STAFF REPORT ISB: Pakistan on international ranking has been ranked the second least-efficient country on the Economist Intelligence Units Creative Productivity Index. Among the 24 Asian economies covered, Pakistan is ranked 23rd when it comes to measuring efficiency in converting inputs to outputs, says the index compiled by the ADB. The Pakistans ranking has been determined with ix key elements particularly human capital, infrastructure, competition, firm dynamics, financial institutions and governance. Vulnerabilities in these crucial areas have tossed Pakistan in an unfavourable spot. Pakistan got the lowest ranking in terms of human capital, with the education system being out of reach for the low-income group, that is hardly surprising.
As for infrastructure and competition, the country is again poorly ranked at 20. Snags in the regulatory mechanism, high entry barriers, and low productivity of state-owned enterprises have been attributed as the key reasons behind the troublesome infrastructure capacities and unfit competitive positioning of the country. But, there is some level of comfort. In the context of firm dynamics, financial institutions and governance, Pakistans ranking relatively better, at 9th, 12th and 17th respectively. However, with the lack of global recognition of these institutions and limited educational outreach to underprivileged people, Pakistan achieving a better ranking in the near future seems difficult. Building a firm educational system, focusing mainly on primary and secondary schooling should top the list of government priorities.