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Now for the country, please
๐Ÿ‡ต๐Ÿ‡ฐ Pakistan /Economy & Trade

Now for the country, please

From Dawn · () English

Summarized and contextualized by DistantNews.

At a glance

Analysis Sources not specified Context piece
  • Pakistan has received international praise for mediating a ceasefire and memorandum of understanding between the US and Iran.
  • This diplomatic success has raised Pakistan's global standing but sparked unrealistic expectations of significant economic benefits.
  • Analysts caution against comparing this achievement to post-9/11 aid, emphasizing that Pakistan's economic future depends on domestic reforms, not external engagement.

Pakistan's diplomatic role in mediating a ceasefire and memorandum of understanding between the US and Iran has earned it international appreciation and respect, a feat with no precedent in its diplomatic history. This achievement has boosted the nation's global standing and image, prompting discussions within Pakistan about potential economic gains.

However, there is a significant amount of wishful thinking regarding the economic dividends from this diplomacy. Some have drawn parallels to the period after 9/11, when Pakistan became a front-line state in the war on terror and received substantial US financial and military assistance. This comparison is considered a false parallel, as there are no significant economic windfalls expected from Washington, nor a clear rationale for such aid.

The article critiques a historical tendency among Pakistan's ruling elites to seek geopolitical rents from international alignments, which has historically allowed them to avoid necessary domestic economic reforms. This reliance on external support and 'other people's money' has fostered a mindset that looks outward rather than inward to address economic weaknesses.

advancing stability abroad

โ€” government officialsAn official's statement cited as an example of unrealistic expectations regarding foreign investment.

Exuberant statements from government officials, such as claiming that "advancing stability abroad" has made Pakistan a "credible destination" for foreign investment without changed domestic conditions, are highlighted as examples of unrealistic expectations. Similarly, declarations that the "sun of progress and prosperity" will soon rise over Pakistan are deemed hyperbolic and misleading.

Instead of focusing on speculative economic windfalls from diplomacy, the article argues that energy should be directed toward addressing the country's pressing political, economic, and security challenges and fixing its structural problems. The author suggests that if the government can act as a peacemaker abroad, it should also strive to make peace at home by fostering stability in a divided and polarized nation.

the sun of progress and prosperity

โ€” top ministerA minister's hyperbolic statement about the economic future of Pakistan following diplomatic success.
DistantNews Editorial

Originally published by Dawn. Summarized and contextualized by our editorial team with added local perspective. Read our editorial standards.