Corolla is also being offered with 1.3L engine only in Pakistan and people seem content with that, while the truth is the old 1.3 engine is not enough for a car of Corolla's size.
As far as high pricing goes, Honda aren't the only one, same can be said for any other car manufacturer (except FAW maybe) in Pakistan. Honda, Toyota and Suzuki have a monopoly going on here. They'll keep on offering these vehicles at higher prices until new manufacturers come in and give them some competition and that too a much needed one for us as consumers.
Anyway, let's just end the discussion here as any more of it will take OP's thread off the track.