WEF Reports More Pakistanis Sharing Fruits of Economic Growth
WEF Inclusive Development Report 2018:
The WEF inclusive development index ranks Pakistan at 47, below Bangladesh at 34 but above India at 62. The 7.56% rate of increase in inclusive development in Pakistan is higher than 4.55% in Bangladesh and 2.29% in India. China ranks 26 and its inclusion is rising at a rate 2.94%.
|WEF IDI Rankings. Source: WEF|
Another WEF report compiled by Oxfam said the richest 1% of Indians took 73% of the wealth generated last year.
Income Share Change in Asia's Poorest Quintile:
The share of national income of Pakistan's poorest 20% of households has increased from 8.1% to 9.6% since 1990 , according to the United Nations Economic and Social Commission for Asia and Pacific (NESCAP) Statistical Yearbook for 2015. It's the highest share of income for the bottom income quintile in the region.
The countries where people in the poorest income quintile have increased their share of total income include Kyrgyzstan (from 2.5 per cent to 7.7), the Russian Federation (4.4 per cent to 6.5), Kazakhstan (7.5 per cent to 9.5) and Pakistan (8.1 per cent to 9.6). India's bottom income quintile has seen its share of income drop from 9% to 7.8%.
|Bottom Quintile Income Share Change. Source: UNESCAP Statistical Yearbook|
Although more people in China have lifted themselves out of poverty than any other country in the world, the poorest quintile in that country now accounts for a lower percentage of total income (4.7 per cent) than in the early 1990s (8.0 per cent). The same unfortunate trend is observed for a number of other countries, including in Indonesia (from 9.4 per cent to 7.6) and in the Lao People’s Democratic Republic (from 9.3 per cent to 7.6).
Development of China Pakistan Economic Corridor (CPEC) is transforming Pakistan. Among the parts of the contry being transformed the most by CPEC are some of the least developed regions in Balochistan and Sindh, specifically Gwadar and Thar Desert. Here is more on these regions:
Gwadar Port City:
Gwadar is booming. It's being called the next Shenzhen by some and the next Hong Kong by others as an emerging new port city in the region to rival Dubai. Land prices in Gwadar are skyrocketing, according to media reports. Gwadar Airport air traffic growth of 73% was the fastest of all airports in Pakistan where overall air traffic grew by 23% last year, according to Anna Aero publication. A new international airport is now being built in Gwadar to handle soaring passenger and cargo traffic.
In addition to building a major seaport that will eventually handle 300-400 million tons of cargo in a year, China has built a school, sent doctors and pledged about $500 million in grants for an airport, hospital, college and badly-needed water supply infrastructure for Gwadar, according to Reuters.
The Chinese grants include $230 million for a new international airport in Gwadar, one of the largest such disbursements China has made abroad, according to researchers and Pakistani officials.
New development work in Gwadar is expected to create as many as 20,000 jobs for the local population.
Thar, one of the least developed regions of Pakistan, is seeing unprecedented development activity in energy and infrastructure projects. New roads, airports and buildings are being built along with coal mines and power plants as part of China-Pakistan Economic Corridor (CPEC). There are construction workers and machinery visible everywhere in the desert. Among the key beneficiaries of this boom are Thari Hindu women who are being employed by Sindh Engro Coal Mining Company (SECMC) as part of the plan to employ locals. Highlighted in recent news reports are two Hindu women in particular: Kiran Sadhwani, an engineer and Gulaban, a truck driver.
|Kiran Sadhwani, a Thari Hindu Woman Engineer. Source: Express Tribune|
|Hindu Woman Truck Driver in Thar, Pakistan. Source: Reuters|
Some of them are now being employed in development projects. A recent report talked of an underground coal gasification pilot project near the town of Islamkot where "workers sourced from local communities rested their heads after long-hour shifts".
Credit Suisse Wealth Report 2017
Pakistan Translates GDP Growth to Citizens' Well-being
Rising Motorcycle Sales in Pakistan
Pakistan Rising or Falling? Myth vs Reality
Chicken vs Daal in Pakistan
China Pakistan Economic Corridor