Pakistan’s economic narrative splits sharply: IMF applauds bailout adherence, but data screams distress. Dawn reports explosive poverty growth and income disparities, exposing the human price of macroeconomic tweaks.
Key metrics brighten—fiscal surplus emerges after deficit plagues, current account eases external strains. Yet these owe to import squeezes, remittance boosts, and debt deferrals, not export vigor. Revenue woes linger, eased momentarily by a constitutional court super tax verdict.
Sustained fiscal prudence demands tax reforms beyond ad-hoc measures, say economists. IMF program structural shifts inch forward, key to lasting prosperity. The fund’s corruption assessment ties stability to governance overhaul.
Poverty engulfs 70 million under 8,484 rupees line, woefully inadequate. Minister Ahsan Iqbal’s survey reveals 29% rate—11-year zenith, leaping from near-22% in 2019. Inequality index at 32.7, a near-30-year record, reflects inflation-ravaged incomes and consumption slump.
Unemployment at 7.1% deepens labor woes. Analysts caution: low-middle class bears brunt; absent job creation, development, and protections, reforms risk collapse. True recovery hinges on equitable strategies.