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Pakistan’s Economic Crisis: A Hard Truth in Simple Words

Pakistan is not poor but poorly managed. This opinion explains how weak governance, low production, elite privilege, and bad priorities are driving economic collapse.

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Pakistan: A Hard Truth in Simple Words

A man in traditional Pakistani attire sitting on a brick rooftop, looking towards a large industrial factory with smoke emitting from its chimneys. [ iC : Reuters ]

December 22, 2025

Pakistan is not a poor country. It is a poorly managed country. Our crisis is not fate; it is choice after choice made wrong.

We import more than we produce. We buy fuel, machines, food, even pride—on credit. We export little, and what we export has low value. This single imbalance eats our currency, weakens the rupee, and keeps us begging.

Pakistan Economic Mismanagement: The Core of the Crisis

The state spends more than it earns—every year. Revenue comes mostly from indirect taxes that punish the poor. The rich remain largely untouched. Debt servicing, elite administration, and non-productive spending consume the budget, while education, health, and industry receive leftovers. This is not economics; this is misplaced priority.

Corruption kills production. When shortcuts pay better than skill, factories close and files move. Investors flee, innovators give up, and the economy shrinks into informality. Corruption is not just theft of money; it is theft of future.

Pakistan Economic Mismanagement and the Cost of Elite Privilege

There are two Pakistans. One Pakistan has high salaries, official houses, free utilities, security, and power. The other Pakistan survives inflation, joblessness, broken hospitals, and failing schools. When elite comfort grows while public pain deepens, poverty rises and trust collapses.

Our habits fight our reality. We love imported status, avoid taxes, save little, and expect miracles. You cannot live like a rich nation on the income of a poor one. No economy survives on desire alone.

Education exists, but growth does not follow, because quality is weak and skills do not match markets. Degrees without skills produce educated unemployment, not development. Nations grow when learning turns into productivity.

Remittances keep us alive, but they also hide our weakness. They feed homes and reserves, yet they cannot replace a strong domestic economy. If external doors close, the illusion breaks.

The truth is simple and hard:
Pakistan bleeds because production is low, governance is weak, and privilege is protected. Until we tax fairly, produce competitively, educate seriously, and cut elite capture, no loan, no plan, no speech will save us.

Economies do not collapse overnight. They rot slowly—when injustice becomes normal and reform becomes optional.

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