Manufacturing Sector and Job Creation in Pakistan

Along with productivity growth, job creation has always remained a central focus of economic policies the world over. In this regard, industrialization has emerged as a major policy to create employment opportunities and manufacturing sector, as an employer, has earned a greater attention, the world over. Continuous creation of jobs becomes even more crucial for developing countries wherein the population growth continues to add to the army of unemployed and economic recoveries are more often jobless. We argue that manufacturing sector in Pakistan has the potential to serve as the key driver of growth and employment generation. And that these gains are contingent on restoring the external competitiveness of overall tradable sector of the country.