Army or gangsters? Pakistani army generals looting Pakistan by…, for money they are …
Islamabad: Pakistan has been facing an economic crisis for decades, the country depends on foreign loans, the common man struggles to buy food, yet the might of the Pakistani army and its officials remains unshaken. Pakistani army generals still live in lavish palaces and oversee the army’s billion-dollar business empire, which includes everything from cement to cornflakes. In such a scenario, the Pakistani army operates less like a traditional army and more like a well-organized mafia syndicate, where the measure of power is not victory on the battlefield, but rather real estate holdings, foreign bank accounts, and lucrative business monopolies. Moreover, military generals are also in a frenzy to buy land and flats abroad. Most senior officials of the Pakistani army settle abroad after retirement.
In 2024-25, Pakistan’s defense budget was set at PKR 2.13 trillion ($7.64 billion). This was done at a time when the Pakistani government was cutting funds for health, education, and infrastructure. A large portion of this budget goes towards “employee-related expenses.” This money takes care of the army’s own expenses, including lavish salaries, lifetime pensions, and generous land grants for retired officials.
Military spending is one of the few areas of the Pakistani economy that never faces a shortage of funds. The country may default on repaying its debts, but the generals do not cut back on their lifestyle. Meanwhile, the Pakistani government compensates for this by robbing the pockets of the public. Every time loans are disbursed, the International Monetary Fund (IMF) and other international financial institutions ask Pakistan to take some tough measures. In such cases, the Pakistani government introduces new taxes, cuts subsidies, and imposes heavy increases in electricity bills to meet these requirements.
Over the past few decades, the Pakistani Army has built a vast real estate empire under the guise of “welfare schemes” for its retired personnel. DHA, the elite housing societies run by the army, dominate prime urban land in major cities. Officers receive plots at token prices, which they later sell to others for large profits. In some cases, entire townships have been developed as part of this scheme. The DHA Valley Islamabad scandal, where high-ranking officials colluded with private developers, was just one example of the army’s lucrative side business in property speculation.
Retired generals are regularly gifted thousands of acres of agricultural land, often the most fertile in the country. A leaked report from Credit Suisse Bank in 2022 revealed that former army chief General Raheel Sharif received over 100 acres of prime agricultural land in Lahore after retirement.
The army operates as a mafia. In such cases, retired military officials dominate the boards of its firms. This ensures that money remains in the hands of the army for a long time even after active service is left. For example, the Soldier Foundation is sometimes described as a Fortune 500 company run by the army, with almost entirely former generals occupying top positions. The generals do not limit their financial transactions to Pakistan. The 2021 Pandora Papers leak revealed several high-ranking military officials who owned properties in other countries, luxurious assets in London and Dubai, and multimillion-dollar businesses abroad.
Like any good mafia, the Pakistani military also ensures that no one challenges its dominance. The military controls national security, foreign policy, and, when necessary, civilian governments. No prime minister can last without its blessing. Those who try – like Nawaz Sharif in 1999 or Imran Khan in 2022 – are shown the (jail) door immediately.
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