Pakistan splurging on military hardware amid rising poverty: Report
New Delhi, June 16
Even while poverty and unemployment have been on the rise in Pakistan and the debt-ridden economy has been continuously dependent on IMF funding to stave off a collapse, there has been no let-up in the defence spending with the Army Generals calling the shots in Islamabad, according to a new report.
Pakistan's 2025-26 budget increased defence spending by more than 20 per cent to Rs 2.55 trillion ($9 billion), while overall federal expenditure which includes welfare measures for the masses was cut by 7 per cent, according to an article in Eurasia Review.
The Hangor programme, valued at $4-5 billion, is one of the most expensive military-industrial collaborations in Pakistan's history. Pakistan's 2025-26 defence allocation represents the fastest-growing item in the country's budget, the full details of which have never been disclosed to elected representatives, the article points out.
Austerity measures required under the IMF programme have only exacerbated socioeconomic disparities and disproportionately impacted lower-income groups, even as challenges to long-term fiscal sustainability persist.
The structural question that Pakistan's governance system has not been equipped to answer is whether defence and social spending must be zero-sum - and whether, with a tax-to-GDP ratio that remains well below regional and global peers, the trade-off the current budget imposes is genuinely unavoidable or a product of political choices about who bears the cost of fiscal adjustment.
The case for greater defence procurement accountability in Pakistan is gaining ground in economic and civil society circles. The question that is being raised is whether an allocation of funds on such a large scale, in a country operating under external financial assistance, should be subject to the same scrutiny applied to road contracts, hospital procurement, and social protection programmes, the article observes.
The article opines that the fragility of the Pakistani state which is driven in part by the fiscal trade-offs that accumulate when defence spending comes at the cost of human development gives cause for wider concern as it constitutes a potential threat to stability in the region.
— IANS
Reader Comments
I feel sad for the common Pakistani citizen. They have no say in these decisions - their tax money goes to military contracts while schools and hospitals crumble. India has its own challenges, but at least our defence spending is debated in Parliament. The lack of accountability in Pakistan is frightening. 😔
Interesting how the same generals who cry 'India threat' are the ones bleeding Pakistan dry. Their defence budget is a fraction of ours, yet they spend a higher percentage of GDP. The real threat to Pakistan is not India - it's their own military-industrial complex. Just look at how they treat their own Baloch and Pashtun populations. 🤔
As an Indian, I have mixed feelings. On one hand, this is good for our defence - a weaker Pakistan means less trouble for us. But on the other hand, I worry about the desperation that drives people to extremism there. A hungry man with a gun is more dangerous than a well-fed one. India should maybe help with their economic development? Just a thought. 🤷♂️
The article raises a valid point about zero-sum budgeting. Pakistan's choice between 'guns and butter' is a false one - they could have both if they stopped corruption and improved tax collection. Their tax-to-GDP ratio is pathetic. Meanwhile, India's defence spending is debated openly. The contrast in governance couldn't be starker. 🇮🇳
M Michael C As We welcome thoughtful discussions from our readers. Please keep comments respectful and on-topic.