Altaf Shakoor, Chairman of the Pasban Democratic Party, has warned that the growing national debt, currently estimated between 78 and 80 trillion rupees, poses a serious threat to Pakistan’s economic sovereignty and national defense stability. He emphasized that strong economic foundations are indispensable for strengthening national security, claiming that military power alone cannot guarantee long-term stability.
Addressing the Pasban Executive Council meeting in Karachi on Sunday, Altaf Shakoor reiterated that until the economy gains strength, national defense cannot be fully stable. He presented the collapse of the Soviet Union as a historical lesson, demonstrating how economic weakness can cripple even the strongest defense systems, thus declaring a strong economy as the true foundation of national security.
The PDP Chairman highlighted that debt repayment has become the largest expenditure in the federal budget, costing approximately 8.2 trillion rupees, which is nearly half of the total expenditures. This situation severely limits available resources for development projects and public welfare initiatives, increasing external pressure on budgeting. While welcoming enhanced defense capabilities, he warned against relying solely on military power.
Mr. Shakoor identified an export-oriented economy as the only sustainable solution to the nation’s financial problems. He suggested promoting high-value sectors such as information technology, engineering, pharmaceuticals, and other value-added industries to reduce external dependence.
Fundamental reforms in the country’s economic structure are also necessary. Key areas for reform include the energy sector, specifically aiming to eliminate circular debt and control transmission losses. Expanding the tax net, documenting the economy, and promoting transparency were declared crucial needs of the time.
At the same time, he called for eliminating losses of state-owned enterprises, addressing mismanagement in the energy sector, and abolishing unnecessary subsidies. Pakistan should restore its financial sovereignty by increasing exports, remittances, and foreign investment, thereby reducing reliance on foreign debt.
Mr. Shakoor strongly condemned the policy of borrowing more to repay existing debts, calling it detrimental to the country’s future. He emphasized that Pakistan’s primary economic challenge lies in the imbalance between limited income and high expenditures.
He further stressed that a lack of policy consistency erodes investor confidence, making stable economic policy essential despite political fluctuations. He added that economic development cannot be achieved without significant investment in human resource development, including education, health, and technical training.
In conclusion, Mr. Shakoor concluded that comprehensive economic reforms are indispensable for a truly sovereign and strong Pakistan.