PTI’s economic policy

The Pakistan Tehrik-e-Insaf (PTI) on 24th August shared its economic policy which the party claims has been prepared after consultation with key stakeholders including top businessmen, academics, technical specialists, labor unions and the youth of Pakistan.
It is unfortunate however that the PTI economic policy ignores the key issue of land reforms without which the large landowners controlling political power will not allow any change in the prevailing taxation and collection systems. They never allowed tax on agricultural incomes and reforms but increased sales taxes without adopting the direct income based tax system and consequently without widening the taxpayer base and increasing government revenue. Why have the PTI policymakers ignored the burden of local and foreign loans which constitute an approximate Rs 1200 trillion – about 60 percent of the national economy. Without reducing the debts, it is not possible to spare huge amount for education, health and infrastructure.
Every economist knows Pakistan is surviving through the black market economy. How does PTI plan to get rid of this menace? It is imperative to have direct investment which requires drastic changes; the state should either follow fully the free market mechanisms or take ownership of all businesses. Without dismantling the government’s monopoly on energy, agriculture and defense systems, it is not possible to attract direct foreign investment. By increasing the income of the government and reducing corruption, the country can increase its GDP.
In my view, without reforming the political system and civilian public services (bureaucratic), responsible attitude and strict accountability, no policy can change the plight of the masses in the country as implementation is always more important than the formulation. In the future, PTI should consult its 10 million members before making any policy.
S T HUSSAIN
Lahore