Report by Engineering Post
Investment in Pakistan is contributed from three sides,: private sector, public sector and general government.
According to the information available in this regard, the lion’s share i.e 76 percent comes from the private sector, only 5 percent from the public sector and another 19 percent from the general government.
Around half of the private investment is directed towards agriculture 30 percent, real estate activities 21 percent and social small services 7.5 percent.
This shows that the real problem of the country is economic growth.
Collectively, education and health are able to get only 7 percent of the private investment which is quite obviously slightly lower than 10 percent in the manufacturing sector. Share of the investment in manufacturing is somehow falling while those of the other two are increasing.
Public sector enterprises investment is skewed and as much as 82 of it is concentrated in three areas–electricity and gas distribution ( 50 percent), transport and communications (23 percent and IT (9 percent)
General government restricts itself to public administration which is as high as 90 percent, education 4.8 percent and health 4.5 percent.
As a matter of fact, investment patterns by and large show that the private and public sectors and general government direly need to align their priorities with the growth objectives.