembly, Ayub called the government's fiscal plan a 'Leila budget' – a term he used to suggest it was 'an illusion' – and accused the administration of presenting manipulated figures to mask economic deterioration. Despite his criticism, Ayub endorsed the 20 per cent increase in the defence budget, including the Rs742 billion allocated for military pensions, bringing the total defence outlay to Rs3.292 trillion. He described the hike as 'totally justified' in light of recent border tensions and national security concerns. He dismissed the government's reported 2.7 per cent GDP growth rate as 'fudged', citing figures from the Economic Survey of Pakistan that showed agricultural growth at just 0.6 per cent and industrial growth at -0.5 per cent. He argued that large-scale manufacturing had contracted more sharply than officially acknowledged. He was also sceptical of livestock statistics, mocking a reported increase of 360,000 animals, including a rise of 100,000 donkeys, without a matching surge in mules. 'Where are the mules,' he quipped. The opposition leader questioned the government's claim of a 23.7 per cent growth in the IT sector, suggesting that large industrialists had set up IT firms to exploit tax loopholes, while genuine technology companies were relocating abroad due to what he described as punitive tax measures. Ayub painted a bleak picture of living standards, asserting that the proportion of Pakistanis living below the poverty line had climbed from 35 per cent to 45 per cent, with nearly 30 million people now classified as poor. He said purchasing power had collapsed, noting that someone earning Rs50,000 in 2022 now effectively had the spending capacity of just Rs22,000. Citing official statistics, he said wheat prices had surged by 50 per cent in three years, and 80 per cent of the planning budget remained unused or had lapsed. The opposition leader criticised the government's decision to cut the Public Sector Development Programme (PSDP) budget from Rs1,400 billion to Rs1,100 billion, calling it a sign of weak governance. He also pointed out that Rs8.207 trillion – nearly half of the Rs17.573 trillion budget – was earmarked for interest payments. He said this allocation underscored the government's misplaced priorities and undermined its claims of being pro-people. Ayub accused the government of imposing heavy burdens on consumers, pointing to the hike in the petroleum development levy (PDL), which now stands at Rs100 per litre, compared with Rs20 during former prime minister Imran Khan's tenure. He alleged a sharp rise in oil smuggling from Iran, claiming that around 2.17 billion litres of fuel – worth Rs550 billion – enter Pakistan illegally each year, resulting in an annual loss of Rs173 billion in PDL revenue. He said the chairman of the Federal Board of Revenue (FBR), Rashid Mahmood Langrial, had admitted this issue during a parliamentary committee meeting. While global oil prices were hovering around $64 per barrel, domestic petrol prices had jumped by roughly 70 per cent, from Rs149 to Rs253 per litre, Ayub said. He also raised concerns about a 24 per cent decline in energy consumption, attributing it to prohibitively high electricity tariffs. He condemned new taxes on solar panels and criticised rising capacity payments, which he said had soared by 375 per cent under the current government. The Special Investment Facilitation Council (SIFC), a military-backed initiative aimed at attracting foreign investment, also came under fire. Ayub questioned the competence of its members and called on the government to disclose their educational qualifications to assess their suitability. While acknowledging marginal progress in export performance, Ayub concluded by urging a revision of the National Finance Commission (NFC) Award to ensure a more equitable distribution of resources among Pakistan's provinces. Taking part in the debate, Raja Pervaiz Ashraf of the Pakistan People's Party (PPP) acknowledged that the current administration had made politically unpopular decisions in an effort to stabilise the economy. 'These actions must be recognised,' he said, drawing a parallel to Pakistan's historical resilience. 'If we can win a war in four days, we can also fix our fragile economy – if we stand united.' Ashraf defended the budget as appropriate given the prevailing economic conditions and praised Prime Minister Shehbaz Sharif for what he described as courageous leadership. 'The prime minister has sacrificed his political capital for the sake of the country,' he said, adding that borrowing from international institutions is a necessity for all governments, regardless of party affiliation. The Minister for Parliamentary Affairs, Tariq Fazal Chaudhary, echoed the emphasis on economic reform, stating that the government is prioritising the creation of a favourable investment climate. 'We are implementing reforms across sectors to place the country on the path to sustainable development,' he added. He said that the budget includes specific measures aimed at the development of Balochistan and assured the house that constructive suggestions from both government and opposition members would be considered. Several parliamentarians, including Syed Hafeezuddin, Samina Khalid, Jamshed Dasti, Sheikh Aftab Ahmad, Syed Waseem Hussain, Yousaf Khan and Shahida Rehmani, took part in the ongoing budget debate. While government allies praised the administration's management of a fragile economy amid political uncertainty, opposition members accused Prime Minister Sharif's government of following International Monetary Fund (IMF) directives at the expense of the poor, criticising what they described as the continuation of a 'Form 47-installed regime'. Copyright Business Recorder, 2025
