Daily Archives: March 10, 2025

BY-ENGR SABOO MEMON (Ph.D)

Pakistan’s economy faces serious challenges that demand innovative and strategic interventions for sustainable growth. This article introduces an “Octagonal Solution”—an eight-pillar economic revitalization plan focusing on: (1) NADRA Monetization, (2) Domestic Production Inventory, (3) Talent Export, (4) Raw Materials Exports to High-Demand Markets, (5) Market Reach Expansion, (6) Pakistan Sovereign Fund, (7) Tax Incentives for Workforce Development, and (8) Mandatory Utilization of Locally Manufactured Goods. Effective implementation of this plan can boost economic prosperity, reduce external debt reliance, and can unlock Pakistan’s full economic potential. Due to space constraints, only two models are discussed here—NADRA Monetization and Talent Export—to illustrate the potential impact of this strategy.

Model 1: NADRA Monetization

The National Database and Registration Authority (NADRA) possesses an untapped revenue potential through digital identity services and data monetization. By strategically leveraging its capabilities, Pakistan can generate significant revenue through the following streams:

Potential Revenue Streams:

1. Identity Verification Services:
   • NADRA currently provides CNIC verification services to banks, telecom firms, and financial institutions.
   • Expanding these services and charging PKR 10–50 per verification, assuming 500 million annual verifications, can yield PKR 5–25 billion ($18–90 million) per year.
2. Biometric & Digital Identity Services:
   • Providing secure digital verification services for fintech, foreign employers, and businesses.
   • If 10 million expatriates subscribe at $10 per year, revenue could reach $100 million annually.
3. Data Analytics & Market Insights:
   • Selling anonymized demographic data for market research, insurance, and financial services.
   • Estimated revenue: PKR 5–10 billion ($18–36 million) per year.
4. International Passport & Immigration Services:
   • Offering biometric solutions for international travel, visas, and security collaborations.
   • Potential revenue: $50–100 million annually.
5. Smart Citizen ID & E-Governance Services:
   • Charging a nominal fee for premium digital ID services for individuals and businesses.
   • If 5 million users pay PKR 1,000 annually, revenue could reach PKR 5 billion ($18 million).
6. Cybersecurity & Digital Wallet Services:
   • Introducing secure e-wallets linked to NADRA IDs for transactions.
   • Potential revenue: $50–100 million per year.

Total Revenue Potential:

With full implementation, NADRA monetization could generate an estimated $300–500 million (PKR 80–140 billion) annually, significantly boosting national income.

Model 2: Talent Export Pakistan (TEP)

Pakistan has a massive workforce potential, with 56 million youth (ages 15–29). By systematically training and exporting skilled talent, the country can increase foreign remittances, attract global investment, and enhance its knowledge economy.

Key Talent Export Strategies:

1. Skilled Workforce Development:

• Aligning vocational training with global demand in AI, cybersecurity, healthcare, construction, IT, and renewable energy.
• Targeting labor shortages in GCC, Europe, Japan, South Korea, and Canada.
• Training 1 million workers annually, contributing to remittances of $20 billion per year.

1. IT & Digital Freelancing:

• Pakistan ranks third in global freelancing with over 3 million active freelancers.
• Scaling up IT certifications (Python, Blockchain, AI, Cloud Computing).
• Establishing national freelancing platforms to retain revenue.
• Potential earnings: If 5 million freelancers earn $5,000 annually, revenue could reach $25 billion per year.

1. Healthcare Professionals Export:

• Training and certifying 50,000 healthcare workers annually for global placements.
• Expected remittances: $1.5 billion per year at $30,000 per worker.

1. Construction & Engineering Workforce Export:

• Deploying 500,000 construction workers to Gulf mega projects.
• Expected remittances: $7.5 billion per year at $15,000 per worker.

1. Software Engineers & AI Specialists:

• Addressing talent shortages in the U.S., EU, and Canada.
• Launching a “Pakistan Tech Talent Visa” for global employment.
• Expected remittances: $5 billion annually with 100,000 professionals earning $50,000 each.

Projected Annual Earnings from Talent Export:

Implementation Strategy:

1. Government-Led Initiatives:

1. National Talent Export Policy:
   • Partnering with Germany, Japan, UAE, Canada, and Australia for workforce placements.
   • Establishing a “Pakistan International Skill Development Authority (PISDA)” for certifications and training.
2. Tax Incentives for IT & Freelancing:
   • Zero-tax policies for IT professionals and freelancers to boost participation.
3. Soft Loans & Grants for Skill Development:
   • Subsidizing training programs in IT, healthcare, and skilled labor.

1. Private Sector & Public-Private Partnerships:

1. Collaboration with Global Companies:
   • Engaging Google, Microsoft, Tesla, and Apple in training academies.
2. Creating Digital Nomad Visas:
   • Facilitating remote work opportunities for Pakistani professionals.

Conclusion

By implementing NADRA monetization and strategically exporting skilled talent, Pakistan can generate over $60 billion annually. These initiatives will significantly boost GDP, strengthen foreign reserves, and ensure economic stability. The government and private sector must aggressively pursue skill development, establish global partnerships, and modernize policies to unlock Pakistan’s full economic potential. With decisive action, these economic solutions can transform Pakistan into a prosperous and self-reliant nation.

Bajaur’s Uphill Battle Against Terrorism: Unravelling Causes, Impact, and the Path to Stability

Maaz Khan

Bajaur—a strategically significant district of Pakistan’s northwestern Khyber Pakhtunkhwa province—shares a 52-kilometre-long border with war-torn Afghanistan, making it a crucial geopolitical zone. Perhaps this explains why it has long been a hotbed for terrorism, militancy, and socio-political instability.

Once part of the Federally-Administered Tribal Areas (FATA), Bajaur—along with six other tribal agencies and six Frontier Regions (FRs)—was merged into the Khyber Pakhtunkhwa in 2018 following the 25^th Constitutional Amendment, aiming to mainstream the tribal belt through administrative reforms.

Nevertheless, the move appears to have backfired, opening a Pandora’s box of new challenges. The region remains vulnerable to extremist ideologies and tendencies, impacting the lives of its approximately 1.3 million residents.

Root Causes of Extremism

Addressing this crisis of extremism and militancy requires a comprehensive approach that identifies root causes, assesses its impact, and devises sustainable solutions to the problem.

One of the most profound victims of decades-long insecurity is Education. The destruction of schools by militants coupled with inadequate government funding, has deprived many children of basic learning opportunities, leaving them vulnerable to extremist ideologies.  Although 109 destroyed schools were reconstructed, many still lack essential facilities hampering the quality of education. The scale of the crisis is further reflected in the alarming number of out-of-school children:

Boys: 111,901

Girls: 181,891

With limited industrial and commercial activity, Bajaur offers few employment opportunities, leaving much of the population trapped in poverty and joblessness. This economic deprivation creates fertile grounds for extremist groups, which exploit the financial desperation of vulnerable youth by recruiting them with promises of income and purpose.

The shift from tribal governance under the Pashtunwali code to formal state governance remains unfinished. Weak law enforcement, rampant corruption, and an underdeveloped policing system create a power vacuum, allowing militant groups to operate unchecked.

Besides, many criminals exploit legal loopholes, turning the region into a breeding ground for extremist networks. Bajaur’s strategic location along the Pak-Afghan border further exposes it to foreign militant influence.

Extremist factions exploit religious rhetoric to manipulate and recruit vulnerable individuals, further deepening the crisis.

Years of military operations and terrorist attacks have displaced thousands of families, forcing them to flee their ancestral homes. These internally displaced persons face severe challenges, including inadequate shelter, healthcare, and education. Meanwhile, businesses and markets continue to suffer due to persistent security threats.

Investors remain hesitant to develop Bajaur deepening the region’s economic despair and limiting growth opportunities. At the same time, local journalists face constant intimidation from militant groups and political forces, making it dangerous to report on extremism and militancy. Meanwhile, persistent violence continues to cripple the education sector. Schools remain underfunded and vulnerable to attacks, and both the students and teachers live under constant threat.

Military operations have helped neutralize militants, but their impact remains temporary. Lasting peace demands a comprehensive approach that combines security measures with sustained socio-economic development.

Tribal elders and religious scholars wield significant influence in Bajaur, and their involvement in de-radicalization efforts can be instrumental in countering extremist narratives at the grassroots level.

The local police force requires better training, modern equipment, and a transparent judicial system to combat terrorism effectively. Without proper governance, militants will continue to exploit Bajaur’s vulnerabilities.

Recently, a Bajaur Jirga called for the immediate reopening of three key crossing points Ghakhi Pass, NawaPass and Letaye Pass, on Pak- Afghan border. On 14 December 2024, local political leaders and tribal elders urged Islamabad and Kabul to set aside political disputes and prioritise economic cooperation for the well-being of the region’s people.

FM Radios, Media Can Work Wonders

Radio remains a powerful tool of mass communication in Bajaur, serving as a bridge between communities and authorities. This is why community leaders and activists believe that FM radio stations can effectively raise awareness about security, counterterrorism efforts, and development programmes, fostering informed and resilient communities.

Investing in media outreach can equip local communities with vital information and promote alternative narratives that effectively counter extremism. Media, particularly, FM radio stations and digital media platforms, can serve as powerful tools in counterterrorism efforts by disseminating counter-narratives that challenge militant propaganda and offer messages of peace and resilience.

Equally crucial is community engagement, where tribal elders and religious scholars can play a pivotal role in mediating conflicts and educating youth about the dangers of radicalisation. Simultaneously, youth leadership programmes should be introduced to empower young people and involve them in constructive activities that contribute to long-term peacebuilding.

The Road to Stability

Bajaur’s terrorism crisis is deeply rooted in longstanding socio-economic and governance challenges. Addressing these issues requires a comprehensive, multi-pronged approach that goes far beyond military solutions.  At the heart of this strategy should be strengthening the education system by increasing funding for schools and establishing vocational training centres. Such initiatives are crucial to providing youth with viable career paths, reducing their vulnerability to extremist recruitment, and offering hope for a more stable and prosperous future.

Economic initiatives, such as small business support programmes and infrastructure development, can generate employment opportunities. Strengthening law-enforcement agencies through enhanced training, modern equipment, and judicial reforms is essential for ensuring ironclad and effective action against terrorists and extremist elements.

Bajaur’s fight against terrorism is not merely a security issue but a profound socio-economic challenge that demands long-term investment and community-driven solutions. Achieving sustainable progress requires comprehensive reforms in education, economic development, governance, and law enforcement. By prioritizing these critical areas, Bajaur can turn the tide and pave the way for stability and prosperity, empowering its inhabitants to break free from the grip of terrorism and reclaim the future.