Political stability and economic growth

0
146

Naseebullah Khan
Both are interconnected with each other. The more political stability is the economic growth will be. After the assassination of Liaquat Ali Khan, the country was plunged into political instability which further led the country towards economic stagnation.Within 11 years, 7 prime minters took the oath. Afterward, military dictator Ayob Khan took the reign who further hand3d over the government to a setting general, when the debacle of East Pakistan took place. The political tussle again engulfed the state during Zulfiqar Ali Bhutto, who was overthrown by another dictator Zia ul Haq until 1988. The tug of war was continued among the politicians when the third martial law was imposed by Pervez Mushraff who regained until 2008. To date, the country is still in the clinches of political instability. This uncertainty and break of policies concerning the economy have affected the economic growth which has been in a condition of fluctuation and average, 5 pc since the inception. History gesticulated worldwide that, political stability has always been a cemented force for economic growth.In 1960, the Argentinean economy was performing better than that of Japan. When the country plunged into the deep caves of political instability, the economy was fragile. Now Japan is far better than Argentina__the difference is political stability. Tukey, another example of political stability and continuity of economic policies, has been witnessing remarkable economic growth. In 2002, the total national income was 202 billion USD. In 2018 it was 820 billion USD. During 5he same period, per capita income increased from 3442 USD to 10782 USD.Many African countries including Romania, China, India, the UK, the European Union, Malaysia, Hong Kong all have been capable to get economic growth owing to the reason of political stability.Two factors regarding political collapse in Pakistan are pertinent to stipulate vis a vis; 1: democracy and growth with respect to Military role. 2: Political instability and growth with respect to politicians themselves. Democracy in the country has been weak. Three Martial laws have been stumbling blocks in the evolution of democracy. The establishment of King parties and the entrance of non-democratic politicians who always compromised democratic values further crumbled political stability. It is said that the era of Ayob Khan was a golden age for economic growth, but on the other side, it must be in mind as Dr. Ishrat Hussain has articulated that” A sense of resentment and the economic gap was started in Bengal too.”The establishment of MQM during Zia ul Haq’s tenure further enlarged the political gap in the country which severely affected the economy of the state as a matter of fact that Karachi__the economic hub of Pakistan fall into the hands of extortionists. Again, amid instability and bypassing the national cohesion on participating in the war on terrorism, Pakistan has been witnessing economic losses which have crossed 130 billion USD. Moreover, in 1999 the economic growth was 4.2 pc before Musharraf coup d etat, which had shrunk to 1.7 pc in 2008. Instability because of political leaders for the fulfillment of their vested interests of the majority of the politicians has been another challenge for economic growth in the country. No election has been accepted as free and fair.The politics of coalition partners has resulted in nepotism, bad governance, and corruption. The political imbalance and discontinuity of economic policies time and again have derailed economic progress. As an illustration, the GDP growth which was 5.8 pc in 2018, has crumbled to a piteous stage, where investment has stopped, inflation, poverty, unemployment, and foreign debt have increased with a rocket speed. In addition, the drama of the sit-in of 2014 is not maybe in the memories of the people who stopped the Chinese investment under the umbrella of CPEC. Who will want to invest in an unstable state? No one. A ground of political stability is vital for economic progress. Archiving sustainable growth, erasing economic stagnation, and attracting FDI need a stable country. Regrettably, we have missed it since our independence. Will our policymakers ever pay heed to it?