------------------------------------------------------------------- DAWN WIRE SERVICE ------------------------------------------------------------------- Week Ending : 12 May 2001 Issue : 07/19 -------------------------------------------------------------------
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CONTENTS =================================================================== NATIONAL NEWS + War-games will not impress Pakistan: FO rules out arms race + China supports Pakistan stand on Kashmir + Six accords, one MoU signed with China + US wants India to limit nuclear arms + Canada urges trilateral talks on Kashmir + Chief Executive assures Kashmiris of support + Lubbers discusses refugees issue with CE + Nawaz wants party men to work against dictatorship + Sattar to meet Powell next month + Pakistan no longer helping Taliban: US + US likely to lift sanctions within six months + Jamaat demands end to military rule + Islamabad wants UN aid inside Afghanistan --------------------------------- BUSINESS & ECONOMY + Japan may resume aid next year + Government borrowing starts falling + WB losing patience on Development of financial institution + 42.43% rise in Sales Tax refund during 10 months + UNHCR proposal for repatriation of refugees + WAPDA failed to utilize funds: Draft report + Failure to utilize gas to cost $1.1billion + Riba unlikely to go soon, says Governor State Bank of Pakistan --------------------------------------- EDITORIALS & FEATURES + Gilli-dunda Ardeshir Cowasjee + A passion for verbosity Ayaz Amir + The winds of change Irfan Husain ----------- SPORTS + Umpires examine video of Shoaib's action: newspapers + Dowman defies Pakistan + Mushtaq spins Pakistan to victory: Universities lose by innings
DWS*DWS*DWS*DWS*DWS*DWS*DWS*DWS*DWS*DWS*DWS*DWS*DWS*DWS*DWS*DWS*DWS =================================================================== NATIONAL NEWS 20010509 ------------------------------------------------------------------- War-games will not impress Pakistan: FO rules out arms race ------------------------------------------------------------------- Hasan Akhtar ISLAMABAD, May 8: Pakistan has an "unassailable" defence against external aggression and was not going to be impressed by the ongoing Indian military exercises in Rajasthan close to country's borders , said Foreign Office spokesman Riaz M. Khan at a news briefing here on Tuesday. The spokesman was asked for comments on the Indian exercises close to Pakistan's border. He said: "Such blatant show of force and statements (by India) are not going to impress Pakistan." When asked whether the biggest Indian military exercises could lead to an arms race between the two countries, the spokesman said, Pakistan policy was guided by the principle of restraint and responsibility. He said: "We have stated at the highest level on several occasions that Pakistan will not be drawn into any arms race by such blatant show of force and demonstration of arms. Pakistan had developed deterrence and nuclear capability to defend the country against any aggression and that was an indispensable part of our defence policy." The spokesman accused India of violating a bilateral agreement of 1990-91 concerning military exercises close to borders. He said India had not given in writing an advance notice of 60 days through diplomatic channels for its more than a corps-level exercise as stipulated in the 1990-91 agreement. He dismissed suggestions that the Indian exercises, timed to coincide with Chinese Prime Minister Zhu Rongji's four-day visit to Pakistan starting from Friday, were a signal to Islamabad and Beijing. AFGHAN REFUGEES: Commenting on the UNHCR chief's statement concerning the fresh influx of Afghan refugees in Pakistan, the Foreign Office spokesman said that Pakistan's suggestion that the United Nations meet the needs of the drought-affected people of Afghanistan inside that country rather than in Pakistan was "an eminently reasonable idea". The UNHCR chief, Ruud Lubbers, had termed the Pakistani proposal as "silly". The spokesman said any screening and registration of new Afghan arrivals at Jalozai camp as proposed by Ruud Lubbers, would have to be accompanied by some kind of relief undertaking across the border in Afghanistan, a view which the UNHCR chief rejected. Rebutting the position adopted by Mr Lubbers, the spokesman pointed out that "that was part of the understanding" reached with UN Secretary-General Kofi Annan during his recent visit to Pakistan. The UNHCR did set up camps for thousands of Afghans displaced by drought in Herat close to Afghanistan border with Iran and in Mazar-i-Sharif close to Uzbekistan and Tajikistan borders. Riaz Khan categorically stated that contrary to what the UNHCR chief reportedly said here on Monday, Pakistan had not pushed back any of the more than two million Afghan refugees who had been residing here for many years. DWS*DWS*DWS*DWS*DWS*DWS*DWS*DWS*DWS*DWS*DWS*DWS*DWS*DWS*DWS*DWS*DWS 20010512 ------------------------------------------------------------------- China supports Pakistan stand on Kashmir ------------------------------------------------------------------- Syed Talat Hussain ISLAMABAD, May 11: China on Friday backed Pakistan's efforts for peaceful resolution of Kashmir issue. However, he said the defence of Pakistan was its internal affair. Speaking at a joint press conference with Chief Executive Gen Pervez Musharraf, the Chinese Prime Minister, Zhu Rongji, termed Kashmir "a leftover of history," adding, "China supports and agrees with Pakistan's position for a peaceful settlement of the Kashmir issue." To a question about Chinese support to Pakistan's defence capability, he said there was co-operation in all areas, but added that the defence of Pakistan was its internal matter. The chief executive said while India might be spending 28 per cent more funds on defence this year as compared to last year, the Pakistan army was maintaining its minimum level of deterrence to defend the country. "We are very proud of the Chinese help and we are grateful. But there should not be any doubt in anyone's mind that no amount of increase in India's defence budget can deter us from maintaining this deterrence," the chief executive said. Prime Minister Zhu Rongji described his talks in Islamabad useful and said the two sides were able to evolve consensus on a wide range of questions. He said this visit would go a long way in bringing about further co-operation between the two countries. On Beijing's policy on supply of defence equipment and technology to Pakistan, he said both the countries co-operated in a number of sectors including defence, but it was in line with international agreements. Earlier, the Chief Executive, Gen Pervez Musharraf, in his opening remarks welcomed the Chinese dignitary and said meetings with the Chinese premier resulting in "total unanimity of views on all global and regional issues." The Chinese premier explained the basis of the relations between the two countries, saying "both have an exemplary friendship because they trust each other, understand each other and can mutually accommodate each other's positions." Speaking at the press conference, both the leaders announced total unanimity of views on bilateral regional and global issues, adds APP. The two leaders said Pakistan-China relations would see higher and greater level of co-operation in all fields in days ahead. "We have consensus and identity of views on a wide range of questions. I am confident the visit will go someway to bring about greater level of co-operation and peace and stability in the region," said the Chinese prime minister. Gen Pervez Musharraf said during the talks the two sides held" intensive interaction on all issues of mutual concern and finally concentrated on economic issues." "We have total unanimity of views on all global, regional and bilateral issues," said the chief executive. Zhu Rongji said he "totally agrees with the comments made by the chief executive." Gen Musharraf said both the sides have signed seven agreements to further strengthen their existing bonds of friendship. DWS*DWS*DWS*DWS*DWS*DWS*DWS*DWS*DWS*DWS*DWS*DWS*DWS*DWS*DWS*DWS*DWS 20010512 ------------------------------------------------------------------- Six accords, one MoU signed with China ------------------------------------------------------------------- ISLAMABAD, May 11: Pakistan and China signed six agreements and one Memorandum of Understanding (MoU) at a ceremony attended by Chief Executive Gen Pervez Musharraf and Chinese Prime Minister Zhu Rongji on Friday. These included agreements on economic and technical co-operation, tourism co-operation, lease agreement on Saindak Copper-Gold Project, supply of locomotives to Pakistan Railways, supply of passenger coaches to Pakistan Railways, white oil pipeline and MoU between ZTE and Pakistan Telecommunications Corporation Ltd. Under the agreement on economic and technical co-operation the Chinese government would provide a grant of 50 million yuan for the promotion of economic and technical co-operation between the two countries. The agreement was signed by Chinese Minister for Foreign Trade and Economic Co-operation Shi Guangsheng and Finance Minister Shaukat Aziz. The agreement on tourism co-operation would provide for co- operation between the two countries in the field of tourism, through contacts between their tourism organizations, exchange of information and joint investments. Chinese Ambassador in Islamabad Lu Shulin and Foreign Secretary Inamul Haque singed the agreement on tourism co-operation. Under the lease agreement on Saindak Copper-Gold Project, the Metallurgical Construction Corporation of China (MCC) will be given a ten-year lease to mine and process copper and gold ores at Saindak. Under another agreement for supply of locomotives to Pakistan Railways, the Chinese firm, Dongfang Electric Corporation, would provide 69 locomotives to Pakistan Railways under a supplier's credit. President of Dongfang Electric Corporation, Li Zongwen and Secretary Railways Saeed-uz-Zafar signed the agreement. China National Machinery Import and Export Corporation (CMC) would supply 175 passenger coaches to the Pakistan Railways under a supplier's credit, according to an agreement for supply of passenger coaches to Pakistan Railways. -APP DWS*DWS*DWS*DWS*DWS*DWS*DWS*DWS*DWS*DWS*DWS*DWS*DWS*DWS*DWS*DWS*DWS 20010511 ------------------------------------------------------------------- US wants India to limit nuclear arms ------------------------------------------------------------------- Tahir Mirza WASHINGTON, May 10: US Deputy Secretary of State Richard Armitage is due to arrive in New Delhi on Friday for talks with Indian government officials on the Bush administration's national missile defence shield , but he is also expected to seek assurances that India is willing to limit its nuclear weapons development programme. A report here on Thursday suggested that Mr Armitage needs such assurances to strengthen the hands of those in the State Department who want sanctions against India to be removed against a lobby that believes that doing so would encourage potential nuclear weapons states to develop their own atomic military capability. However, Mr Armitage's New Delhi visit comes at a time when India has just conducted a massive military exercise on its borders with Pakistan and held wargames oriented towards nuclear warfare. The use of the Pokhran desert area, where India carried out its nuclear tests in 1998, for the exercises is significant. Mr Armitage may find that he has to contend with a new aggressive and self- confident mood in the Indian military and political establishment and may not find it easy to extract promises about non- proliferation. DWS*DWS*DWS*DWS*DWS*DWS*DWS*DWS*DWS*DWS*DWS*DWS*DWS*DWS*DWS*DWS*DWS 20010511 ------------------------------------------------------------------- Canada urges trilateral talks on Kashmir ------------------------------------------------------------------- Latafat Ali Siddiqui TORONTO, May 10: Canada's Foreign Affairs Minister John Manley has said that his country supports trilateral negotiations between India, Pakistan and Kashmiri representatives to find a peaceful and negotiated settlement to the Kashmir dispute. "Canada welcomes recent emerging developments for a peaceful resolution of the Kashmir issue," he said, adding: "We urge the Indian and Pakistani governments to continue to show restraint, to respect the Line of Control, and to resume their dialogue with the object of resolving bilateral issues, including Kashmir." In a communication to the Executive Director of the Kashmiri- Canadian Council (KCC) Mushtaq A. Jeelani, the Canadian foreign minister said: "In your letters, you called upon Canada to facilitate dialogue for a lasting solution of the dispute in Kashmir. As you may know, Canada has historically approached the Kashmir issue with due regard for the sensitivities of the parties involved." Canada, he added, supported a political solution involving negotiations between India, Pakistan and Kashmiri representatives." And a solution must take into account the interests of the Kashmiri people," he said. John Manley said: "In addition to offering assistance to help resolve the dispute should India and Pakistan agree to this, Canada has provided funding for peace building initiatives in the region." Mr Jeelani told Dawn on Thursday that he had reminded Mr Manley about Canada's important role on the issue of Kashmir. He said: "When the Kashmir dispute erupted in 1947-48, Canada, under the Liberal administration of Prime Minister Louis St. Laurent (1948- 57), was firm that the future status of Kashmir must be determined by the will of the people of the territory, and their wishes must be ascertained through an impartial plebiscite under the supervision and control of the United Nation." DWS*DWS*DWS*DWS*DWS*DWS*DWS*DWS*DWS*DWS*DWS*DWS*DWS*DWS*DWS*DWS*DWS 20010510 ------------------------------------------------------------------- Chief Executive assures Kashmiris of support ------------------------------------------------------------------- Reporter ISLAMABAD, May 9: Chief Executive Gen Pervez Musharraf has said that Pakistan is committed to providing all diplomatic, moral and political support to the people of Kashmir in their just struggle for self-determination. The chief executive made these remarks while talking to a senior leader of the All Parties Hurriyet Conference Shaikh Abdul Aziz who called on him here on Wednesday. The chief executive assured the APHC leader that Pakistan would continue to strive for the cause of the people of Kashmir at all forums. DWS*DWS*DWS*DWS*DWS*DWS*DWS*DWS*DWS*DWS*DWS*DWS*DWS*DWS*DWS*DWS*DWS 20010508 ------------------------------------------------------------------- Lubbers discusses refugees issue with CE ------------------------------------------------------------------- Hasan Akhtar ISLAMABAD, May 7: The United Nations High Commissioner for Refugees, Ruud Lubbers, said on Monday he had failed to persuade Pakistan to open border for Afghan refugees fleeing the country because of war and drought and predicted "chaos" in both countries because of the emerging situation. The UNHCR chief who completed his 10-day visit to the region with a news conference here on Monday, said he had failed to persuade the authorities in Pakistan not to seal border and stop deporting the refugees living in Pakistan. Lubbers who toured Iran, Afghanistan and Pakistan to review refugees problems, predicted chaos for Pakistan and Afghanistan because of continued fighting in Afghanistan and pressure on the Afghan people to migrate to escape the conflict and the drought which has badly hit a major part of their homeland and caused widespread economic hardships. The UNHCR chief said he has told the Pakistani authorities that the people who are fleeing Afghanistan because of fighting have a right to register as refugees and similarly the UNHCR has a right to check that Afghans being deported by the Pakistan government are not registered refugees. Describing the continued fighting in Afghanistan as "insane", he warned that a chaos was in the making for Afghanistan and "here in Pakistan" unless steps were taken to ameliorate the sufferings of the people. The UNHCR chief reported some progress in his talks with Pakistani officials regarding access to the UN to screen nearly 80,000 inmates of Jallozai camp near Peshawar. Islamabad has maintained that Jallozai is a transit camp and a big majority of its inmates are economic refugees and therefore cannot be provided relief goods and permission to settle here. The issue of the settlement and provision of relief to the inmates of Jallozai camp was also discussed by the UN Secretary-General, Kofi Annan, during his recent visit to Pakistan. DWS*DWS*DWS*DWS*DWS*DWS*DWS*DWS*DWS*DWS*DWS*DWS*DWS*DWS*DWS*DWS*DWS 20010507 ------------------------------------------------------------------- Nawaz wants party men to work against dictatorship ------------------------------------------------------------------- Staff Reporter LAHORE, May 6: PML-N chief Nawaz Sharif has directed party leaders and workers to work relentlessly against the dictatorial system. Talking to Ms Tehmina Daultana by phone from Saudi Arabia on Saturday, he said the welfare of the country was more important than anything else and everybody should play his due role to save the motherland. He appreciated his party leaders who were taking an active part in the struggle for the revival of a democratic system. The deposed prime minister conveyed his appreciation to the relevant leaders. Ms Daultana told reporters on Sunday that Mr Sharif was aware of the situation at home and he wanted the inactive people to change their attitude. Mr Sharif, she said, was also upset over the ongoing water shortage in the country which was adversely affecting the agricultural sector. Ms Tehmina informed him how leaders of one province were being prevented from entering the other. "When such situations arise, changes at the highest level become inevitable", Ms Tehmina quoted the deposed prime minister as saying. Mr Sharif was critical of the downsizing being carried out at present, and said that it would add to the joblessness. DWS*DWS*DWS*DWS*DWS*DWS*DWS*DWS*DWS*DWS*DWS*DWS*DWS*DWS*DWS*DWS*DWS 20010507 ------------------------------------------------------------------- Sattar to meet Powell next month ------------------------------------------------------------------- Tahir Mirza WASHINGTON, May 6: Foreign Minister Abdul Sattar will make an official visit to Washington some time in June at the invitation of US Secretary of State Colin Powell. The dates for the visit are being worked out, Pakistan ambassador Dr Maleeha Lodhi said on Sunday. Finance Minister Shaukat Aziz was in Washington for the just- concluded IMF/World Bank spring meetings and also met US Treasury Secretary Paul O'Neill, but Mr Sattar's visit will mark the first real review of the political and foreign policy aspects of the Pakistan-US relationship at this level. The relationship has been an uneven one in the past few years because of various factors the perceived rise of religious extremism and the alleged backing given to it by Pakistani government agencies, nuclear proliferation, Kargil, and the military's overthrow of an elected government. Islamabad's support for the Taliban regime, which is under pressure from the US to hand over Osama bin Laden, has cast its own shadow on Pakistan-America ties. But there is a growing feeling in Pakistani circles that the Bush administration has decided to look at Pakistan and South Asia with an open mind, and while this may not lead to any far reaching changes, there are indications that America's South Asia policy is at least being closely reviewed, uninfluenced by some of the prejudices of the Clinton era. It remains to be seen whether the review will lead to greater sympathy emerging for Pakistan's dilemmas vis-a-vis Afghanistan and Kashmir. Apart from the more obvious issues such as the economic, political and military sanctions, Mr Sattar will probably restate Pakistan's anxiety for the US to play a more active diplomatic role in setting up a Pakistan-Indian dialogue for regional peace and stability. New Delhi has been warming up to the Bush administration, and is among the few countries to endorse the administration's commitment to a missile nuclear defence system. Mr Sattar will be able to find out during his visit if the US is willing to exploit India's new mood of co-operation with Washington to persuade New Delhi into adopting a more rational stance on Kashmir and peace negotiations. DWS*DWS*DWS*DWS*DWS*DWS*DWS*DWS*DWS*DWS*DWS*DWS*DWS*DWS*DWS*DWS*DWS 20010507 ------------------------------------------------------------------- Pakistan no longer helping Taliban: US ------------------------------------------------------------------- Monitoring Desk WASHINGTON, May 6: The United States has said Pakistan is no longer helping the Taliban with men and material and is committed to implementing the arms embargo and other UN sanctions imposed on Kabul. A senior USAID official said this in response to a question about the State Department's report on "Patterns of global terrorism, 2000", which had said that although Pakistan was committed to implementing the UN resolution, it is providing Kabul with material, fuel funding, technical assistance, besides military advisers. "The report was a 2000 report. It is not talking about today," Morris told reporters at a comprehensive briefing on Afghanistan, arranged by the State Department. Morris said in the current situation, Pakistan will abide by the conditions of the UN Security Council Resolution 1333, which imposed sanctions on the Taliban. DWS*DWS*DWS*DWS*DWS*DWS*DWS*DWS*DWS*DWS*DWS*DWS*DWS*DWS*DWS*DWS*DWS 20010507 ------------------------------------------------------------------- US likely to lift sanctions within six months ------------------------------------------------------------------- Masood Haider NEW YORK, May 6: United States is expected to lift economic sanctions imposed on India and Pakistan within six months as the Bush administration believes that these are hurting the American economic interests. The sanctions were imposed on the two countries following May 1998 tit-for-tat nuclear tests by the two countries. A report in the New York Times on Sunday said: "Despite Pakistan's many political and economic problems, the new administration is likely to try to help Pakistan by supporting soft loans through the International Monetary Fund and World Bank, among other things. Like its predecessor, the Bush administration does not want to push nuclear armed Pakistan -a society with strains of fundamentalism- over the edge." While the lifting of sanctions against India would be complete, Pakistan would still remain under some democracy sanctions, which would stay in place until restoration of civilian rule in Pakistan. Ever since the visit of India's External Affairs Minister Jaswant Singh to Washington, wherein he met with President George Bush, India has not only softened the criticism of the Bush Administration's foreign policy, it has come abroad on Mr Bush's controversial nuclear missile defence plan. The reason: India has been given assurances that all economic sanctions imposed on it following its nuclear tests would be lifted and the normalization of once strained ties would continue. Besides Indian minister's visit, Pakistan's Finance Minister Shaukat Aziz held extensive meetings with US Treasury Secretary Paul O'Neil, and State Department's Under-Secretary of Economic Affairs Alan Larsen, in which impact of US sanctions on Pakistan's economic recovery were discussed. Mr Aziz also met Mr Richard Haas of the State Department where again the impact of sanctions were discussed. Mr Aziz clearly came out with an understanding that the new Bush administration may ease the sanctions against Pakistan, although US was critical about Islamabad's support for the Kashmiri freedom fighters and its support for Taliban government. The US also emphasized for restoration of democracy in Pakistan. The Times report also says that "India would also like to be able to buy nuclear reactors for civilian use from the United States. And it wants the United States to lean on Pakistan to rein in Mujahideen who have been battling India in Kashmir." The Bush administration so far appears to be carrying on efforts made in the waning Clinton years and solidified when Bill Clinton visited India in March 2000 to overcome the mutual suspicion that dated from the cold war, when India was close to the Soviet Union and Pakistan was an American ally. Last week the State Department did not add Pakistan to its list of state sponsors of terrorism, but it did criticize Pakistan for backing anti-India Mujahideen groups operating in Kashmir. It also said it was disappointed that Pakistani government, which took power in a 1999 military take over, had cracked down on a pro- democracy rally organized by political parties. DWS*DWS*DWS*DWS*DWS*DWS*DWS*DWS*DWS*DWS*DWS*DWS*DWS*DWS*DWS*DWS*DWS 20010507 ------------------------------------------------------------------- Jamaat demands end to military rule ------------------------------------------------------------------- Bureau Report PESHAWAR, May 6: Jamaat-i-Islami Amir Qazi Hussain Ahmad on Friday threatened the government with launching a nation wide movement if the government did not meet the demands made at the party's national convention in Lahore last month. "We will show the way to Gen Musharraf much the same way we did to Nawaz Sharif and Benazir Bhutto," the Jamaat leader said while talking to party delegates at Serai Gambela in Lakki Marwat. Qazi claimed that corruption was permeating the armed forces whose motto had been Jehad-i-Fee Sabilillah. He said that it was high time the army returned to the barracks and formed a civilian caretaker government to hold free and fair elections under an independent election commission. He lamented that Pakistan had been unable to achieve the objectives for which it had been created and the responsibility for this lay with the unscrupulous rulers who danced to the tunes of their foreign masters. This was the main reason for growing corruption and social injustices in Pakistan, he added. He said that the PPP and PML had failed in delivering the goods to the people and it was now the turn of Jamaat-i- Islami to come up to the expectations of the people. VISITS JALOZAI: Later, upon arrival from Lakki Marwat, Qazi Hussain Ahmad visited Jalozai refugee camp near Peshawar where he distributed relief goods amongst the refugees. He, on this occasion, called on the warring factions in Afghanistan to stop fighting and work towards the reconstruction of their war-battered country. Accountability: Chairman of the National Accountability Bureau (NAB) Lt-Gen Khalid Maqbool, during a visit to the Regional Accountability Bureau here on Saturday, stressed the need for accelerating the pace of accountability in the province, says a press release. RAB Commander AVM Zakaullah Khan briefed the NAB chief about the performance of the regional office. DWS*DWS*DWS*DWS*DWS*DWS*DWS*DWS*DWS*DWS*DWS*DWS*DWS*DWS*DWS*DWS*DWS 20010506 ------------------------------------------------------------------- Islamabad wants UN aid inside Afghanistan ------------------------------------------------------------------- ISLAMABAD, May 5: Foreign minister, Abdul Sattar, urged the United Nations and the international community to provide humanitarian assistance to the drought-stricken Afghans inside their country to prevent their exodus. He was talking to the visiting chief of the UN High Commission for Refugees, Ruud Lubbers, who called on him here on Saturday. "A big majority of the nearly two hundred thousand new arrivals were economic migrants and their exodus could have been prevented if food and relief were available to them inside Afghanistan," Sattar was quoted as saying by an official statement. The foreign minister urged the international community to focus on the provision of humanitarian assistance inside Afghanistan so that the Afghans, afflicted by unprecedented drought, did not leave their country in search of food. He said it had also been decided not to push the new arrivals back into Afghanistan. "Pakistan's capacity to receive more refugees was exhausted since the presence of the large number of refugees had placed an enormous burden on its resources, in addition to the social, political and ecological costs," he was quoted as saying. Sattar took serious note of the unfair media criticism against Pakistan regarding Jalozai refugee camp and emphasized that the government had not obstructed the provisions of relief assistance to the Afghans either in Jalozai or elsewhere.-APP
BUSINESS & ECONOMY 20010509 ------------------------------------------------------------------- Japan may resume aid next year ------------------------------------------------------------------- Reporter ISLAMABAD, May 8: Japan has indicated to resume Pakistan's increased annual assistance from the next financial year. Diplomatic sources said that Pakistan's 400 million dollars annual Official Development Assistance (ODA) by Japan could be increased to 500 million dollars from 2001-2002. Moreover Japan could also consider extending additional financial support for mitigating the effects of a severe drought the country has been experiencing. Sources said that Japan saw assurances given to finance minister Shaukat Aziz by US Secretary Treasury Paul O'neil last week in Washington as positive developments for the removal of remaining international sanctions against Pakistan. They said that US Secretary of State Colin Powel's invitation to Foreign Minister Abdul Sattar to visit Washington could lead to removal of sanctions against Pakistan. Nevertheless they said that Pakistan would have to indicate some timeframe to sign the CTBT about which it had already, in principle, taken a decision. "We hope that the government would soon start taking the politicians into confidence to sign the CTBT," a source said. He added that leaders of major political parties PPP and PML have no inhibitions to sign the treaty especially to get the sanctions lifted. Japan had suspended new loans and grants except those for humanitarian and emergency purposes and those for grassroots assistance schemes since Pakistan's nuclear tests in 1998. Technical assistance is also outside of this measure. DWS*DWS*DWS*DWS*DWS*DWS*DWS*DWS*DWS*DWS*DWS*DWS*DWS*DWS*DWS*DWS*DWS 20010508 ------------------------------------------------------------------- Government borrowing starts falling ------------------------------------------------------------------- Mohiuddin Aazim KARACHI, May 7: The government reduced its net bank borrowing from banks to Rs18 billion up to first week of April 2001, from Rs31.4 billion a month ago. It is supposed to keep it at minus Rs14.5 billion at the end of the current fiscal. Senior bankers said the government had made a gross borrowing of Rs45 billion up to April 7, 2001 but at the same time it had placed Rs27 billion in a special debt account thus reducing the net borrowing to Rs18 billion. Up to March 3, net government bank borrowing stood at a little more than Rs31 billion. Under $596 million IMF standby credit programme, the government is to keep its net bank borrowing at minus Rs14.5 billion at the end of the fiscal in June. That explains why the government had to cut its bank borrowing after it had risen to Rs31.4 billion as on March 3. Senior bankers say meeting bank borrowing target should not be a tough task for the government in the wake of its larger than expected borrowing through long term bonds that forms part of its non-bank borrowing. On April 18, the government had raised Rs11.2 billion through these bonds and all is set for another auction of the bonds on May 19. But at the same time, investment in national saving schemes has been on the fall after rate cuts leaving little room for non-bank borrowing through such schemes and reducing the impact of borrowing through Pakistan Investment Bonds. Historically what compels the government to make constant borrowings from banks is that its tax machinery often misses tax collection target. For this fiscal, tax collection target is Rs417 billion: according to provisional figures the tax machinery has collected Rs306 billion in the first 10 months of the current fiscal - between June 2000-April 2001. Senior bankers said up to April 7, selected seven public sector organizations had retired Rs14.3 billion of bank credit. Under the IMF standby credit programme, these organizations namely. (i) WAPDA (ii) KESC (iii) SSGC (SNGPL) (iv) OGDC (v) PTCL and (vi) Pakistan Railways are supposed to keep their bank borrowing at Rs11.5 billion. This means these organizations can make a net borrowing of more than Rs25 billion between April 7 and June 30. COMMODITY OPERATIONS: Senior bankers said bank borrowing by state- run agencies for financing commodity operations stood at minus 37.9 billion up to April 7. Under the IMF credit programme these agencies are supposed to retire by the end of this fiscal year Rs40 billion of loans taken earlier for commodity operations. Under commodity operations state-run agencies borrow money from banks for buying agricultural crops and inputs like wheat and rice and seed and fertilizer for onward supply into the market. PRIVATE SECTOR AND PSCEs: Bank borrowing of the private sector and public sector commercial enterprises (PSCEs) stood at Rs85.8 billion up to April 7 down from Rs93.4 billion as on March 3. Of this borrowing by private sector proper stood at Rs76.3 billion and borrowing by PSCEs totalled Rs11.2 billion. Senior bankers attributed the fall in the credit flow toward the private sector between March 3 and April 7 to the fact that it was time for retirement of private sector credit. In Pakistan private sector starts credit retirement normally from April and in some cases the process start even a bit earlier. Demand for private sector credit remains high in six months i.e. October-March that are the months of higher agricultural productivity. After that the demands fall drastically and the private sector starts repaying the seasonal loans. DWS*DWS*DWS*DWS*DWS*DWS*DWS*DWS*DWS*DWS*DWS*DWS*DWS*DWS*DWS*DWS*DWS 20010512 ------------------------------------------------------------------- WB losing patience on Development of financial institution ------------------------------------------------------------------- Jawaid Bokhari KARACHI, May 11: The World Bank is losing its patience for want of official decision on issues like merger and privatization of development financial institution (DFIs) with negative balance- sheet, sources indicated here on Friday. Barring PICIC which has come out of the woods on impressive debt recovery once major players like NDFC and IDBP have been identified for merger in a concept paper approved by the cabinet. Earlier, these were on the list of units to be privatized. No progress has been made in either of the two directions. In the current scenario, both NDFC and IDBP have stopped fresh long-term lending and are focusing on existing business-debt recovery, debt rescheduling and funding of existing projects, that do not need large capital and have potentials for a turn-around. These include big projects in which large debts are stuck-up. DFIs are tempted to put small sums to salvage huge amounts. They provide working capital to running industries from the deposits they raise from the public. These two institutions, NDFC and IDBP are windows for long-term financing, vitally needed in a developing country suffering from critical shortage of capital. They are essential for turning assets from dead capital into living capital in any strategy for the country's industrialization. Experienced retired development bankers rule out the possibility of merger as a feasible proposition and reject the official concept that envisages merger of two or more units suffering from the same malady i.e. financial distress. How can NDFC and IDBP, with negative balance-sheet and different company cultures, turn into a financially sound outfit, by the act of corporate marriage, they ask and add "for any merger to succeed, a strong unit needs to take over a weak one." Elsewhere in the world, mergers are often encouraged through provision of funds either by the government or lending agencies. The government is cash-strapped and indications are that the IFIs like World Bank are not inclined to oblige. Sources here said that the government plans to share its view on merger of DFIs with the World Bank team expected here in the next few days to discuss issues related to $250 million banking sector loan. Officials have, however, not paid heed to an option that emerges out of PICIC experience of a turn-around. No doubt, PICIC is a private sector organization. Though the private sector has a major stake in the corporation, the current chief executive has come from the state-run commercial bank, the UBL. PICIC has expanded, owns a commercial bank and provides medium to long term loans and working capital to its clients. Apart from non-performing loans, DFIs have suffered immensely because quick changes in top management with the tenure of the chief executives averaging between 1-2 years and uncertainties sparked by governmental pronouncements. During the tenure of Junejo as prime minister, Burmah Oil Company (BOC) withdrew its offer to sell Pakistan Petroleum Ltd to Shell, when the latter failed to get 'no objection' from the government within the specified extended period. BOC complained that it cannot allow uncertainties to damage the morale of its employees and the PPL's future. In this country, IFIs and responsible government leaders, by their pronouncement and actions, often damage state-run units. There was a run on deposits when the financial advisor in Moin Qureshi's government made some observations on financial institutions. The DFIs have also suffered because the IFIs first halted their creditlines and later offered foreign loans at interest rates that became prohibitive after hedging against devaluation. The last credit by an IFI to Bankers Equity for disbursement through different DFIs, remained unutilized. Apparently, the market does not have an appetite for DFIs because long-term lending is far riskier business than commercial banking. Only two small banks were sold in the recent past and privatization of major banks, remains stuck on government's agenda. DWS*DWS*DWS*DWS*DWS*DWS*DWS*DWS*DWS*DWS*DWS*DWS*DWS*DWS*DWS*DWS*DWS 20010509 ------------------------------------------------------------------- 42.43% rise in Sales Tax refund during 10 months ------------------------------------------------------------------- Reporter KARACHI, May 8: There has been a remarkable rise of 42.43 per cent in Sales Tax refund payments to exporters during the first 10 months of present fiscal year, official sources disclosed here on Tuesday. The Sales Tax Collectorates (East & West), Karachi, have paid Rs13.091 billion towards sales tax refunds during the first 10 months of FY-2000-01, as against Rs9.191 billion paid during the corresponding period of last year. A soaring refund payments of sales tax allay exporters' claim that there had been long delay and non-payment of huge amounts against their claims. The exporters had been also claiming that due to non- payment of ST refunds they were facing liquidity crunch. According to details, the ST collectorate (East), during the period under review, paid Rs8.492 billion or 62.21 per cent higher in ST refunds than the corresponding period of last fiscal when an amount of Rs5.233 billion was paid. Similarly, the collectorate (West), during the first 10 months of present fiscal, paid Rs4.599 billion in ST refunds which is higher by 16.21 per cent than of last year when Rs3.957 billion were paid. When looked at these facts it could be easily stated that there is continuous rise in ST refund payments and the hue and cry by exporters stands invalid. It is also being stated that the system of ST refund payment is not foolproof and is exposed to fake as well as flying invoices' which gives a lot of room for exporters or even the supplier to make fraudulent claims. "I would say that the bureaucracy itself is not keen to evolve a system which could not be tampered with easily simply because they also want to make quick and easy money," a leading exporter asserted. DWS*DWS*DWS*DWS*DWS*DWS*DWS*DWS*DWS*DWS*DWS*DWS*DWS*DWS*DWS*DWS*DWS 20010508 ------------------------------------------------------------------- UNHCR proposal for repatriation of refugees ------------------------------------------------------------------- Bureau Report PESHAWAR, May 7: The United Nations High Commission for Refugees (UNHCR) has presented a plan to the federal government that provides for a sustained Afghan refugees repatriation, a highly- paced government official said. The plan, which has been presented to the Ministry of State and Frontier Regions (Safron) spread over a period of 18 months, from July 2001 to December 2002. It addresses Pakistan's concern regarding the slow repatriation of Afghan refugees. Pakistan is host to around two million Afghan refugees, 1.2 million. The official said that the plan aims at facilitating the voluntary return of 100,000 refugees to Afghanistan by assisting them in getting shelter, better health, education, and water. It aims at setting-up income-generating projects in Afghanistan. "The aim is to promote sustainable return, and once the refugees go back, they should be able to stay back," the official said. The official acknowledged that previous repatriation programmes were successful due to several reasons. "Giving the refugees a couple of thousands of rupees and a bag of wheat was not enough to encourage voluntary repatriation." A tripartite commission that includes Pakistan, Afghanistan and the UNHCR already exists to facilitate the voluntary return of Afghan refugees to their country. The official said that something that hampered the voluntary repatriation of Afghan refugees, has been the lack of job opportunities and economic activity. The Governor NWFP, Lt-Gen (retd) Syed Iftikhar Hussain Shah, however, is believed to have raised several questions with regards to the strategy plan, but as one official put it, he has not rejected it. DWS*DWS*DWS*DWS*DWS*DWS*DWS*DWS*DWS*DWS*DWS*DWS*DWS*DWS*DWS*DWS*DWS 20010507 ------------------------------------------------------------------- WAPDA failed to utilize funds: Draft report ------------------------------------------------------------------- Reporter ISLAMABAD, May 6: Major donor agencies have expressed dissatisfaction over the utilisation of $1.5 billion funds by the government and WAPDA under Private Sector Energy Development Fund (PSEDF) that financed private sector involvement in Pakistan's power sector reforms since 1988. The PSEDF programme now stand completed but over $200 million are still un-disbursed. A draft report "Intensive Learning Implementation Completion Report" on the subject highlighted a number of major areas of deficiencies including poor financial performance of WAPDA and lack of achievements in the institutional objectives. Of this amount, $145 million loan is technically available to WAPDA but would not be disbursed due to a policy decision of Japan Exim Bank. Another $66 million were cancelled jointly by the World Bank, Jexim, Italian government and the United States. Pakistan has separately asked Bank of China to disburse $7.315 million for Uch Power Project only after agreeing to a late interest of 7.48 per cent, a revised schedule for payments and some other conditionalities. Six major objections in the report that rated the WAPDA performance under PSEDF as "unsatisfactory", include: (i) "institutional objectives have not been fully achieved (ii) Wapda's financial performance has been poor (iii) WAPDA Power Purchase Organisation (WPPO) never developed full capacity to implement and monitor the power purchase agreements (PPAs) (iv) WPPO suffered from turnover in its senior management (v) IPPs faced delays due to failure to provide interconnection on time (vi) WPPO did not co-operate with IPPs in plant testing and commissioning (vii) WAPDA resorted to negotiating tariff with many IPPs before their commissioning. WAPDA has however held the World Bank responsible for failures and strongly contested these reservations and claimed that its performance has been excellent. WAPDA said: "We differ with the performance rating of 'unsatisfactory' pertaining to WAPDA including WPPO. Despite constraints, including inadequate support from the Bank itself, WAPDA performed satisfactorily". WAPDA forecast a financially viable future for itself and its companies based on restructuring programme and efficiency improvement measures saying "Wapda's self-assessed rating regarding implementation of PSEDF-I and II is satisfactory". Regarding institutional reforms WAPDA said that it had created a centre-of- excellence in the form of WPPO which is not capable of handling present IPPs but is likely to usher-in further flow of foreign investment during next 25 years. On its power performance WAPD Aclaimed that it has improved, development programme was back on fast track, Ghazi-Barotha and Chashma Hydel were now on schedule and payable position was satisfactory. WAPDA said it never defaulted on payments to IPPs even at the lowest point of its relations with IPPs. DWS*DWS*DWS*DWS*DWS*DWS*DWS*DWS*DWS*DWS*DWS*DWS*DWS*DWS*DWS*DWS*DWS 20010506 ------------------------------------------------------------------- Failure to utilize gas to cost $1.1billion ------------------------------------------------------------------- Repoter ISLAMABAD, May 5: Pakistan will lose about $1.1 billion foreign exchange (Rs70 billion) during 2001-02 besides incurring unspecified "large penalties" to gas producers due to its inability to utilize 715mmcfd of natural gas. Sources in the petroleum ministry told Dawn that this spending in foreign exchange could have been avoided had the government marketed the 715mmcfd of gas produced from newly developed fields by the private producers. The donors have also told the government that Pakistan would incur increasingly large penalties as a result of its inability to bring gas to market effectively, unless transmission and distribution network is upgraded in view of rapidly increasing demand, the sources said. The average potential demand in Sui Northern Gas Pipelines Limited (SNGPL) in fiscal year 2001 has been estimated at 1,350mmcfd against contracted supply and delivery capability of 970mmcfd. The government could have marketed an additional 380mmcfd, equivalent to 3.6 million tons of fuel oil or equal to $600 million in fuel oil imports, had it been able to secure its requirement in full. Similarly, the average potential demand in Sui Southern Gas Company (SSGC) system in 2001-02 has been estimated at 1,000mmcfd against total delivery capability of 565mmcfd. "Had it been able to secure its requirement in full, it could have marketed an additional 335mmcfd, equivalent to 3 million tons of fuel oil, about $500 million in fuel oil imports," a world bank study said. Thermal power generation in fiscal year 2000 accounted for 11 million tons of oil equivalent, of which six million tons was in the form of imported fuel oil at a cost of $1 billion. An additional 700mmcfd of natural gas for power generation is estimated to have a net benefit of $100 million to $200 million per year in addition to other contingent benefits like improved environment, employment etc. SSGC, however, planned to bring to market some 500mmcfd of gas within two years, relatively at a low cost due to its system though SNGPL distribution area is facing problems due to magnitude of the investment requirement for infrastructure development. The amount of gas required for all power plants including Water and Power Development Authority plants and independent power producers (IPPs) to convert to natural gas is around 1,350mmcfd on average load conditions, much larger than 930mmcfd likely to be available after the full development of new gas discoveries. Pakistan has total recoverable reserves of about 38tcf (trillion cubic feet) of which cumulative production has been 13tcf till June last year. Remaining reserves hence stand at about 24.92tcf. In terms of normalized reserves at 900btu/cft (pipeline quality gas), the remaining reserves are estimated at 21tcf. A three phased plan is, however, under way to bring around 450mmcfd of gas from Miano, Sawan and Bhit fields on stream by December 2002. Another 480mmcfd of gas will be added to the system by July 2003, followed by third phase of 750mmcfd by 2006-07. Official estimates suggest that the country would be in a position to start annual saving of $240 million from next year and $380 million by the year 2010 through substitution of furnace oil with natural gas. DWS*DWS*DWS*DWS*DWS*DWS*DWS*DWS*DWS*DWS*DWS*DWS*DWS*DWS*DWS*DWS*DWS 20010507 ------------------------------------------------------------------- Riba unlikely to go soon, says Governor State Bank of Pakistan ------------------------------------------------------------------- KARACHI, May 6: State Bank of Pakistan Governor Dr Ishrat Hussein said on Saturday that, due to some technical constraints, complete elimination of Riba from the economy was not possible immediately after July 2001 as per directives of the Supreme Court. Speaking at the book launching ceremony of "The Future of Economics: An Islamic Perspective" by Dr Mohammad Umer Chappra, Dr Ishrat said the country was caught in a serious financial crisis. He said that if any experiment of enforcing a whole new system would be carried out, it was feared that the attempt would lead to collapse of the system. He said the implementation of the new system was a big challenge and arrangements would be made from July to implement it. Whatever problems arose in the process, they would be brought into the notice of the apex court, he said. Dr Hussein said an Islamic Transition Commission had been constituted and its recommendations would be incorporated in the new system. A task force to eliminate borrowing had also been formed, he said. There was no perfect Islamic system enforced in any Islamic country, he said. Underlining the need for Ijtihad, the State Bank governor said sectarian and factional differences among Muslims were the main hindrance in implementation of Islamic system. The federal minister for religious affairs, Dr Mahmood Gazi, said that it was the age of economic powers and no advancement could be achieved without economic development. He said nations were being enslaved through financial weapons and the Muslim Ummah would have to prepare itself for the new challenges. -PPIBack to the top
EDITORIALS & FEATURES 20010506 ------------------------------------------------------------------- Gilli-dunda ------------------------------------------------------------------- Ardeshir Cowasjee OUR former Pakistani-American finance minister, Professor Shahid Javed Burki, was passing through Karachi and dropped in for breakfast. He very seriously wanted to know what he already knew, and asked, "Where are we heading?" I equally seriously answered, "Down." Base: A population of 140 million, of which 139 million are uneducated (in the profound and other sense of the word) and remain intolerant and bigoted. Population growth rate, 8 births per minute, 480 births per hour, 11,520 per day, 4,204,800 per year. "Jobless deposed political leaders, now self-employed agitators and disruptionists: 99.9 per cent corrupt, endowed with unsatiable greed. National till: Empty. Friends: Few." "Do you agree with Stiglitz ?" I asked Shahid. "Yes," he said, himself a former World Bank man. Two years ago the World Bank fired its chief economist, Joseph Stiglitz, merely because he had expressed mild dissent from World Bank-style globalization. He was recently interviewed in Washington for The Observer and News night about the inside workings of the IMF, the World Bank, and the Bank's 51 per cent owner, the US Treasury. The World Bank, Stiglitz tells us, claims that it has an assistance strategy for every poorer nation, which is designed for each after careful in-country investigation. Not so, says Stiglitz, once a true insider, a member of Bill Clinton's cabinet, and chairman of the President's council of economic advisers. The so-called 'investigation' involves little more than a close inspection of five-star hotels and concludes with a meeting with a begging finance minister, who is handed a 'restructuring agreement' pre- drafted for 'voluntary' signature. Then, after an analysis of each nation's economy, the Bank hands to every finance minister the same four-step programme: Privatization; capital market liberalisation; market-based pricing; free trade. Step one: Rather than objecting to the sell-offs of state industries, most politicians of poor countries use the World Bank's demands to silence local critics and their governments and then happily flog their electricity, water companies, and so forth. They leap, with eyes gleaming, at the possibility of commissions for shaving a few billion off the sale price. The US government knows exactly what is going on - as it did in the case of the biggest privatization of all, the 1995 Russian sell-off. Stiglitz maintains that the US Treasury wanted Yeltsin re-elected and was totally unconcerned as to whether the election was corrupt or not. The result: US-backed oligarchs stripped Russia's industrial assets, with the effect that national output was cut almost by half. Step two: In theory this allows investment money to flow in and out but in practice, usually, the money simply flows out. MacDonald's Kentucky Fried? Stiglitz calls this the 'hot money' cycle whereby cash flows in for speculation in real estate and currency and flows out at the first signs of trouble. Stiglitz says that a nation's reserves can drain literally in days, and when it does the IMF steps in and demands that interest rates be raised, thus demolishing property values, savaging industrial production and draining the national exchequer. Step three: With a nation down on its knees, the IMF propels it towards raising prices on food, water and utilities. As one illustration of the results of what the Bank fancily terms market- based pricing, Stiglitz cites Indonesia in 1998. When the IMF put a stop to food and fuel subsidies the country exploded into riots what Stiglitz calls Step three-and-a-half, 'the IMF riot'. News night had obtained several World Bank documents one of which was a 2000 Interim Country Assistance Strategy for Ecuador in which it was clearly stated that the Bank expected its plans for that unhappy country to spark 'social unrest', which is exactly what they did. These 'IMF riots' cause new flights of capital and ensuing government bankruptcies. Who profits?: foreigners who rush in to pick up at bargain prices whatever assets remain. In this game, says Stiglitz, the clear winners seem to be the western banks and the US Treasury. Step four: Free trade is conducted by the rules of the World Trade Organization and the World Bank. Europe and America demolish all barriers to sales in Asia, Africa and Latin America whilst barricading their own markets to purchases from these areas. World Bank and IMF plans are devised in secrecy, they are never open to dissent or even discourse, and according to Stiglitz, are 'driven by an absolutist ideology'. Not only do they actually undermine the demanded democracy but they just do not work. Take Africa, for instance. Under the IMF structural assistance programmes, Africa's income dropped by 23 per cent and the only nation that escaped was Botswana which gave the IMF the boot. Stiglitz's recommendations: Forget the Bank and the IMF. Go in for radical land reforms and thus completely change the power of the elites. But changing the power of the elites is not high on the Bank's or the IMF's agenda, and neither is changing their own four- step course in the face of failures and suffering. "We must get out of the World Bank-IMF trap," said Burki, "we must produce more, our industries must grow. We desperately need foreign investment." I groaned, he groaned Foreign investment in Pakistan has declined by some 73 per cent over the last year. And the few who have embarked on the investment misadventure face numerous difficulties or home-made hurdles created by the self-appointed guardians of the nation's moral frontiers. Take the case of the unfortunate foreign investors whose multinational corporation produces consumer goods. The corporation pays Rs 1 billion per annum in direct taxes to the Pakistan exchequer. It has recently pledged to commit a further US $ 10 million to install a new soap manufacturing plant near Karachi and has invested another $3 million in local packing of disposable diapers and sanitary towels both widely used items of necessity. It launched the sales of its sanitary towels with a massive advertising campaign in the print as well as the electronic media Pakistan Television. Similar ads are projected over the television channels of most countries, including those of Egypt, Saudi Arabia, the UAE, Morocco, Malaysia and Indonesia all members of the Muslim ummah. But those of our Islamic Republic inflicted with religiosity found the ads objectionable. Meetings were held with the representatives of the organized Islamic groups. "Is the product un-Islamic?" they were asked. "Is anything vulgar or obscene being shown". "No", said the objectors, "but there should be no mention on TV of the phrase 'sanitary towels'. That is taboo". PTV had no objection to what the advertiser wanted to show and the account would have augmented their earnings, our national earnings, by Rs 50 million. But 'No,' said the Lord High Executioner sitting in the Chief Executive's Secretariat (no less !). On April 10, Musaddeq Asad Shah, deputy secretary A-3, fired his missive, No 1(1) SO-I(A-3)/CES,2001/428, aimed at the additional secretary incharge of the ministry of information and broadcasting, conveying the 'desire' of 'The competent authority' (surely not his Lord and Master, General Pervez Musharraf?). The Managing Director of PTV was duly copied. The lethal message. Subject : Importance of female education through media. The competent authority has desired to stop the playing of the advertisement 'sanitary towel' forthwith on PTV. However, the same may be re-recorded and played if required after clearance from the ministry of religious affairs. Implementation of the above instructions may be confirmed. "The sanitary towel advertisements remain suspended, awaiting clearance from the religious affairs ministry. This ministry's functions as defined by the government's rules of business have nothing to do with reviewing advertisements, or delivering a judgement on the use of the product advertised. Should the CE's secretariat have involved itself at all in this matter ? And must the government involve the men of religion in issues as to whether citizens of this country should or should not buy and use a consumer item? How is investment to be attracted and protected when highly incompetent 'competent authorities' interfere in mundane matters such as the advertising of sanitary towels on television? We will soon end up making, playing, but not even exporting, Gilli- Dundas. Poor Musharraf. He has to carry with him the fanatics in his camp. He says the right things : "There is no room for religious extremism..." But then he finds it necessary to cover his rear, and adds, "and there is no room for western liberalism." He and his privatization minister, Altaf Saleem, are doing their best to privatize, and at the same time his men in Karachi are doing their best to nationalize a well-run completely privately funded hospital, The Kidney Centre. The trained mind, wherever it may live, is not boggled. It is not drained by whatever is incessantly dinned into it about Kashmir and our sole ally, the Taliban. It must keep on and on waging the losing war. DWS*DWS*DWS*DWS*DWS*DWS*DWS*DWS*DWS*DWS*DWS*DWS*DWS*DWS*DWS*DWS*DWS 20010511 ------------------------------------------------------------------- A passion for verbosity ------------------------------------------------------------------- Ayaz Amir WHEN Polonius commended the virtues of brevity as being the soul of wit he could scarcely have had a Pakistani audience in mind. Telling Pakistanis to be brief is as good as telling them not to breathe. We are a prolix people with a talent, nay a positive genius, for being long-winded. Anything that can be said in ten different ways will never be said in one. What's the point of stating a proposition if it cannot be repeated? Or, better still, worked to death. The disease at its most virulent is to be found in the political class. It will take the nation's politicos another generation to get used to television because even on TV they conduct themselves as platform orators, taking their time to warm up to their theme and then in slow, measured cadences letting fall their pearls of wisdom. The live TV show, Dialogue, I have been anchoring for the past seven weeks, and which now mercifully is drawing to a close, was meant to last an hour, twice or thrice going beyond this limit. Yet it was much too short for the guests who came on it. An hour of live television is an eternity. Anything beyond that should qualify as a criminal offence. But then television calls for the short, crisp statement, something yet to be discovered in the Pakistani repertoire. In any event, the word Dialogue is a complete misnomer. The ability to conduct a dialogue springs from the art of conversation, an art form wholly lost to the subcontinent. Indians, Pakistanis, Bangladeshis, it makes no difference. We declaim, hector, preach; we do not converse. It lies not in our temperament. Whoever invented the loudspeaker would have had second thoughts about its effect upon the human race if he had an insight into the uses to which it would be put in the teeming lands of South Asia. One reason why opera will never take off in the sub-continent is because our normal mode of discourse is operatic. Motor rickshaws, pressure horns and platform oratory can leave little space for Mozart or Puccini. Or even Wagner. Former Baron of Punjab Manzoor Wattoo deserves to have all his sins washed away for the one service he did the province by restricting loudspeaker use in mosques to the azaan and the Friday khutba. Although the order he passed--and, what's more, enforced has been subverted in various ways, it remains in force. But I tread on sensitive ground and return to my theme. When words fail, as they will do when no premium is put on their worth, recourse will be had to the stick and the firearm. Why do parliamentarians in all our three countries take to fisticuffs at the slightest provocation? Not because great principles of policy are involved but simply because their high-wired temperaments get the better of their discretion. A scene from the National Assembly here and the Lok Sabha in India is about the same: noise, clamour and little genuine debate. And for variety, fisticuffs. Qazi Hussain Ahmed of the Jamaat-i-Islami as a guest on the Dialogue programme seemed a bit ruffled because he was not being allowed to hold forth. I had a lurking suspicion of what he would have preferred: the studio surrounded by activists of the Islami Jamiat-i-Tulaba so that Qazi Sahib could speak as much as he wanted. There has always been a menace about the Jamaat. It was the first party to inject violence into politics and education in Pakistan. To sit with the Jamaat chief for even five minutes is to realize that his party has not outgrown this tradition. It is the Jamaat's bad luck the military government is keeping it at arm's length. General Musharraf has even called Qazi Hussain Ahmed an "unbalanced man". Harsh words but uncomfortably close to the truth. In the seven programmes I anchored were there no deviations from the norm? Begum Nasim Wali Khan was impressive. She is relaxed on TV and speaks with great precision. Abida Hussain good as always. Meraj Khalid meaty but a trifle long-winded. Mumtaz Bhutto taking a controversial line but being brief and lucid. Imran Khan surprisingly good: clear and forceful. Air Marshal Asghar Khan brief and speaking with a sense of authority. Beyond this little circle of relevance a sea of smoke and verbosity. I forget. Senator Khudai Noor of Nawab Bugti's Jamhoori Watan Party came across well. The rest of the Baloch, including Akhtar Mengal and Mahmood Achakzai, need lessons in TV speak. A word about the various audiences. The gift of verbosity being a national trait, it was scarcely surprising if most people, although by no means all, were more interested in making speeches than asking questions. If any invidious distinctions are to be drawn I would say the audience at Peshawer was the best in terms of behaviour. Which comes perhaps from the Pakhtoon sense of respect for time and place. At Lahore with press heavyweights like Mr Irshad Haqqani, Abdul Qadir Hasan, Arif Nizami and the maverick Nazir Naji attending, the questions and observations were of a high order although, to prove that we were in Pakistan, the evening was not without its share of silly interventions. The audiences at Islamabad and Karachi came the closest to the sub-continental norm of aimless shouting and impatient arm-raising. As for myself, here is some Chinese-style self-criticism. If there is a purgatory or re-education centre for those ill at ease before the cameras I deserve a stint in it. At 51 I am still nervous on TV, the sweat on my brows showing easily and proclaiming my lack of poise and confidence. What is more, discomfort on TV makes on occasion for a forced manner, the worst of faults on this medium. At times I think I spoke too much, at times that I did not intervene enough to check the flow of rant from some of the guests. All in all, an uneven performance. But the exercise and the pain were worth it. Every government has felt mortally afraid of opening up television as if to do so would invite the furies and imperil its existence. The first time ever a live political discussion took place on PTV was when Mr Irshad Haqqani was information minister in Malik Meraj Khalid's interim government. When I suggested to him that he should look into the possibility within 24 hours he had come back to me and said "yes". (Who says journalists are not quick decision-makers?) That's when we had the famous face-off between Gen Naseerullah Babar and a couple of MQM die-hards. Whatever good came of that performance it was great TV and a lot of fun. For the second time in PTV history a government has allowed a live political programme, the credit for this going squarely to General Musharraf (and Gen Naqvi). I know that in cabinet there was serious opposition to the idea but it was overruled by the CE himself. So it is that for the first time in Pakistan live TV has carried criticism of martial law and even the army. Mumtaz Bhutto argued in favour of a confederation. Mengal called for a fresh constituent assembly, all before a national audience. Has Pakistan broken up into pieces as a consequence? Have the heavens fallen? Have Pakistan's ramparts crumbled? Has Musharraf ceased to be Chief Executive? If anything, this openness has come as a breath of fresh air. That a military government is behind this glasnost is an irony which should not be lost on the political parties. Whatever the glitches (and there were many) in this initiative it needs to be taken forward not rolled back. These programmes were on a single subject, provincial autonomy, which I personally thought a waste of time because Pakistan's problem is not provincial autonomy but the quest for stability. The open discussion of everyday issues that's what we need so that the many cobwebs hanging in the national corridors, the many shibboleths which fill the air, can be swept away by a cleansing broom. DWS*DWS*DWS*DWS*DWS*DWS*DWS*DWS*DWS*DWS*DWS*DWS*DWS*DWS*DWS*DWS*DWS 20010512 ------------------------------------------------------------------- The winds of change ------------------------------------------------------------------- Irfan Husain IN the hoopla and fuss surrounding Chinese Prime Minister Rongji's state visit to Pakistan, there will be no doubt much written and said about the 'historic ties' between the two countries. But this should not obscure the fact that this relationship is very much in flux. While blinkered Foreign Office mandarins and gushing editorial writers exult in the bonds between Beijing and Islamabad, we should not forget that ultimately, every rational state bases its foreign policy on its perceived self-interest. Although ideological states might allow their guiding dogma to warp policies, they revert to pragmatism and real-politik as soon as their ideology weakens. Before the Iron Curtain fell, Communist states tended to help each other irrespective of gains and losses because of the so-called fraternal ties between them. Usually, Moscow called the shots, but there was an element of idealism. Similarly, there have been repeated calls for some kind of Islamic union linking the forty-odd Muslim states. Nothing much has come of this due to the entirely different conditions obtaining in these countries, but this does not prevent appeals for a Pan-Islamic confederation in some form or another. Power in the United States has been seized by an ideologically motivated right-wing party. Despite the narrowness of his victory, Bush and the extremist elements in the Republican Party are bent on reviewing and redirecting foreign policy. For them, Communism is the greatest evil on earth, and they are determined to revive the fervour and rhetoric of the cold war. However, as the Soviet Union has ceased to exist a victory for which the Republican Ronald Reagan has been given much credit the enemy is now China, already dubbed "our strategic competitor" by Bush. Against this backdrop, Washington's efforts to isolate China and erect a 'cordon sanitaire' around it can already be discerned. By agreeing to sell Taiwan a wide range of sophisticated weapons systems, signalling the start of a new military relationship with India, and deciding to embark on an ambitious Nuclear Missile Defence programme, Bush has pushed the United States on a path of confrontation. The recent spy plane episode is the first chapter in what may well turn out to be a new cold war. When the world's only superpower changes direction, smaller states, especially those located on the periphery of potential conflict, have to be nimble in adjusting their policies. Even in Clinton's second term, the relations between the United States and India had improved beyond recognition. But this change was based on largely economic factors such as the recognition of India as a huge potential market for American products, as well as an exporter of tens of thousands of computer experts and other professionals. While these factors still hold good, there might soon be a military dimension to this relationship. There is every indication that sanctions, applied after Indian nuclear tests conducted three years ago, will soon be repealed. Pakistan, however, will continue to be subjected to a set of sanctions triggered by the military coup. However, sanctions or no sanctions, we are unlikely to be sold advanced weapons systems as Washington will be reluctant to annoy India. Indeed, India might play the same 'frontline' role for the United States against China as Pakistan did in the last century against the Soviet Union. The difference obviously will be that India will be an equal partner in the enterprise while Pakistan was very much a client state. If this scenario unfolds along these lines, then the present military balance already heavily tilted in India's favour will become totally lopsided. Another factor underlying the logic of such a strategic alliance is the fear of Islamic fundamentalism and terrorism in both countries. In such an arrangement, Israel is clearly the third partner. As it is, the ties between Tel Aviv and New Delhi have been growing closer; the possible acquisition of an advanced military radar system from Israel is probably the first item on a long shopping list. Thus India is extremely well placed to cash in on both of America's current phobias: China and Islamic fundamentalists. We, on the other hand, will end up on the wrong side. We already suffer from the burden of a self-defeating Afghan policy where we support the most retrogressive elements in the world. In Kashmir, we are seen as a state that is sponsoring terrorists. It matters little if we call them freedom fighters: for the rest of the world, when innocent civilians are kidnapped and killed, those committing such acts are terrorists. And we have what we are proud to call 'historic ties' with China. These factors make Pakistan a very suspect country to Bush's Washington in its current anti-Communist crusader mode. But Beijing is no longer the ideology-driven state it was under Mao. It now aspires to become a major power, and does not wish to become embroiled in a cold war with the United States, a country with which it has a trade surplus of billions of dollars every year. It will undoubtedly try and find an accommodation with Washington. The rising generation in China is far more interested in acquiring the good things of life than in engaging in sterile ideological debates and conflicts. Mr Rongji and his colleagues realize in a way our leaders never have that in the long run, military and diplomatic power comes only with economic strength. Unless they can match the United States in the technological and financial fields, they will be unable to rival the Americans. They have the example of the Soviet Union before them, and they are too cautious and sensible to repeat those mistakes. To avoid the encirclement Bush and his cold warriors would like to see in place, the Chinese will certainly use diplomatic means. One of them is to improve ties with India, even if it is at Pakistan's expense. The Chinese are very pragmatic people, irrespective of their current (and rapidly weakening) ideology. Several times in the recent past, they have advocated dialogue to resolve the Kashmir dispute rather than sticking to their old position of insisting on the implementation of the UN resolutions. These are thus likely to be testing times for Pakistan, but unfortunately, we have consistently failed to take note of the changes taking places around us. By arrogating all strategic decision-making to itself, the military establishment has not allowed any serious debate on the direction of our foreign policy. Our inability to navigate these turbulent waters is a direct outcome of our helmsmen's failure to read the winds of change.
SPORTS 20010512 ------------------------------------------------------------------- Umpires examine video of Shoaib's action: newspapers ------------------------------------------------------------------- LONDON, May 11: England cricket chiefs have rubbished media reports suggesting that Pakistan pace bowler Shoaib Akhtar's action is again under scrutiny. British newspapers reported on Friday that umpires Peter Willey and Tony Clarkson had examined video replays of Shoaib's action during the tourists' match against Derbyshire. "Willey and fellow official Tony Clarkson asked to see TV replays of Shoaib's bowling action in Pakistan's drawn match with Derbyshire," a report in The Sun said. "Willey confirmed he had watched the film but refused to comment further." But the England and Wales Cricket Board (ECB) immediately issued a statement saying the reports were "wholly misleading." Shoaib, who has not played a Test for a year, remodelled his action after it was officially questioned by several umpires. The 25-year-old, at one time regarded as the fastest bowler in the world, was also reported for a suspect action in 1999. ECB operations manager Alan Fordham, however, said the two umpires had been invited by Sky Television to look at a new device being used to analyse lbw decisions. "During the course of their visit, the umpires saw TV clips of several bowlers including one delivery by Shoaib Akhtar. "But it is wholly misleading to suggest that the umpires' visit to the Sky production truck was prompted by concerns about Shoaib Akhtar's bowling action," he said. "The umpires will not be making any mention of Shoaib Akhtar's action in their report on the match to the ECB." Shoaib, dubbed the "Rawalpindi Express", is part of a 17-man squad in England for two Tests and a triangular one-day series. The first test at Lord's starts on May 17.-Reuters DWS*DWS*DWS*DWS*DWS*DWS*DWS*DWS*DWS*DWS*DWS*DWS*DWS*DWS*DWS*DWS*DWS 20010511 ------------------------------------------------------------------- Dowman defies Pakistan ------------------------------------------------------------------- Derby (England), May 10: Pakistan's three-day match against English County Derbyshire ended in a tame draw here Thursday. Any hopes of an outright victory by either team was dashed by rains. The honours of the day however belonged to Derbyshire's young batsman M.P. Dowman who struck a magnificent unbeaten 145 that virtually ensured a draw for the home side. Overnight 66 for two, Derbyshire, declared their innings at 247 for five wickets, leaving Pakistan the impossible task of scoring 152 for victory. Pakistan who made 262 in their first innings opted for batting practice and were 63 for one in 20 overs with Imran Farhat and Abdur Razzaq unbeaten on 23 and 34. The only disappointment for the tourists was the second failure in the match by batsman Yousuf Youhana who promoted in order to open the innings but managed only four before being trapped lbw. Reuters DWS*DWS*DWS*DWS*DWS*DWS*DWS*DWS*DWS*DWS*DWS*DWS*DWS*DWS*DWS*DWS*DWS 20010506 ------------------------------------------------------------------- Mushtaq spins Pakistan to victory: Universities lose by innings ------------------------------------------------------------------- NOTTINGHAM (England), May 5: Leg-spinner Mushtaq Ahmed captured eight for 49 as Pakistan beat British Universities by an innings and 87 runs on the second day of the three-day tour match Saturday. Mushtaq, who snapped up four wickets between lunch and tea, claimed four more as the students were skittled out for 155 in their second innings after conceding a lead of 242 to the visitors on the first innings. Rookie speedster Mohammad Sami chipped in with two late wickets. Earlier, Pakistan resumed on their overnight score of 224 for four and, despite losing four wickets for just five runs in the morning, they were eventually bowled out for 316. Captain Waqar Younis, batting at number nine, made a whirlwind 50 not out while Tim Murtagh was the pick of the Universities attack with a return of six for 86. Pakistan will play their next three-day match against Derbyshire at Derby from Tuesday. The visitors will take on England in the first of two Tests at Lord's starting on May 17.-Reuters ------------------------------------------------------------------- You can subscribe to DWS by sending an email to <subscribe.dws@dawn.com>, with the following text in the BODY of your message: subscribe dws To unsubscribe, send an email to <unsubscribe.dws@dawn.com>, with the following in the BODY of you message: unsubscribe dws ------------------------------------------------------------------- Back to the top.
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