Pakistan's Paradox: Rising Power, Fragile State? | DW News

DW News
DW NewsJun 3, 2026

Why It Matters

Pakistan’s strategic resurgence alters regional diplomacy and great-power dynamics, but its internal political fragility and structural economic weaknesses risk undermining long-term stability and investor confidence unless substantive governance and social investments are implemented.

Summary

Pakistan is experiencing a geopolitical renaissance—mediating between the US and Iran, deepening ties with China, and strengthening security links with Saudi Arabia—while domestically grappling with weakened democratic institutions, constrained media freedom, and the sidelining of major political actors like Imran Khan. Economically, the country remains dependent on repeated international bailouts, hamstrung by low tax collection, a large informal sector, weak exports and energy shortfalls, with experts urging data-driven reforms and a push to digital payments. Demographically, a youthful population (about 60% under 30) presents both opportunity and risk: without major investments in education, healthcare and opportunity creation, the youth bulge could exacerbate unemployment and social strain. Analysts say Pakistan’s foreign-policy gains have not yet translated into broad-based domestic stability or sustainable economic recovery.

Original Description

Pakistan is back on the global stage, mediating conflicts and gaining influence.
But as analyst Khurram Husain explains, at home the country faces deep challenges that could hold it back.
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