ISLAMABAD: Renowned political scientists have identified several factors in developing an agro-based economy by streamlining microfinance for small farmers, which will help Pakistan move away from food survival and gradually towards sustainability.

The experts spoke at a conference, ‘Reclaiming the Pride of Pakistan through Economic Revitalisatiog focusing on the transformative role of microfinancing in supporting small farmers’, co-organised by Quaid-i-Azam University’s School of Politics and International Relations (SPIR) and the Non-Resident Pakistanis (NRP), USA.

Dean Faculty of Social Sciences at QAU Prof Dr Zafar Nawaz Jaspal stated that Pakistan had the potential to become a breadbasket for the world but at the same time its food exports had significantly dropped.

“We have great plans from borrowed intellect and yet they are never implemented. It is important to investigate how we manage micro-farming,” he remarked.

Dr Jaspal said that ironically the urban sector, which makes up about 30pc of the population, is making the policies with little to no focus on the rural regions.

Former CEO of Khushali Bank Galib Nishtar pointed to the fact that farmers do not have the capital they need to make meaningful investments in their farmland.

Mr Galib also spoke of the role Khushali Bank played as a pioneer in microfinance banking but more importantly, spoke of the institutional arrangements in regard to public-private relations that allow for more successful endeavours.

The session highlighted the role that microfinance banks can play, focusing on how it can help small farmers with no access to large capital transform their farming practices and make them more sustainable.

SDPI Executive Director Dr Abid Suleri focused on the intersection of agriculture and sustainable development in ensuring food security. He also spoke of the current food security issues in Pakistan.

Governing Council member of NRPs and a food security expert Imran Shauket said Pakistan had around 50 microfinance institutions (MFIs) serving 10 million clients in comparison to Bangladesh that had 750 MFIs serving 40 million clients.

Former ambassador Seema Ilahi Baloch said 2pc of farmers hold 45pc of the land with the remaining 98pc holding the rest. Of the 69 million women contributing to the rural economy, only 3pc have ownership of agricultural assets.

International microfinance expert Stephen Rasmussen stressed the need for digitising land records, blending finance models and aligning agricultural development with climate change adaptation goals.

Chairman of SDGs Academy Pakistan Ammar Jafferi spoke of the grim impact of ‘business as usual’ in the next 10 years.

However, he remained optimistic about the future and reinforced the importance of collaboration in revitalising Pakistan’s agricultural sector to achieve economic security.

Published in Dawn, December 25th, 2024