Pakistan suffered an estimated economic loss of $132 billion in 2023, equivalent to 39 percent of its gross domestic product (GDP), due to administrative friction, according to a document by the Pakistan Digital Authority (PDA).
The document identifies administrative inefficiencies and fragmented institutional processes as major obstacles to the country’s economic performance, highlighting the need to reduce procedural barriers and improve coordination among government institutions.
According to PDA, fragmented administrative processes can complicate coordination, increase procedural burdens and prevent the effective use of available resources, affecting both government operations and wider economic activity.
The document also points to disconnected systems and limited interoperability between government departments as challenges for information sharing, service delivery and institutional coordination.
To address these issues, the PDA emphasises the need for common frameworks, harmonised standards and stronger coordination among government entities. Streamlining administrative procedures and reducing duplication could help improve institutional efficiency and the delivery of public services.