Giving MFN status to India is a good sign for Pakistani economy, Pakistan having almost same culture and natural resources should learn from other Asian countries which have shown a remarkable growth after 1950s. Manufacturing sector should be taught the effective utilisation of their comparative advantages. Government should encourage foreign direct investment since it is one of the most important channels of transferring knowledge, technology and resources from developed countries. Most of the investors are reluctant to invest in Pakistan due to poor law and order situation, energy crisis and poor policies, so officials have to take some steps urgently to find out the solution of these problems.