DEVELOPMENT OF BUSINESS CLIMATE AND INVESTMENT INDEX FOR PAKISTAN

DEVELOPMENT OF BUSINESS CLIMATE AND INVESTMENT INDEX FOR PAKISTAN

Partners: USAID Investment Promotion Activity (IPA) and Sustainable Development Policy Institute (SDPI)

Locale: Pakistan

Duration of Project: August 2024 – March 2025

Team: Ahad Nazir, Irfan Chatta, Abdullah Khalid, Maheen Rehan

Introduction:

The project aims to develop a Business Climate and Investment Index for Pakistan to revolutionize the perception of provincial-level business environments. Drawing inspiration from Vietnam's Provincial Competitiveness Index, the initiative will provide invaluable insights into the ease of doing business, regulatory frameworks, infrastructural landscapes, and governance systems in Pakistan. This evidence-based tool will guide policymakers, investors, and entrepreneurs, fostering sustainable development and economic growth across the provinces.

Objectives:

- To formulate an evidence-based index to evaluate investment opportunities and regulatory environments.
- To enhance the ease of doing business and attract strategic investments.
- To ensure the regular update of the index to reflect dynamic market conditions and trends.

Activities:

The project activities include:
- Conducting a literature review of prior indices related to investment and business environments.
- Engaging stakeholders through consultations and focus group discussions.
- Designing and implementing surveys across all provinces and regions.
- Developing and piloting the Business Climate and Investment Index.
- Mapping key sectors for investment attraction and analyzing their performance.
- Creating a benchmarking strategy for assessing Pakistan’s investment environment.
- Developing a dynamic and user-friendly website to host the index.
- Identifying an optimal institution for housing the index and ensuring its sustainability.

Deliverables:

1.Submission of a comprehensive work plan.
2. Development of data collection tools and methodologies.
3. Inception report and stakeholder consultations.
4. Fieldwork and data analysis report.
5. Draft and final reports of the Business Climate and Investment Index.
6. Piloting and refining the index based on stakeholder feedback.
7. Implementation plan for in-housing the index.
8. Final presentation and roadmap for dissemination.