Home / Knowledge / News / Textiles / WB calls for continued reforms in Pakistan
WB calls for continued reforms in Pakistan
14
Nov '15
Courtesy: World Bank
Courtesy: World Bank
Pakistan's economic growth is expected to accelerate from 4 per cent in 2014 to 4.5 per cent in 2016 supported by strong services growth and a slight improvement in the industry sector. What are some reasons for this moderate improvement and how could it unlock its potential to grow even faster in the future? These questions are raised and answered in the latest World Bank report, “Pakistan Development Update", unveiled in Islamabad this week.

Presenting the report's highlights, Muhammad Waheed, Senior World Bank Economist said that there has been an improvement in Pakistan's economic environment due to lower domestic and external risks. Foreign exchange reserves have increased to an appropriate level given the size of Pakistan's imports. Pakistanis working abroad sent home about $18.5 billion in FY2014/15 which contributed to financing the trade deficit. Waheed explained that the government efforts to stabilize the economy have been greatly aided by the decline in international oil prices which has significantly reduced the import bill.

This restoration of macroeconomic stability is providing Pakistan with a window of opportunity to focus on more pressing structural bottle necks that are holding Pakistan back from realizing its immense potential and accelerating economic growth.

Development outcomes play a very important role when a country's economy is discussed and in case of Pakistan, these outcomes are weaker than one would expect given the country's income level. These outcomes are mainly related to the social services including health benefits, education and social protection.

A large and mainly young population is one of the major assets of Pakistan. This young population will contribute to higher and sustainable growth only if it is healthy and well educated. It will be important for the federal government and provinces to continue working together to improve the decentralization framework and ensure improved service delivery to achieve desired outcomes. It is however, important to make significant public and private investments in health and education to improve Pakistan's competitiveness.

The report reveals that the lack of complementary public investments and a weak investment climate are constraining private sector investment. Inconsistent trade and industrial policies create disincentives for investors and contributes to weak business environment. Another reason for the very low investment levels has to do with the low savings rate in Pakistan which is at around 13 per cent of GDP, and compares unfavorably with an average of 23 per cent in South Asia.

Must ReadView All

President Donald Trump; Courtesy: White House

Textiles | On 23rd Jan 2017

US textile industry eager to work with President Trump

The US textile industry is eager to work with President Donald Trump...

Textiles | On 23rd Jan 2017

LyondellBasel expands Texas plant ethylene capacity

US based producer of petrochemicals and speciality chemicals...

Textiles | On 23rd Jan 2017

China’s cotton imports down 39% in 2016

China’s total cotton imports declined by 39.1 per cent to ...tons in...

Interviews View All

Sanjay Desai & Ashish Mulani
True Colors

Digital textile printing will be the technology of the future

Vidhyaa Shankar. S
A Ganapathi Chettiar

'The usage of knits is getting into the boundaries of woven fabrics'

Sachin Sharma
Gem Enviro Management Pvt Ltd

There are no significant differences between virgin yarn and PET recycled...

Larry L Kinn
Suominen Corporation

Larry L Kinn, Senior Vice President - Operations Americas of Suominen...

Suresh Patel
Sidwin Fabric

Sidwin Fabric is a manufacturer and exporter of polypropylene textiles and ...

Eamonn Tighe
Nature Works LLC

Eamonn Tighe, Fibres and Nonwovens - Business Development Manager of...

Prathyusha Garimella
Prathyusha Garimella

Hyderabad-based designer Prathyusha Garimella is known for blending...

Jay Ramrakhiani
Occasions Elegance Wear

It is believed that by early 19th century, Varanasi weavers had moved away ...

Sonam & Paras Modi
SVA

Sonam and Paras Modi's Sva Couture is synonymous with head-turning...

Press Release

Press Release

Letter to Editor

Letter to Editor

RSS Feed

RSS Feed

Submit your press release on


editorial@fibre2fashion.com

Letter To Editor






(Max. 8000 char.)

Search Companies





SEARCH
January 2017

January 2017

Subscribe today and get the latest update on Textiles, Fashion, Apparel and so on.

SUBSCRIBE


Browse Our Archives

GO


eNEWS
Insights
Subscribe today and get the latest News update in your mail box.
Advanced Search