RECENT Fitch Ratings have framed Pakistan’s economic challenges as being driven largely by external shocks—rising oil prices, global uncertainty, and regional tensions. While these pressures are real, they do not fully capture the broader underlying dynamics shaping the crisis. The real issue lies in how these shocks are passed on and played out within the system. Over time, a pattern has taken shape where shocks are not absorbed by the powerful but are instead transferred downward to maintain fiscal balance.

Elite capture has deepened this pattern, shielding entrenched interests while passing economic strain onto ordinary citizens. The result is not only economic stagnation but also a gradual erosion of sovereignty, as rising dependence and shrinking policy space steadily constrain the........

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