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Muhammad Zahid Rifat

<em>The writer is Lahore-based Freelance Journalist, Columnist and retired Deputy Controller (News) Radio Pakistan Islamabad and can be reached at [email protected]</em>

Governance and Institutional Reforms

Published on: November 27, 2025 1:07 AM

November 27, 2025 by Muhammad Zahid Rifat

Governance defines the frameworks and processes through which a nation manages its affairs. It shapes every sector of society and determines whether socio-economic development is sustainable, inclusive, and equitable. Built on the pillars of rule of law, transparency, and accountability, good governance ensures fair resource allocation and creates space for participation, innovation, and long-term national growth.

Aligned with Sustainable Development Goal 16 and the URAAN Pakistan (National Economic Transformation Plan), ongoing reform efforts aim to strengthen institutions, improve service delivery, and promote accountability through modernization and capacity development.

Yet, the World Bank Governance Indicators Report 2023 offers a sobering reminder: Pakistan continues to lag behind regional counterparts. This is despite a number of initiatives undertaken by the current federal government led by Prime Minister Muhammad Shehbaz Sharif. The comparative data underscores the need for greater attention to local government systems, political stability, and institutional reforms-particularly in areas tied to rule of law and socio-economic progress.

The federal government has laid out an ambitious multi-sectoral reform agenda for the current financial year. According to official sources, the governance program focuses on institutional strengthening, market development, inclusive growth, civil service reforms, criminal justice improvements, efficient public service delivery, domestic resource mobilization, and restructuring of public-sector enterprises.

A central thrust of these reforms is enhancing public-sector capacity to ensure timely and efficient services. URAAN Pakistan aims to unify these efforts by prioritizing political stability, peace, human capital development, equitable growth, and policy reforms. Its approach envisions reducing disparities and empowering youth, women, and marginalized communities-thereby strengthening social cohesion and boosting global competitiveness.

It is encouraging to note that the year 2026 has been declared the Year of Reforms and Development for Pakistan. The federal government is in the process of launching a National Reform and Modernization Plan to make governance more results-oriented, innovation-driven, and globally competitive.

The government plans to address extremism and internal security challenges through implementation of the Revised National Action Plan, the Prevention of Violent Extremism Policy, the draft National Internal Security Policy (2024-29), and the Interfaith Harmony Policy. These initiatives emphasize tackling root causes, promoting social harmony, and consolidating peace.

Local government reforms will involve broad stakeholder consultations, institutionalization of the Provincial Finance Commission (aligned with SDGs), and increased citizen engagement through digital platforms. A comprehensive review of the 18th Amendment and the National Finance Commission Award is expected to ensure fair resource distribution, while more effective Public Accounts Committees and Parliamentary Standing Committees will strengthen fiscal oversight.

Anti-corruption and procurement reforms will be intensified by empowering relevant institutions, improving investigative capacity for white-collar crimes, implementing Anti-Money Laundering regimes, and expanding digital procurement through the Electronic Procurement and Disposal System (EPADS) and standardized bidding documents.

Reforms in the rule of law sector include capacity-building across law-enforcement and judicial bodies, digitization of courts, improved record management, and the adoption of Artificial Intelligence (AI) to enhance judicial efficiency. Tax administration will also continue to modernize through digital reforms.

Under the National Economic Transformation Plan (2024), the government aims to transform the Federal Board of Revenue (FBR) into a modern tax authority capable of expanding the tax base by an additional US$81 billion by FY 2028-29. The Board of Investment will facilitate industrialization and ease of doing business through 35 approved Special Economic Zones and one-stop-shop services.

Meanwhile, the Competition Commission will set up a Center for Excellence for enhanced policy and procurement. The Securities and Exchange Commission of Pakistan (SECP) will continue driving regulatory digitization, and the Pakistan Telecommunication Authority (PTA) is set to launch 5G, renew LDI licenses, and expand district-level internet access.

Reforms recommended by the Prime Minister’s Committees will be implemented through a whole-of-government approach, bringing together federal and provincial stakeholders to ensure sustainable progress, improved governance indicators, and long-term stability.

It is encouraging to note that the year 2026 has been declared the Year of Reforms and Development for Pakistan. The federal government is in the process of launching a National Reform and Modernization Plan to make governance more results-oriented, innovation-driven, and globally competitive.

As citizens, we can only hope-and pray-that these reforms bear fruit. Let us keep our fingers crossed and seek the blessings of Almighty Allah for a better, brighter future for our country and its people. Amen.

The writer is a Lahore-based freelance journalist, columnist and retired Deputy Controller (News), Radio Pakistan, Islamabad, and can be reached at [zahidriffat@gmail. com (mailto:[email protected])

Filed Under: Op-Ed Tagged With: governance, Institutional, reforms

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