Dhaka, August 23, 2026 (Yes Punjab News)
Pakistan’s prolonged economic difficulties offer important lessons for Bangladesh, with political instability, weak investment and difficult fiscal choices limiting Islamabad’s ability to turn its resources and human capital into sustained prosperity, a recent report has said.
The report noted that Pakistan is now pursuing reforms, with the World Bank’s 10-year partnership framework stressing the need for changes in fiscal management, the energy sector and the business environment.
For Bangladesh, the experience underscores the importance of strengthening the economic foundations of national power rather than focusing excessively on military or geopolitical influence, according to a report published by Bangladeshi newspaper Daily Sun.
It said Bangladesh’s economic journey since independence in 1971 demonstrated the benefits of investing in people, empowering women, expanding exports and building economic resilience. The country, it added, has surpassed Pakistan on several significant economic and social indicators despite emerging from war, widespread poverty and economic disparities.
The report, however, cautioned that Bangladesh should not “mistake the symbols of power for the foundations of power”.
The warning comes amid renewed concerns over Pakistan’s fiscal position. Pakistan’s Senate Functional Committee on Devolution, headed by Senator Zamir Hussain Ghumro, has recommended shutting down around two dozen federal ministries and departments.
The proposed list includes ministries and departments dealing with health, education, national food security, water resources, climate change, housing, planning and development, industries and petroleum.
The committee has reportedly estimated federal expenditure at Pakistani Rs 19 trillion and recommended reducing it to Rs 13 trillion, while transferring several responsibilities entirely to the provinces.
The report said Pakistan’s problems extend beyond the size of its government. Citing the World Bank, it attributed the country’s long-term development constraints to “policy and institutional weaknesses”, noting that periods of economic growth have repeatedly been followed by rising debt, trade imbalances and difficult economic adjustments.
The report also cited Stockholm International Peace Research Institute data showing that Pakistan’s military expenditure increased by 11 per cent in 2025 to $11.9 billion, largely driven by orders for new aircraft and missiles.
Against the backdrop of high debt-servicing costs and weak public revenues, the report questioned whether national security should be viewed primarily through military capability while economic security receives comparatively less attention.
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