Christine Allison
SASHD
11 April 2002

Outline of Presentation
1. A brief overview of Pakistan’s Primay Education Sector
1. The Pakistan Government and Private Education
1. The World Bank and Private Education in Pakistan
1. The way forward: Government and Work Bank working together

1. A Brief Overview of Pakistan’s Primary Education Sector
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Following some improvement in the enrolment ratio in the first half of the
1990s, the rate at best stabilized and possibly fell in second half of the 1990s
(reliable data are limiting factor)
“education gap” has gender, locational and income dimensions: gender gap has narrowed but is still considerable; urban-rural gap has widened in the
1990s; gap in enrollment rates between richest households and poorest households has also widened
Big shift in public-private enrollment distribution: in the 1990s decade, enrollment numbers in government schools remained the same; enrollment in private schools tripled. Private school enrollment now accounts for 28% of total enrollment; 31% for girls. While private enrollment is strongest in high income groups, all income groups exhibit increasing enrollment share in private schools.
Pakistan has some of the poorest education sector indicators in the world: primary gross enrolment ratio is in the order of 70%; net enrolment ratio is around 50% (5-9 year olds). Only one in two children who enter first grade complete primary cycle.

1. A brief overview of Pakistan’s Primary education sector
Table 1: Primary Gross Enrollment Rates (%)
1995-
1991
19961998-
96 97 99
Punjab
Sindh
..
..
73
70
73
64
76
56
NWFP
Balochistan
All Four Above
Azad J & K
Northern Areas
FATA
.
..
..
..
..
..
66
63
71
..
..
..
68
58
70
..
..
..
67
58
69
101
75
39
Pakistan -- Urban
Pakistan -- Rural
Pakistan – Male
Pakistan -- Female 53
Pakistan --
Aggregate
81
59
78
65
88
64
81
60
71
87
63
78
61
70
91
61
78
60
69

1. A brief overview of Pakistan’s Primary Education Sector

1.
A brief overview of Pakistan’s Primary Education
Sector
Enrollment in Government and Private Schools: 2000
Boys Girls Total enrollment
Government schools
Private Schools
All Schools
6,923,157
(72.5%)
2,623,221
(27.5%)
9,546,378
(100%)
4,411,503
(69.4%)
1,945,669
(30.6%)
6,357,172
(100%)
11,334,660
(71.3%)
4,568,890
(28.7%)
15,903,550
(100%)

1. A brief overview of Pakistan’s Primary Education Sector

1. A brief overview of Pakistan’s Primary Education Sector
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There are a large number of school types in Pakistan (17 including the madrassahs). (See school grid; handout) This is the result of half a century of changing priorities, new fads in the development community, and a laissezfaire domestic policy
Public sector schools (eight types), ranging from regular village schools which teach in urdu to elite “public” colleges, which teach in english. Fees range from nominal in village schools to Rs.2000/month (=$33) in elite schools. Quality is very varied
Community schools (four types), many of which are the result of pilot/experimental efforts, supported by donors. Fees range from nominal to around Rs.100/month
Private schools (four types), which include private for profit, not-for-profit,
NGO and individual philanthropy. Medium of tuition is mainly english (some urdu), with fees ranging from less than Rs.100/month ($1.5) to over Rs.5000.

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2. The Pakistan Government and Private Education
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Successive governments in Pakistan have held different policy stances vis-àvis private education.
1972-79: the Bhutto years: nationalization of all private schools
1979-89: the return of private schools and expansion of madrassahs
1989-99: The decade of pilots and new approaches, in the aftermath of
Jomtien. Focus on NGOs and communities to increase access (esp. for girls) and quality. Launching of school and village level committees to involve parents and introduce horizontal accountability
1999 – to date Musharaff era: In response to crisis of democracy, participation and distribution, all out effort to mobilize the private sector and civil society partners to provide additional resources, improve management and accountability. Government’s role changing from provider to facilitator and arranger of services: attack on the “failed state”.

2. The Pakistan Government and Private education
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Pakistan is committed to the MDG targets for education. The IPRSP has set ambitious targets for enrollment, retention, governance and quality indicators
As part of the strategy to improve access and school quality, the government is explicitly promoting the private sector and public-private partnerships. The government is seeking genuine and equal partnership with the private sector.
In the 2001-2004 Education Sector Reform Action Plan, the Government is seeking to legitimize and formalize institutional arrangements for the various school experiments launched in the 1990s (fellowships schools, adopt-aschool); to redefine the respective roles of the state, communities, parents, and the private sector;

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2. The Pakistan Government and Private education (cont.)
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The ESR has put forward a number of actions to support and engage the private sector:
(i) incentives for the private sector: concessions on land prices, utility rates, customs duties, income tax
(ii) school registration process simplified; more transparent procedures
(iii) restructured and re-financed Education Foundations, for more effective public-private partnerships
(iv) Leasing of public facilities to private operators
(v) co-management of government schools by private operators “adopt a school”
The government is intent on building capacity in government for effective private sector collaboration

3. The World Bank and Private Education in Pakistan
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Until very recently, and with the exception of IFC’s Beacon House school investment, the World Bank has not engaged directly with Pakistan’s private education sector. The Bank’s focus has been predominantly on government schools, government financing and provision of education.
However, during the 1990s, mainly thru projects, the Bank supported a number of pilot activities whereby public funding and private provision were encouraged. The Balochistan Girls Fellowship schools program is wellknown throughout the Bank for its very positive impact on girls enrollment.
The Social Action Program (project) supported the creation and operation of
SMCs, PTAs, PECs, VECs etc. as part of community involvement. SAPP also promoted the contacting out by government of education services (such as teacher training) to NGOs. Also sought adequate funding of Education
Foundations. All these programs met a lot of bureaucratic resistance.

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3. The World Bank and Private Education in Pakistan
 During the past year, in support of the ESR and in recognition of the growing importance on the private sector, the Bank has undertaken a number of AAA activities. To mention a few:
Initial reconnaissance mission on private education (by ML, supported AV)
Study on private schools
Advise on regulatory framework, incentives package, funding and activities of Education Foundations, new charter for NEF
Symposium of education decentralization, private education
And on-going activities include a policy note that provides a more coherent framework for public policy vis-à-vis the private sector and ppp; TA to help design a new scholarship program; and preparation of a LIL for national assessment that will be used in both public and private sector schools.

4. The way forward: Government and the Bank working together
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Until 2 years ago, the Bank (and other donors) were leading the development of Pakistan’s primary education sector (doing the “heavy lifting, as QAG told us!). While experimenting with some ppp and community-based approaches, the bulk of the Bank’s effort was on the public sector. In all honesty, the Bank was blind to the rapid growth of private school enrollment.
The present government has picked up the reins and is now driving the education sector forward. The program is bold and ambitious and challenges many hitherto “givens”. The emphasis is on both the public sector and the private sector and the interface of the two, ppp. After a slow start, the Bank is now fully engaged with the reform program, across the board.
The Pakistan government faces a number of major challenges as it pursues an equal and dynamic partnership with the private sector: finding the right balance between public and private sector, with appropriate roles and responsibilities; there is a danger of too much government control and rent seeking;

4. The way forward: the Government and the Bank working together
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Building and sustaining institutional capacity for ppp: new way of thinking and behaving will challenge the bureaucracy
Ppp under devolution. District governments (almost 100) are now responsible for delivery primary education; in due course they will have control over the budget. How will they approach the private sector?
Equity: the present school set-up has serious inequities in it: some poor children are outside the system altogether; some poor children have access to only fee-charging private schools; middle and upper class children have choice, and enjoy public subsidy. Public spending on education needs to shift to support the schooling of poor children in either government or private schools; various ways of doing that.

4. The Way Forward: the Government and the Bank working together (cont.)
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The Bank can help in many ways: On AAA, TA/advice, international best practice, esp. on public finance, broad public policy. Bring clarity and consistency to many good ideas and bold initiatives. Arrange seminars and workshops etc.
On the lending front, Bank is already providing considerable program finance to federal and provincial governments: this should help public funding of ppp., scaling up previous pilots which have proved success. The Bank could finance directly programs run by Education Foundations (can’t add $ to endowments), demand-side funding experiments, conditional cash transfers.
Role of the IFC?