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Falling behind on meaningful social development – Business

After a strong start in 2015, progress on the 2030 Agenda has slowed since the pandemic. Conflicts, climate shocks, inequalities, and mounting debt are derailing global Sustainable Development Goals (SDG) efforts. In Pakistan, already lagging, the focus now seems more on revenue generation than pursuing real human development.

It is, therefore, unsurprising that Pakistan’s ranking on SDG index has deteriorated. It has slipped 15 places since 2022, holding 140th position in 2025 among 166 countries assessed, last year it was ranked 137th.

In analysing Pakistan’s poor performance on the SDGs, local experts, business leaders, and officials offered varying explanations. While some reasons — weak coordination and limited public funding — overlapped, the differences in perspective were telling. Private sector representatives and policy experts largely placed the blame on government inefficiency, whereas some bureaucrats questioned the credibility of data while others pointed to external factors, including challenging global conditions and lack of meaningful partnerships, as key reasons for declining ranking of the country.

Notably, none of the stakeholders consulted cited a lack of public support for SDGs as a reason for the government’s lacklustre commitment to development targets once adopted with great enthusiasm.

‘The path forward is well-documented in policy papers and research; unfortunately, both gather dust in ministry offices’

Senior sources in Islamabad revealed that the government is working to revive the SDG unit in the planning ministry, which was dissolved in 2022, rendering provincial cells inactive. Originally established in February 2016 as the National SDGs Unit, it followed the National Assembly declaration of the SDGs as Pakistan’s own development goals, just three months after endorsing the global agenda in October 2015.

According to sources, the SDG unit was shut down after the United Nations Development Programme (UNDP) withdrew its support. “It was a joint UNDP-GOP project. When the UN agency pulled out, the cash-strapped government couldn’t sustain it independently and opted to merge it into the planning ministry,” an insider disclosed.

Ambrina Bakhtiar, Chief SDGs, federal ministry of planning, questioned the credibility of 2025 Sustainable Development Report, noting methodological changes that hinder comparison with the 2022 index. “The latest index uses 102 indicators, up from 94 in 2022, creating inconsistencies that the Sustainable Development Solutions Network also acknowledges,” she said.

Ms Bakhtiar emphasised Pakistan’s SDG localisation strategy, which aligns global goals with national and provincial priorities. This includes integrating SDGs into development plans, engaging communities and subnational governments, and adapting indicators to reflect local realities. She stressed that while global indices offer useful insights, they often rely on modelled data, contextual benchmarks, and multilevel accountability.“

Shah Khalid, Project Manager of the UNDP’s SDGs Plus Programme in Sindh, linked Pakistan’s ranking decline to deep-rooted structural and climate-related challenges. “Despite being among the top 10 most climate-vulnerable countries, adaptation and green investments remain underfunded,” he said. The 2022 floods alone caused over Rs6.4 trillion ($30 billion) in damages and losses, with Sindh bearing 75 per cent of the impact; stagflation, mounting debt (81pc of GDP), and a low tax-to-GDP ratio (9pc) further limit spending on key sectors. He added that achieving SDGs requires $60bn annually — 16pc of GDP — while climate adaptation needs could hit $348bn by 2030. Weak local governance, low public awareness, and poor data also hamper implementation.

Dr Muhammad Amanullah, Chief Economic Advisor, Planning and Development Board, Punjab, attributed Pakistan’s underperformance to systemic challenges. “SDG cells face limited capacity, weak coordination, and data gaps,” he noted, adding that responsibility lies across both tiers of the government and institutions. Inadequate integration of SDGs into public policy, a lack of coherence, low investment in social goals, and a short-term growth focus have stalled progress and widened inequalities, despite private sector involvement.

He also called for cross-sectoral strategies linking growth with sustainability and justice, and for public-private partnerships to drive innovation, climate resilience, and youth development — key priorities under UNDP’s SDGs Plus programme.

Abdul Aleem, Secretary General, Overseas Investors Chamber of Commerce and Industry (OICCI), stressed the need for stronger government coordination and follow-through. “OICCI member companies invested Rs14.4bn in 2023-24 toward advancing the SDGs. But lasting change requires clear, unified direction from the top,” he said. “With the planning ministry showing renewed intent, this is the right time to align government and business under a focused, actionable SDG roadmap to drive meaningful progress.”

Dr Khaqan Hasan Najeeb, a public policy expert blamed weak implementation and coordination. “SDG cells exist but lack resources, authority and integration into core planning,” he said. Responsibility, he added, is shared across tiers of government. The federal level has yet to fully embed SDGs into national frameworks, while provinces struggle with capacity, coordination and data limitations. Oversight by bodies like the Planning Commission also needs strengthening.

Despite growing corporate awareness, private sector contributions remain fragmented and misaligned with national goals. Without clear frameworks, incentives and accountability, their efforts have limited systemic impact. To regain momentum, Dr Najeeb recommends empowering SDG units, improving data systems, aligning development spending with SDG priorities, promoting environmental, social and governance reporting, and fostering public-private collaboration through structured reforms.

Nasim Beg, CEO, Arif Habib Consultancy, blamed entrenched power structures and class-based economic model that benefits the few.

“Parliament sets the national framework, and post 18th Amendment, provinces share responsibility. But both failed to deliver. The path forward is well-documented in policy papers and research; unfortunately, both gather dust in ministry back offices,” Mr Beg lamented.

Published in Dawn, The Business and Finance Weekly, July 21st, 2025



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