KARACHI: World Bank’s Regional Vice President for South Asia Martin Raiser on Tuesday unveiled a series of policy recommendations to outline key areas requiring the attention of Pakistani authorities to improve the quality of life for its people.
Raiser, who is currently visiting the South Asian state and plans to meet officials on federal and provincial levels, primarily focused on issues like child stunting, education, fiscal sustainability, private sector growth, energy, agriculture, poverty and climate change.
The policy recommendations presented by him intend to help inform the public policy dialogue in the country ahead the general elections scheduled in February.
“Pakistan’s economy is stuck in a low-growth trap with poor human development outcomes and increasing poverty,” the senior World Bank official said in Islamabad. “Economic conditions leave Pakistan highly vulnerable to climate shocks, with insufficient public resources to finance development and climate adaptation.”
“It is now time for Pakistan to decide whether to maintain the patterns of the past or take difficult but crucial steps toward a brighter future,” he added.
The policy recommendations include the necessity of addressing the “acute human capital crisis” in the country, according to a World Bank statement, including the high prevalence of stunting and learning poverty by adopting a coordinated and coherent cross-sectoral approach.
The also suggest improving the quality of public spending and taking serious measures to expand the revenue base, ensuring that the better off pay their share.
Additionally, the recommendations called for Pursuing business regulatory and trade reforms and reducing the presence of the state in the economy to increase productivity, competitiveness, and exports.
“Almost 40 percent of children in Pakistan suffer from stunted growth, more than 78 percent of Pakistan’s children cannot read and understand a simple text by the age of 10,” Raiser said. “These are stark indicators of a silent human capital crisis that needs priority attention.”
“With additional spending on water and sanitation of around 1 percent of GDP per year and better coordination at the local level, stunting could be halved over a decade with significant positive impacts on growth and incomes,” he noted. “This is just one example of the huge economic benefits a coherent and decisive reform strategy could have.”
The World Bank official plans to interact with representatives from the private sector and academia during his stay in the country.
He will also visit various hydropower projects in Pakistan along with project sites in Sindh and Punjab.