Question

Give reasons for the re-emergence of poverty in Pakistan?

Answer 1

1) Pakistan has failed to bring about stable institutional reforms in agriculture. Accordingly, performance in the agricultural sector has remained volatile depending on the climatic condition.

2) For its foreign exchange requirements, Pakistan has relied largely on remittances from abroad and agricultural exports. A setback to these sources of foreign exchange has caused a corresponding setback to the process of growth.

3) Lack of political stability in Pakistan has involved huge public expenditure on the maintenance of law and order.

4) Pakistan is incurring huge expenditure on building a competitive defence- system, slashing its resources for growth and development.