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Media Release: In Property Rights, Pakistan 104th Out Of 125 Countries

23 February 2010

International Property Rights Index 2010 released

Pakistan ranks at 104th out of 125 countries

Nepal better than Pakistan; India at 53; Bangladesh consistently at the bottom

In Gender Equality for property rights, Pakistan ranks 68 out of 80 countries

Piracy accounts for the entire music market in Pakistan

Lahore February 23, 2010: Alternate Solutions Institute is proud to announce the release of the 2010 International Property Rights Index (IRPI) today, which measures the intellectual and physical property rights of 125 nations representing 97 per cent of the world’s GDP. This year, 62 international organizations, including Alternate Solutions Institute, partnered with the Property Rights Alliance in Washington, DC and its Hernando de Soto Fellowship program to produce the 4th annual IPRI.

The IPRI uses three primary areas of property rights to create a composite score: Legal and Political Environment (LP), Physical Property Rights (PPR), and Intellectual Property Rights (IPR). Most importantly, the IPRI emphasizes the great economic differences between countries with strong property rights and those without. Nations falling in the first quintile enjoy an average national GDP per capita of $35, 676; almost double that of the second quintile with an average of $20, 087. The third, fourth, and fifth quintiles average $9,375, $4,699, and $4,437 respectively.

The findings of the IPRI 2010 show that countries with stronger property rights tend to have a higher per capita income and attract more Foreign Direct Investment (FDI).

With regard to Pakistan, property rights continue to be a challenge. This year Pakistan’s score on the scale of IPRI fell to 3.9 from last year’s 4.0 (out of 10), and its rank slid down to 104 (out of 125 countries) from last year’s 90 (out of 115 countries). In the two components, Legal and Political Environment, and Physical Property Rights, Pakistan performed badly, whereas in the third component, Intellectual Property Rights, its position remained unchanged. In the regional ranking (Asia and Oceania region with19 countries), Pakistan stood at 18 with Bangladesh at 19.

Actually after a slight improvement in 2009, the Pakistan’s IPRI decreased in 2010. The LP score decreased for the second consecutive year. While the Rule of Law and Control of Corruption scores remained largely unchanged in 2010, the Judicial Independence and Political Stability scores decreased dramatically. Political Stability for Pakistan ranked the lowest of the scored countries in the index. PPR increased in 2009, but the situation with respect to physical property rights regressed in 2010. Access to Loans fell 0.6 points, while expert opinion of the protection of physical property rights slightly improved.

For Pakistan though the IPR score did not experience a net change in 2010, but this result is misleading. The Protection of Intellectual Property Rights score decreased 0.6 points. The Copyright Piracy score increased, but this change was only because there were no data for piracy of records and music in 2010. From 2007 to 2009, however, it is estimated that piracy accounted for the entire music market in Pakistan.

In Gender Equality, Pakistan ranked at 68 out of 80 countries. Interestingly, Pakistan, India, Bangladesh and Nepal appear to be lacking in securing property rights to women, and fall in the same group. India scored 5.1 with a ranking at 67, Bangladesh 5.2 with 65, and Nepal 5.3 with 64. Chad was placed at the bottom with 2.1 score, and Uruguay topped with full score.

Finland grabbed the top position with a score of 8.6, and Bangladesh fell to the bottom with a score of 2.6. India was placed at 53rd with 5.5 points. Nepal scored 4.0 points and ranked at 101.

Hernando de Soto, whose work in property rights lead to the inception of the IPRI, commented on the 2010 publication: “The fourth edition of the IPRI reveals encouraging signs of improvement in some countries, while also bringing attention to disturbing trends in others.”

The International Property Rights Index will provide the public, researchers and policymakers, from across the globe, with a tool for comparative analysis and future research on global property rights. The Index seeks to assist underperforming countries to develop robust economies through an emphasis on sound property law.

For more information and copy of the IPRI 2010, contact the Institute at

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