Pakistan, Aug. 1 -- The Asian Development Bank (ADB) has raised concerns over Pakistan's pension scheme for government employees. In a recent report, ADB said the scheme is attractive but lacks a proper funding mechanism. The bank warned that the growing pension burden puts serious pressure on the national treasury. Reforms are urgently needed to ensure long-term sustainability.

The report also called for major improvements in Pakistan's insurance sector. ADB noted that insurance plays a key role in protecting people financially during natural disasters. However, in Pakistan, insurance coverage remains limited. Especially in the private sector, risk financing through insurance is almost absent. This gap weakens financial security for ind...