ADB urges Pakistan to maintain policy continuity, accelerate economic reforms

Asian Development Bank Country Director Dr Emma Xiaoqin Fan called on Pakistan to keep economic policies consistent, honour reform commitments and limit changes in key officials. Speaking at the Sustainable Development Policy Institute’s 29th Sustainable Development Conference, she said policy instability had disrupted reforms and held back sustained growth. Fan argued that macroeconomic stability must be accompanied by institutional change, a business-friendly regulatory environment and stronger private investment.

Fan called for fiscal and monetary discipline, civil service improvements and a larger role for private investors, while cautioning that the Pakistan International Airlines privatisation alone could not transform the economy. At the same conference, FCDO Development Director Sam Waldock said growth repeatedly hit a ceiling of around 3.8% as imports outpaced exports, contributing to balance-of-payments pressure and recurring IMF programmes. He cited a 21% rise in IT exports to Rs1.27 trillion last year, but said industry consultations found only one in 10 IT graduates were considered employable.

UN representative Pernille Ironside said reforms should be assessed by their effects on people, including learning, healthcare and employment, rather than by announcements or allocations. The speakers also called for export diversification, better trade facilitation and reforms that improve skills and access to markets.