Pakistan's economic policies have a lot of similarities with those of India's. They also followed a mixed economy pattern and during the late 1950s early 1960s, Pakistan initiated a slew of regulated policy framework to bring about industrialization which would produce goods that were being imported. This policy combined tariff protection for manufacturing consumer goods along with direct import controls on imports which were a competition to the domestic goods.
Green revolution was introduced which changed the agricultural sector. It led to mechanization and increase in the public investment in infrastructure in selected areas and led to an increase in the production of food grains. The nationalization of the capital goods industries took place in 1970s. Between the 1970s and 1980s, Pakistan shifted to policies of denationalization and more encouragement was given to the private sector. During this period, Pakistan received financial support from the countries of the west. There were also remittances from the immigrants who moved into the Middle east. This helped the economic growth of the country. The government also offered incentives to private enterprises. All these encouraged new investors and in 1988 reforms were initiated again.