Obstacles in way of development of Pakistan's economy Problems in way of development of Pakistan's economy hindrance in way of development of Pakistan's economy

1. OBSTACLES IN DEVELOPMENT OF
PAKISTAN’S ECONOMY
Pray for me reader
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2. Economic Obstacles
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3. Economic Obstacles 1
 Deficiency of Capital and Foreign Exchange
 There is scarcity of capital and foreign
exchange in Pakistan
 Lack of capital and foreign exchange are a big
hurdle in way of economic development
 Per capita income is very low i.e., $ 1095
 Foreign exchange reserves of Pakistan are
just $ 13.0 billion.
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4. Economic Obstacles 2
 Backward Natural Resources:
 Developing countries including Pakistan have
rich and many resources. But due to
backward state of technology these
resources are un-utilized under-utilized or
miss-utilized
 Share of natural resources to GDP is less than
1 %.
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5. Economic Obstacles 3
 Backward StateTechnology:
 Use of backward technology is another
problem of economic development
 Due to use of backward technology
productivity level of our labor and its
efficiency is very low
 Productive quality and quantity is also inferior
due to use of old means of production
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6. Economic Obstacles 4
 Inflation
 The year-on-year CPI inflation has declined to
2.1 percent in April 2015 from 8.2 percent in
June 2014 (source monitory policy of May)
 Government should maintain this inflation
rate other wise Inflation decreases
purchasing power of people their
consumption increases and saving decreases.
Low saving leads to less investment and a
country remains poor and backward.
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8. Economic Obstacles 5
 Dependence on Agriculture
 68% population is living in 46,894 villages.
Their main occupation is agriculture that is at
backward stage.
 Old methods of cultivation, less credit
facilities, unorganized markets and limited
irrigation facilities are factors, which are
hurdle in the process of economic
development
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9. Social obstacles
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10. Social obstacles 1
 Illiteracy
 Only 63 %(est 2012) population is literate in
Pakistan. Due to illiteracy our farmer and
industrialists are ignorant
 Efficiency and productivity level of our labour
is poor due to illiteracy
 Use of modern techniques of production is
impossible due to illiteracy.
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11. Social obstacles 2
 Low Standard of Living
 Our population is backward and its growth
rate is as high as 4.04 % (est 2014)
 Poor population is not provided appropriate
facilities to make high standard of life
 Low level of living, low income, inadequate
housing facilities, poor health etc. are some
of important social obsticles.
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12. Social obstacles 3
 Joint Family and Caste system
 Joint family system is also one of the main
obstacles in the way of economic
development
 In joint family system all the members of the
family do not work.They depend upon one
another
 Similarly, due to caste system rich and
superior class do not work hard.
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13. Social obstacles 4
 Consumption Oriented Society
 Most of the population of Pakistan is
consumption oriented. People have to make
huge consumptions due to demonstration
effect
 Due to Superiority locality, friends and
relatives people have to adjust their
consumption styles. Consumption of people
is very high due to fulfillment of customs,
traditions and habits.
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14. Social obstacles 5
 Under developed Human resource
 Labor force is illiterate & unskilled
 Not up to mark for physical health.
 Short Comings inTechnology
 According to latest Research 6% to 5% population is
dependent upon agriculture
 We have outdated methods for agriculture.
 Although there is advance machinery out there.
 Due to this Lack of export and more import due to this
losing our foreign exchange.
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15. Social obstacles 6
 Severe shortage of Medical facilities.
According to latest statistics of 2009
Facilities Statistics
Doctors (2009) 139,555
Dentists (2009) 9,822
Nurses (2009) 69,313
Health visitors (2009) 10,731
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16. Social obstacles 7
 In united states alone there are 17000 doctors
of Pakistan’s origin.
 Many Pakistan’s doctors are choosing to
migrate to other countries due to which
 Shortage of highly qualified doctors
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17. Social obstacles 9
 We can clearly observe that our Medical
facilities are inadequate to handle this much
population.
 Family planning is not as efficient as it
suppose to.
 Increase in population is result in increasing in
Children hence they are consumer only not a
contributor to Pakistan's economy.
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18. Bilal Khan
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19. Social obstacles 8
 Population Pressure
Population
199,085,847 (December
2014 est.)[1]
Growth rate 1.49%[2]
Birth rate
31 births/1,000 population
(2009 est.)
Death rate
8 deaths/1,000 population
(2009 est.)
Life expectancy 63.39 years (2009 est.)
• male 62.4 years (2009 est.)
• female 64.44 years (2009 est.)
Fertility rate
3.58 children born/woman
(2008 est.)
Infant mortality rate
57.48 deaths/1,000 live
births (2012 est.)[ 19

20. CULTURAL OBSTACLES
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21. Cultural obstacles 1
 Customs andTraditions
 people spend huge portion of their incomes
on customs and traditions
 Sometimes they have to take part in the
arrangements of rural festivals that reduce
their savings
 People have to spend more on marriage, birth
and other local festivals in our country.
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22. Cultural obstacles 2
 Low Participation of Women
 Almost 49 % population is female in Pakistan
and out of them only 20 % takes an active
part in economic activities
 little participation of women in economic
activity that is also an obstacle in the way of
economic development.
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23. Cultural obstacles 3
 In-efficient Entrepreneur
 Due to illiteracy and lack of training
institution in our country entrepreneur is in-
efficient
 In-efficient entrepreneur is a cause of
economic backwardness. Illiterate
entrepreneur cannot maintain the proper
record of his business to earn maximum profit
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24. POLITICAL OBSTACLES
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25. Political instability 1
 Political instability
Instable political conditions
No unity among political parties
Political riots, dharna’s caused a decreased
in stock exchange our trade hence decrease
in dollar price.
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26. Political instability 2
 Mis-use of Authorities
 Mis-use of authorities and powers is a big
problem in the way of economic
development
 Mis-use of authority leads to corruption and
favoritism
 there is no regard for talented, intelligent and
brilliant brain.
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27. Political instability 3
 Insincere Leaders
 Politics in Pakistan creates insincere leaders
 Political leaders have no interest with the
welfare of population but their own interest
 The Feudal involve in politics for the sake of
status and power
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28. 
ADMINISTRATIVE OBSTACLES
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29. Administrative obstacles 1
 Corruption
 In developing countries most of the officers
are included in the curse of corruption (i.e
case of Exact company)
 hey have to make corruption due to any big
administrative or political pressure.
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30. Administrative obstacles 2
 Favoritism and Nepotism
 Nepotism means selection according to
relationship, not according to ability

 In developing countries like Pakistan, there is
favoritism and nepotism
 Which is causing economic backwardness.
Preferences are given to the friends and relatives
for the jobs.
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31. Administrative obstacles 3
 Lengthy Legal Process
 In developing countries law and order and
legal process is very lengthy and costy
 To obtain social justice, people have to waste
their income and time
 People have to depend upon the mood of the
officer for their work in Pakistan
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32. Administrative obstacles 4
 Mis-use of Authorities
 In our country, use of authorities is not
reasonable. Officers use their powers for their
personal interest
 They give first preference to their own
benefits and second preference to the public
welfare.(again example of EXACT)
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33. Administrative obstacles 5
 Law and Order
 Improper situation of law and order is also a
problem in the way of economic
development
 Law and order conditions are not satisfactory
in case of Pakistan
 Hope that current government will focus on
them and rectify them.
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34. Thanks for listening
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