Political uncertainty has many damaging effects on struggling economy. It is impossible to achieve economic growth without political stability as there is a close nexus between economic recovery and political certainty.
2. Indicators of political instability:
a. Frequent change of governments b. Inefficient and conflicting political parties and weak political culture c. Centre province conflicts d. Inconsistent policies of successive governments
3. Facts which prove political instability hurts economic growth
a. Political instability results in low foreign direct investment FDI b. Budget deficit and current account deficit is the outcome of political and stability c. Political uncertainly leads to high inflation rate d. Political polarization has deleterious economic impact in Pakistan’s federal system e. Disturbance and law and order situation injects mistrust in Economic spheres f. Inconsistent policies result in Taxi evasions which badly hurt the economic growth g. Political uncertainty hamper socio economic development h. Rampant corruption
