In the wake of the economic crisis in Pakistan, World Bank Country Director for Pakistan, Najy Benhassine said that Pakistan's economic development is limited to the elite which resulted in the country lagging behind its fellow countries, Pak Vernacular media reported.
He noted that Pakistan's economic model has become ineffective and said that poverty reduction is starting to increase again, the significant reduction in poverty in the past is resurfacing, the thought is growing that the policy must be changed, economic development in Pakistan is not sustainable.
Najy Benhassine stated that the economic development in Pakistan is limited and benefits limited to people, adding that Pakistan is under the influence of environmental changes, and the deficiencies in the agricultural and energy sectors should be removed.
The country director of the World Bank said that the focus of energy reform should be financial stability, better distribution, private sector, and focus on generating alternative electricity instead of expensive ones.
He said that Pakistan has an opportunity to become one for a bright future, but the system, cost of debt, and sources of income in Pakistan are not sustainable, and spending on people and infrastructure development is limited, Pakistan newspaper Dawn reported.
Pakistan is heavily exposed to climate change, with the potentially devastating impacts of climate shocks and natural disasters already apparent, he said in Development Advocate Pakistan, the UNDP's quarterly development magazine providing a platform for Pakistan's authorities, civil society, and intelligentsia to exchange ideas on key development solution pathways in the country.
Mr Benhassine emphasized that policy failures in the agri-food sector should be addressed. In agriculture, reforms are required to unwind the subsidies and price restrictions that lock smallholder farmers into a low-value farming system and encourage resource-intensive and environmentally damaging production practices.
The World Bank Country director said action was needed to change policies holding back development.
Reforms in the energy sector should consolidate progress towards financial sustainability, improve the efficiency of distribution companies, including through increased private participation, and address the very high costs of electricity generation through increased renewable generation, the World Bank official said.
"The question is whether those with power and influence will take the opportunity arising from the current crisis to do what is needed. It is time for Pakistan to come together in the interests of a brighter, more prosperous, and more sustainable future," the World Bank country director stressed.
The World Bank country director emphasized that fiscal management must be drastically improved, and debt servicing costs and domestic revenue mobilization are at unsustainable levels, leaving inadequate resources to invest in human development and infrastructure, address economic challenges, and adapt to a changing climate.
Najy Benhassine also said that government spending also needs reforms, a free economy and growth will improve the quality of life, business environment especially small businesses needs a better environment.
(Except for the headline, this story has not been edited by NDTV staff and is published from a syndicated feed.)
Featured Video Of The Day
NIRF Rankings 2024: IIT Madras Ranks Number 1 For The Sixth Year
"Only Desire To See Nation Prosper": Nawaz Sharif Vows To Work On Economy IMF Proposes Cash-Strapped Pak To Adopt Austerity In New Projects: Report Pakistan's 40% Population Lives Below Poverty Line, Says World Bank: Report 150 mg Semen In Kolkata Doctor's Body, Suspect Gang-Rape: Parents To Court "Reclaim The Night": Women Seek Justice In Kolkata Doctor Rape-Murder Case "Want To Ask Congress...": Mamata Banerjee Snaps At Ally In Rape-Murder Case Vandalism At Kolkata Hospital Where Doctor Was Raped, Tear Gas Fired 8 Of Family Hospitalised After Consuming Wild Mushroom In Jharkhand: Cops US' UCLA Must Protect Jewish Students' Access To Campus, Judge Rules Track Latest News Live on NDTV.com and get news updates from India and around the world.