Pakistan finds itself mired in a perpetual state of inertia, characterized by an inability to respond adequately to pressing issues and move towards their conclusive resolution. This stagnation has not only eroded the effectiveness of its governance but has also tarnished its global image. It underlines a broader systemic challenge wherein our institutions and public representatives have faltered in adjusting to the evolving demands of public service and the complexities of the modern world. As a result, the country faces a growing disconnect between the expectations of its citizens and the ability of its governance structures to meet those adequately and efficiently. Such inertia risks impeding progress and perpetuating stagnation unless addressed urgently through proactive measures and meaningful comprehensive structural reforms.
In the broader context of financial governance, there exists a noticeable disconnection between the provinces and the federal government, particularly concerning fiscal responsibility. Provinces are increasingly perceived as individual “cost centers”, lacking the capacity to sufficiently contribute to the national revenue pool commensurate with the growing financial demands. Conversely, the federal government often resorts to ad-hoc measures to tackle immediate financial challenges, offering temporary solutions that fail to address underlying systemic issues.
A prime illustration of adhocism is evident in the energy sector, where the government’s approach appears reactive rather than strategic. Instead of pursuing sustainable solutions such as optimizing the energy mix and enhancing distribution efficiency, there is a tendency to resort to quick fixes like adjusting consumer prices to offset operational shortfalls. This short-term approach risks exacerbating long-standing structural deficiencies and inhibiting genuine progress in addressing critical financial concerns.
In a significant development, Punjab, the most populous province of Pakistan, has recently undergone a historic transition with the election of Maryam Nawaz Sharif as its first female Chief Minister. This appointment comes at a pivotal time, with provinces exercising greater autonomy, presenting a unique opportunity for the newly-elected Chief Minister to demonstrate her leadership capabilities. This is time to realize her vision and expertise for driving social, political, and economic progress within the province. As she holds the key position, there are expectations that she must articulate strategies for addressing various daunting challenges and, more importantly, ensure the welfare of Punjab’s populace.
In addressing domestic financial needs and supporting the federation’s growing fiscal demands, the new Chief Minister must explore new taxation avenues for resource mobilization, and rectify inequalities in the existing socio-economic milieu. This involves ensuring adequate protection and enhanced facilitation for sectors already burdened with taxation. Furthermore, efforts should be directed towards fostering an environment conducive to economic growth and investment, thereby bolstering revenue streams. By implementing fair and efficient tax policies, the government can stimulate desired economic activities, while ensuring equitable distribution of financial burdens. Such measures are essential for sustaining fiscal stability and promoting inclusive growth across the province.
The energy sector in Punjab holds immense potential for transformation by embracing renewable energy sources. Punjab stands poised to leverage its abundant solar energy potential, particularly in its southern regions boasting some of the highest solar insolation levels globally. Moreover, the wind corridor in the province’s northern areas presents a promising opportunity for wind power projects. By embracing these sustainable and cost-effective energy sources, Punjab can establish itself as an attractive destination for both domestic and international investors. This strategic shift has the capacity to create millions of job opportunities while concurrently bolstering the province’s revenue streams, thus fostering long-term economic growth and prosperity.
However, the strategy should extend beyond conventional methods, such as merely announcing new industrial estates. The emphasis should shift towards ensuring that existing industrial zones receive comprehensive facilities and necessary inputs, while streamlining their legal and regulatory processes to avoid hindering business operations. The new Chief Minister’s focus should be on modernizing government affairs through technological integration, thereby revolutionizing the governance model and enhancing public services. This comprehensive approach not only optimizes existing industrial infrastructure but also fosters an environment conducive to business growth and innovation. By leveraging technology, administrative processes can become more efficient, transparent, and accessible, ultimately benefiting both businesses and citizens alike.
Accessible and affordable healthcare services are fundamental responsibilities of the government, particularly in densely populated regions like Punjab, where significant improvements are imperative. The healthcare infrastructure requires substantial expansion, extending beyond urban hubs, and integrating modern technological advancements is essential for its revitalization. However, addressing the prevalent inefficiencies within the current system takes precedence; despite substantial annual budget allocations, government hospitals continue to suffer from deficiencies in essential medical equipment, infrastructure, and sanitation. This lamentable situation persists even in major urban medical facilities like those in Lahore, Faisalabad, and Rawalpindi, while the situation in suburban and rural areas remains even more pathetic. Rectifying these systemic shortcomings demands a comprehensive overhaul, involving strategic investments, improved governance, and effective utilization of resources to ensure equitable access to quality healthcare services for all residents of Punjab under municipal self-governance.
Amidst the multifaceted challenges facing Punjab, a critical area requiring urgent attention is its educational landscape. Over time, the government’s educational institutions have faltered in delivering quality learning experiences, necessitating a comprehensive overhaul encompassing academic and infrastructural reforms. To catalyze meaningful change, a paradigm shift is essential, with a renewed focus on curriculum modernization, infrastructure enhancement, and the recruitment of adept teaching and administrative staff. Empowering educators with continuous professional development opportunities aligned with modern pedagogical approaches is paramount to equipping students with the skills needed for success in an ever-evolving world.
Moreover, extending the reach of education beyond urban hubs to remote and marginalized communities is imperative for fostering inclusivity and ensuring equitable access to learning opportunities. Investment in educational infrastructure, coupled with the deployment of technology-enabled learning solutions, can facilitate greater educational outreach and engagement across diverse demographics. By forging collaborative partnerships between government and private enterprises, and civil society organizations, Punjab can harness collective resources and expertise to bolster educational initiatives and improve learning outcomes.
In tandem with educational reforms, prioritizing entrepreneurship and vocational training initiatives can empower individuals with practical skills and enhance their employability prospects. Aligning educational curricula with industry demands and emerging job sectors is vital to nurturing a skilled workforce capable of driving economic growth and innovation. By fostering an enabling environment for entrepreneurship and incentivizing private sector investment, Punjab can stimulate economic activity, generate employment opportunities, and foster sustainable development.
Furthermore, advancing good governance practices marked by transparency, accountability, and citizen engagement is indispensable for realizing holistic development objectives. Strengthening regulatory frameworks, promoting ethical leadership, and leveraging technology for efficient service delivery are essential components of effective governance. Through fostering a culture of collaboration and dialogue among stakeholders, Punjab can navigate complex challenges and chart a course toward inclusive growth, prosperity, and socio-economic advancement.
______________________________________________________
Dr. Ikramul Haq, Advocate Supreme Court, specialises in constitutional, corporate, media and cyber laws, ML/CFT, IT, intellectual property, arbitration and international taxation. He holds LLD in tax laws with specialization in transfer pricing. He was full-time journalist from 1979 to 1984 with Viewpoint and Dawn. He served Civil Services of Pakistan from 1984 to 1996. He established Huzaima & Ikram in 1996 and is presently its chief partner.
He studied journalism, English literature and law. He is Chief Editor of Taxation. He is country editor and correspondent of International Bureau of Fiscal Documentation (IBFD) and member of International Fiscal Association (IFA). He is Visiting Faculty at Lahore University of Management Sciences (LUMS) and member Advisory Board and Visiting Senior Fellow of Pakistan Institute of Development Economics (PIDE).
He has coauthored with Huzaima Bukhari many books that include Tax Reforms in Pakistan: Historic & Critical Review, Towards Flat, Low-rate, Broad and Predictable Taxes (revised & Expanded Edition, Pakistan: Enigma of Taxation, Towards Flat, Low-rate, Broad and Predictable Taxes (revised/enlarged edition of December 2020), Law & Practice of Income Tax, Law , Practice of Sales Tax, Law and Practice of Corporate Law, Law & Practice of Federal Excise, Law & Practice of Sales Tax on Services, Federal Tax Laws of Pakistan, Provincial Tax Laws, Practical Handbook of Income Tax, Tax Laws of Pakistan, Principles of Income Tax with Glossary and Master Tax Guide, Income Tax Digest 1886-2011 (with judicial analysis).
He is author of Commentary on Avoidance of Double Taxation Agreements, Pakistan: From Hash to Heroin, its sequel Pakistan: Drug-trap to Debt-trap and Practical Handbook of Income Tax. Two books of poetry are Phull Kikkaran De (Punjabi 2023) and Nai Ufaq (Urdu 1979 with Siraj Munir and Shahid Jamal). He regularly writes columns for many Pakistani newspapers and international journals and has contributed over 2500 articles on a variety of issues of public interest, printed in various journals, magazines and newspapers at home and abroad.
Twitter: DrIkramulHaq
____________________________________________
Abdul Rauf Shakoori, Advocate High Court, is a subject-matter expert on AML-CFT, Compliance, Cyber Crime and Risk Management. He has been providing AML-CFT advisory and training services to financial institutions (banks, DNFBPs, Investment companies, Money Service Businesses, insurance companies and securities), government institutions including law enforcement agencies located in North America (USA & CANADA), Middle East and Pakistan. His areas of expertise include legal, strategic planning, cross border transactions including but not limited to joint ventures (JVs), mergers & acquisitions (M&A), takeovers, privatizations, overseas expansions, USA Patriot Act, Banking Secrecy Act, Office of Foreign Assets Control (OFAC).
Over his career he has demonstrated excellent leadership, communication, analytical, and problem-solving skills and have also developed and delivered training courses in the areas of AML/CFT, Compliance, Fraud & Financial Crime Risk Management, Bank Secrecy, Cyber Crimes & Internet Threats against Banks, E–Channels Fraud Prevention, Security and Investigation of Financial Crimes. The courses have been delivered as practical workshops with case study driven scenarios and exams to insure knowledge transfer.
His notable publications are: Rauf’s Compilation of Corporate Laws of Pakistan, Rauf’s Company Law and Practice of Pakistan and Rauf’s Research on Labour Laws and Income Tax and others.
His articles include: Revenue collection: Contemporary targets vs. orthodox approach, It is time to say goodbye to our past, US double standards, Was Due Process Flouted While Convicting Nawaz Sharif?, FATF and unjustly grey listed Pakistan, Corruption is no excuse for Incompetence, Next step for Pakistan, Pakistan’s compliance with FATF mandates, a work in progress, Pakistan’s strategy to address FATF Mandates was Inadequate, Pakistan’s Evolving FATF Compliance, Transparency Curtails Corruption, Pakistan’s Long Road towards FATF Compliance, Pakistan’s Archaic Approach to Addressing FATF Mandates, FATF: Challenges for June deadline, Pakistan: Combating the illicit flow of money, Regulating Crypto: An uphill task for Pakistan. Pakistan’s economy – Chicanery of numbers. Pakistan: Reclaiming its space on FATF whitelist. Sacred Games: Kulbhushan Jadhav Case. National FATF secretariat and Financial Monitoring Unit. The FATF challenge. Pakistan: Crucial FATF hearing. Pakistan: Dissecting FATF Failure, Environmental crimes: An emerging challenge, Countering corrupt practices .
Twitter: Abdul Rauf Shakoori
The recent publication, coauthored with Huzaima Bukhari, is
Pakistan Tackling FATF: Challenges & Solutions
available at: https://www.amazon.com/dp/B08RXH8W46
