Framework for Economic Growth, Pakistan - Planning Commission

International conference on “Framework for Economic Growth, Pakistan”Speaker: Nohman IshtiaqAdvisor, Finance Division, PakistanAn ordinary strategy well executed is betterthan a brilliant strategy that for one or theother reason is never implemented.Importance of the implementation of thestrategy has already been highlighted by thespeakers and my presentation is also aboutimplementing the Framework for EconomicGrowth.The FEG speaks about two importantconstraints to the economic growth inPakistan which are given as follows:1) Inadequate market development: Itincludes following important factors tobe considered:- Lack of competition,- Tax, tariff and policy distortions,- Poor regulation,- Entry barriers, and- Government involvement.2) Lack of efficient public sectormanagement: It includes the followingareas to be focused:- To provide core governancegoods,- To facilitate markets andinvestment, and- To promote deepening ofphysical, human and socialinfrastructure.Growth strategy basically needs animplementation strategy. Governmentshould provide a framework for nongovernmentaction rather than operateinstitutions. Reforming Public Sector inPakistan requires ‘New Public SectorManagement” which include following areasto be considered:1. Government should steer rather thanrow (provide a framework for nongovernmentaction rather thanoperate institutions),2. Government should focus onoutcomes (desired results) and needsof customers (service recipients),rather than inputs (rupees and jobs)and needs of bureaucracies (rules),3. Government should decentralize andaddress problems from the lowestlevel of government possible(subsidiary),4. Public agencies should compete withprivate agencies, and should adopt amarket orientation, and5. Government which works better alsocosts less.The core of whole Public SectorManagement is the Result BasedManagement (RBM) which focuses mainlyon the customer or people. The inputs arehuman, financial and material resourceswhich give output in form of servicedelivery. In Pakistan public sector currentlylooks at only inputs i.e. economy factors.We in Pakistan don’t have system wherebywe can measure efficiency by looking atservice delivery performance in publicsector. As effectiveness of the public sectoris also not being properly looked in Pakistanwe don’t have a comprehensive mechanismwhere we can monitor, budget and planoutcomes.Results Based Management system focuseson service delivery and this should have anorientation at planning, budgeting andmonitoring stages. Monitoring results shouldback the planning process in the form offeedback. The overall working should bealigned with the individual performanceassessment mechanism of the Civil Service38