| November 10, 2003 | Monday | Ramazan 14, 1424 |
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Reducing traffic congestion
Transfer of FCR
Jamali’s advice to bureaucrats
Indian peace proposals
Building dams without purpose
Old NED college building
Ill-planned islands & footpaths
Need for house financing societies
Local auto industry
Helpless prisoners
Clarification
Utility bills
MOHAMMAD HUSSAIN
HAMID Karachi
THIS is with reference to Mr S. Akbar Zaidi’s article ‘Economy in decline’ (Oct 20).
His use of statistics in a rather narrow and selective manner to highlight the “impressive achievement” of India’s economy, comparing with that of Pakistan, is less than convincing. When drawing comparisons of this kind, it is imperative that various economic indicators are expressed in terms of per capita income or as percentage of GDP. This is all the more important when comparisons involve a very large country like India and a comparatively small country such as Pakistan. Mr Zaidi has apparently failed to take this factor into account.
I have before me two reports, one contained in a letter by Mr Atiq Rehman (Jan 10) and the other from Mr Asad Umar (Aug 10, 1997), which have adopted this methodology. Both the reports, using the latest available World Bank statistics, point out that on almost all important economic indicators Pakistan’s performance has been better than India’s.
Another important point to note is that the economic data and statistics compiled by the Indian departments concerned, which are used by World Bank and other international agencies, are notoriously unreliable. Even The Economist (June 2-8, 2001), which consistently takes a pro-India position on almost all issues, has observed in its report, ‘Survey of India’s economy’, that “seekers after economic truth usually turn to numbers, but India’s statistics are less clear-cut... The country’s official statistics are subject to frequent and unexpected revisions”.
It is, therefore, necessary to go beyond the statistics to see the ground realities. In its ‘Survey of India and Pakistan’, The Economist of May 22-28, 1999, after paying glowing tribute to India’s economy, grudgingly admitted: “Travellers to Pakistan are often surprised to find its people looking more prosperous than Indians ... Pakistan also appears to be a more equal society ... there are remarkable examples of the private sector taking over the duties of a corroded state and performing them well.”
Behind the facade of glittering statistics lurks the grim reality of India’s chronic poverty. Siddharth Dube, an Indian economist of international repute, has termed the scale of India’s poverty as “the world’s largest concentration of deeply impoverished people.” Until this is alleviated, the “impressive achievement” of India’s economy will remain a matter of statistics only.
I do not want to suggest that India’s economy is a story of “gloom and doom” only. Far from it, it certainly has some bright spots, but so does Pakistan’s. For Mr Zaidi to have ignored the latter was rather uncharitable, to say the least.
SALAHUDDIN K. LEGHARI
Lahore
TO protect the Korangi Industrial Area of Karachi from floodwater, protection walls were constructed over a decade ago. Hundreds of acres lie unused between these walls. This land can be effectively used to reduce the traffic congestion in Karachi. The area can be rented out to mobile business.
Consider the menace of car showrooms which can been seen on almost every main road of the city. They occupy most of the footpaths and roads, obstructing the smooth flow of traffic and making pedestrians walk on the roads. These motorcar dealers also occupy lanes and bylanes of the area for washing, polishing and parking their autos.
If the land between the protection walls of the Korangi Industrial Area is converted into a car market, it will not only reduce congestion on the city roads but also give great relief to the residents. Such a market will generate revenue for the government as rent income, besides making life easy for buyers and sellers of used cars. Above all, the market will be a great opportunity for those youths who want to become car-dealers but cannot afford to buy their own showrooms.
The car market should be set up on the pattern of Tuesday/Sunday bazaars. Although it should open daily, it should have temporary stalls and hoardings as is the case in other non-permanent markets.
In the past 10 years, water between the protection walls of the Korangi Industrial Area has only arrived twice. Water in the area comes when it rains heavily in the interior of Sindh. It takes 10 to 12 hours for the rainwater to reach Korangi. This time will be enough to remove vehicles from this market to a safer place.
A part of this unused land should also be rented out to motor mechanics and painters. At present, these professionals work in residential areas and make life miserable for the residents.
FAROOQ FAZAL
Karachi
WHEN questioned, the minister for finance did not contradict an earlier statement of opposition leader Makhdoom Javed Hashmi about the transfer of $9 billion foreign currency reserve (FCR) to banks abroad, rather he confirmed the transfer of the money and advised the politicians not to issue sweeping statements (Dawn, Oct30).
The transfer of $9 billion to banks abroad has raised at least six pertinent questions: one, who authorized the finance minister to transfer this huge FCR to banks abroad without the approval of parliament? Two, who will be held responsible if the amount is wholly or partially lost in bankruptcy or frozen by the foreign country concerned to punish or blackmail Pakistan? Three, why could this amount not be utilized for socio-economic benefits of the people of Pakistan or to lessen the burden of foreign loans? Four, are India and other Asian countries also keeping their foreign currency reserves in banks abroad? Five, how much FCR has been transferred to Citibank, US, where Mr Shaukat Aziz is employed and now on a long leave? Six, under which law Mr Shaukat Aziz, whose future lies in the US, has been given unlimited powers to manage our finances according to dictates of the IMF and the WB?
I appeal to our worthy MNAs to wake up to this critical situation and debate merits and demerits of transfer of FCRs to banks abroad, and also various other economy-related measures taken during the last four years, such as discouraging amendments in December 1999 to Protection of Economic Reforms Act 1992, which can be amended only by parliament, a recent ban on opening foreign currency account in Pakistan by expatriate Pakistanis without personal visit to local banks, monitoring and questioning forex inflow through the banking system amounting to $10,000 or above, communicating forex inflow information to the FBI against the universally accepted bank laws, and levy of charges on foreign currency cash deposits in local banks.
SHAKEEL AKHTAR
Rawalpindi
IN his address to parliamentarians and politicians at an Iftar party in Lahore (Dawn, Nov 1), the prime minister advised the civil servants to show uprightness and be independent.
May I point out that at the time of independence we inherited one of the finest administrations east of the Suez? Those officials were trained in working on the principles now recommended by the prime minister. They enjoyed constitutional safeguards based on the belief that for the sake of good governance the bureaucracy must be insulated from politics.
Over a period of time there was an erosion of the principles of good governance. The United Kingdom possesses a fine civil service. Yet every few years a commission is appointed to examine their performance, detect faults and suggest improvement. I do not recall such a commission being appointed at regular intervals in Pakistan.
After the fall of Dhaka, the late lamented Quaid-i-Awam came to power and piloted the I973 Constitution in which safeguards for the services were abolished. This one aspect of the Constitution is loved the most by our political class. Bereft of constitutional protection, bureaucrats are no better than loyal servants of their political masters.
I would like to point out that short of a radical change in the scheme of things, advising civil servants to be independent and upright is like advising everyone to become rich and prosperous and thus abolish poverty.
BIRJIS HASAN KHAN
Karachi
THIS refers to the news item “India offers 12 steps to normalize relations” (Oct 23), the editorial published the next day and furthers reports on the same topic. With the exception of some conservative circles, the overwhelming majority of Indians and Pakistanis have welcomed the peace proposals.
The two most significant points of these proposals are starting of a bus service between Srinagar and Muzaffarabad, and opening of a dialogue between New Delhi and the All Parties Hurriyat Conference.
If Kashmiris meet freely and discuss their common problems frequently, they may be able to evolve a common strategy for dealing with India and Pakistan. The Indian democracy and the civil society in Pakistan have to respect their wishes. Similarly, If the APHC opens a dialogue with New Delhi and reaches an understanding with it, nobody should have any objection to such an understanding.
Besides Kashmir, reopening of the railway line between Sindh and Rajasthan, reopening of the air routes and starting of a ferry service between Karachi and Mumbai will bring the people of India and Pakistan closer to each other. All pre-partition routes should be reopened between the two countries.
In the age of trading blocs, India and Pakistan have to shun their differences and increase the volume of their bilateral trade. The increase in the volume of trade and visits by citizens of India and Pakistan will ultimately take care of their political differences. Once the atmosphere of amity is created, the problem of Kashmir will be resolved.
DR MEHTAB ALI SHAH
Jamshoro
A TEAM of the Pakistan Commission for Indus Waters has recently found that the Baglihar dam, located some 150km north of the Jammu city on the Chenab in the Indian-controlled Kashmir region, is being built in violation of the Indus Basin Water Treaty. The Chenab is a tributary of the Indus on which India has no water rights.
Besides, India is constructing three other dams in the Indus river system — the Bakhra dam on the Sutlej and two others on the Ravi and the Beas — as it wants to have regulatory and strategic control over the Indus waters, the mainstay of our economy. India has offered technical and financial assistance to Afghanistan to build a dam on the river Kabul before it enters Pakistan.
If the water of the Indus river system is in India’s hand, it will be easy for it to destabilize Pakistan by creating a water shortage. Doing so will alienate those at the receiving end like Sindh which is not only the tail-end of the Indus system but also the last frontier of the Indian monsoon rain system.
Now over 80 per cent water is diverted from the country’s rivers to farmlands. This maximal use of the water resources has resulted in soil erosion, salinity, deforestation, desertification and sea encroachment in Sindh.
India benefited greatly from the Indus Basin Water Treaty by reclaiming more lands in the desert of Rajasthan, Punjab, in Pakistan, maintained its agricultural land intact by diverting waters from the Indus, whereas Sindh lost its precious Kutcha, two million acre fertile land in Thatta and Badin districts and the Indus delta.
Because the loss of three rivers to India was compensated through link canals by diverting water from the Indus, it is the Chasma-Jhelum link canal through which water from the Indus is brought to the river Jhelum, then to the river Chenab and then to the Ravi and at the end it is distributed in the Sutlej command area. This artificial diversion of water has disturbed the whole aquatic ecosystem and culture of Sindh.
The water of 12 fresh-water lakes in Sindh, out of 20, has turned brackish and unfit for human or agricultural use. This has not only dwindled the livelihood of fishermen but also disturbed natural habitat of many kinds of birds.
Since the construction of dams began, the number of the poor has increased many times, and successive governments have spent billions of rupees on poverty alleviation programmes and wheat import. Yet the government is planning to build new dams without considering the availability of water to be stored in these dams.
MANZOOR CHANDIO
Karachi
THIS has reference to the letter by Mr S. M. H. Rizvi (Nov 4). The old NED College is now the city campus of the NED University where important laboratories of the Computer Science Department have been functional since 2000. It is certainly not deserted as stated by Mr Rizvi.
The restoration project of this campus was approved by the National Foundation for Cultural Heritage at Islamabad at its meeting held on Feb 25 this year; and the cost estimates for restoration were also approved by the Architects Committee (appointed by the Foundation) on Aug 29. Release of funds for this restoration work is, however, still awaited despite urgent requests to both the acting secretary-in-charge and the minister for youth, culture, sports and tourism as ample funds are available for such approved projects.
The NED University is, however, continuing its efforts to expedite release of funds. One of the faculty members, who had acquired the Master’s degree in Architectural Restoration from the Middle East Technical University at Ankara, Turkey, has also completed one special training course in restoration of old buildings at Venice (conduced by ICCROM) this year.
REGISTRAR
NED University,
Karachi
I AM a 75-year-old senior citizen. I cannot cross most of the Karachi roads due to ill-planned footpaths and road-bifurcating islands, which mostly are more than a foot high. On certain crossings such as Bahadurabad, University Road, Shah Suleman Road opposite Mashrique Centre and Shahrah Faisal, these footpaths and islands are almost one-and-a-half-feet above the road. I just cannot climb or step down these barriers without the help of some passerby around.
I do not think the young planners have any idea of these problems. No footpath or island should be more than nine inches high. If it is not possible, then please design pedestrian crossing at short intervals.
I hope the city fathers will give it a serious thought.
Karachi
AS if the finance minister’s instructions to banks to start house financing were not enough, the State Bank governor has come up with the novel idea of using pension funds for this. Utilizing pension funds has encouraged scandals both here in the UK and in Pakistan.
In my view, commercial banks are not geared to make long-term loans of 25-30 years to finance the funding of the housing sector. Such a policy could be detrimental to our economy as in the long run business activities will improve and there will be greater demand from commercial, industrial and trading sectors over the period. Therefore, a better alternative would be to establish building societies with the sole objective of financing the purchase of houses by individuals. With the building societies in operation, every employee of private or government organizations could own a house.
As societies will make loans for 25 years, a law will have to be passed by parliament because these societies will need to accept deposits from public, just on the pattern of the UK. No new company has been floated in the last five years and introduction of building societies in the private sector will not only activate commercial climate but will add to the colour of booming trade in stock exchange.
M. SAEED KHAN
London, UK
RECENTLY, the local auto industry has been criticized for capitalizing on its monopoly in the market. It is a shame that despite all the criticism, the automakers are increasing the auto prices in a clandestine way.
First, the assemblers used to pay insurance and delivery charges (from the plant) to the dealers. Now the buyer has to pay these charges of Rs1,500. But it is not about the money, it’s about the free hand that the government has given to the assemblers.
Our country’s auto industry has been highly protected by the government for a long time. Initially, it seemed to be right because the demand for cars was small and the industry required time to mature and face competition. But now, bearing in mind the current demand and maturity of the industry, it’s time for the industry to face serious competition. If the government further protects the industry, I am afraid we will be destroying our own industry by not exposing it to the international markets.
UMAIR AHMED
Mirpur Mathelo
ACCORDING to a section of the press, PTI chief Imran Khan is reported to have said that there are at least 80,000 prisoners languishing in different prisons of Pakistan and they do not have enough financial means to fight their cases.
No doubt, it is a grim reality which needs the attention of the authorities at the highest level. Although it is the state’s responsibility to provide an attorney to a prisoner if he/she cannot afford it.
It remains a forlorn hope for the poor prisoners to get timely justice. As long as our judicial system is not reformed, the poor will continue to suffer. We talk of a welfare state but do not seem to be working for this.
RAFAT MAHMOOD ANSARI
Islamabad
THIS has reference to the article by Dr Riaz Ahmed (Nov 2) the last paragraph of which says that the writer is head of the department of applied chemistry, University of Karachi.
It is hereby clarified that he is working as assistant professor in the department.
PROF(DR) SAIRA HAMEED
Chairperson, Department of Applied Chemistry, University of Karachi,
Meter-reading for all utility bills should be done in the last week of the month and bills should be issued in the first week and made payable in the second week, thus making the payment of bills convenient for the consumers.
LATIF AHMAD QURESHI
Lahore
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