New Delhi, Jan 3 (NationPress) Small business owners throughout Pakistan have labeled 2025 as a disastrous year in the nation’s economic timeline, highlighting widespread business shutdowns, escalating unemployment rates, and an intensifying financial crisis.

A report published by the All Karachi Traders Alliance (AKTA) and reported by The Express Tribune indicated that the economy remained in a state of stagnation due to ongoing political turmoil and the absence of a definitive economic strategy.

The report indicated that overall commercial operations were below 60 percent for the majority of the year, resulting in the closure of numerous small and medium enterprises.

AKTA President Atiq Mir labeled 2025 as a “year of closures,” noting that thousands of traders were compelled to cease operations, leading to job losses and increased financial strain on households.

The traders’ association stated that investor confidence was severely undermined throughout the year, with both domestic and foreign investors withdrawing their capital from the country.

The report noted that uncertainty regarding economic policies and frequent shifts in regulations dissuaded new investments and prompted capital flight.

AKTA also emphasized the toll of soaring inflation on ordinary citizens, stating that life became increasingly challenging for the impoverished and middle-class populations.

While the government consistently claimed that the economy was stabilizing and that Pakistan had averted default, traders contended that these assertions did not align with the realities on the ground.

The report criticized authorities for relying on “artificial indicators” instead of providing genuine support for trade and industry.

Moreover, it condemned the government for failing to achieve results despite over 35 foreign trips by officials aimed at attracting investment.

According to AKTA, these trips yielded no substantial economic advantages, as local investors continued to transfer their capital overseas due to uncertainty and a lack of trust.

Skyrocketing taxes, high electricity and gas costs, increased fuel prices, and rampant inflation were identified as primary factors contributing to the economic downturn.

Many essential goods, including flour, pulses, milk, and vegetables, reportedly became unaffordable for numerous families, exacerbating public hardship.

The report also highlighted that markets remained largely deserted even during peak shopping periods.

In certain industries, over half of the workforce reportedly lost their jobs, with numerous businesses struggling to meet payroll and rental obligations.

Karachi was characterized in the report as a city “under siege,” plagued by extortion, lawlessness, encroachments, and ineffective governance.

AKTA accused the Sindh government of mismanagement, alleging that price-control authorities failed to take action against profiteers, leaving consumers vulnerable.