PESHAWAR, Sept 26: Prime Minister Shaukat Aziz has said that the situation in South Waziristan would be resolved amicably through dialogue.

Briefing newsmen here at the end of his two-day visit to Peshawar, his first as prime minister, Mr Aziz said the government would do its utmost to resolve the issue in a peaceful manner through negotiations.

"Tribal people always defended Pakistan and have rendered invaluable sacrifices for the country. They are patriotic people but if there are terrorists or anti-state elements hiding there, their presence would invariably cast negative effects."

The prime minister said he had already announced the lifting of economic sanctions on the Ahmadzai Wazir tribe and increased budgetary support for development activities in the Federally Administered Tribal Areas by Rs1 billion.

He said funds would be spent on the construction of roads and provision of health, education and drinking water facilities in tribal areas as part of a comprehensive development package.

The prime minister, who declined to take any questions, did not respond when asked whether the security forces would halt their operation in South Waziristan as part of the government's latest move to defuse the situation and resolve the issue through negotiations.

Mr Aziz told newsmen that during a briefing given to him earlier in the day he had recommended a number of proposals to the provincial government to bring about improvement in various sectors.

He said he had asked the provincial government to improve the law and order situation and security environment which was essential for development. "Police's image in the public is not very good. It needs to be improved," he said.

HYDEL PROFIT: The prime minister said he had asked the provincial government to nominate two representatives to the five-member arbitration committee set up to help resolve the long-standing net hydel profit issue with the Water and Power Development Authority. "Nominate your representatives so that the matter is resolved as soon as possible," Mr Aziz said.

TRADE AND COMMERCE: The prime minister under lined the need for generating more employment opportunities through the private sector and asked the provincial government to encourage small industries and set up special zones to encourage investment, particularly in the mineral, tourism and construction industry sectors. "There is a potential for growth in these sectors," he said.

Mr Aziz said Peshawar was the gateway to Afghanistan and Central Asia and could benefit greatly from increase in trade activity once roads linking Torkham and Jalalabad with Kabul were built.

He said the federal government was constructing the Torkham-Jalalabad highway as part of its programme to help Afghanistan's reconstruction while the European Union would build the Jalalabad-Kabul section of the highway.

The prime minister also underlined the need for bringing about improvement in the judicial system to lessen burden on courts and provide speedy justice to the people.

He asked the provincial government to introduce a land automation system to get rid of decades-old land disputes that had clogged the judicial system. The prime minister noted that the provincial government had already introduced the system in Nowshera as a pilot project and said that it should be extended to other parts of the province.

LG SYSTEM: Speaking about the ongoing rift between the provincial government and district nazims over sharing of power, Mr Aziz said both should work together to strengthen the system. He hoped that district nazims' complaints against the provincial government would be resolved amicably.

DEVELOPMENT: The prime minister held out the assurance that the federal government would continue to provide budgetary support to the provincial development programme, but said the provincial government should also contribute its share to the uplift projects.

Mr Aziz asked the provincial government to control its throw-forward liabilities and ensure equitable distribution of resources among all districts instead of focussing on a single district.

Later, the prime minister left for Islamabad. The press conference was attended by Governor Syed Iftikhar Hussain Shah and Chief Minister Akram Durrani, Interior Minister Aftab Sherpao, ministers of state Amir Muqam and Anisa Zeb, besides a large number of MNAs and MPAs from the MMA and the PML.

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