Outlook on economy

Despite the unrest and instability in the country, alongside the ongoing Covid-19 pandemic, there's some good news for Pakistan. According to a latest report by the Asian Development Bank, which puts out an outlook on regions every few months, the economy in Pakistan is beginning to improve -- largely due to the efforts put in by the government into the manufacturing and construction sectors and the relief provided to both. While the report gives only limited details, it notes that economies where containment has been very strict to control Covid-19 have faced a tougher time in recovering compared to economies where there have been less stringent measures.

Pakistan has focused on the policy of smart lockdowns, targeting areas where there are cases of Covid rather than an overall lockdown, whenever this is possible. The overall lockdown in the country was lifted at the end of June. And since then only limited lockdowns and an urge to follow SOPs have been pursued as policies. The ADB notes that in South Asia the expected decline in the economy has lifted from 0.7 percent forecast in September to 0.4 percent. This is obviously good news for the region, including Pakistan. We hope that there will be an economic revival or at least stability of one kind or the other. The PTI government it seems has managed to prevent a total collapse of the economy despite a decline in its ability to stand on its own feet notably in some spheres. We hope that with the vaccine expected during the first quarter of the next year, according to Dr. Faisal Sultan, the SAPM on health, and other experts, there will be a further boost in the economy. It also appears that steps taken by the government to give construction a boost, and through it lift various sectors including manufacturing and work for labourers, may have worked.

The decline in the economy has not halted yet. We hope this second wave subsides soon and a yet new wave does not bring the economy crashing down again. So far, it has held its own despite the challenges faced by it, and by the people of the country. We can only hope that this will continue. The ADB's forecast that Pakistan's economy is on its way to revival is obviously welcome and suggests that recovery may be made in this area sooner than has been expected by many.