The seminar highlighted the manifold relationships between political and economic freedom at a global level and, more specifically in Pakistan. The participants of the seminar discussed in depth the key indicators and components of the Economic Freedom of the World Index, published by the Canadian Fraser Institute in cooperation with a large number of economic think tanks throughout the world. The issues participants focused on included the pros and cons of using taxes as a tool of redistribution tool, minimum wages and the right mix of policies to promote entrepreneurship.

The many economists involved in the development of the Economic Freedom Index consider that high rates of taxation, excessive interference in the economy through regulation and inflexible labour laws impede economic freedom. This undermines economic growth – that is ultimately the source of wealth and the key to solving the problem of widespread poverty. Participants looking at the first economic policy statements by the new democratic government of Pakistan questioned whether they actually constitute a new beginning. There is a pressing need to listen to economic experts and not to rely on the advice of long-serving in-house civil servants. Economic policies so far have failed to deliver the kind of economic growth Pakistan needs in order to match the performance of its bigger neighbors. Ultimately, the success of democracy – and political liberty – depends on the ability to deliver prosperity.

After the launch of Economic Freedom Network Pakistan (EFN) last November, this was the first seminar attended by a select group of economists, entrepreneurs, journalists and academicians to gauge the condition of Pakistan’s economy, to define the priorities for the network and agree upon a road map for economic reform. Much depends on the readiness of the newly elected government to depart from past policies of excessive government control of the economy and economic patronage.

The Economic Freedom Network is an informal network of economic experts and entrepreneurs working together to contribute towards economic freedom – which they consider to be central to successful reform. The aims of the network include: To promote open and free markets, stronger property rights for the less powerful and poor members of society, and deregulation and privatization in the interests of job creation. In other words, EFN Pakistan exists to promote human development and economic growth. To appeal to the public policy advisors and political decision-makers, and to broaden the debate on the merits of free markets and limited governments, the EFN Pakistan provides a platform for political dialogue, public education and academic exchange.

The first contribution of EFN Pakistan to policy debate in the country was a study of Telecom Liberalization. The focus was on implications for a common man. Authorship was by the Development Pool, a think tank from Lahore. The paper serves to demonstrate the advantages of economic liberalization for the market and the consumers and to highlight the contributions the public and private sectors need to make in this process. Many other surveys and discussion papers on related issues are planned for year 2008-2009 by EFN members.