Islamabad – A recent editorial in Dawn has sparked debate over Pakistan’s economic strategy, sharply criticising the government for attempting to place the blame for the country’s faltering growth and sluggish export performance on the International Monetary Fund (IMF).
The piece argues that while the government points to IMF conditionalities as the main obstacle to economic progress, the real challenges lie in long-standing structural inefficiencies, weak institutions, and political reluctance to implement tough reforms. The editorial comes as a prime minister‑appointed panel has outlined plans to raise exports to $60 billion within the next three years and chart a path to exit the IMF programme after the current bailout ends late next year.
According to the analysis, the panel has identified familiar hurdles: high energy costs, inconsistent policy implementation, distorted taxation, logistical bottlenecks, and fragmented institutional structures. However, these are challenges that have persisted not because of IMF requirements, but due to the state’s inability and unwillingness to enforce rules and drive meaningful reforms.
The editorial stresses that IMF programmes are primarily designed to ensure fiscal and economic stability, not to suppress growth. While the IMF may push for higher revenue collection to reduce deficits, it does not dictate how governments should manage development spending or implement business-friendly policies. In fact, by creating a stable economic framework, IMF conditionalities can potentially support long-term growth if paired with domestic reform initiatives.
By shifting the narrative to blame the IMF, the editorial warns that political leaders risk masking internal inefficiencies and avoiding the tough, often unpopular decisions required to dismantle entrenched rent-seeking structures. Without serious commitment to rule-based governance and structural reform, ambitious goals such as doubling exports and reducing dependence on foreign aid will remain elusive.
The commentary has reignited discussions among policymakers, economists, and trade experts about the root causes of Pakistan’s economic stagnation, emphasizing that external factors like IMF conditions are not the main barrier; rather, it is the lack of consistent internal policy, institutional weaknesses, and political short-sightedness that continue to hold back the economy.
As the debate continues, analysts insist that focusing on internal reforms and accountability is far more critical for Pakistan’s economic future than placing blame on external institutions. Only a proactive approach to structural reform, fiscal discipline, and investment-friendly policies can help Pakistan achieve sustainable growth and export-led development.
This story has been reported by PakTribune. All rights reserved.