Driven by neoliberalism, Pakistan has given up control over key public services like healthcare, education, and utilities, handing them over to private corporations in the hope that market competition will lift society as a whole. However, this expectation has fallen apart, as privatization and deregulation have shut out the poor while allowing a handful of powerful corporations to snap up wealth.
By stepping away from its responsibilities in sectors crucial to human dignity, the state has widened social inequalities, forcing the majority to get by in a system that only caters to the elite.
As the state pulled back, economic disparity shot up. The wealthiest 1 percent of Pakistanis have taken over 9 percent of the national income, while the elite has siphoned off $17.4 billion – about 6 percent of the GDP – towards corporate monopolies, feudal estates, military privileges, and political dynasties. With no regulatory checks in place, wealth has piled up in the hands of a few, leaving the majority scraping by.
The cost of this neglect has landed on children suffering from chronic malnutrition; nearly 10 million have ended up stunted due to a lack of proper nourishment, while 80 percent of children miss out on adequate food. The crisis has only grown worse with mass displacement – 910,000 people were forced to move within the country in 2021, and with ongoing political instability, their numbers are expected to climb, deepening the hunger and malnutrition crisis.
The wealthiest 1 percent of Pakistanis have taken over 9 percent of the national income, while the elite has siphoned off $17.4 billion.
Food security remains a major challenge. Only 63.1 percent of households can get their hands on sufficient and nutritious food while soaring prices and the devastation caused by the 2022 floods have pushed 33 million people into deeper insecurity. Instead of stepping in to tackle these disasters, the state has let the crisis spin out of control, showing how market-driven policies have failed to provide for the people.
By pushing economic liberalization without proper safeguards, the government has allowed multinational corporations and political elites to take over essential commodities, drive up prices, and drag more people into poverty.
The ruling elite has cracked down on dissent, leaning on colonial-era laws to silence opposition and tighten its grip on power. Journalists, rights activists, and political opponents have been shut down, censored, or thrown in jail for speaking out against corruption and systemic injustice. Independent media has either been bought off or stifled, leaving the public cut off from reliable information.
Elections, instead of reflecting the people’s will, have been rigged time and again to keep power in the hands of a privileged few. Parliament has been turned into a playground for dynastic families and business interests, further widening the gap between governance and the governed. The judiciary, meant to keep power in check, has often caved into political pressure, stripping citizens of any real access to justice.
At the grassroots level, the lack of local governance has opened up a vacuum where the ruling elite operates unchecked. The promise of decentralization has been hollow, as power remains locked up in central authorities who resist real citizen participation. This shutout has led to widespread disillusionment, with public protests flaring up against inflation, unemployment, and state oppression. However, without structural reforms, these voices are often drowned out or violently stamped out.
Unchecked, this neoliberal experiment will push Pakistan further into a state of chaos. A government that cedes its role in public welfare to profit-driven entities will see the collapse of its social contract, deepening civil unrest, and even the breakdown of law and order. The absence of regulatory mechanisms allows corruption to fester, and the elite’s exploitation of national resources ensures that wealth inequality will only widen, further alienating the masses. This unchecked trajectory leads toward a failing state – one where the government is unable to govern, the judiciary is compromised, and society is in perpetual turmoil.
To head off total anarchy, the state must take back its commitment to justice. Restoring legitimacy calls for breaking down the structures of elite capture and pouring resources into human development. Instead of letting market forces call the shots on social policy, the government must step up to make sure food security, healthcare, and education are guaranteed for all. The tax system must be shaken up to spread wealth more fairly, easing the burden on the poor and shifting it onto the affluent who have long cashed in on state resources. Strengthening democratic institutions is just as crucial – ensuring free and fair elections, an independent judiciary, and a vibrant civil society will help win back the people’s trust in governance.
Local governance must be brought back to reconnect the state with its citizens, allowing for greater participation in decision-making. A free press and protection for activists are essential to keep those in power in check. The state must also break away from its heavy reliance on external loans and reckless economic policies that focus on short-term profits over long-term stability. Economic policies should back up small businesses, farmers, and workers rather than bowing to corporate monopolies and foreign interests.
The road to justice is tough, but it is the only way forward. If the state keeps walking away from its responsibilities, the fallout will be catastrophic – worsening inequality, rising unrest, and a further breakdown of legitimacy. The time has come for Pakistan to take back its social contract, putting the well-being of its citizens front and centre. Only by restoring justice can the state rebuild trust, bring about stability, and steer clear of the looming crisis of anarchy.
The writer is an Islamabad-based veteran journalist and an independent researcher. He can be reached on Twitter @riazmissen