Policy Recommendations

Plenary 1.4: High-Level Opening Policy Dialogue Circular Economy in South Asia

South Asia faces escalating resource pressures, waste mismanagement, and environmental degradation amid rapid urbanisation and population growth. The circular economy offers a pathway to economic resilience, reduced pollution, and inclusive green jobs. Regional collaboration and coherent national strategies are essential to scale this transformation.

1. Regulatory Frameworks

  • Develop region-wide frameworks defining circular economy principles, with measurable targets for waste reduction, resource efficiency, and recycling.
  • Introduce harmonised Extended Producer Responsibility (EPR) policies across South Asia to hold manufacturers accountable for product life cycles and encourage eco-design.

2. Collaboration and Partnerships

  • Create national and regional platforms uniting governments, private sector, academia, and civil society to share best practices and innovations.
  • Form a “South Asia Circular Economy Network” to exchange technologies, financing models, and policy tools among member states.

3. Investment in Infrastructure

  • Develop modern waste management systems (waste collection, sorting, and recycling facilities) to improve efficiency and reduce landfill dependence.
  • Support regional innovation and incubation centres focused on circular technologies, repair-based industries, and resource recovery models.

4. Education and Livelihood

  • Integrate sustainability and circular economy principles into school and university curricula.
  • Provide vocational programmes in recycling, composting, repair, and resource recovery.
  • Create decent jobs in circular sectors, ensuring at least 30% participation by women and marginalised groups.

5. Resource Maximisation

  • Adopt technologies for energy, water, and material recovery from waste streams.
  • Encourage sustainable production and consumption patterns through regional awareness campaigns and behavioural incentives.

6. Financial Incentives and Green Procurement

  • Offer tax breaks, low-interest loans, and risk guarantees for Micro, Small and Medium Enterprises (MSMEs) adopting circular models.
  • Mandate public procurement of sustainable goods and services to drive demand for circular economy solutions.

7. Social Inclusion and Labour Transition

  • Establish regional guidelines for retraining and transitioning workers displaced by automation or green technologies.
  • Include informal waste workers in formal waste systems with protection, health benefits, and fair wages.

Pakistan

Pakistan faces severe waste management challenges, limited recycling capacity, and heavy dependence on informal waste workers. Transitioning towards a circular economy can alleviate environmental pressure, create jobs, and support poverty reduction provided that approaches are inclusive and adapted to local realities.

  • Establish a coherent national policy defining goals, standards, and responsibilities for circular economy implementation.
  • Enforce Extended Producer Responsibility (EPR) for key sectors (plastic, packaging, electronics) to ensure producers take ownership of post-consumer waste.
  • Encourage private sector involvement in waste management and recycling infrastructure.
  • Strengthen coordination between federal, provincial, and municipal bodies to design context-specific waste solutions.
  • Provide funding, mentorship, and digital platforms for recycling entrepreneurs (e.g., Khazana.pk).
  • Establish decentralised waste segregation and recycling hubs in major cities and rural clusters.
  • Embed circular economy and sustainability modules in schools and universities.
  • Develop vocational and technical training for youth and informal workers in recycling, upcycling, and repair trades.
  • Link circular economy projects to employment programs, ensuring inclusion of women and informal workers.
  • Promote Material Recovery Facilities (MRFs) and incentivise industries using secondary raw materials.
  • Encourage behavioral change through public campaigns and reward-based recycling systems (SMS or digital incentives).
  • Provide subsidies or tax relief for industries investing in waste reduction, recycling, and eco-innovation.
  • Require government departments to prioritise eco-certified materials and suppliers in public projects.
  • Formalise the informal sector and recognise and integrate waste pickers into municipal systems with safety equipment and social protection.
  • Set achievable, people-centred waste reduction goals acknowledging poverty constraints (e.g., phased “low-waste” targets).
  • Leverage traditional practices of repair and reuse through community campaigns and local repair hubs.