Government, military, and business corruption has long plagued Pakistan. In 2006, the Corruption Perception Index (CPI) ranked Pakistan at 142 out of the 163 countries considered. The CPI ranks countries from least to most corrupt. In 2014, Pakistan was ranked 126 out of 175 countries. The extent of corruption has had a dramatic effect on business in Pakistan. Bribes and kickbacks are the most common costs to business.
The indirect costs are much more severe. High illiteracy rates have also hampered Pakistan’s ability to conduct business. Although the literacy rate is rising, it is estimated that 54% of Pakistanis remain illiterate. It is estimated that a whopping 74% of females remain illiterate. Although the government has instituted several programs to promote literacy, none have been successful to date. This high illiteracy rate certainly hampers business in Pakistan as companies move to other parts of the world with higher literacy rates.
Electricity shortages continue to be a debilitating problem in Pakistan. An inadequate distribution infrastructure has resulted in massive power shortages that have severely hampered manufacturing activities
Government, military, and business corruption has long plagued Pakistan. In 2006, the Corruption Perception Index (CPI) ranked Pakistan at 142 out of the 163 countries considered. The CPI ranks countries from least to most corrupt. In 2014, Pakistan was ranked 126 out of 175 countries. The extent of corruption has had a dramatic effect on business in Pakistan. Bribes and kickbacks are the most common costs to business.The indirect costs are much more severe. High illiteracy rates have also hampered Pakistan’s ability to conduct business. Although the literacy rate is rising, it is estimated that 54% of Pakistanis remain illiterate. It is estimated that a whopping 74% of females remain illiterate. Although the government has instituted several programs to promote literacy, none have been successful to date. This high illiteracy rate certainly hampers business in Pakistan as companies move to other parts of the world with higher literacy rates.Electricity shortages continue to be a debilitating problem in Pakistan. An inadequate distribution infrastructure has resulted in massive power shortages that have severely hampered manufacturing activities
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