Agricultural Reforms Spark Hope for Economic Revival

Mian Zahid Hussain, Chairman of the National Business Group Pakistan, President of the Pakistan Businessmen and Intellectuals Forum, and Chairman of the FPCCI Advisory Board, has highlighted that the decline in agricultural productivity stems from multiple factors, including decreasing soil fertility, insufficient irrigation infrastructure, small land sizes, and weak collaboration between research institutions and farmers.

He emphasized that resolving these issues necessitates coordinated action between the federal and provincial administrations to ensure reforms effectively reach local levels. He pointed out that the Prime Minister’s strategy could restore confidence in government-led agricultural development among farmers and stakeholders, who have felt overlooked for an extended period. The government can effectively link policy and implementation by giving priority to structural changes, transparency, and inclusivity.

A strong dedication to enhancing rural living conditions and agricultural output will not only support the farming community but will also improve national food security. If these reforms are put into practice successfully, they could serve as an example for sustainable and inclusive economic development in Pakistan.

He lauded Prime Minister Shahbaz Sharif’s declaration of agricultural reforms, noting that these reforms have created optimism for the revitalization of the industrial sector and offer prospects for enduring financial relief for farmers.

Mian Zahid observed that the Prime Minister’s emphasis on accessible agricultural loans, modernizing agricultural methods, and collaboration with the private sector signifies a beneficial change in policy. He underscored that agriculture contributed 23.54% to Pakistan’s economy in FY2025 and provided jobs for nearly 40% of the nation’s workforce. Despite this, the sector is suffering as a result of water shortages, climate change, antiquated practices, and constrained access to funding. He mentioned that agriculture expanded by just 0.56% in FY2025—the slowest pace in nine years—and that recent rainfall and potential floods could worsen the situation. A 13.49% decrease in the production of main crops has already contributed to growing poverty in rural areas.

Mian Zahid applauded the government’s choice to offer low-interest loans utilizing a public-private partnership model, calling it a favorable step toward economic progress. This type of funding will give farmers the chance to utilize contemporary machinery, superior seeds, and enhanced techniques, which will assist in raising both production and revenue. However, he cautioned that the initiative’s success is contingent upon open and prompt implementation.

He voiced his strong support for reforms within the Agricultural Development Bank, emphasizing that the agricultural credit system needs to be simplified, depoliticized, and transparent. He stated that the majority of farmers are unable to obtain formal credit and become caught in the trap of informal lending, which intensifies their financial difficulties.

Mian Zahid commended the Prime Minister for focusing on zoning regulations, value chains, and export plans. He noted that integrating these elements with investments in storage facilities and agricultural technology will not only boost production and food security but also facilitate access to new markets for products made in Pakistan.