Nation at a Glance - Pakistan

History

The Indus Valley civilization, one of the oldest in the world and dating back at least 5,000 years, spread over much of what is presently Pakistan. During the second millennium B.C., remnants of this culture fused with the migrating Indo-Aryan peoples. The area underwent successive invasions in subsequent centuries from the Persians, Greeks, Scythians, Arabs (who brought Islam), Afghans, and Turks. The Mughal Empire flourished in the 16th and 17th centuries; the British came to dominate the region in the 18th century. The separation in 1947 of British India into the Muslim state of Pakistan (with West and East sections) and largely Hindu India was never satisfactorily resolved, and India and Pakistan fought two wars and a limited conflict - in 1947-48, 1965, and 1999 respectively - over the disputed Kashmir territory. A third war between these countries in 1971 - in which India capitalized on Islamabad's marginalization of Bengalis in Pakistani politics - resulted in East Pakistan becoming the separate nation of Bangladesh. In response to Indian nuclear weapons testing, Pakistan conducted its own tests in mid-1998. India-Pakistan relations improved in the mid-2000s but have been rocky since the November 2008 Mumbai attacks and have been further strained by attacks in India by militants suspected of being backed by Pakistan. Nawaz SHARIF took office as prime minister in 2013, marking the first time in Pakistani history that a democratically elected government completed a full term and transitioned to a successive democratically elected government. Following a series of bomb and suicide attacks by the Tehrik-e Pakistan Taliban (TTP) begun in 2007, the Pakistan Government and TTP representatives agreed to a cease-fire in early 2014. However, by mid-year 2014 the talks collapsed and the TTP resumed attack plotting against Pakistani targets.

Location: Southern Asia, bordering the Arabian Sea, between India on the east and Iran and Afghanistan on the west and China in the north

Border Countries: Afghanistan 2,670 km, China 438 km, India 3,190 km, Iran 959 km

Total Area: 796,095 sq km Land: 770,875 sq km Water: 25,220 sq km

Climate: Mostly hot, dry desert; temperate in northwest; arctic in north

Terrain: Divided into three major geographic areas: the northern highlands, the Indus River plain in the center and east, and the Balochistan Plateau in the south and west

Natural resources: Arable land, extensive natural gas reserves, limited petroleum, poor quality coal, iron ore, copper, salt, limestone

Land use: Agricultural land: 35.2% arable land 27.6%; permanent crops 1.1%; permanent pasture 6.5% Forest: 2.1% Other: 62.7% (2011 est.)

Ethnic groups: Punjabi 44.68%, Pashtun (Pathan) 15.42%, Sindhi 14.1%, Sariaki 8.38%, Muhajirs 7.57%, Balochi 3.57%, Other 6.28%

Languages: Punjabi 48%, Sindhi 12%, Saraiki (a Punjabi variant) 10%, Pashto (alternate name, Pashtu) 8%, Urdu (official) 8%, Balochi 3%, Hindko 2%, Brahui 1%, English (official; lingua franca of Pakistani elite and most government ministries), Burushaski, and Other 8%

Religions: Muslim (official) 96.4% (Sunni 85-90%, Shia 10-15%), Other (includes Christian and Hindu) 3.6% (2010 est.)

Population: 201,995,540 (July 2016 est.)

Literacy: 57.9%; Male: 69.5%; Female: 45.8% (2015 est.)

Administrative divisions: 4 provinces, 1 territory*, and 1 capital territory**; Balochistan, Federally Administered Tribal Areas*, Islamabad Capital Territory**, Khyber Pakhtunkhwa (formerly North-West Frontier Province), Punjab, Sindh

Economy: Decades of internal political disputes and low levels of foreign investment have led to underdevelopment in Pakistan. Pakistan has a large English-speaking population, with English-language skills less prevalent outside urban centers. Despite some progress in recent years in both security and energy, a challenging security environment, electricity shortages, and a burdensome investment climate have traditionally deterred investors. Agriculture accounts for one-fifth of output and two-fifths of employment. Textiles and apparel account for more than half of Pakistan's export earnings; Pakistan's failure to diversify its exports has left the country vulnerable to shifts in world demand. Pakistan’s GDP growth has gradually increased since 2012, and was 5.3% in 2017. Official unemployment was 6% in 2017, but this fails to capture the true picture, because much of the economy is informal and underemployment remains high. Human development continues to lag behind most of the region. In 2013, Pakistan embarked on a $6.3 billion IMF Extended Fund Facility, which focused on reducing energy shortages, stabilizing public finances, increasing revenue collection, and improving its balance of payments position. The program concluded in September 2016. Although Pakistan missed several structural reform criteria, it restored macroeconomic stability, improved its credit rating, and boosted growth. The Pakistani rupee has remained relatively stable against the US dollar since 2015, though it declined about 10% between November 2017 and March 2018. Balance of payments concerns have reemerged, however, as a result of a significant increase in imports and weak export and remittance growth. Pakistan must continue to address several longstanding issues, including expanding investment in education, healthcare, and sanitation; adapting to the effects of climate change and natural disasters; improving the country’s business environment; and widening the country’s tax base. Given demographic challenges, Pakistan’s leadership will be pressed to implement economic reforms, promote further development of the energy sector, and attract foreign investment to support sufficient economic growth necessary to employ its growing and rapidly urbanizing population, much of which is under the age of 25. In an effort to boost development, Pakistan and China are implementing the “China-Pakistan Economic Corridor” (CPEC) with $60 billion in investments targeted towards energy and other infrastructure projects. Pakistan believes CPEC investments will enable growth rates of over 6% of GDP by laying the groundwork for increased exports. CPEC-related obligations, however, have raised IMF concern about Pakistan’s capital outflows and external financing needs over the medium term.

Agriculture - products: Cotton, wheat, rice, sugarcane, fruits, vegetables; milk, beef, mutton, eggs

Industries: Textiles and apparel, food processing, pharmaceuticals, construction materials, paper products, fertilizer, shrimp