Without education it is complete darkness and with education it is light. Education is a matter of life and death to our nation. The world is moving so fast that if you do not educate yourselves you will be not only completely left behind, but will be finished up. No sacrifice of time or personal comfort should be regarded too great for the advancement of the cause of education.”- Muhammad Ali Jinnah.The vital role of education in nation-building has concisely yet accurately been summed up in a portion of Jinnah’s speech quoted above. Following this, we see that in a developing country like Pakistan, the importance of education just cannot be emphasized enough because a strong educational system in the country can potentially have large scale benefits for the entire nation. Education is a key tool needed to develop skilled human capital and achieve socio-economic growth, both at the macro and micro level. At the macro level, good education leads to skilled labour and therefore, sustainable growth of the economy and at the micro level, educations leads to a more aware society and better employment opportunities with higher incomes.After a cursory look at the current educational profile of Pakistan, several basic issues that compromise the educational efficiency of the system can be pointed out. Firstly we see that the impact of any educational reform or policy does not trickle down to the very poor class of the country, female literacy is a persistent problem and the rural population remains largely uneducated. Secondly, there are serious institutional problems in the education sector, especially with fragmented governance. Thirdly, there is constant political interference in school and colleges, thereby leading to reduced school/college autonomy and independent decision making on their part. Additionally, there is an extremely inefficient managerial capacity and an obvious lack of dedication/motivation of the employed teachers who are paid minimum salaries and don’t have an incentive to do better. As a result of this, there is a high dropout rate.