PAKISTAN, the 5th most populous nation, stands at a critical socio-economic juncture these days. According to the Pakistan Economic Survey, the country has a population of more than 252.09 million, with 129.54 million males and 122.45 million females. The population growth rate is increasing 2.07% annually. The country faces fragile macroeconomic stability, severe structural vulnerabilities, human development crisis and political friction. The survey further highlights that the July-March 2026 FY, Interest expense on public debt totaled Rs 4,947 billion, comprising Rs 4,287 billion on domestic debt and Rs 660 billion on external debt.

The country largely relies on external finance to meet debt repayments and shore up foreign exchange reserves. The IMF will unlock about $1.21 billion as the country grapples with spiking food and fuel prices and high human unemployment. The conflict between Russia and Ukraine as well as Iran and the US, has further exacerbated inflation in Pakistan. Astoundingly, each bailout provides temporary breathing space; however, long-term survival hinges on structural economic diversification. Economic transformation and export-led growth are stagnant and the country is survives mainly on domestic markets rather than global exports.

Social contract and human capital development cannot expand while........

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