Editorial
Pakistan’s economy will not grow unless economists, articulate a clear reform agenda and challenge the inherited colonial structures that continue to cripple the country. The Haque thesis offers a radical critique: Pakistan remains a rentier state, where the bureaucracy and political elites extract rents, control markets, and punish enterprise. Regulatory overreach, price controls, and arbitrary land allocation—what Haque calls “Plotistan”—stifle innovation, investment, and urban development. Civil service privileges, excessive ministers, and ministerial interference in technical sectors weaken governance, leaving markets and public institutions unresponsive.
Democracy must be reimagined as a performance-based system. Electoral reforms like proportional representation, term limits, internal party elections, and manifesto disclosure can reduce elite capture. Local governments need constitutional protection and fiscal empowerment so citizens can experience democracy through service delivery. Parliamentary committees should be professionalized, and public institutions must operate on transparency and performance principles rather than patronage or political loyalty.
Pakistan’s urban and economic potential remains untapped. Monetizing bureaucratic land, rezoning cities for mixed-use development, and allowing firms to scale can attract billions in investment and boost growth. Capital markets must be reformed to support large firms and formal enterprises, rather than encouraging small, politically connected entities. Tax reform, regulatory simplification, and autonomy for technical institutions are essential to foster entrepreneurship.
Donor-driven policies and parallel agencies have crowded out domestic reform ideas, leaving Pakistan dependent and fragmented. Economists must reclaim policy discourse, focus on local research, and offer actionable solutions. Systemic reform—civil service restructuring, market facilitation, urban planning, and professionalized governance—is the only path to sustainable growth. Without addressing structural rent-seeking and elite capture, Pakistan’s development will remain elusive, and the promise of a dynamic, competitive economy will stay unfulfilled.
