Comment by Riaz Haq yesterday

Pakistan Surpasses India in Washing Machine Ownership (58% vs 20%) and Refrigerator Ownership (56% vs 50%) Despite Lower GDP per Capita.
(Islamabad), 23rd January 2026

https://gallup.com.pk/post/39622

Pakistan today trails India on GDP per capita, a headline indicator often used as shorthand for living standards. On paper, this would suggest that Pakistani households are significantly worse off. However, household asset ownership data tell a more nuanced story. Evidence from Pakistan’s Household Integrated Economic Survey (HIES), benchmarked against comparable Indian household estimates, shows that Pakistani households match or exceed India in ownership of several everyday consumer durables, despite lower average incomes.

India continues to lead in television ownership (around 66%, compared to 50% in Pakistan), although Pakistan’s TV ownership was comparable to India’s as recently as 2019. In contrast, refrigerator ownership is higher in Pakistan (about 56%) than in India (around 50%). The largest gap appears in washing machines, owned by nearly 58% of Pakistani households compared to roughly 20% in India. Motorcycle ownership is similar in both countries (India ~55%, Pakistan ~53%), while car ownership remains low, with India holding only a small lead (~8% vs ~6%).

These patterns suggest that, despite lower GDP per capita, Pakistani households historically placed greater emphasis on labour-saving domestic appliances, while Indian households invested more in entertainment assets and, later, automation.

The broader lesson is that GDP per capita does not translate mechanically into household living standards. Consumption choices, relative prices, infrastructure, gender roles, and historical preferences all shape how income is converted into daily welfare. Living standards, in short, are shaped by more than income alone.

This analysis was conducted and released by Gallup & Gilani Pakistan, the Pakistani affiliate of Gallup International. It draws on long-run household asset data from the Household Integrated Economic Survey (HIES) compiled by the Pakistan Bureau of Statistics, covering the period 2000–2025, alongside comparable Indian household estimates. (Gallup Pakistan Digital Analytics Dashboard)

Comment by Riaz Haq 2 hours ago

Pakistan’s FY27 budget aims to accelerate export-led growth, finance minister says

https://www.arabnews.com/node/2647930/pakistan


Aurangzeb says budget seeks to build on economic stabilization achieved over past two years
Minister cites manufacturing growth, remittances and IT exports as signs of economic recovery


ISLAMABAD: Pakistan’s proposed budget for fiscal year 2026-27 is designed to accelerate export-led growth and build on economic stabilization achieved over the past two years, Finance Minister Muhammad Aurangzeb said on Saturday as he wrapped up a parliamentary debate on the government’s fiscal plan.

The Rs18.9 trillion ($67 billion) budget, unveiled on June 10, seeks to maintain fiscal discipline while supporting growth in an economy recovering from a balance-of-payments crisis that pushed Pakistan to the brink of sovereign default in 2023.


The proposals sparked days of debate in parliament, with lawmakers raising concerns about taxation, revenue collection measures, relief for households and the pace of economic recovery.

“The fundamental goal of our government and this budget is export-led growth, which should be sustainable and inclusive, which should increase productivity and create jobs,” Aurangzeb told the National Assembly in his speech on the budget debate.

He said the government believed the economy had moved beyond a period of stabilization and was now positioned for stronger growth, pointing to improvements in key economic indicators over the past year.

“Today our industry is doing well,” he said, adding that large-scale manufacturing had recorded growth of around 6.5 percent, the highest in four years.

Aurangzeb said Pakistan’s external account had also remained stable, noting that the country had posted a current account surplus during the first 11 months of the current fiscal year, while remittances from overseas Pakistanis were expected to reach $41 billion by year-end.

He also highlighted growth in the technology sector, saying information technology exports had increased by 20 percent during the year and were expected to exceed $4.5 billion, while Pakistani freelancers had generated record earnings of $1.6 billion.

The finance minister said the government had sought to shift the focus of fiscal policy toward expanding the tax base rather than imposing additional burdens on existing taxpayers.

“We have changed this trend through this budget and have focused on broadening and deepening instead of burdening,” he said, adding that the government had sought to provide relief to salaried workers, exporters, industries and small businesses while improving tax compliance and enforcement.

Aurangzeb also highlighted ongoing reforms at the Federal Board of Revenue, saying the government was introducing a new operating model aimed at increasing digitization, reducing discretionary powers and improving transparency in tax administration.

The budget debate took place amid Pakistan’s efforts to sustain economic recovery under reforms linked to a $7 billion International Monetary Fund (IMF) program.

The government has projected economic growth of 4.2 percent in the next fiscal year and says lower inflation, a stronger external position and rising exports provide a foundation for faster expansion.

The Finance Bill is expected to be approved by parliament before the start of the new fiscal year on July 1.

Comment by Riaz Haq 1 hour ago

@SouthernM46171

Goenka’s remarks reveal a real shift in Indian business thinking. The fear is no longer simply that China may dominate India. It is that India may fall behind while other Global South countries work with China and enter the next round of industrial growth. Refusing cooperation will not create autonomy. For many developing countries, it may mean being left behind altogether.

But his proposed solution reveals an old Indian fantasy. He argues that India should skip traditional stages of industrial development and move directly into digitally integrated, low-touch manufacturing.

This mistakes China’s destination for a shortcut. China automated only after it had learned how to organize production on a vast scale. India cannot automate a manufacturing system it has not yet built.

The hardest part of industrialization is making factories produce reliably, year after year. That capacity comes from long practice. It cannot be imported together with advanced equipment.

Low-touch manufacturing may create a few impressive factories. It will not build a broad industrial economy or provide work for India’s vast labour force.

That is the contradiction in Goenka’s argument. He understands that India cannot afford to stay away from China, yet still hopes to purchase the outcome of industrialization while skipping the process that produces it.

#India #China #MakeInIndia #Manufacturing #GlobalSouth #SupplyChains
If youre not at the table, youre on the menu: FICCI presidents China message businesstoday.in/india/story/if… via @business_today


https://x.com/southernm46171/status/2068906504179319223?s=43


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FICCI President visited China's corporate giants, including BYD. His 3 biggest takeaways - BusinessToday

https://www.businesstoday.in/industry/story/ficci-president-visited...

FICCI President Anant Goenka has shared his observations from a recent CEO delegation visit to China, describing the country's business environment as an intensely competitive ecosystem shaped by aggressive market-share battles, heavy investments in research and development, and extensive state support.

In a post on social media on Monday, Goenka said he led a FICCI CEO delegation to China and visited major companies including BYD, Geely, Midea and Mindray.

'A no-frills fighting ring'

Goenka said China operates as an exceptionally competitive market where companies are willing to sacrifice profitability in pursuit of scale and market dominance.

"China is like a no-frills fighting ring. Extremely competitive. Businesses operate at margins (2-3%), and global boards would never approve. Only market share matters, and there is no concept of ROI. The few who survive are the toughest and the best," he wrote.

According to Goenka, the intensity of competition creates an environment where only the strongest companies emerge as long-term winners.

Long-term bets on R&D and automation

The FICCI chief said one of the most striking features of the companies he visited was their commitment to long-term investment in innovation and manufacturing efficiency.

"R&D and automation are at the highest levels. The scale of automation and R&D investment at these companies is built for a 10-year time horizon, not a quarterly one. They celebrate innovators, have walls of patents and dark factories with unmatched efficiency," he said.

His remarks highlighted what he viewed as a sustained focus on technological advancement and future-oriented industrial planning.

‘The state is a silent shareholder everywhere’

Goenka also pointed to the role of state support in shaping China's industrial competitiveness, arguing that access to low-cost capital and policy backing significantly alters business economics.

“The state is a silent shareholder everywhere. Cheap capital, land, power, and policy support at a scale that fundamentally changes unit economics. As long as you service interest (@ only 2-3%), debt doesn’t have to be paid back. This isn’t a level playing field,” he wrote.

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