Pakistan’s strategic location makes it significant for the world community to get engaged with Pakistan economically. It provides a doorway to the resource-rich states of Middle East and Central Asia, therefore it can become a transit economy. Pakistan does have what it needs to advance as a developed nation and prevent a complete collapse of its political and economic system. Firstly, Pakistan is at a prime geographic location for strategic purposes. Second, Pakistan’s economy can go beyond economic incentives offered by China to include revenue from agrarian pursuits, tourism potential, tax collections from offering regional transit corridors for land-based trade and the county’s abundant minerals revenue.
Pakistan has seen several inwards and outwards challenges since becoming an independent nation mostly owing to unfair distribution of the sub-continent’s resources by colonial forces. A detailed examination shows that Pakistan’s geostrategic position has resulted in more security concerns than advantages. Pakistan’s geo-strategic engagements have contributed greatly in diverting country’s unparalleled attention from economic to security related issues. Over the past forty years, the region has remained a flashpoint for great power politics. Whether it was the containment strategy of the west against Soviet spillover or coping with the fallout from 9/11, Pakistan’s role has remained vital.
Both Pakistani society and its economy have suffered significant consequences from the Afghan conflict over the past four decades. The earlier influx of Afghan refugees had already been a problem for Pakistan. Similarly, Pakistan has paid a huge price in the name of the ‘Global war on terror’, in which huge amount of country’s resources both human and material have been exhausted. On the domestic front, Pakistan’s pathway to prosperity has been impeded by political instability, poverty, water related crisis, and exponential population growth.
The evaluation and formal recognition of the root factors of Pakistan’s ongoing political and economic unrest are necessary to accurately determine Pakistan’s potential and define potential solutions for Pakistan’s survival. This will serve as the foundation for Pakistan’s path to development as a modern state.
Role of the Military in Copping the Economic Crisis
Soon after Pakistan gained independence, the military was engaged in the revival of economy. An important turning point was the completion of the 805-km transnational Karakoram Highway in the Himalayas. The task of building the roadway on the Pakistani side fell to the Frontier Works Organization, which was newly established.
Pakistan’s escalating economic difficulties signal that socioeconomic development and sustainable growth should take precedence. Wider economic changes that are desperately required to stop Pakistan’s long-term economic slide might be made possible. Although the Chinese system similarly began with military-run corporations building public infrastructure, it has since created businesses with a more international focus.
Global Firepower ranks Pakistan as having the 7th greatest powerful military in the world out of 145 states, making it one of the greatest armies in the world. It also possesses one of the best intelligence agencies in the world (ISI), highly secured nuclear weapons, a Special Service Group, disciplined and patriotic employees. Despite of maintain such high standards of professionalism; Pakistan’s military has one of the world’s most stagnant defense budget increases.
Throughout the country’s history, political upheaval has been a key aspect, making it hazardous and unstable for investment. Pakistani Army has made a substantial contribution to stabilizing the country’s economic landscape, by participating proactively in initiatives that generate revenue for the nation such as luring Foreign Direct Investment (FDI) through CPEC, resolving the Reqo Diq case and providing relief funds from the institutions own reserve in times of natural calamities. Military has undertaken extensive infrastructure projects, including the construction of roads, bridges, tunnels, dams, and other forms of infrastructure vital to the country’s economic growth. These projects programs have improved the nation’s communication lanes, promoting commerce and business while also providing residents job opportunities.
Military is an integral component of government initiatives to support small businesses and entrepreneurship. Army has established several business incubators that help start-ups and small businesses by providing training, mentoring, and financial support. One such incubator is the National Aerospace Science & Technology Park (NASTP), which has helped to promote innovation, creation of jobs, and expansion of the national economy. Army has helped also aided the advancement of educational and vocational training initiatives across the country, fostering the growth of human resources and creating a skilled workforce—both of which are essential for economic development. Foundation Institute of Technology (FITs) were created by combining Technical Training Centers (TTCs) and Vocational Training Centers (VTCs), which have been in operation since 1975 and 1981, respectively. Almost 275,000 pupils have acquired training at FITs.
The only one to have successfully fended off the danger of terrorism while having a smaller military budget than other major armies. Pakistan can beat its economic crisis by developing a unison between all major stake holders concerned with socio-economic development and security of the country by utilizing the available resources and opportunities.
Addressing the Economic Challenges of Pakistan
