Former FBR Chairman Shabbar Zaidi Criticises Punjab’s Economic Performance, Calls for Structural Reforms
Karachi: Former Federal Board of Revenue (FBR) Chairman Shabbar Zaidi has argued that Punjab’s economic performance has become a major burden on Pakistan’s overall economy, claiming the province has become heavily dependent on overseas remittances.
In an interview, Zaidi said Punjab’s economic difficulties have nationwide consequences because of its size and contribution to the country’s economy. He claimed that if the financial positions of all four provinces were compared, Punjab’s balance sheet would be negative, while those of Sindh, Balochistan, and Khyber Pakhtunkhwa would be positive.
Questioning Punjab’s current economic base, Zaidi said the province has little left besides remittances, adding that agriculture has significantly declined and that several major industries, including the textile sector, have either shut down or relocated abroad. He also claimed that around 70 percent of Pakistan’s approximately $40 billion in annual remittances are received by Punjab.
Zaidi argued that Sindh benefits from the Karachi port and energy resources, Khyber Pakhtunkhwa has water and mineral resources, and Balochistan possesses gas and other natural resources, while Punjab has lost much of its traditional economic strength.
He further alleged that policy decisions encouraging sugarcane cultivation over cotton had contributed to the decline of the textile industry by reducing cotton production. According to Zaidi, this shift benefited sugar mills at the expense of the broader economy.
Calling for economic reforms, the former FBR chairman said Pakistan should seek the advice of international economic experts on measures to stabilize the economy. He also dismissed discussions about a “controlled default,” claiming such narratives were being promoted by those responsible for the country’s economic challenges.
Zaidi’s remarks reflect his personal assessment of Pakistan’s economic situation and provincial performance.
