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Pakistan has an estimated $6 trillion worth of copper, gold, coal, chromite, antimony, and rare earth elements, among other minerals. However, the mineral sector contributes merely 2-3% to GDP and remains far below its potential. Applying the “Resource Curse” framework, this paper…
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This study explores the underlying factors behind the exit of multinational corporations (MNCs) from Pakistan and examines how macroeconomic volatility, regulatory uncertainty, and changing global corporate strategies influence this trend. Using firm-level data from the PSX and official statistics from the SBP,…
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The pharmaceutical industry in Pakistan is a very vital sector of the national healthcare and industrial development, but has structural and regulatory bottlenecks that restrict the growth of the pharmaceutical industry as well as competitiveness in exports. The lack of innovation and…
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This paper provides a textual analysis of Pakistan's Nationally Determined Contribution (NDC 3.0), identifying the most prominent themes and significant gaps. Pakistan's NDC 3.0 aims to reach its 2035 target by mitigating 50% of GHG emissions by 2035 (17% unconditional, 33% conditional),…
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Pakistan's real estate sector is the driver of economic development as it generates major contributions to GDP, jobs, and city and urban development. Despite expanding very quickly due to population growth, urbanisation, and foreign investments, the sector suffers from several important issues…
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Pakistan faces one of the largest tax gaps in South Asia. Despite repeated tax reforms, the tax-to-GDP ratio has remained stagnant, undermining fiscal stability and limiting the country’s capacity to achieve its development goals. This study investigates how Pakistan can address its…
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This study examines the underlying factors driving the persistence of Undocumented Oil Trade (UOT) in Pakistan, with a particular focus on the Pakistan-Iran border region. It argues that, despite a series of policy interventions by the Government of Pakistan, UOT remains a…
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Proponents of a free-floating or market-driven ER regime have argued that distortionary CB interventions in the foreign exchange (FX) market alter the ER trajectory. Historically, evidence shows such interventions result in ER misalignment, eventually leading to the widening of the trade deficits…
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Pakistan’s move to allocate 2,000 MW for AI data centers represents a major step forward to drive digital growth and foreign investment. However, this expansion may significantly strain the already stressed water resources. The issue persists due to over-dependence on groundwater, climate…
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Exchange Rate Pass-Through (ERPT) refers to the degree to which changes in the exchange rate (ER) affect domestic prices of an economy. Since Pakistan’s economy has a considerable level of openness to international trade, the domestic price level is sensitive to external…
