Social Sector Development Intro What is Social Development – Social development is a process which results in the transformation of social structures in

Social Sector Development

• Intro • What is Social Development

– Social development is a process which results in the transformation of social structures in a manner which improves the capacity of the society to fulfil its aspirations.


• Population– Put strain on the resources – One of the major problem in

achieving MDG– Govt. taking so many steps to

control the fertility rate yet it is not successful.


• Poverty & Income Inequality

• Causes of poverty and income inequality

• Education, health, employment

Vicious cycle of poverty

Poor heath

Poor housingstandard

Under/mal-nourished

Little PurchasingPower

Economic Poverty

No education

LowProductivity

Low Income

No Access to decision making

Poor understandingof available option

Unorganised

Political Passivity

Political Poverty

Social differentiation and conflicts of interests

Economic Poverty

Social Sector Development• MDG that has envisaged a 50 percent

reduction in the poverty by 2015 in accordance with which the Poverty Reduction Strategy Paper (PRSP) has targeted to reduce the poverty level to 28 percent by FY06.

• The Pakistan Social Standard Living Measures Survey (PSLM) survey also provides a comparison during the period 2001-05 (see Table 8.5).

• The data indicates that more of poor people are moving in the category of quasi-non-poor and nonpoor.

• Overall, almost 12 million people have been pushed out of the poverty during the period 2001-05. Moreover 10 million people remained in the ultra poor category as compared to the 15.8 million in the last reported year

Social Sector Development• Employment

• This appears true in the case of Pakistan as well, the rising GDP growth from 3.9 percent in 2000 to 6.67 in 2006 coincides with decline in unemployment rate from 7.82 percent in 2000 to 6.5 percent in 2006 (see Figure 8.1).


• This decline in unemployment rate is more significant when we take into account the rising trend in labor force (see Figure 8.2)


• Importantly, the gains in unemployment are shared by both rural as well as urban areas of the country although the decline in urban unemployment is greater compared to that in the rural sector (see Table 8.7

Social Sector Development• The province-wise analysis

shows that NWFP has the highest unemployment rate both for male and female workers.

• The lowest unemployment rate is in Sindh, followed by he Punjab.

• However, the unemployment rate for females in the Punjab is the lowest among all provinces (see Figure 8.3).

A disquieting feature of the unemployment status in Pakistan is the rising share of the unemployed literate labor force (see Figure 8.4 a).

Social Sector Development• In this regard, the government

is focusing on creating employment through implementation of public works schemes, e.g., under the Khushal Pakistan Program and on reducing the mismatch between skill gap of labour demand and its supply.

• Further, the government is encouraging investor friendly environment in the country as it has significant positive externality for employment creation.

Social Sector Development• Government is also trying to reduce gender inequality in employment

market.

• The Ministry for Labour, Manpower and Overseas Pakistanis included the welfare of women as part of a new broader labour welfare reforms package

• It includes propositions like • equal remuneration irrespective of gender, and recruitment of female

labour inspectors for enforcement of labour law for female workers etc.

• Moreover 10 percent quota has been recently announced for female in civil services and a recommendation for the same quota for all public sector entities is under serious consideration.


• Education• a key determinant for

human resource development as education helps in raising the living standard of people.

Social Sector Development• Region-wise literacy rate shows

wide disparity between rural and urban areas.

• Not only is the urban literacy rate significantly higher than the rural region, the improvement is also more profound in the urban sector.

• Further, the province-wise data shows that while the literacy rate has risen during 2001-05 period, disparity across provinces has also widened.


• The gender disparity is more evident in rural region as the female literacy rate in the rural regions is quite low compared to the male literacy rate.

• A high dropout rate is another issue


• In FY06, 39 percent of students dropped out before completing their primary

• Another 20 percent left their education before completing their secondary level.

• Cause– inadequate resources– parents are more inclined to have an extra helping

hand contributing to the family income

Social Sector Development• Drop out rate higher in Girls

– Due to distance from home to school/College– Tribal rivalries– Low priority given to girls education– Govt. launched schemes to get girls to schools by offering incentives

under Pirrah Lakha Pubjab and Similar scheme was launched in Sindh– Increase in budget from 1.9 in 2001 to 2.1 in 2006

• Criticism– Major chuck goes to the salaries. – Appointments are made on the basis of political considerations.

• Govt. encouraging private sector under public-private sector.

Social Sector Development• The status of higher

education is also quite• dismal. The enrolment

rate is 2.9 percent which is one of the lowest in the world.

• However following the education reforms of 2003, focus on higher education has been increasing tremendously.


• However, there is criticism on the govt. that by allocating more resources to Higher Education it has created imbalance in the higher education and primary and secondary education.


• Reforms in Education1. National Commission for Human Development

(NCHD)• Opened 6,602 literacy centres• 160,533 have become literate• Launched non-formal basic education by setting up

7,749 centres where 356,977 students has been enrolled.

• All schools were converted into co-education in order to reduce the gender gap.

• Both provincial and federal govt. introduced


2. Restructuring schools and formal education centres– Govt. planned to open new 30,000 schools through

MTDF3. Public Private Partnership

– Govt. planned to increase the number of private schools from 42,000 to 55,000

4. Integration of educational system– Introduction of English as compulsory language– Computer labs were set up– Madrassah Boards were set up to monitor and regulate

the madrassh curriculum.


5. Quality Relevance– Established Teaching Resource Centre (TRC)– National Educational Assessment has been set up to

assess the learning achievement at primary and elementary levels

– The number of teachers increased to meet the demands in schools.

6. Educational Management Information System.– It was set up in federal ministry of education to

provide accurate and comprehensive data on regular basis

– Control has been devolved to district and tehsil level.

Social Sector Development• Higher and Technical Education

– Budget increased from RS 11 billion in 2001 to 22 in 2006

– Initiated 347 Development Projects– Set up Quality Assurance Cell– Scholarship for PhD and MS– Digital Library– Planned to open Six new Eng. Universities and three

Technology Universities with the help of Germany, Austria, France, China, Netherland, S. Korea, Japan and Italy.

Social Sector Development• Health• The MDGs also focused on

health as a part of the areas where developing countries must show sustained commitment.

• A survey conducted on human development by the UNDP in 2003 concluded that those who were the poorest in Pakistan were also in extremely unhealthy state.

Social Sector Development• The World Health Report

notes that Pakistan has the lowest expenditures on health in South Asia, both as a percentage of GDP and as a percentage of total government expenditure (see Figure 8.10).

• Moreover, the per capita government expenditure on health for Pakistan is also the lowest in the region.


• Increase in the per capita health expenditure



• UNDERLYING CAUSES FOR POOR DEVELOPMENT– Bad Governance– Corruption = (Monopoly power, discretion,

accountability, low government salaries).

• To eliminate corruption, following actions are required.

Social Sector Development1. Begin accountability from the top.2. Set up national anti-corruption commissions and appoint an

independent watchdog.3. Set up exclusive corruption courts.4. End unnecessary or archaic discretionary laws.5. Enact legislation to improve accountability, ensure transparency,

punish the corrupt severely and ensure time bound action.6. Require public officials to declare their assets.7. Provide immunity to informers. 8. Use independent private-sector auditors.9. Involve people in diagnosing corrupt systems.10. Implement core institutional reforms and repair corrupt systems.11. Ensure an active and free press.

Tackling issues in Social Development

• POLITICAL STRUCTURES

• Politics is about the creation and distribution of power and governance is the mechanism which controls the relationship between the two extremes—the governed and the governors.

• Unfortunately, Pakistan does not meet all of these criteria.


• INSTITUTIONAL CAPACITY, EFFICIENCY AND MANAGEMENT

• Way out/forward • Integrated Social-sector Macroeconometric

Model


• The traditional neoclassical production model postulates that it is the physical inputs such as private capital, labour, land, and technology that are the key determinants of output and economic development.

• However, the social sector variables (e.g., education, health, knowledge, etc.) are also considered to be critical, particularly for the long-run sustainable growth of the economy.

Social Sector Development• According to recent World Bank Report,

Technological innovations have no doubt generated some improvement in total factor productivity. But the main additional element is in the quality of labour.

– Of course, the quality of labour will come about due to education, skills, and the status of health that the society provides for the workforce.

– Pakistan has traditionally given a relatively low priority to the social sectors as reflected in poor human development indicators of the country




• Conclusion

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Social Sector Development Intro What is Social Development – Social development is a process which results in the transformation of social structures in