The world is getting older. This is not just a demographic reality, but it is an economic shift, one that nations like Japan and Germany have already adapted to, while countries like Pakistan seem oblivious to its implications. “Silver economy” is a system that thrives on the spending power, experience and the needs of older citizens. It is transforming industries globally. In Pakistan, aging is still seen stereotypically rather than as an economic force.
For decades, economic models have been focused on young workforces. However, the rules are shifting as the global population, particularly in countries where life expectancy is increasing and birth rates are declining. As people become stronger economically, older citizens are not just passive retirees; rather, they are active consumers, workers, and investors. Japan is a country where nearly 30% of the population is above 65 and has shifted to adopt robotic caregiving and senior-friendly public transport. They have introduced policies that encourage older people to remain in the workforce. Similarly, Germany has reformed its labor market to accommodate aging employees. It shows that they recognize that “experience is as valuable as youthful energy.”
Meanwhile, Pakistan is still enjoying its demographic dividend as we have a majority of a young population. The urgency to prepare for an aging society is missing, or we can say it is not even considered. We must be mindful that ignoring this now would be a mistake. By 2050, the number of Pakistanis aged 60 and above is expected to triple, reaching nearly 43 million. What will happen then if we are not prepared? Will the country be able to immediately address a growing elderly population in crisis, or will it act now and turn this shift into an opportunity?
The problem is not just the numbers; it is how we as a society view “old age.” In Pakistan, aging is considered synonymous with dependence, weakness and vulnerability. Once a person is retired, they are expected to fade into the background and leave everything behind, relying on family support for everything. It is necessary to consider that very few are the lucky ones who get a government pension. However, elsewhere in the world, aging populations are treated as active and respectable contributors. For instance, in the US, retirees are encouraged to pursue “encore careers,” including consultancy, teaching or entrepreneurship. Even countries like Thailand have already started to capitalize on senior tourism by creating entire industries catering to retirees who want to travel.
Pakistan can also benefit from the silver economy, but only if it prioritizes urgency and starts preparing. The first step in this process is to recognize that older people have purchasing power. By creating specialized healthcare services and lifestyle options for seniors, we can build massive business opportunities. A system that makes senior citizens feel special rather than treating them as irrelevant. Now, imagine if hospitals had geriatric care units instead of dismissing aging patients and considering them a burden on resources. Imagine a city infrastructure that allows older people to remain mobile and independent. These are not ridiculous utopian ideas. Rather, they are economic necessities, and it is possible. Yes, it is!
There is another issue related to employment. In Pakistan’s labor market, there is little room for professionals to continue working after a certain age. It is even in industries where experience is considered and prioritized. Why force skilled individuals into premature retirement when they could be mentoring, training or working in advisory roles? Countries that embrace their aging workforce benefit from the wisdom of their older employees.
There is also a potential market in senior tourism here. Pakistan is home to natural wonders, rich history and heritage sites that could attract older travelers. However, it is crucial for the country to invest in infrastructure to accommodate them. Countries like Malaysia and Thailand have successfully implemented this approach, creating “retirement tourism” that generates billions in revenue. Pakistan’s tourism sector is still in its developmental stage, and this presents an opportunity waiting to be seized.
Yet, none of this will happen unless there is a shift in our mindset. We need to accept that the “silver economy” is not a Western concept, but it is an economic reality that Pakistan will inevitably face. Those days are not far off, but the question here is whether we are preparing for them now or waiting until the cracks in our social and economic systems become impossible to ignore. The world is moving forward and adapting with strategies and innovation. Will Pakistan follow suit, or will it remain stuck in outdated perceptions?
The choice is ours.
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The views and opinions expressed in this article/paper are the author’s own and do not necessarily reflect the editorial position of Paradigm Shift.
The writer is a researcher and analyst of international relations.