Teaching and Testing Oracy Skills in English as a Second Language In Pakistan the quality of English language teaching is too poor to be satisfactory. Students are taught literacy skills at the expense of oracy skills. Also, the literacy skills are taught by substandard and outdated methods which results in lopsided learning of language. Wrong language habits are the natural outcome of this faulty teaching among the learners. These habits are made further inveterate by their repeated practice at different stages before these learners come to NUML. So, the teaching of language to these students, especially oracy skills, poses serious challenges to the teachers dealing in this matter. Teachers of NUML come across multifaceted problems while teaching these students because they (students) are very weak in oracy skills and are treated as false beginners. The purpose of this study is to probe into the teaching and testing techniques which are used by the teachers of National University of Modern Languages (NUML). The investigation was based upon the responses of the English language lecturers to a self-designed questionnaire prepared by the researcher. The study was designed to investigate the problems of teachers and the significance which they would give to different problems related to Oracy skills. Teachers having experience of teaching functional courses were selected as a sample. Self-designed questionnaires were distributed among the teachers. The turnout remained hundred per cent as all the teachers were colleagues of the researcher. The data thus collected was analyzed statistically by finding frequencies and percentages of the responses to close-ended questions in the questionnaire and the trends of the data were identified and interpreted. Quantitative paradigm was applied in sorting out the data and interpreting it. It has been found on the basis of the responses by the teachers that the perceived problems related to oracy skills are genuine and also, that the teachers of NUML realize the gravity of these problems and treat these problems efficiently. However there are certain points which need a bit more attention related to areas of teaching and testing of oracy skills. At the end as an attempt to contribute to the efforts to tackle these problems the researcher has suggested some activities which can be used in classrooms for effective practice of oracy skills.