“P

akistan’s economy suffered a staggering loss of Rs 190 billion daily due to the closure of roads and shutdowns caused by the opposition’s protest calls… tax collection decreased due to lockdown and protests and exports were affected by the disruptions in business. The protests cause additional expenses on security in a bid to maintain peace. The Ministry of Finance has also prepared a report on the losses incurred due to the protests, according to which, the GDP suffers an estimated loss of Rs 144 billion daily. According to the report, the decrease in exports due to the strikes causes a daily loss of Rs 26 billion. Foreign direct investment is also affected causing a loss of Rs 3 billion daily… loss faced by the provinces in the industrial sector is more than Rs 20 billion.” —Muhammad Aurangzeb, Federal Finance Minister, The News, November 24, 2024

A stable political environment is a foundation of effective governance, vital for the progress and prosperity of any nation. Political instability brings an array of challenges, disrupting the smooth running of governmental affairs and adversely affecting every segment of the society. Pakistan’s political history offers a classic example of this phenomenon. Chaos and unrest have become routine, eroding the country’s socio-political fabric and weakening national institutions.

The growing danger of political divisions, exacerbated by time, has cultivated an atmosphere of deep-seated hatred among opposing groups. Moreover, successive governments have consistently exploited institutions and government departments for political gains, thereby damaging the credibility and functionality of the state’s governance framework.

The ramifications of prevalent instability are not confined to politics but permeate the economy and the society at large. Pakistan’s economy, which has long struggled to achieve sustainability, remains starved of both local and foreign investments. Investor confidence, a crucial driver of economic growth, is perpetually undermined by the unstable environment.

Creating a business-friendly ecosystem requires a unified, cohesive approach where all stakeholders align their efforts towards shared goals. Chronic........

© The News on Sunday