ISLAMABAD – Corruption in Pakistan isn’t just a moral lapse; it’s a deep-rooted structural and economic poison, according to a revealing report. Far beyond simple theft, it inflates project costs, warps procurement processes, and undermines the very feasibility of major initiatives.
Comparative studies on public investments paint a stark picture. In mega-projects, where vast sums flow through complex contracts and decisions rest in the hands of limited institutional networks with weak oversight, these vulnerabilities explode. ‘Corruption here isn’t accidental,’ notes the analysis. ‘It’s the predictable outcome of institutional and contractual frameworks.’
The report highlights how mega-projects amplify these issues. Legal gaps play a role, but the real culprit is the mismatch between formal accountability mechanisms and the political realities governing large infrastructure endeavors. Pakistan’s procurement rules, audits, and oversight bodies operate in a political economy dominated by elite pacts and selective enforcement.
Rules bend to political equations rather than strict adherence, rendering accountability selective at best. This dynamic shows up clearly in how investors and lenders assess projects. Cost overruns, delays, and contract revisions in Pakistan’s flagship schemes raise red flags about legal stability.
Multilateral lenders have sounded alarms: such uncertainties pile on liabilities for the state and cast doubt on fiscal health. For a nation grappling with balance-of-payments crises and IMF-backed stabilizations, this legal unpredictability jacks up borrowing costs and scares off future investments.
Ultimately, the tab lands on ordinary citizens, squeezing resources for social development. When informal deals trump rule-based governance, infrastructure turns from shared asset to long-term liability. Foreign partners face project risks and enforcement woes, dimming prospects for sustained collaboration.
The takeaway is clear: Pakistan must overhaul its systemic flaws to turn corruption from inevitable feature into relic of the past.