Muhammad Saleem Memon, President of the Hyderabad Chamber of Small Traders and Small Industries (HCSTSI), has stated that the root cause of rising poverty in Pakistan is the failure to utilize national resources effectively for public welfare. He emphasized that the devastating floods of 2022 and 2025 displaced millions of families and destroyed standing crops and agricultural lands, pushing countless households deeper into poverty.
He noted that another major factor is the large segment of the population employed in the informal sector, where low-paid and insecure jobs lack the potential to lift families out of poverty. Additionally, the lack of quality education and skills has deprived the youth of better employment opportunities. Agriculture, considered the backbone of Pakistan’s economy, is also failing to deliver its full potential due to weak value chains, limited processing facilities, inadequate storage infrastructure, and restricted market access, leaving farmers unable to receive fair returns for their hard work.
Saleem Memon proposed that a reasonable portion of Benazir Income Support Programme (BISP) funds should be redirected toward productive “graduation-style” or income-generating pilot programs. For instance, if even 5% of the BISP disbursements are allocated to such initiatives, nearly Rs. 36 billion would become available to establish small-scale units that could generate sustainable employment. He highlighted that BISP disburses approximately Rs. 722 billion in 2025-26, meaning even a fraction of this could bring meaningful change if invested in productive pathways.
He further stressed that microfinance should not be limited to loans alone but should be integrated with training and market access. Interest-free financing models could support small-scale dairy, poultry, and home-based food processing enterprises, as well as women-led businesses, enabling them to connect directly with markets. Similarly, rural industries and livestock-based small units should be supported with subsidies or angel funding, creating skills, jobs, and value addition at the grassroots level.
HCSTSI President suggested linking technical colleges with the private sector to introduce demand-driven courses, while expanding IT skilling, freelancing, and incubation opportunities for youth in both urban and rural areas. This, he said, would allow young Pakistanis to contribute to the economy through modern digital avenues. To ensure transparency, he called for the establishment of digital targeting systems, mutual audits, and independent monitoring and evaluation units so that these programs remain free from political misuse.
He urged the federal government to immediately establish a BISP Reform Pilot Committee that includes federal and provincial representatives alongside the private sector, microfinance institutions, and civil society stakeholders. Digital transparency and independent monitoring must be made mandatory to safeguard records and ensure accountability.
Concluding his statement, Saleem Memon stressed the need for agricultural value chains, dairy-focused incubators, and special subsidy or credit schemes for small industries to create local employment and enhance productivity. He also called for public-private partnerships under TVET and IT skilling programs, enabling rural youth to participate in freelancing and online work, thereby strengthening Pakistan’s economy.
Highlighting institutional weaknesses, he said that for over four decades, political-based recruitments have eroded the capacity of state institutions. He emphasized that real reform is only possible when chambers of commerce and the private sector’s competent professionals are included in policy-making, bringing forward honest and capable individuals to restore the efficiency and credibility of institutions.
