Engr. Khalid Pervez discusses how debt-driven growth, weak industries, and the rise of AI threaten development and engineering jobs.
Economy
Where Do We Stand?
The data released by governments on the economy is available, but scrutiny is imperative. Now, with the flow of information becoming swift and easily accessible through the internet, it is necessary to examine the ground reality behind the perception that the economy has improved.
Interestingly, the Pakistan Stock Exchange has crossed new and higher barriers over the last year and a half. For someone like me, who is not an economist, it is surprising to see this when the country is staggering under heavy debts. According to noted economist Dr. Kaiser Bengali, the work of ministers has become so easy that, for example, the finance minister’s main task is simply to secure more loans in order to pay back the markup on previous ones. There is no real planning or development, which is essential.
If our stock exchange is performing so well, then it should translate into the execution of projects across the country; our industrial output should have risen; and our imports should have increased. As a private-sector consultant, I should be seeing many projects, but the reality is otherwise. The projects that come to us do not reflect any improvement in the economy. For many consultants and contractors, it has become a matter of survival. Take the energy sector as an example: no industry can sustain itself given the cost of energy in the country. So, how does this country continue to sustain itself?
It is largely because of the undocumented economy, which is so vast that it is beyond comprehension. A large number of people evade taxes, and the claim that the FBR is cracking down on tax evasion is almost laughable. The FBR has created two categories—“filers” and “non-filers”—even though everyone is registered with NADRA. Non-filers carry out all kinds of business activities but are simply subjected to different tax rates. The FBR seems content with this arrangement, but why doesn’t the agency take stricter action?
The economy is run in such a way that the poor live miserable lives while the ruling elite continue to capture resources. Judges and parliamentarians, for instance, have increased their salaries, and others in power can do whatever they want. This practice must end once and for all.
Why Engineering Is Losing Interest
Engineering is the backbone of development in any country. Take any sector—you cannot achieve progress without engineering. In today’s world, youth are highly informed due to faster communication and easy access to information. Given this situation, public-sector universities have failed to upgrade themselves according to current needs. As a result, their graduates do not match industry requirements.
At the same time, the industry itself is not in good shape; it is fighting for survival. With no real development happening, no large projects are coming up in construction or energy. Where, then, will young engineers go? How will they be accommodated?
There was a time when Pakistan had a strong industrial base. Companies like Siemens operated here, employing a large number of engineers. We can feel both pride and shame remembering that we once manufactured engines for British tanks used in the Second World War in Lahore. It is unimaginable today. In the early 1960s, we used to make electronic components such as transistors and capacitors. Later, we shifted to trading, abandoning manufacturing, and governments failed to support the industrial base in Pakistan. Due to these factors, many universities are now considering closing departments because students have stopped applying in such disciplines. Ultimately, everything rests on the economy. If it were strong, it would positively affect every sector. Unfortunately, our economy is weak. Political interference and incompetence have gripped all institutions. Political will drives the economy, and ironically, that will is absent in the country.
AI and Our Engineering Industry
The rise of Artificial Intelligence is dangerous, and it is now taking practical shape. A huge number of people had rushed to IT during its boom, but today AI itself is writing software. As a result, our software engineers and developers face rising unemployment. The scenario for engineers is no different. We are using ChatGPT and similar tools everywhere, which are spreading and updating rapidly. Now, even non-engineers can perform many engineering tasks. That is why I call on universities to align themselves with these new developments.
Are We Cognizant of the Situation?
Not in my view. With a heavy heart, I must say that the Pakistan Engineering Council (PEC) should play its part. This is supposed to be PEC’s core function, but unfortunately, its role is not visible. Instead, PEC has reduced itself to a clerical body that merely registers contractors and issues notices.
The council’s structure itself is inefficient—it has an 84-member Governing Body. How can such a large body function effectively? Governance is clearly lacking. (Reported in ER Sep. 16-30,2025)
By Manzoor Shaikh
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