| November 21, 2008 | Friday | Ziqa'ad 22, 1429 |
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MQM-backed LGs exempted from audit
The cruel joke by Punjab govt
Inter-faith dialogue
Infrastructural development
Rawalpindi traffic policemen’s woes
Hope does not spring eternal
Import of luxury items
Open letter
Readers are requested to restrict their comments to a maximum of 400 words. We reserve the right to edit letters for reasons of clarity and space. Letters, including those by e-mail, should carry the complete postal address of the sender. The views expressed in these columns do not necessarily reflect the views of the newspaper.—Editor
A LOCAL TV channel conducted an interview of the State Bank governor on Nov 13 about her decision to increase the discount rate and action taken against money changers.
The interviewer, due to the governor’s untimely and hasty decision to increase discount rate, expressed the fears of curtailment in developmental activities, low investment, slow production function, high changes in demand and supply, price hike, inflation, unemployment, curtailment in purchasing power of the poor, i.e. absolute poverty etc, in the coming future.
The governor defended her decision and argued that, with her timely action, inflation would reduce and people would get relief from further expected dangerous rise in the increase of inflation and poverty.
As a senior citizen, banker and economist, I would like to ask the SBP governor the following questions: (i) With the first increase of two per cent in the discount rate, has inflation or price hike not increased? But the fact is that according to her assertion it has now reached 25 per cent in CPI and 35 per cent in food items.
In view of the first experience it is predicted that with further increase of two per cent in the discount rate, inflation is expected to increase further due to less investment, less production or supply of goods , unemployment, etc. Such adverse effects on the economy will cause more social problems for common citizens and poor families.
*(ii) With this decision, was the Pakistan rupee not devalued? Due to rise in the lending rate that added to the cost of production, the businessmen were discouraged from investing their money in productive projects and instead started buying dollar from the open market, causing its shortage in the market that led to the devaluation of rupee from Rs60 to Rs80 a dollar within four to five months since the decision of the increase in the discount rate.
This decision also encouraged smugglers, money launderers, money changers, capitalists, industrialists to take money outside the country for finding safeguard of their wealth. This is what we now call the flight of capital amounting to $11 billion or more from Pakistan to foreign countries.
This created the present financial crunch in our financial markets and foreign reserves. The latest increase in the discount rate is likely to further devalue the rupee to about Rs100 a dollar within a month or so.
The SBP governor has also absolved herself of her responsibilities of taking an early action against money changers bacause of the liberty accorded to the public to take limitless money to and fro.
But the question is, why hasn’t the foreign exchange regulation, 1997, restricting taking foreign exchange up to the limit of 10,000 only from the country to foreign countries, complied with?
It is the SBP’s duty to look after the movement or flow of money or capital from the country to outside. The governor showed her inability to check such statistics and take legal action against violators of foreign exchange rules.
If the SBP was unable to do so, they must have informed the government about such violation of FE rules and suggested amendments to the Act of 1992 which came in the way of the FR rules framed in 1997.
If timely amendment to the act had been suggested, the present financial crisis would not have occurred and the country would have been saved from the present havoc.
If the SBP, the controller and regulator of money matters, does not take responsibility for the present crisis, then angels should have run the affairs of the country.
In my opinion, the present inflation in not due to any increase in money supply in the country but because of irregularity and irresponsibility shown by the authorities concerned who must be made to explain their negligence.
DR ALI AKBAR DHAKAN
Chairman
Sindh Development Foundation
Karachi
The news report (‘MQM - backed LGs exempted from audit’, Nov 18) that the Sindh chief minister has issued instructions for ‘special audit for 2002 - 2008’ of the local bodies in the whole of the province but allowed exemption to the city district governments of Karachi and Hyderabad must have shocked every sensible citizen of the country.
Why has the CM exempted only the city governments headed by a particular political party from special audit, otherwise a mandatory requirement under the Sindh Local Government Ordinance 2001?
What moral or legal authority will be left with the provincial government in case exceptions are made, for reasons only best known to it for a selective action?
The decision of the chief minister for special audit, if implemented, will only smack prejudice and special treatment to a coalition partner in Sindh, which will lead to eroding of his authority in the eyes of the public and also make a mockery of this Herculean exercise.
The audit is a regular feature of appraisal of the financial affairs of an organisation. Whereas the special audits are conducted for the specific purpose after completion of projects to examine that in case any irregularity is left out advertently or inadvertently during regular inspection, care should be taken so that monetary discipline can be ensured.
Unfortunately, the audit affairs in our country have rather become routine affairs and a source of illegal income for the parties conducting such audit.
Even special audits some time do not yield any positive results unless there is political will of the sitting government to take corrective action if any impropriety is found.
I hope the provincial government will realise the implication of such discriminatory instructions and order holding of special audit of the entire local authorities of Sindh to avoid cause of mistrust and criticism of civil society.
I will also suggest that being ‘special audit’, only those officers and officials be selected as its team members who are enjoying impeccable record of integrity and their names should be publicised in local and national papers for transparency, else like any other normal audit this exercise of national importance will also result in further malpractice and corruption, hence nullity.
S. SHAHNAWAZ SHAH
Tando Adam
Long-term policymaking plays a pivotal role in the progress, development and prosperity of any nation. We very easily compare Pakistan with the US, Canada, Australia, the UK and many other European countries.
But while making this comparison we always put aside and forget the difference between the culture and requirements of the developed and developing nations.
The developed countries possess long - term policies for the government as well as for the people but here in our country the people at the helm do not even know what policies there are. How can we expect that our country will make progress in the absence of policies? This inconvenience has always taken its toll on a common man.
Unfortunately, today we are also passing through that stage where the government on the one hand promises something good for the nation but on the other clearly dodges.
This issue is worsening day by day. As per its so - called promises with the graduates and postgraduates of this country of providing jobs, the Punjab government at district level is announcing posts for educators in the education department and school health and nutrition supervisors for the health department in newspapers on almost a daily basis.
But as interview dates arrive, the provincial secretariat, on behalf of the government, simply issues a letter to the department concerned for cancellation or postponement of the written test or interview.
The advertisement again appears and the candidates again apply but the secretariat only takes a few minutes in issuing the cancellation letter.
The people deposit thousands of rupees in the government treasury in the name of so - called application processing charges.
Although posts of schools health and nutrition supervisors need not deposit any processing fee, rather the application is submitted on a plane paper but it wastes precious time in application submission and also hurts the self - respect of a person.
These posts are being cancelled again and again in different districts which include once in Chakwal, Sheikhupura, Gujranwala, Kasur, Pakpattan and twice in Nankana Sahib.
In order to apply for the posts of educators one must deposit Rs100 for each application. Hundreds of thousands of candidates apply for the jobs depositing millions of rupees in the government treasury.
Recently in Chakwal district more than 20,000 applications were received by the office of the executive district officer (education) which makes more than Rs2 million but the posts are simply cancelled.
Where did that huge amount in terms of processing charges go? This question still needs to be answered.
The government holds no right to play with the sentiments of the youngsters by committing such follies.
Many other districts have also cancelled the posts of educators.
The Punjab chief minister, chief justices of both the Punjab High Court and the Supreme Court of Pakistan to take immediate and personal notice of the issue and ensure that the amount so collected be refunded as the government is using unfair means to collect the revenue.
ZAHEER AHMAD
Dhakku, Chakwal
I AGREE with Dr Muhammad Ali Shaikh’s arguments put forth in his letter, ‘Inter-faith dialogue’ (Nov 16), that historically speaking most of the wars fought in the name of religion had some other connotations than faith, such as political, economic or expansionism.
If one goes into the details, he will find that even the serious theological conflicts developed within the sects of the same religion originally had some political background.
Similarly the present wave of terrorism, which has prompted holding of inter-faith dialogues, is also politically motivated and is being exploited by the vested classes for their ulterior motives.
However, the fact that Dr Shaikh, a veteran educationist who had served as principal of Sindh Madressatul Islam, expressed surprise over the incorrect answers to some of the questions he had put to the students during his visit is in itself amazing.
Although it is not something new as after the imposition of the first martial law in 1958 the curriculum, specially the distorted version of history, that suited the rulers was introduced in the textbooks.
This very half-baked information imparted to the children enrolled in the public schools has adversely affected at least two generations.
Unfortunately, the class of beneficiaries has outgrown, so much so that even constant criticism of society has failed to bring any positive change.
It is obvious from the shock expressed by Dr Shaikh that either the educationists are not allowed by the governments to play any significant role in the development of curriculum which, as a result, has turned them aloof or they have also suffered mechanically from the same inertia and have become totally oblivious of the rubbish that has been taught to the young generations.
The substandard syllabus at present followed in the public sector schools is, therefore, adequate only to convert the students into ‘mass of ignoramus’ as has been apprehended rightly by Dr Shaikh; and the one taught in the private institutes is creating a privileged class whose destination is beyond the seas.
The authorities have to tackle this serious national issue by involving renowned educationists and intellectuals for devising new textbooks that can provide our children modern knowledge so that they can coexist in the contemporary world, keeping their heads high, and do not get entrapped in the mischief of misguided lot and become fodder for terrorist activities.
Here I tend to agree with Dr Shaikh that ‘perhaps the best places to fight the war on terror are the pages of the textbooks and the classroom and not the Vatican City’.
ISHA M. KURESHI
Karachi
IN recent times Islamabad has gone thorough some major changes. A lot of infrastructural development has taken place which includes development of roads, flyovers, underpasses, etc. Although these projects were a necessity due to the rise in the overall population of the capital, what is most important is the impact of all these projects on the environment and natural beauty which Islamabad is so famous for.
An upcoming project is the widening of the garden avenue, which in my view provides a great scenic drive but due to the widening the thick cover of trees over the road would no longer be there as all the trees would have to be cut down. With the decrease in the amount of trees and the increase in traffic on the road, the pollution level is bound to go higher.
It should be noted that widening of roads and constructing flyovers etc at the cost of harming the environment is not the only solution available to the increasing traffic problems. A better solution would be to work on providing a better public transport facility to the citizens of Islamabad and Rawalpindi. If I am given a choice between using my car and a comfortable bus ride, I would definitely choose the bus over the car.
The CDA and other relevant departments should work on projects such as the mass transit system to provide a comfortable and reliable public transport system rather than just widening the roads. This would not only reduce the number of vehicles on the roads which would decrease the pollution level but also decrease the government expenditure on road projects etc, helping in reducing the budget deficit for which we have to resort to begging from international donors such as the IMF.
It’s a cyclical process which can lead to environmental and as well as to financial benefits. Might not be much initially but in the long run the cut in government expenditure could be used for other projects such as educational institutions, healthcare, etc.
The initial expenditure on the road projects would be high but such projects would prove to be worthwhile when the public transport system would become a source of revenue for the government.
I hope the new government is able to consider these factors before actually launching other road projects such as the Islamabad/Rawalpindi elevated expressway project.
WASEEM A. MALIK
Rawalpindi
"DO you want to know how a normal person gets abnormal, how a person bears his insult with a smiling face, how a person laughs and weeps without any reason, how a person grows old at the age of 30, come and join the city traffic police, Rawalpindi?".
This text message is saved in the inbox of almost every traffic warden’s cellphone.
Although the message looks funny, it has a considerable reality too.
We, the traffic wardens serving in Rawalpindi, are undergoing a severe mental torture. Our department has banned our weekend holiday.
We are performing our duties with the thinking that we have nothing to do with our parents, other members of the family and friends because wardens who belong to other districts can’t go home.
However, wardens of Lahore, Faisalabad, Multan and Gujranwalw get a holiday in a week.
The wardens are being punished for being honest because there are cases when they did not let the erring persons, including influential ones, go before they are fined or booked.
At least 15 to 20 wardens are being suspended in a day on this ground.
We request the DIG ( traffic police) and the Inspector General of Police, Punjab, to look into the matter.
TRAFFIC WARDENS
City Traffic Police
Rawalpindi
ON Nov 12 a group of delusioned pranksters distributed 1.2 million copies of a fake edition of the New York Times which audaciously announced the end of the Iraq war (Dawn, Nov13).
Perhaps, they believed that an overdose of idealism would prove to be the panacea for our ills. Perhaps, as the White House goes from white to black, a diametric shift in the US foreign policy would follow. Perhaps, Barack Obama would indeed be the harbinger of ‘change’ and ‘hope’.
What amazes is the degree of concerted effort which went in putting together this 14 - page edition complete with advertisements including one from Exxon Mobil applauding the end of the Iraq war and stating that “peace is an idea the world can profit from”.
What perplexes though is the degree of naivety of this group of what I presume are youngsters — the older generation being far too cynical to come up with anything of this sort.
Even a cursory examination of the policies of two main contenders for the world’s most prestigious title, that of the president of the United States, reveals no startling differences.
Both were equivocal in their support for the financial bailout plan to rescue Wall Street.
It would be interesting to note that the financial debacle which the United States is currently in the grip of, in certain academic and political circles, is increasingly being referred to as a classic Ponzi scheme — a fraudulent scheme made famous by Charles Ponzi.
Obama’s decision to retain Robert Gates as the defence chief has effectively stalled chances of a withdrawal from Iraq anytime in the near future. Rahm Emanuel’s selection as the chief of staff has ensured that the Jewish lobby will continue to dominate American foreign policy. It would be pertinent to remember that Emanuel is a former Israeli citizen who volunteered to serve in Israel in 1991. The president - elect’s declaration in support of an ‘undivided Jerusalem’ further brought the point home to those of us who persisted in not removing our rose - tinted glasses.
Sonal Shah’s appointment despite her proven links with extremist Hindu organisations has ensured that Obama will continue to follow Bush’s doctrines vis - à - vis the situation in the subcontinent.
What then is the cause for celebration? The elections are a huge make - believe exercise undertaken to fool the American nation into believing that they are an indispensable part of the government machinery. Pray, what can you choose between the Devil and the deep sea?
Obama, McCain or Bush are perfect substitutes, the American establishment being far too strong a pillar to be disturbed by the results of any elections.
In the United States, national interests reign supreme and transcend differences of political affiliation, race, class, colour or creed.
I pity the group of pranksters for believing that change is possible. In todays’ world order, hope does not spring eternal.
AYESHA ARIF BAWANY
Karachi
Speaking to businesspersons and industrialists at the Lahore Chamber of Commerce and Industry recently, Mian Muzaffar Ali of the LCCI had called for a ban on importing luxury items, especially vehicles.
Talking to the same gathering, Ahmed Waqar, chairperson of the Federal Board of Revenue, downplayed such a call. He told the people that the government would impose a 50 per cent regulatory duty but would not impose a complete ban on importing luxury and non - essential items because the imports of such items amounted to only $1.5 billion out of a total import amount of $40 billion last year, the fiscal year, I might add.
Wow! To him, it is ‘only’ $1.5 billion. He probably thinks Pakistan is one of the G - 8 countries, has a trillion dollar GDP, and we are an affluent society where poverty is non - existent. He should wake up to the common people's suffering. These people are paying their utility bills alone through the nose.
Our foreign reserves have been drastically going down, partly due to the import of such items. The chairperson should know that $1.5 billion work out to 3.75 per cent of the $40 billion import bill.
In our currency, it is about Rs125 billion. This is equal to the monthly salaries of more than two million poor people for one full year at the rate of Rs5,000 per month.
He most likely draws millions through his salary every year, and the poor and the middle class do not matter to him (this is not to say that all people who draw millions in yearly salaries are so). So one should forget about what he has uttered so callously and move on with his/her life.
The number of people who do not get two meals a day is on the rise. There are students who have to skip on a meal to be able to pay their college fees. (This is a hard, proven fact, no rhetoric.) These students used to belong to the middle class. They do not, anymore, because they cannot afford to have three meals a day.
SYED AQEEL SARWAR
Lahore
THIS refers to a news item (Non 6) regarding reinstatement in service with full benefits of government employees sacked during the period 1996 98. A good step by the government.
However, what about the scores of government employees who were unjustly sacked, dismissed and denied promotions during the Musharraf regime?
Don’t they deserve similar treatment and relief as given to the employees sacked during 1996 98? Why this discrimination?
Mr President, please take notice and issue orders for similar relief to employees who suffered due to the previous regime’s policies.
MOHAMMAD ARIF
Karachi
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