Former minister for investment, Azfar Ahsan has said that Pakistan as a nation of 250 million people, stands at a critical juncture in its economic journey and despite its vast potential, the country’s Foreign Direct Investment (FDI) in 2024 amounted to a mere USD 1.9 billion — a figure that starkly highlights the diminishing confidence of international investors in the economy. In a statement issued, he said, “One of the most pressing issues contributing to this decline is judicial activism. Over the years, decisions taken by the judiciary, particularly under the leadership of former Chief Justices like Justice Saqib Nisar and Justice Iftikhar Chaudhry, have had far-reaching consequences on the investment climate. High-profile cases such as Pakistan Steel, Karkey Rental Power Plant, Reko Diq, and LNG projects are some examples where judicial interventions have disrupted investments, leading to not only the loss of billions of dollars in potential revenue but also forcing Pakistan to defend these decisions in costly international legal battles.”

Azfar Ahsan was of the view that the impact of these decisions go beyond financial implications — they have also severely tarnished Pakistan's reputation as a reliable destination for investment. At a time when Pakistan needs to foster confidence and stability, these judicial actions have introduced uncertainty and risk, driving investors away, he added. He said that it was imperative for the State of Pakistan to take immediate action for addressing the issue. Those responsible for decisions that have damaged the nation’s investment climate must be held accountable for their actions, he said and added that this was not just about rectifying past mistakes but about sending a clear message to the international community that Pakistan was committed to upholding the rule of law and protecting investments. Azfar Ahsan further stated that restoring investors’ confidence will require a multifaceted approach. “We must ensure that our policies are consistent, our political environment stable, and our judiciary mindful of the broader economic implications of its decisions. By doing so, we can unlock Pakistan’s true economic potential and position ourselves as a competitive and attractive destination for global investment.”

Credit: Independent News Pakistan