Sound data and effective policymaking

EDITORIAL: How can a country be effectively governed without reliable data? This is a question Pakistani policymakers have long grappled with, given that data limitations have repeatedly obstructed their capacity to make well-informed decisions across a range of critical areas, including economic development, public health, education reform, and agriculture and industrial planning.

This was dwelled upon in some detail by Chief Statistician Pakistan Bureau of Statistics (PBS) Dr Naeemuz Zafar at an event held by the UN Population Fund and the Sustainable Development Policy Institute on September 29, where he underscored the debilitating impact of data constraints on effective policymaking, which in turn has hindered the addressing of grave socioeconomic challenges.

A brief overview of Pakistan’s National Statistical System, as outlined by a 2023 State Bank of Pakistan (SBP) report, tells us that it consists of the PBS, which is mandated to collect data and statistics, as well as to coordinate statistical activities across the provinces. It undertakes some vital activities, including carrying out the population, housing and livestock census, and demographic surveys.

In addition, there are the four provincial boards of statistics, as well as numerous public sector bodies, including the FBR (Federal Board of Revenue), SECP (Securities and Exchange Commission of Pakistan), NADRA (National Database and Registration Authority) and the SBP (State Bank of Pakistan), along with various ministries and departments at both the federal and provincial levels that produce huge amounts of data.

A major ill afflicting the country’s data collection environment is that these entities often lack uniformity in their data collection methods, with inconsistent standards, inadequate training of personnel, limited access to modern technologies, as well as insufficient financial resources marring their ability to collect reliable information and statistics. This fragmented approach has ultimately undermined informed policymaking in the country.

Then there is always the danger of these infirmities being further exacerbated by political considerations, as the data produced may be influenced by political biases, which may lead to selective reporting and a distortion of the true situation on the ground.

An example of how a lack of uniformity and consistency among provincial statistical bodies can potentially result in grave discrepancies can be gauged by the way population estimates are recorded in the country. While the PBS is charged with the task of conducting a population census every decade, periodic updates are provided by the provincial boards of statistics, with the inconsistent quality of data collection methods resulting in possible inaccuracies.

This is particularly concerning, because as pointed out by Dr Zafar, population figures serve as the foundational denominator for a range of economic indicators. Consequently, imprecisions in population data can lead to significant miscalculations in economic assessments and policy decisions, ultimately hindering optimal resource distribution at the federal and provincial levels.

This underscores the need for a standardised system of data collection throughout the country, something that the director of Khyber-Pakhtunkhwa’s Bureau of Statistics strongly advocated for during the event.

Another challenge highlighted at the moot was that posed by the enormous volumes of data being generated in our digital era. This is indeed significant as managing, analysing and deriving meaningful insights from a huge mass of information requires advanced tools and expertise, an area where Pakistan lags substantially.

Without proper data management and analytical capabilities, this wealth of information will inevitably overwhelm decision-makers, resulting in confusion and unproductive strategies.

What Pakistan clearly needs is capacity-building and modernisation of our various statistical bodies by equipping them with sufficient financial resources, the latest technologies and training necessary for effective data collection and analysis.

Additionally, standardisation of data collection methods, implementation of rigorous quality control measures, collaboration with private sector organisations and academic institutions to leverage expertise, and enhancing coordination among various government agencies to share data and best practices could help create a robust statistical framework that supports informed policymaking and sustainable development.

Copyright Business Recorder, 2024