Pakistan should aim to become a moderately developed country


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Need to balance social, economic and environmental development

Need to balance social, economic and environmental development

PHOTO: FILE

Need to balance social, economic and environmental development
PHOTO: FILE

ISLAMABAD: China's march on the path of development has revolutionized the concept of rapid and sustainable growth. Over the last four decades, China has moved from poverty and low development to a major economic powerhouse in the world.

China is approaching the last stop of development and has reached the status of modern and developed country. There is a lot of talk about China's development, but less about its development model.

To better understand, it is necessary to delve deeply into the development structure in all aspects – economy, governance and political structure.

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History

The development of China is characterized by a set of main contradictions that begin with the birth of the new China in 1949. These contradictions are developed according to the model of Karl Marx.

He felt that if the contradictions were addressed, it could help improve the economy and society, otherwise it opens the way for the revolution by accentuating the division of society.

President Mao defined the first major contradiction and put the issue of contemporary China in the foreground. The major problem at that time was the class difference. This contradiction has been overcome at a tremendous cost of social reorganization and restructuring. With chains of the past broken, future generations have been able to focus on other indicators of the economy and society to drive growth. Deng Xiaoping introduced the second major contradiction in 1981. He described the contradiction as "the ever-increasing material and cultural needs of people in relation to backward social production".

The second contradiction has redistributed the economy and led to the opening of the economy and society over the last four decades.

He felt it was necessary to get rid of the old systems of production, distribution and export strategy and take a step forward. It was necessary to advance, otherwise the advantages of the first contradiction would be lost.

The world has been invited to invest in China and benefit from a cheap workforce and production facilities. Multinationals and other investors were encouraged and benefited from special treatment for the creation of businesses and production facilities.

Special economic and investment zones have been created to accelerate the development process. The most important element of the strategy was to act in stages, both in terms of openness and growth and development of the country.

China first selected a few areas for the implementation of this development model and moved to other areas later and this process is still ongoing. Over time, China has moved from a global factory to a global laboratory. Today, the country is the second largest economy in the world and is expanding its economic and commercial ties by introducing new means of engagement after "global politics".

To consolidate his achievements, President Xi presented the third contradiction. He defines it as "an unbalanced and inadequate development and the growing need of the people to have a better life".

According to him, China has developed without giving enough importance to the environment, which has created many developmental, environmental and social problems. Although China has lifted 700 million people out of poverty, millions of people still suffer at different levels.

Xi introduced the concept of eco-civilization for sustainable development. It has also set the course for modernization and development and aspires to make China a moderately developed country by 2021 and a fully developed country by 2049.

Lessons for Pakistan

China's development and transformation model is associated with these major contradictions. This can be a good learning point for Pakistan as it also aspires to become a developed and modern country.

Prime Minister Imran Khan has already expressed his interest in learning China for rapid economic and social development.

Pakistan is currently between the first and the second major contradiction that China has overcome. There are class differences, but not as rigid as they were during the first phase of the Chinese revolution.

Second, Pakistan's production system is not as old as China's. Pakistan has already experienced the first industrial revolution in the 1960s and later. It has also attempted to introduce industrial and commercial competitiveness with varying results.

However, we could not follow our economic and social development trajectory and not have a strategy to guarantee it. Our worst mistake is the inability to ensure the sustainability of economic policies, social reforms and development.

The industrial and privatization policy of the 1960s failed when nationalization was launched in the 1970s. The policy framework changed again a decade later without planning. Despite the mistakes of the past, the China-Pakistan Economic Corridor (CPEC) has been an excellent opportunity to learn from China's model of development and governance.

Although China is willing to provide assistance, Pakistan must strike a balance between social, economic and environmental development. He must sequence his development trajectory according to facts and figures.

The people of Gwadar can not be marginalized as part of an ambitious development

People should be put in trust and there should be no utopian promise to turn the economy around in five years.

The government of Pakistan Tehreek-e-Insaf (PTI) can put the economy on track to become a country of moderate development over the next ten years.

Finally, Pakistan must ensure the continuity of policies. For this, it must evolve towards policy development based on consensus rather than a majority-based policy.

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Leveraging these lessons from the greatest ally can help Pakistan move towards sustainable development.

The author is chief operating officer at the Zalmi Foundation

Posted in The Express Tribune, September 10e, 2018.

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