Pakistan’s economy faces slow growth amid security concerns

Pakistan has made significant political and economic progress in recent years, positioning the country better than before. However, the nation currently faces serious challenges, with law and order disrupted by a new wave of terrorism and persistent economic pressures threatening overall stability.

Despite some improvements, key indicators suggest that growth remains stagnant and structural issues continue to undermine public confidence.

Kamran Khan, in the latest episode of On My Radar, highlighted these concerns, saying that while Pakistan’s political and economic landscape has improved compared to previous years, the overall growth trajectory remains weak.

He questioned when exports would show substantial growth, when confidence among local and foreign investors would be restored, and how industries could thrive under the burden of expensive electricity and heavy taxation.

The recent Federal Constitutional Court decision to reinstate the 10 percent super tax has further intensified the fiscal strain. Salaried workers are struggling under high taxes, while the undocumented sector continues to operate largely unchecked, as it did during the early days of the Shahbaz Sharif government.

Smaller provinces continue to voice concerns over perceived marginalization, and disputes related to the National Finance Commission (NFC) remain unresolved. The current government has struggled to address these structural issues, leaving economic and political stability at risk.

These challenges raise critical questions about Pakistan’s future: how can the country resolve these systemic problems, and what steps are needed to ensure sustainable growth? According to Kamran Khan, these are not just questions - they effectively constitute a charge sheet against the government’s handling of the nation’s pressing economic and security issues.