‘10.65m jobs created over last six years’

ISLAMABAD—Strong economic growth on sustainable basis created enormous job opportunities and over the last six-year (2000-2006), the economy created 10.65 million new jobs while during the previous years (1994-1999) the economy could created only 4.6 million new jobs.
This was stated by Special Secretary Finance and Director General Debt office, Dr.Ashfaq Hassan Khan in an exclusive interview with APP here Friday. He said that over 1.0 million jobs have been created in Information Technology (IT) and Telecom sector alone in the last three years.
“Pakistan’s economic performance over the last several years has been impressive and sound macro-economic management and wide -ranging structural reforms have contributed to high real GDP growth, a reduction in the debt burden, and an improved business climate”, Dr.Ashfaq said.
He said that adherence to pro-poor policies has helped lower poverty rates and enhanced the income of the people. Dr.Ashfaq said that real GDP growth accelerated to an average of 7.0 percent per annum over the last five years which put Pakistan in the league of the fastest growing economies of the Asian Region.
He added that as a result of strong economic growth , over US $ 16 billion Foreign Exchange Reserves, stable exchange rate and declining debt burden, the investment climate in the country has improved and Pakistan has attracted US $ 8.4 billion foreign investment in 2006-07.
Dr.Ashfaque Hassan Khan said that strong economic growth implies greater availability of tax revenues and in the last 8-year (1999-2000 to 2006-07), the Central Board of Revenue (CBR) collected an additional tax revenue of Rs.538 billion while it took 9-years to collect additional tax revenue of Rs.197 billion. He said that higher economic growth also more than doubled the country’s per capita income which was an indicator of the average level of prosperity.
He said that per capita income increased from US $ 438 in 1998-99 to US $ 925 in 2006-07 which was an increase of 111.2 percent in 8 -years. Dr.Ashfaq said that increase in the per capita income along with enormous job creation led to sharp reduction in poverty.
“In 1998-99 30.6 percent people were living below the poverty line .In 2004-05 only 23.9 percent people living the poverty line”, he remarked. He said that economic recovery of the last several years has not only created more jobs and reduced poverty but it has also improved the living standards of the people.
He added that rising level of the economic prosperity is reflected by the living conditions of the people. He added that the number of households living in one room homes have declined significantly and all those living in 2-4 rooms homes have increased substantially.
He said that over 38.0 percent households were living in one-room homes in 1998 and in 2006-07, 24.3 percent households were living in one-room homes. Dr.Ashfaque said that the percentage of households living in 2-4 room homes increased from 55 percent in 1998 to 69.1 percent in 2006-07. On the otherhand, he said the percentage of the households living in 5 and more rooms remained more or less at 1998 level during the same period.
He said that this is yet another indication of the growth of the middle class adding that middle class generally lives in 2-4 room houses and almost 14 percentage points increase in the households living in 2-4 room houses clearly shows the growing size of middle class and the rising level of economic prosperity in the country.
“Today 86 percent owned houses as compared to 81 percent in 1998, 86.6 percent people use electricity as sources of lighting as compared with 70.5 percent in 1998, similarly 30 percent people use gas as cooking fuel as compared to 20.2 percent in 1998. Dr.Ashfaq Hassan Khan said that 36 percent people use tap water as major source of drinking water as compared with only 26 percent in 1998-99.
Furthermore, he said gross enrollment at primary level increased substantially from 71 percent in 1998-99 to 91 percent in 2006-07. He further said that electric fans production increased by 102 percent during 1999-2007. Pakistan, he said used to produce 3 million electric fans a year in 1999 and also use to export 50,000 electric fans and today the Electric fan industry is producing over 6 million electric fans and exporting 2 million fans.
The Special Secretary to Finance Ministry said that the availability of electricity even far flung rural areas has enable the poor and lower middle class to buy electric items such as electric fans, deep freezers, refrigerators and television sets. The production of television sets has increased from 128,000 in 1998-99 to over 900,000 today, he remarked. This, he said also suggests that the benefits of the economic growth are trickling down to the lower level as many poor are joining the ranks of middle class.—APP