India Pakistan Comparison 2010
Pakistan’s KSE-100 stock index surged 55% in 2009, a year that also saw the South Asian nation wracked by increased violence and its state institutions described by various media talking heads as being on the verge of collapse. Even more surprising is the whopping 825% increase in KSE-100 from 1999 to 2009, which makes it a significantly better performer than the BRIC nations.
A familiar yardstick often used to measure progress of a nation is its energy consumption. Per capita energy consumption in Pakistan is estimated at 14.2 million Btu, which is much higher than Bangladesh’s 5 million BTUs per capita but slightly less than India’s 15.9 million BTU per capita energy consumption. However, South Asia’s per capita energy consumption is only a fraction of other industrializing economies in Asia region such as China (56.2 million BTU), Thailand (58 million BTU) and Malaysia (104 million BTU), according to the US Dept of Energy 2006 report. To put it in perspective, the world average per capita energy use is about 65 million BTUs and the average American consumes 352 million BTUs. With 40% of the Pakistani households that have yet to receive electricity, and only 18% of the households that have access to pipeline gas, the energy sector is expected to play a critical role in economic and social development. With this growth comes higher energy consumption and stronger pressures on the country’s energy resources. At present, natural gas and oil supply the bulk (80 percent) of Pakistan’s energy needs. However, the consumption of those energy sources vastly exceeds the supply. For instance, Pakistan currently produces only 18.3 percent of the oil it consumes, fostering a dependency on imports that places considerable strain on the country’s financial position. On the other hand, hydro and coal are perhaps underutilized today, as Pakistan has ample potential supplies of both.
Pakistan’s KSE-100 stock index surged 55% in 2009, a year that also saw the South Asian nation wracked by increased violence and its state institutions described by various media talking heads as being on the verge of collapse. Even more surprising is the whopping 825% increase in KSE-100 from 1999 to 2009, which makes it a significantly better performer than the BRIC nations. BRIC darling China has actually underperformed its peers, rising only 150 percent compared with energy-rich Brazil (520 percent) and Russia (326 percent) or well-regulated India (274 percent), which some investors see as a safer and more diverse bet compared with the Chinese equity market, which is dominated by bank stocks.
Here are some more recent comparative indicators:
One out of every three illiterate adults in the world is an Indian, according to UNESCO. Pakistan stands fourth in the world in terms of illiterate adult population, after India, China and Bangladesh.
One out of very two hungry persons in the world is an Indian, according to World Food Program. Pakistan fares significantly better than India on the hunger front.
Population living under $1.25 a day – India: 41.6% Pakistan: 22.6% Source: UNDP
The reason for higher levels of poverty in India in spite of its rapid economic growth is the growing rich-poor disparity. Gini index measuring rich-poor gap for India is at 36, higher than Pakistan’s 30. Gini index is defined as a ratio with values between 0 and 100: A low Gini index indicates more equal income or wealth distribution, while a high Gini index indicates more unequal distribution. Zero corresponds to perfect equality (everyone having exactly the same income) and 100 corresponds to perfect inequality (where one person has all the income, while everyone else has zero income).
Underweight Children Under Five (in percent) Pakistan 38% India 46% Source: UNICEF
Life expectancy at birth (years), 2007 India: 63.4 Pakistan: 66.2 Source: HDR2009
Youth (15–24 years) literacy rate, 2000 to 2007, male Pakistan: 80% India 87% Source: UNICEF
Youth (15–24 years) literacy rate, 2000 to 2007, female Pakistan 60% India 77% Source: UNICEF
GDP per capita (US$), 2008 Pak:$1000-1022 India $1017-1100
Child marriage under 15-years ; 1998–2007*, total Pakistan – 32% India – 47% Source: UNICEF
Under-5 mortality rate per 1000 live births (2007), Value Pakistan – 90 India 72 Source: UNICEF
Let us conclude with an excerpt from a British writer William Dalrymple’s article, published on 14 August, 2007 in The Guardian:
“On the ground, of course, the reality is different and first-time visitors to Pakistan are almost always surprised by the country’s visible prosperity. There is far less poverty on show in Pakistan than in India, fewer beggars, and much less desperation. In many ways the infrastructure of Pakistan is much more advanced: there are better roads and airports, and more reliable electricity. Middle-class Pakistani houses are often bigger and better appointed than their equivalents in India.
Moreover, the Pakistani economy is undergoing a construction and consumer boom similar to India’s, with growth rates of 7%, and what is currently the fastest-rising stock market in Asia. You can see the effects everywhere: in new shopping centers and restaurant complexes, in the hoardings for the latest laptops and iPods, in the cranes and building sites, in the endless stores selling mobile phones: in 2003 the country had fewer than three million cellphone users; today there are almost 50 million.”