ISLAMABAD, Feb 7: Globalization is a process linked with the entire human history, but the contemporary trend is unique in the sense that it is characterized by unprecedented spread of poverty, inequality and blood-letting.

This was stated by Dr Inayatullah, a noted research scholar, during a discussion on “Globalization and Pakistan” organized by the Islamabad Cultural Forum here on Friday.

The level of inequality was exemplified by the fact that only three persons possessed wealth equivalent to that of 49 countries. In this process, the local elite was integrated with the world elite and exploited their people mercilessly in the name of patriotism, Dr Inayatullah said.

The context of the discussion was a study presented by Noor Fatima, a research scholar associated with the National Electrical Power Regulatory Authority (Nepra).

Overall, the study came out to be a rather simplistic refutation of criticism against globalization. Thus, she said, poverty had declined in the world as a result of globalization, citing the example of South-East Asia.

Ms Fatima said Pakistan had not taken advantage of the opportunities offered by globalization because of bad governance, excessive taxation and high utility prices. High tariff barriers in the past had fattened the rentier class which had no incentive to improve their productivity and quality in order to withstand competition in a situation of free trade. She, however, cautioned against changing of all things at the same time.

She said poverty in Pakistan could not be reduced through economic growth alone unless the government adopted proper supportive policies in favour of the poor.

Ashfaq Salim Mirza, a prominent intellectual and writer, said globalization, contrary to the expectations spread by its supporters, was now the subject of world-wide protests and rallies.

Dr Shaukat Ali Kazmi, former chief economist of Planning Commission, said it was widely recognized even in the advanced countries that globalization had caused high levels of unemployment and weakening of trade unions.

The developing countries now found themselves at a serious disadvantage because the rich countries, after having forced them to reduce tariffs and open the borders, were now invoking non- tariff restrictions under the rubric “environment”, “child labour” and “labour standards” etc.

Agreeing with a speaker, Dr Kazmi said late Dr Mahbubul Haq shortly before his death had personally called on the prime ministers of both Pakistan and India and urged them to reduce their military funding by at least three per cent and divert the money saved towards human uplift.

Prof Khawaja Masud, former principal, Gordon College, Rawalpindi, said globalization was being imposed by the multinational corporations through World Bank and the IMF.

To face the challenges posed by WTO and globalization, he stressed the need for strengthening Saarc. He regretted that resources of the region were being frittered away in military confrontation instead of utilizing these for the uplift of their masses.