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According to many sources, the government has made substantial inroads in macroeconomic reform since 2000, and medium-term prospects for job creation and poverty reduction are the best in nearly a decade. Islamabad has raised development spending from about 2% of GDP in the 1990s to 4% in 2003, a necessary step towards reversing the broad underdevelopment of its social sector.
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Sectoral Share of Various Sectors in GDP
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After a 60 year formal and unarmed struggle for independence, Pakistan came into existence on 14th August 1947 from the British Empire. The British divided up the Indian empire into 3 parts: the central part, with a Hindu majority, became modern-day India, the western part along with parts of Punjab became West Pakistan, while East Bengal (the Muslim majority part of Bengal) became East Pakistan. The Partition of India was so mishandled by the British that it resulted in the worst ever communal riots of the region and perhaps one of the worst in modern history. An estimated 1 to 5 million Muslims, Sikhs, Hindus and other populations in the subcontinent had lost their lives as a direct consequence and millions more became refugee migrants to the newly founded Islamic Republic of Pakistan.