The Government of Pakistan (GOP) is facing an unprecedented economic crisis at this time. It is the consequence of both long-enduring structural problems in the economy as well as some external shocks delivered to the economy in the last one year. In order to tackle this situation the GOP has set up a number of bodies that will assist it with analyzing and developing the appropriate public policy responses to the crisis. In May 2008 the Prime Minister constituted an Economic Advisory Council (EAC) with eight sub-committees to provide independent advice to the Prime Minister and the Government on the formulation of economic policies as part of the contemplated reforms agenda. The EAC is currently chaired by the Prime Minister. In July 2008 the Prime Minister further constituted a Daily Economy Monitoring Committee (DEMC) under the chairmanship of the Finance Minister to address the day-to-day issues of the economy.

In late 2008 the President instructed the Planning Commission to constitute a task force under the chairmanship of Mr. Shahid Javed Burki to guide the government in developing more productive public private partnership. The Burki Task Force has membership drawn from the private sector with various secretaries of economic ministries as ex-officio members. The Task Force held its first meeting in Islamabad on February 26 and 27 and met with the President after concluding its first set of deliberations. The President instructed the group to have the first set of recommendations ready by the end of March so that they can feed into the budget and trade policies for the year 2009-10. The Planning Commission has also established a group aimed at developing another Macro-economic Stabilization Plan.

The Government is trying to find a way of assimilating the advice and information generated by these bodies into comprehensive public policy. However, given the difficult economic situation faced by the country which threatens the pace of economic growth an innovative approach is needed. The proposed initiative is based on the belief that a continuous dialogue among different segments of the society will not only improve the quality of public policy. It will also buy the various elements in the developing public policy framework broad support in the country.

RATIONALE (NPP)

It is not possible for any single entity or institution to specialize in every aspect of public policy. Policy research and formulation has to be undertaken in a disaggregated way by a number of institutions in academia, civil society and government in consultation with the private sector.

There exist in Pakistan various institutions and individuals that are capable of assisting the GOP. That said few academic institutions have the incentives, the organizational wherewithal, a well developed network or qualified staff to act as effective contributors to the process of policymaking. But without the involvement of knowledgeable persons in civil society, the GOP will not be able to understand the complexity of the problems it is facing. It is therefore essential to bring relevant high-level policymakers of the government, leading private sector representatives and academic institutions to dialogue on the issues pertinent for the development of the economy. It will also be important to clarify the GOP’s own policymaking processes.