Pakistan is a developing country that faces numerous challenges on multiple fronts. One of the critical areas of concern is the expenditure pattern of the government. This article will analyze the expenditure patterns in Pakistan and focus on the allocation of funds towards health, education, and infrastructure. The analysis will be based on the expenditure as a percentage of GDP.
Health Expenditure as a Percentage of GDP
The health sector in Pakistan is facing multiple challenges, including a lack of resources, infrastructure, and skilled healthcare professionals. According to the World Health Organization (WHO), Pakistan spends only 2.8% of its GDP on healthcare, which is much lower than the global average of 6%. Moreover, the majority of the health expenditure in Pakistan comes from out-of-pocket spending by individuals and families.
According to the Ministry of National Health Services, Regulations and Coordination, Pakistan’s health expenditure as a percentage of GDP was 0.9% in 2015-16. This figure increased to 1.0% in 2016-17 and remained the same in 2017-18. In 2018-19, the health expenditure as a percentage of GDP increased to 1.3%. In 2019-20, the health expenditure as a percentage of GDP increased to 1.4%. However, this increase was mainly due to the COVID-19 pandemic, which required additional funding for the health sector.
Education Expenditure as a Percentage of GDP
Education is a fundamental right of every citizen, and it is the responsibility of the government to ensure that every child has access to quality education. However, the education sector in Pakistan faces numerous challenges, including a lack of resources, infrastructure, and qualified teachers. According to the United Nations Educational, Scientific, and Cultural Organization (UNESCO), Pakistan’s literacy rate is 60%, which is lower than the global average of 86%.
According to the Ministry of Federal Education and Professional Training, Pakistan’s education expenditure as a percentage of GDP was 2.2% in 2015-16. This figure increased to 2.3% in 2016-17 and remained the same in 2017-18. In 2018-19, the education expenditure as a percentage of GDP increased to 2.4%. In 2019-20, the education expenditure as a percentage of GDP remained the same at 2.4%.
Infrastructure Expenditure as a Percentage of GDP
Infrastructure development is crucial for the economic development of a country. Infrastructure includes roads, bridges, airports, seaports, and other public works. In Pakistan, the infrastructure sector has been facing multiple challenges, including a lack of funding, outdated technology, and corruption.
According to the Pakistan Economic Survey 2020-21, Pakistan’s infrastructure expenditure as a percentage of GDP was 2.8% in 2015-16. This figure increased to 3.1% in 2016-17 and remained the same in 2017-18. In 2018-19, the infrastructure expenditure as a percentage of GDP increased to 3.2%. In 2019-20, the infrastructure expenditure as a percentage of GDP decreased to 2.6%.
Analysis of Expenditure Patterns
The analysis of the expenditure patterns in Pakistan shows that the government is not allocating enough resources towards the health and education sectors. The health expenditure as a percentage of GDP has been hovering around 1% for the past few years, which is much lower than the global average of 6%. The education expenditure as a percentage of GDP has been around 2.4%, which is also lower than the global average of 4.7%. Moreover, the quality of healthcare and education in Pakistan is far from satisfactory, which indicates that the government needs