By Dr Alamdar Hussain Malik
The title of this article—”When a Nation Pays More for Past Mistakes Than for Its Children’s Future”—is not merely a headline. It reflects a disturbing reality that deserves serious national reflection. Every national budget is far more than a statement of revenues and expenditures; it is a mirror of a country’s priorities, values, and vision for future generations. It reveals where governments choose to invest scarce public resources and what they consider essential for national progress. History has consistently shown that nations which invested in education, human capital, scientific research, and innovation built strong economies, resilient institutions, and prosperous societies. Their greatest national asset was never their natural resources or financial contracts—it was an educated, skilled, healthy, and productive population.
Against this backdrop, recent media reports have raised profound questions about Pakistan’s fiscal priorities. According to these reports, Pakistan spent approximately Rs. 900 billion on education during 2025, supporting the education of nearly 60 million children and paying the salaries of approximately 2.3 million teachers across the country. During the same period, however, the government reportedly paid nearly Rs. 1.8 trillion in capacity payments to a limited number of independent power producers under existing contractual obligations. If these reported figures are accurate, Pakistan spent twice as much on contractual financial commitments as it invested in educating its future generations.
This comparison is not merely about two figures in the national accounts. It is about the direction of national policy, the quality of public financial management, and the choices that will shape Pakistan’s future for decades. It compels us to ask a simple but profound question: Are we investing adequately in the children who will build tomorrow’s Pakistan, or are we allowing yesterday’s financial decisions to consume tomorrow’s opportunities?
This article is not an argument against honouring lawful contractual obligations.
A responsible state must honour its legal commitments and maintain investor confidence. The real issue is whether successive governments have maintained the correct balance between meeting inherited obligations and investing in the sectors that determine Pakistan’s future.
Education is not simply another budgetary expenditure; it is the foundation of national development. Every classroom produces future doctors, engineers, veterinarians, scientists, teachers, entrepreneurs, judges, civil servants, and skilled professionals.
Every educated child strengthens the country’s economic productivity, technological capability, institutional capacity, and social stability. Countries that dominate the global economy today did not become prosperous because they possessed greater natural resources; they became prosperous because they consistently invested in knowledge and their people.
Pakistan, unfortunately, continues to underinvest in this most critical sector. Millions of children remain out of school. Those who attend school often face overcrowded classrooms, inadequate facilities, shortages of qualified teachers, and outdated learning resources. Universities struggle with declining research funding, while higher education institutions increasingly face financial uncertainty. Technical and vocational education has yet to receive the strategic attention needed to prepare Pakistan’s youth for the demands of a rapidly changing global economy.
The consequences of educational neglect extend well beyond classrooms. Weak education systems reduce labour productivity, discourage innovation, limit industrial competitiveness, weaken public institutions, and slow economic growth. A country cannot expect to become a knowledge economy while treating education as a secondary fiscal priority.
Pakistan is simultaneously confronted with enormous national challenges. Healthcare requires sustained investment. Agriculture and the livestock sector—one of the country’s largest economic sectors and the livelihood of millions of rural families—require modernization through research, biotechnology, disease control, and value addition. Climate change, water scarcity, food security, digital transformation, artificial intelligence, scientific research, and industrial modernization all require significant public investment. Every one of these sectors competes for the same limited fiscal resources.
This is where the principle of opportunity cost becomes unavoidable. Every rupee committed to one purpose is unavailable for another. When exceptionally large financial obligations consume substantial public resources, governments inevitably have less fiscal space to invest in education, healthcare, science, agriculture, livestock, infrastructure, and youth development. The issue, therefore, is not simply how much the government spends, but whether those expenditures generate the greatest long-term return for the nation.
This debate also raises an important question of accountability. Long-term financial commitments extending over decades do not emerge by accident. They originate from official forecasts, technical analyses, economic assumptions, institutional recommendations, and government approvals.
The Pakistani people have every right to know whether those projections proved realistic, whether adequate risk assessments were undertaken, and whether mechanisms existed to review these commitments as economic circumstances changed.
Accountability should never be viewed merely as an exercise in assigning blame. Mature nations examine policy decisions honestly, learn from mistakes, strengthen institutions, and improve future planning. Ignoring difficult questions only increases the cost that future generations must bear.
Pakistan urgently needs a comprehensive review of its long-term fiscal priorities. Public expenditure should be evaluated not only by whether contractual obligations are fulfilled but also by whether every rupee contributes to human development, economic productivity, scientific advancement, employment generation, and national competitiveness. Fiscal responsibility is not merely about balancing accounts—it is about building a stronger nation.
The title of this article deserves to be repeated because it captures the defining challenge before Pakistan today: “When a Nation Pays More for Past Mistakes Than for Its Children’s Future.” A nation is ultimately built not by the size of its contracts, but by the quality of its people. Budgets should therefore reflect this timeless truth.
The greatest investment any country can make is in the education, knowledge, skills, health, and productive potential of its citizens. If Pakistan genuinely seeks sustainable economic growth, fiscal stability, social harmony, technological advancement, and international competitiveness, then investing in its children must become the nation’s foremost priority—not its residual priority.
The warning signs are already visible. Millions of Pakistani children remain out of school, learning outcomes continue to lag behind international standards, universities struggle to sustain quality research, and many talented young Pakistanis seek opportunities abroad. A nation that underinvests in education gradually weakens its own economic foundations. It becomes increasingly dependent on imported technology, foreign expertise, and external financial support while losing the capacity to compete in a knowledge-driven global economy.
Pakistan still has time to change course, but that window of opportunity is narrowing. Every year of inadequate investment in education creates irreversible losses in human capital. Children denied quality education today cannot simply recover those lost years tomorrow. The cost of educational neglect compounds across generations, reducing productivity, slowing economic growth, increasing inequality, and limiting the country’s ability to innovate and compete.
The choice before policymakers is therefore both economic and moral. Future generations will not judge us by the liabilities we serviced alone; they will judge us by the schools we built, the teachers we empowered, the researchers we supported, the opportunities we created, and the hope we gave to our young people.
If Pakistan continues to spend less on building minds than on carrying the financial burden of past policy decisions, the consequences will extend far beyond annual budget figures. They will affect national security, economic sovereignty, social cohesion, technological progress, and the country’s standing in the world. A nation can recover from financial crises, but recovering from the loss of an entire generation’s educational potential is infinitely more difficult.
History offers a clear lesson: countries that fail to invest in their children eventually mortgage their future. Pakistan cannot afford that mistake. The time has come for a fundamental reset of national priorities—because the future of Pakistan is being determined not merely in cabinet rooms or budget documents, but in the classrooms where the next generation is either being prepared for success or being left behind.
Dr Alamdar Hussain Malik
Advisor Academics
University of Veterinary and Animal Sciences, Swat.
Former
Financial Adviser
Finance Division
Government of Pakistan
