It is estimated that by now less than 3% of individuals are ‘somewhat constrained’ by the remaining exchange controls. Limits on outward foreign direct investments for corporates have also been abolished. And as a step towards prudential regulations, institutional investors are permitted to invest abroad, subject to a foreign exposure asset limit (currently 25% or 35% depending on the type of institutional investor).
Conclusion: Pakistan’s public expenditures on human development are low by international standards and are approximately 4 percent of GDP. But total public and private expenditures amount to more than 8 percent of GDP i.e. twice what the public sector spends. But this number is hardly recognized or mentioned in the popular discourse.