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Economic

development of Pakistan

Report 

"ServiceIndustry inPakistan”

Submitted to: Sir M. Zeeshan MumtazSubmitted by: Muddassir Karnolwal

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Dated: May 19, 2010

AKNOWLEDGEMENT

First of all, I would like to thank Almighty Allah for

making me so capable to prepare this report. Afterthat my teacher who gave me an opportunity to

prepare this report, my parents who support me forthe same, my brother and sister in law who helped

me in making this report and last but not theleast, all those who directly or indirectly help or

support me for the same.

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Table of Contents

• Introduction to the economy of Pakistan

• Service sector

• Banking

•  Transportation

• Communication

• Media

•  Tourism

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AN INTRODUCTION TO PAKISTAN'S

ECONOMY :

 The economy of Pakistan is the 27th largest economy in the world in terms of purchasingpower, and the 45th largest in absolute dollarterms. Pakistan has a semi-industrialized economywhich mainly encompasses textiles, chemicals,food processing, agriculture and other industries.

Growth poles of Pakistan's economy are situatedalong the Indus River diversified economies of Karachi and Punjab's urban centers, coexist withlesser developed areas in other parts of thecountry. The economy has suffered in the pastfrom decades of internal political disputes, a fastgrowing population, mixed levels of foreigninvestment, and a costly, ongoing confrontation

with neighboring India. However, IMF-approvedgovernment policies bolstered by foreigninvestment and renewed access to global marketshave generated solid macroeconomic recovery thelast decade. Substantial macroeconomic reformssince 2000, most notably at privatizing the bankingsector have helped the economy.

GDP growth, spurred by gains in the industrial andservice sectors, remained in the 6-8% range in

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2004-06. Due to economic reforms in the year2000 by the Musharraf government. In 2005, theWorld Bank named Pakistan the top reformer in itsregion and in the top 10 reformers globally.Islamabad has steadily raised developmentspending in recent years, including a 52% realincrease in the budget allocation for developmentin FY07, a necessary step toward reversing thebroad underdevelopment of its social sector. Thefiscal deficit - the result of chronically low taxcollection and increased spending, includingreconstruction costs from the devastating Kashmirearthquake in 2005 was manageable.

Inflation remains the biggest threat to theeconomy, jumping to more than 9% in 2005 beforeeasing to 7.9% in 2006. In 2008, following thesurge in global petrol prices inflation in Pakistanhas reached as high as 25.0%. The central bank ispursuing tighter monetary policy while trying to

preserve growth. Foreign exchange reserves arebolstered by steady worker remittances, but agrowing current account deficit - driven by awidening trade gap as import growth outstripsexport expansion - could draw down reserves anddampen GDP growth in the medium term.

SERVICES

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Service Sector by Province

Pakistan's service sector accounts for about 53.3%of GDP. Transport, storage, communications,

finance, and insurance account for 24% of thissector, and wholesale and retail trade about 30%.Pakistan is trying to promote the informationindustry and other modern service industries through incentives such as long-term tax holidays.

 The government is acutely conscious of theimmense job growth opportunities in service sector

and has launched aggressive privatization of telecommunications, utilities and banking despiteunion unrest.

The service sector in Pakistan has several sub sectors. For instance, banking,

communication, tourism, transport etc. some of them are further discussed in detail.

BANKING

 There are at present 20 domestic banks with 7,590branches and 21 foreign banks with 71 branches inoperation in the country. Total Paid-up capital of scheduled banks amounted to Rs. 33.82 billion ason 1st April, 1993 as compared to Rs. 29.29 billionon 2nd April, 1992. Their total assets amounted to

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Rs. 1089.76 billion on 1st April, 1993 as comparedwith Rs. 864.92 billion on the corresponding datelast year. Their assets increased by 13.1 per centduring the first nine months of the current year upto 1st April, 1993 compared to an increase of 12.0per cent during the corresponding period a yearearlier. During this period their credit showed a riseof Rs. 55.54 billion or 20.3 per cent as comparedwith a rise of Rs. 30.54 billion or 13.0 per centduring the corresponding period last year. Theymobilized deposits aggregating to Rs. 46.74 billionduring the first nine month period of the currentyear as compared with an increase of Rs. 40.01billion recorded during the same period last year,indicating a rise of 16.8 per cent. Their investmentin government securities, treasury bills and otherinvestment in shares and securities increased byRs. 13.00 billion as compared with an increase of Rs. 24.84 billion in the comparable period lastyear.

PRIVATE BANKING

Pakistan's private banks seem to have madedeeper inroads in the saving habits of people asthe promising working results published by half of them for last year allayed fears about theircommercial viability in a tight liquidity market and

a low savings rate. Most of them have completedthe first year of their operation successfully,showing profits and in some cases good payoutstoo. Many financial analysts felt that years to comecould be much better if the current pace of growthwas maintained. What seem to have impressedthem are economics of scale at all levels and anefficient management of the financial affairs. "If 

the maiden year is any yardstick to the future, they

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have snatched away their due share with skill andprofessional efficiency, "says a leading financialanalyst. But most of them have transferred bigamounts to reserved fund or special reserve funds,a tendency might be good or bad at the same timefor a new bank, he added.

In some cases they did not share profits with theshare holders but made it a point to transfercertain amounts to the reserve funds. What isimportant for us is to maintain a strong liquidityposition at least for the initial few years as a

cushion against high borrowing costs and otherallied compulsion of the situation, another bankersaid and added it was also necessary to meet thecentral bank's requirements. Some two years agoPakistan government allowed the private sector toset up commercial and investment banks and soonafter more than a dozen banks was established.Pakistan had five banks in the public sector, out of 

which two Muslim Commercial Bank (MCB) andAllied Bank Limited (ABL), have been sold to theprivate sector.

Most of the new banks were owned by powerfulindustrial groups including Saigols, Habibs,Dawoods and Nishat groups, some of them havestake in more than one bank. Banking sources said

though some of the banks catered to the needs of their group business, they are as open to others asto their own group.

 Their accounts show a good bit of diversity and itcould be one of the reasons for their success. Theircredibility could be the major factor thoughinvestor might take some more time to opt for

prompt and efficient services, they added. But onething is clear that they have come to stay and will

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stay with due pride of a good banking system, theymaintained.

PRIVATISATION

United Bank Limited and Habib Exchange BankLimited (former BCCI) a wholly-owned subsidiary of Habib Bank Limited are being simultaneouslyoffloaded for privatization. This recommendationwas finalized by the Privatization Commissionwhich met under the chairmanship of A.G.N. Kazi.

UBL's inherent strength is generated from itsoverseas branches whose earnings are unmatchedcompared to any other financial institution. It isbelieved that Rs. 700 million income is generatedby UBL from its branches and subsidiaries most of it stemming from the Middle East. Twenty-six percent shares of UBL will be offered for transfer of management to run around 1400 branches. One-

third of the staff is said to be redundant and UBLhas one of the strongest unions in the bankingsector. Around Rs. 900 million are expected to beraised in the sale.

Habib Bank Ltd.: Privatization Commissionreportedly felt that Habib Bank is too big aninstitution and it was better to spin off Habib

Exchange Bank Limited which has a clean portfolio.Around Rs. 60

Million can be raised from its sale. Habib ExchangeBank Limited has three branches at Karachi,Islamabad and Lahore.

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AUTONOMOUS STATUS OF SBP

 The State Bank of Pakistan has been madeindependent giving it the power to refuse theoverdrafts to the Government. This is mostimportant because it means the Government willnot be able to borrow beyond its limit.

 The bank would be free from political pressuresthat over the past two years have resulted in anallocation of 70 per cent of credit to the publicsector and deficit financing, while the private

sector battled for the remaining 30 per cent.Pakistan's budget deficit soared to 7.5 per cent in1992-93 (July/June), exceeding targets by 1.5 percent, as the Government borrowed heavily to makeup for profligate spending and flagging taxrevenues.

According to Finance Secretary, Monetary Policy

would now be set by the Central Bank without priorGovernment approval. He called for an end toGovernment interference in prudential regulations,more taxes and privatization of banks. Distortionsin monetary policy, such as segmentation of thecredit market, multiplicity of the rate structure andoutside interference were making the cost of money exorbitant.

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TRANSPORTATION

 Transportation is the movement of people andgoods from one location to another. Transport isperformed by modes, such as air, rail, road, water,cable, pipeline and space. The field can be dividedinto infrastructure, vehicles, and operations.

 Transport in Pakistan is extensive and varied butstill in its developing stages and serving apopulation of over 170 million people.

Construction of new airports, roads, and railwaylines has lead to an employment boost in thecountry. Much of Pakistan's road network (National

Highways) and railway network were built before1947, mainly during the British Raj. In recentyears, new national highways have been built, withthe addition of motorways which has acceleratedtrade and logistics within the country. Airports andseaports have been built within the last 30 yearswith the addition of foreign and domestic funding.

LOCAL TRANSPORT

In urban areas there are several means of transport available, catering to a wide range of budgets.

BUSES

DOMESTIC

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Within cities, buses provide a significant role incommuting a large population from one point in acity to another. There are two main owners thatare able to run bus services: government orprivate. The Flying Coach are private run yellowand white vans that run services throughout thecity to get commuters from one point in the city tothe other. These are also referred to as "mini-buses" as they are smaller versions of the coachesthat carry less people and get commuters to theirdestinations more quickly.

Since 2000, the government has taken acomprehensive initiative to modernize the existingbus fleets and minimally impact the environment.

 This public-private enterprise would graduallyintroduce 8,000 CNG buses throughout the countryand 800 buses in Karachi. This venture will ensurehigh standards of efficiency and cleanliness.

INTER CITY 

Bus service in urban areas and between cities iswell established with services run by both publicand private sectors. Bus services like DaewooExpress, Kohistan, Khan Brothers , Skyway andNiazi Bus have set up modern intercity service inPakistan which connects to most cities in Pakistan

and runs 24 hours a day. Intercity buses tend to bemore modern and well kept as compared to urbantransport within cities which are also wellestablished, however the fleet of buses used tendto be in horrible shape and are not air-conditioned.

INTERNATIONAL

International bus services are also well established

in Pakistan and connect to various countries:

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• Quetta - Zahidan, (Iran)• Quetta - Mashad, (Iran)• Gwadar - Zahidan, (Iran) (2010)• Karachi  - Quetta - Zahidan - Tehran, (Iran)(proposed)• Peshawar - Jalalabad, (Afghanistan)• Peshawar - Kabul, (Afghanistan)• Islamabad - Dushanbe, (Uzbekistan)• Islamabad - Kashghar, (China)• Lahore - Delhi, (India)

AUTO RICSHAWS

Auto rickshaws are a popular method of travelingin cities and are found in almost every city andtown in Pakistan. The fare is usually negotiablebefore commencing a journey, however due to thelevel of pollution contributed by the auto-rickshaws, the government has recently begunbanning older auto richshaws and replacing them

with CNG auto rickshaws, which tend to be lessnoisy, forms less pollutants and are much biggerand more comfortable than the older sets of richshaws. The Punjab Government decided in2005 to replace two-stroke three-wheelers withCNG-fitted four-stroke rickshaws in Lahore, Multan,Faisalabad, Rawalpindi and Gujranwala. Threemanufacturers were ordered to produce 60,000

four-stroke vehicles, but they reportedly supplied2,000 to the government which were now plying oncity roads. Similar ordinances are now beingconsidered in other provinces of Pakistan. A newform of transport in Pakistan is the Qing-Qi(pronounced "ching-chee"), which is a crossbetween a motorcycle and auto-rickshaw. It runs

 just like a motorcycle but comes with three wheels

instead of two and carries a much heavier load on

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its back. It is an urban transport vehicle and isused mostly for short distances.

 TAXIS

Another very common sight seen mainly at hotelsand airports are yellow taxis. The drivers chargeaccording to a meter located on the dashboard of the car, but fares can be negotiated if there is nometer. The cab drivers are reliable and will takepassengers to any destination required. There arealso numerous privately run services that use cars

and minibuses of various types throughoutPakistan, providing a reliable and quick means of transport. Recently, the Radio Cab was introducedin Pakistan, which offers riders to call a toll freenumber to get in touch with the closest taxi stand.

 This service is currently offered in Islamabad,Rawalpindi, Karachi, Peshawar and Lahore.Services for Hyderabad and Sialkot are now being

made.

 TRADITIONAL

In the small towns and farms, many people decideto walk great distances to either get to work or towalk to their nearest grocery store to get theirdaily shopping. The donkey and cart, locally known

as the Reyri, is still visible every where in Pakistan,as people are poor they use this form of transportto shift cargo from one part of a city to the next.

 The cargo they hold ranges from fruits andvegetables, textiles or machinery that factoriesrequire in industrial cities. The House & Carriage,locally known as Tangahs are mainly seen used forcasual travelling around the city. There is one

driver, with either one or two horses at the front.

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 This method is now usually used by tourists in thespring and summer that love to see the cities in anopen environment. Camel & Cart are also seenfrom time to time. Mostly seen in the hotter partsof Pakistan including Sindh, Punjab and Balochistan where farmers transport larger cargo that donkeycarts can not handle. Bicycles are used by eitherthe poorer society or for leisure. This method is stillvery widely used as its very economical and simpleto run.

RAILWAYS

DOMESTIC

Rail services in Pakistan are provided by the state-run Pakistan Railways, under the supervision of theMinistry of Railways. Pakistan Railways provides animportant mode of transportation in Pakistan,catering to the large-scale movement of people

and freight. The railway network comprises8,163 km of which 1,676 mm (5 ft 6 in) (broadgauge) forms 7,718 km, including 293 km of electrified track. 1,000 mm (3 ft 33 ⁄ 8 in) narrowgauge tracks form the remaining 445 km.Passenger earnings comprise 50% of the totalrevenue. During 1999–2000 this amounted to Rs.4.8 billion. Pakistan Railways carry 65 million

passengers annually and daily operate 228 mails,express and passenger trains. Pakistan Railwaysalso operate special trains for various occasions.

 The Freight Business Unit with 12000 personneloperates over 200 freight stations on the railwaynetwork. The FBU serves the Port of Karachi andPort Qasim as well as in various other stationsalong the network and generates revenue from the

movement of agricultural, industrial and imported

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products such as wheat, coal, fertilizer, cement,and sugar. About 39% of the revenue is generatedfrom the transportation of petroleum, 19% fromimported wheat, fertilizer and rock phosphate. Theremaining 42% is earned from domestic traffic. Thefreight rates structure is based on market trends inroad transport which is the main competitor to railtransport.

MASS TRANSIT

 The Karachi Circular Railway, which opened in the

early 1940s, is the only functioning Mass TransitSystem in Pakistan as of date. In 1976, Karachi wasslated to begin work on an underground metrosystem, but plans have been put on hold since. TheLahore Metro is another proposal still in planningand is scheduled to be completed by 2020.

INTERNATIONAL

Iran - A broad gauge railway line runs fromZahedan to Quetta, and a standard gauge line isfinished from Zahedan to Kerman in central Iran,linking with the rest of the Iranian rail network. OnMay 18, 2007, a MOU for rail cooperation wassigned by Pakistan and Iran under which the linewill be completed by December 2008. Now that therail systems are linked up at Zahedan, there is abreak-of-gauge between the Islamic Republic of Iran Railways standard gauge tracks and PakistanRailways broad gauge.

Afghanistan - Currently there is no rail link toAfghanistan since no railway network is present inthat country, however Pakistan Rail has proposedto help build a Afghani Rail Network in three

phases. The first phase will stretch from the

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Chaman to Spin Boldak in Afghanistan. The secondphase will extend line to Kandahar and the thirdphase will eventually connect to Herat. From there,the line will be extended to Khushka,

 Turkmenistan. The final phase would link 1,676mm (5 ft 6 in) gauge with Central Asian 1,520mm (4 ft 115 ⁄ 6 in) gauge. It is not clear where thebreak-of-gauge station will be. The proposed linewill also be connected the port town of Gwadar viaDalbadin and Taftan, thus connecting the porttown to Central Asia.

China - There is no link with China however, onFebruary 28, 2007 contracts were awarded forfeasibility studies on a proposed line from Havelian via the Khunjerab pass at 4730 m above sea level,to the Chinese railhead at Kashgar, a distance of about 750 km.

 Turkey - A proposed Istanbul- Tehran-Islamabad 

passenger rail service was proposed recently.Meanwhile a container train service was launchedby the Prime Minister of Pakistan Yousuf RazaGilani between Islamabad and Istanbul on 14August 2009. The first train carried 20 containers with a capacity of around 750 (738 LT; 827 ST)and will travel 6,500 km (4,000 mi) fromIslamabad, through Tehran, Iran and on to Istanbul

in two weeks' time. According to the Minister forRailways Ghulam Ahmad Bilour, after the trial of the container train service, a passenger train willbe launched. There are also hopes the route willeventually provide a link to Europe and CentralAsia, and carry passengers.

 Turkmenistan - via Afghanistan

ROADS

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NATIONAL HIGHWAYS

During the 1990s, Pakistan began an ongoingproject to rebuild all national highways throughout

the country specifically to important financial,cargo and textile centers. The National HighwayAuthority or NHA is responsible for themaintenance of all national highways in Pakistan.

•  The Makran Coastal Highway follows thecoast of Sindh and Balochistan provinces,linking Karachi and Gwadar. Journey time has

been reduced to six or seven hours with theconstruction of the new Coastal Highway. Thehighway was built as part of an overall plan toimprove transport facilities in southernBalochistan.

•  The Karakoram Highway is the highestpaved international road in the world. It

connects China and Pakistan across theKarakoram mountain range, through theKhunjerab Pass.

•  The Grand Trunk Road (commonlyabbreviated to GT Road) is one of South Asia'soldest and longest major roads. For severalcenturies, it has linked the eastern andwestern regions of the South Asia, runningfrom Bengal, across north India, into Peshawarin Pakistan.

•  The Silk Road is an extensiveinterconnected network of trade routes acrossthe Asian continent connecting East, South,and Western Asia with the Mediterraneanworld, including North Africa and Europe. It

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passes through the mid section of Pakistanthrough cities: Peshawar, Taxila and Multan.

MOTORWAYS

 The construction of motorways began in the early1990s with the idea building a world class roadnetwork and to reduce the load off the heavilyused national highways throughout the country.

 The M2 was the first motorway completed in 1998,

linking the cities of Islamabad and Lahore. In thepast 5 years, many new motorways have openedup including the M1, M3.

•  Total: 257,683 kmo Paved: 152,033 km (including 339 kmof expressways)o Unpaved: 105,650 km (2001)o Vehicles on road: 4.2 million vehicles250,000 commercial vehicles (2004estimate)

AIR TRANSPORT

Pakistan has 139 airports. The main airportsinclude:

•  Jinnah International Airport (Karachi)• Allama Iqbal International Airport (Lahore)• Benazir Bhutto International Airport(Islamabad/Rawalpindi)• Peshawar International Airport (Peshawar)• Quetta International Airport (Quetta)• Faisalabad International Airport(Faisalabad)• Multan International Airport (Multan)

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• Sialkot International Airport (Sialkot)• Gwadar International Airport (Gwadar)• Shaikh Zayed International Airport (Rahim

 Yar Khan)

 There are also several smaller airports which haveflights to and from the Gulf because of the largePakistani diaspora working in the region. There are91 airports with paved runways of which 14 haverunways longer than 3,047 meters. The remaining48 airports have unpaved runways including oneairport with a runway longer than 3,047 meters.

Pakistan also has eighteen heliports.

WATER TRANSPORT

 The waterway network in Pakistan is in its infancywith Karachi being the only major city situatednext to the Arabian Sea. Still plans are beingproposed for the development of the waterways inthe country along the Indus River and through thePunjab as it would boost employment opportunitiesand the economic and social development of Pakistan.

• Port of Gwadar - Gwadar, Balochistan• Port of Karachi  - Karachi City Center• Port Qasim - East Karachi• Port of Pasni  - Pasni, Balochistan

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COMMUNICATION

MOBILE TELECOMMUNICATION

 Telecom sector is seeing exorbitant growth in

Pakistan. The sector is said to be growing at a fastpace yearly. Mobile subscribers are 95.54 millionas of July 2009. In fact Pakistan has the highestmobile penetration rate in the South Asian region.According to the PTA, Mobilink continues to leadthe market with 29.55 million subscribers, followedby Telenor (21.29 million), Ufone (20.05 million),Warid Telecom (18.14 million) and Zong (6.48

million). All Telecom companies are now working to

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broaden their network in AJK and Northern Areas,which were normally ignored till now. Till now 5agencies of tribal areas are covered for mobileservice.

 TELEPHONE

 The telecom infrastructure is improving

dramatically with foreign and domesticinvestments into fixed-line and mobile networks;fiber systems are being constructed throughout thecountry to aid in network growth. Major businesseshave established their own private systems; since1988, the government has promoted investment inthe national telecommunications system on apriority basis, significantly increasing network

capacity. There are currently 7 million landlinesubscribers in the country.

DOMESTIC

 Microwave radio relay, coaxial cable, fiber-opticcable, cellular, and satellite

Landlines: For local calls the code used is non-STD.

For calls to other cities (e.g. Karachi to Lahore) thecode is called STD. For International calls the codeused is ISD.

Dialing System: When dialing on landlines, callsmade within cities are considered local calls. Callsto other cities (e.g Karachi to Lahore) areconsidered long distance calls and are metered

according to distance. (e.g. When dialing to Lahore from Karachi you have to dial the code for Lahore

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then followed by the number of the destination,therefore you dial 0423-XXX-XXXX ). For local calls,you just dial the local number. For internationalcalls, you dial "00" followed by the country code.(e.g. For calls to the UK from Pakistan you dial 00 -44 - XXXXXX ).

INTERNATIONAL

Satellite earth stations - 3 Intelsat (1 AtlanticOcean and 2 Indian Ocean); 3 operationalinternational gateway exchanges (2 at Karachi and

1 at Islamabad); microwave radio relay toneighboring countries.

INTERNET

Internet access has been available in Pakistansince the early 1990s. PTCL started offering accessvia the nationwide local call network in 1995. By

early 2006 Internet penetration remained low. Butthe numbers are growing. There were signs thatthis was changing, however. The country has beenpursuing an aggressive IT policy, aimed at boostingPakistan’s drive for economic modernization andcreating an exportable software industry. Recently,PTCL has started offering free dial-up internetservice to all its landline subscribers. Broadband

access is now available in the major cities. Alsowireless broadband internet has been introducedby the WLL(Wireless Local Loop) Networks in manymajor cities. WiMAX networks are also beingdeployed in the country. It does not end here asPakistan became one of the few countries in Asiato have FTTU - Fiber to the User triple-servicesthrough Nayatel, which at present are available in

all major cities. There is no doubt that there hasbeen helping increase the popularity of the

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Internet. The market certainly has huge potential.In 2008, Pakistan Telecommunication Authority reported over 22 million internet users. MostPakistani companies and government departmentsmaintain web sites which has further increased thedemand for internet.

BROADBAND INTERNET ACCESS

Broadband was first introduced in Pakistan in 1995

by Telstra [Australian Telecom Company] with thedesign of the repeater huts being done by Designman – an Islamabad civil engineering firm. The firstand only official cable internet service waslaunched in 2000 by a company named World Call under the brand name of GO4B. The First DSLservice was launched by Micro Net inIslamabad/Rawalpindi in 2002. Pakistan had almost

128 ISPs in 2007 with internet users beingconcentrated in the areas of Islamabad, Karachiand Lahore.

 Today broadband is offered in Pakistan from 512kbit/s to 12 Mbit/s in all major cities. CurrentlyPakistan has 600,000 broadband subscribers in thecountry. The big broadband providers are PTCL,LINKdotNET and Wateen. Other small DSLproviders are Micro Net, Nayatel, Maxcom, MultiNet, World Call, Cyber Net, Gerry's Net, Brain Netand Comsats.

EV-DO

PTCL and World Call are now providing wirelessbroadband via EV-DO, with speeds of up to 3Mbps.

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PTCL provides its service under the brand nameEVO.

WIMAX

Wateen Telecom has launched its WiMAX servicesin the country. It is the largest and the firstnationwide WiMAX network in the world.Connections are available from 256Kbit to 1Mbit.Wi-Tribe and Mobilink are also offering WiMAX.Augere has also started its WiMAX services underthe brand name Qubee. There are a total of 4

WiMAX operators in Pakistan.

• Wateen• Mobilink• Wi-Tribe• Qubee

MEDIA

Since Pakistan's independence, there have beenfour major news agencies in Pakistan: theAssociated Press of Pakistan (APP); the Pakistanpress association, later renamed the Pakistan Press 

International (PPI) Associated Press Service (APS) isthe first Pakistani news Agency on IT base inspecialization in editorial writing. APS news agencyalso contributing news, feature, article, column,interviews, audio, video and photo service to printand electronic media through out world. Renowned

 journalist and columnist Chaudhry Ahsan PremeeChief Editor and Publisher of this news agency. APS

Associated Press Service, the news agency, is

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working in Islamabad, Pakistan. (APS) AssociatedPress Service also accredited by Government of Pakistan; the united press of Pakistan (UPP); andthe National News Agency (NNA). A number of other smaller news agencies have come intoexistence including the Independent News Pakistan(INP), News network international (NNI), the SouthAsian News Agency (SANA), and Online NewsInternational (ONI).In the early twenty-first century,like the rest of the world, print media declinedprecipitously but total circulation number haveincreased. From 1994 to 1997, the total number of daily, monthly, and other publications increasedfrom 3,242 to 4,455 but had dropped to just 945 by2003 with most of the decline occurring in thePunjab Province. However, from 1994 to 2003 totalprint circulation increased substantially,particularly for dailies (3 million to 6.2 million).Print media are published in 11 languages, butmost are published in Urdu and Sindhi, andEnglish-language publications are numerous. Thepress generally publishes free without restrictionsand has played an active role in national elections,but journalists often exercise self-censorship as aresult of arrests and intimidation by governmentand societal actors. Most print media are privatelyowned, but the government controls the NationalPress Trust, a major newspaper publisher, and theAssociated Press of Pakistan, one of the two majornews agencies, but now many news channels andnews corporations are made through whichPakistani media became more faster andcomplicated and many talk shows are held to getthe answers from political leaders about their badplans.

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TOURISM

While Pakistan has some social and politicalproblems, it has also been stated as being thetourism industry's big thing. Pakistan has diversecultures, people and landscapes.

 The country's attraction range from the ruin of civilization such as Mohenjo-daro, Harappa and

 Taxila, to the Himalayan hill stations, which attract

those interested in winter sports. Pakistan is hometo several mountain peaks over 7000m, whichattract adventurers and mountaineers from aroundthe world, especially K2. The north part of Pakistanhas many old fortresses, ancient architecture andthe Hunza and Chitral valley, home to small pre-Islamic Animist Kalasha community claimingdescent from Alexander the Great. The romances

of the North West Frontier Province is timeless andlegend. Punjab province has the site of Alexander'sbattle on the Jhelum River and the historic cityLahore, Pakistan's cultural capital, with manyexamples of Mughal architecture such as BadshahiMasjid, Shalimar Gardens, Tomb of Jahangir andthe Lahore Fort. Before the Global economic crisisPakistan received more than 500,000 tourists

 To promote Pakistan's unique and various culturalheritage, PM launch "Visit Pakistan" marketingcampaign in 2007.

In 2009, The World Economic Forum’s Travel & Tourism Competitiveness Report ranks Pakistan asone of the top 25% tourist destinations for itsWorld Heritage sites. Ranging from mangroves in

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the South, to the 5,000-year-old cities of the IndusValley Civilization —Mohenjo-daro and Harappa

FAMOUS LANDMARKS

• Pakistan National Monument in Islamabad• Ba'ab-ul-Islam Sindh.• Faisal Mosque in Islamabad• Minar-e-Pakistan (Tower of Pakistan),Lahore• Badshahi Masjid (Emperor's Mosque),Lahore• Shalimar Gardens, Lahore• Skardu• Hiran Minar, sheikhupura•  Takht Bhai  a Buddhist Monastic Complex,Mardan• Ancient city of  Taxila• Ancient city of Harappa• Ancient city of Moenjodaro• K2,highest peak in the world, NorthernAreas• Bhong Mosque, Rahim Yar Khan• Nanga Parbat, one of the tallest andhardest mountain in the world to climb,Northern Areas.• Wagah Border, Lahore district• Mausoleum of Quaid, Karachi.

POPULAR SITES OF PAKISTAN

ISLAMABAD

Faisal Mosque, Margalla Hills, the pass of ancientkings from Europe, Central Asia and Iran, SimlyDam, Rawal Lake

AZAD KASHMIR

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 Rawalakot, Muzaffarabad, Jhelum Valley, Bagh,

BALOCHISTAN

Ziarat, Bolan Pass, Moola Pass, Chotok Waterfall,Mehrgarh, Khojak Pass

FATA & NORTHERN AREAS

Chakdara, Lower Dir, Upper Dir, Lowari Pass,Drosh, Chitral, Garam Chashma, Kohistan District,Besham, Dasu, Chilas, Astore Valley, Nanga Parbat,Gilgit, Parri Bangla, Naltar Valley, Bagrot-Haramosh Valley, Juglot, Gashoo Pahoot, Rama Ishkoman,

 Yasin Valley, Ghizar, Baltistan, Skardu, DeosaiNational Park, Shigar, Khapalu Biafo glacier,Sadpar lack, Shangrilla, K2 base camp, K7, BroadPeak, Braqthok khaplu, Gondogoro-laa,Masherbrum, Hunza, Nagar, Gojal, Chalt, Aliabad,Karimabad, Altit Fort, Gulmit

KHYBER-PAKHTUNKHWA

Peshawar, Kohat, Bannu, Mardan, Swat, Mingora,Saidu Sharif , Shangla District, Kalam valley,Haripur, Tarbela Dam, Havelian, Abbottabad,

 Thandiani, Mansehra, Kaghan Valley, Batagram

PUNJAB

Murree, Cholistan Desert, Uch Sharif , Multan,Harappa, Pakpattan, Lahore, Fort Munro, Panjnad,Salt Range, Rohtas Fort, Taxila, Lal SuhanraNational Park

SINDH

Karachi, Mohenjo-daro, Hyderabad, Sehwan Sharif ,

Gorakh Hill, Manchhar Lake, Kot Diji, Kalri Lake,

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Bhambore, Thatta, Chaukundi Tombs, Makli Hill,Gateway of Pakistan, Haliji Lake, Kher TharNational Park, Hostorical City Thatto and KetiBandar, Shahbandar, Jani Bandar, Bhanbhor, GiduBandar.

LIST OF MAJOR HOTELS IN PAKISTAN• PearlContinental, Lahore, Rawalpindi• Marri

ott Hotel , Islamabad• Sheraton Hotel , Karachi• Serena Hotel , Faisalabad

• Sun

Fort Hotel , Lahore• Leaders Inn , Lahore

• Shangrila Resort , Murree

• Crow

n Plaza , Islamabad• Hotel Java International , Murree

• Regent Plaza , Karachi

• Holid

ay Inn , Lahore

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• Awari Hotels , Karachi

Bibliography &References

Websites:• www.wikipedia.com• www.pakistan economic survey.com• www.businessrecorder.pakistan.com•

www.dawn news.com

Books:• economy of Pakistan by Prof. Amin Khalid 

• Pakistan's Economy by Kifayat Academy