KARACHI, July 3: The Pakistan People’s Party has warned that if proper water supply to 18 towns of the city was not restored and action against those responsible for the deaths caused by contaminated water in Landhi was not taken within seven days it would launch a protest.

This was decided in a meeting of the PPP Karachi division chaired by Haji Muzaffar Shujra, during which concern was expressed over the persisting power breakdowns and water shortages, besides the law and order situation in the city.

Through a resolution the PPP also demanded that new electric meters which were running fast and being used by the KESC to fleece the ordinary consumer should be withdrawn.

The meeting also deplored the treatment meted out by the government to Sharif family and decided to organized a protest rally on July 5 against despotic rule.

Meanwhile, the PPP has expressed disappointment at the reported reduction of interest rates on bank savings as it would adversely affect the salaried class and small investors.

The PPP’s information secretary Taj Haider in a statment said the returns on savings had now fallen far below the inflation rate announced by the government, which meant that those who were saving were constantly loosing money.

He said it was shocking that the government announcement about the reduction on savings came close at the heels of the acceptance of the write-off of around 19 billion rupees of bank loans.

He said the glut of available funds with the banks in a near zero investment situation was a direct result of the economic stagnation brought about by the government. He added that it was alarming that the government wanted to solve this problem by discouraging savings.

He said the root-cause of economic stagnation lied in the severe fall in the buying power of the common man, and the reduction in returns on savings would further diminish the buying power of the common man.

He said the large difference between the rates charged on lending and paid on deposits reflected a clear bias of the banking system against those whose savings fuelled the national economy.

It was clear, he said, that the banking system was fighting for its own survival. It was being resuscitated again and again by artificial means which were further aggravating the problem.