Showing posts with label Musharraf. Show all posts
Showing posts with label Musharraf. Show all posts

Wednesday, February 15, 2023

NAPA Academy: Enduring Legacy of Zia Mohyeddin and Pervez Musharraf

Veteran Pakistani performing artist Zia Mohyeddin (1931-2023) passed away this week. May his soul rest in peace. Amen. Among the most enduring legacies he has left behind is the National Academy of Performing Arts (NAPA) he helped establish in Karachi in 2005 with the support and funding provided by former President Pervez Musharraf (1943-2023). Zia Mohyeddin not only inspired generations of young Pakistanis aspiring to become performing artists, he also helped build NAPA as an institution where they are formally trained in film, television, dance, theater, music and other performing arts.  

Zia Mohyeddin (1931-2023)

Popular Pakistani actor Fawad Khan, a NAPA graduate who was inspired by Mohyeddin, told Al Jazeera the thespian’s death felt like he had lost his own father. “I don’t have enough words to express my words and sorrow at his passing. He helped me at every stage. His life was all about theatre, the all-encompassing passion he had for it. It kept him alive,” Khan said.


National Academy of Performing Arts, Karachi, Pakistan

Zia Mohyeddin was President Emeritus of NAPA at the time of his death. In 2005, he was handpicked by late President Pervez Musharraf to establish and lead a national institution for arts and music. He was trained at the Royal Academy of Dramatic Art in London. He performed in several Broadway and West End theater productions. He made his West End debut in A Passage to India as Dr. Aziz. His acting credits include roles in Lawrence of Arabia (1962), Behold the Pale Horse (1964), Bombay Talkie (1970) and The Jewel in the Crown (1984).  

In 2015, President Pervez Musharraf attended NAPA's 10th anniversary celebration of its founding. Zia Mohyeddin thanked Musharraf for founding NAPA and for selecting him to run it, according to a report in Business Recorder newspaper. "To be a part of NAPA's 10th founding anniversary is a very gratifying experience," he said. "I never imagined myself being around long enough to be a part of the celebrations, and see the seed that we planted grow into a healthy plant and about to become a tree."

Urdu monologues delivered by Zia Mohyeddin became the main draw at popular events in Pakistan and around the world.  Rekhta.org, a popular web library of Urdu poetry, has hailed them for "taking the art of recitation to unprecedented heights".  His performance at the 2011 NED Alumni Association Convention in New Jersey was the the biggest highlight of the event. My friend and fellow NED alumnus Ali Hasan Cemendtaur reported it in the Pakistan Link as follows: 

"It doesn't happen often that a thespian keeps redefining himself to remain in demand as he progresses through years.  Actors should learn from Zia Mohyeddin how to be successful at such a transformation.  Turning 80 in a couple of years, this theater and film actor of yesteryear now uses his deep theatrical voice to recite fine Urdu literature and enthrall crowds.  At the NED Convention 2011, Zia Mohyeddin did something new: besides reading masterpieces of known writers, Mohyeddin read a piece he himself authored". 

Related Links:

Haq's Musings

South Asia Investment Review

Pakistan Fashion Week

Pakistan Media Revolution

Obituary of Pervez Musharraf (1943-2023)

Pakistani Film Cake Breaks Sindhi Stereotypes

Indian Bollywood Seeks Cultural Dominance

Today's Pakistan: Conservative or Progressive?


Tuesday, February 7, 2023

Remembering Pervez Musharraf (1943-2023): A True Patriot Who Made Pakistan Stronger

President Pervez Musharraf of Pakistan passed away this week. May his soul rest in peace. Amen. He was a true patriot who honestly served his country to the best of his ability. He strengthened his country's economy, society and military. Per capita incomes of Pakistanis doubled on his watch, lifting the country from a low-income to a middle-income country. His government liberalized media and telecommunications, leading to rapid growth in both industries.  President Musharraf dramatically accelerated his people's human development by investing heavily in education and healthcare. After what has transpired in recent years, most Pakistanis will remember his time in office as a golden age for the country. 

President Pervez Musharraf 1943-2023


Higher education reform backed by huge increases in spending led to a large increase in college and university enrollment and graduation rates. He halved Pakistan's debt burden and doubled exports during his 8 years in office. Pakistan built up credible nuclear deterrence by ensuring development of a variety of nuclear-capable missiles of various ranges. Pakistan developed the JF-17, its first indigenous fighter jet aircraft with China, and the Pakistan Air Force started deploying it during the Musharraf years.  He negotiated the upgrade of PAF F-16s and acquisition of dozens of new F-16s. 

Pakistan Debt and Fiscal Deficit Trend 2000-2020

In 1999, President Pervez Musharraf inherited a massive debt of 100% of GDP run up by the Pakistan Peoples Party and the Pakistan Muslim League (Nawaz) governments in the 1990s. Musharraf's policies not only revived the bankrupt economy but also brought down debt to 52% of GDP by 2007. 

Pakistan Debt to GDP 1995-2021. Source: IMF


PPP Government's 2008 Letter to IMF:

In a letter to the International Monetary Fund in 2008, the PPP government hailed Musharraf's economic record without mentioning his name in the following words:

"Pakistan's economy witnessed a major economic transformation in the last decade (2000-2008). The country's real GDP increased from $60 billion to $170 billion, with per capita income rising from under $500 to over $1000 during 2000-07.....the volume of international trade increased from $20 billion to nearly $60 billion. The improved macroeconomic performance enabled Pakistan to re-enter the international capital markets in the mid-2000s. Large capital inflows financed the current account deficit and contributed to an increase in gross official reserves to $14.3 billion at end-June 2007. Buoyant output growth, low inflation, and the government's social policies contributed to a reduction in poverty and improvement in many social indicators". (see MEFP, November 20, 2008, Para 1).

Pakistan Manufacturing Value Added 2000-2021. Source: World Bank


Savings and Investments:

Domestic savings rate reached 18% of the GDP and foreign direct investment (FDI) hit a record level of $5.4 billion in 2007-8. This combination of domestic and foreign investments nearly tripled the size of the economy from $60 billion in 1999 to $170 billion in 2007, according to IMF. Exports nearly tripled from about $7 billion in 1999-2000 to $22 billion in 2007-2008, adding millions of more jobs. Pakistan was lifted from a poor, low-income country with per capita income of just $500 in 1999 to a middle-income country with per capita income exceeding $1000 in 2007.

FDI in the Musharraf years came in many sectors, ranging from telecommunications to manufacturing.
Several mobile phone and Internet service operators built networks worth billions of dollars. Without this telecom infrastructure, there would be no tech industry, no freelancers and no fast-growing tech exports today.

New cement plants met growing demand that more than doubled cement consumption, FMCG (fast moving consumer goods) sector took off to meet demand from growing middle class and production of cars and motorcycles jumped. 


Human Capital Development: 

In addition to the economic revival, Musharraf focused on the social sector as well. Pakistan's Human Development Index (HDI) score grew an average rate of 2.7% per year under President Musharraf from 2000 to 2007, and then its pace slowed to 0.7% per year in 2008 to 2012 under elected politicians, according to the 2013 Human Development Report titled “The Rise of the South: Human Progress in a Diverse World”.



Primary Enrollment Source: Economic Survey of Pakistan

Youth Literacy Rate Source: Economic Survey of Pakistan


Pakistan University Enrollment Jumped in Musharraf Years. Source: World Bank


Overall, Pakistan's human development score rose by 18.9% during the Musharraf years and increased just 3.4% under elected leadership since 2008. The news on the human development front got even worse in the last three years, with HDI growth slowing down as low as 0.59% — a paltry average annual increase of under 0.20 per cent. Going further back to the  decade of 1990s when the civilian leadership of the country alternated between PML (N) and PPP,  the increase in Pakistan's HDI was 9.3% from 1990 to 2000, less than half of the HDI gain of 18.9% on Musharraf's watch from 2000 to 2007.

R&D Spending Jumped 7-fold as % of GDP 1999-2007 Source: World Bank

Acceleration of HDI growth during the Musharraf years was not an accident.  Not only did Musharraf's policies accelerate economic growth, helped create 13 million new jobs, cut poverty in half and halved the country's total debt burden in the period from 2000 to 2007, his government also ensured significant investment and focus on education and health care. The annual budget for higher education increased from only Rs 500 million in 2000 to Rs 28 billion in 2008, to lay the foundations of the development of a strong knowledge economy, according to former education minister Dr. Ata ur Rehman. Student enrollment in universities increased from 270,000 to 900,000 and the number of universities and degree awarding institutions increased from 57 in 2000 to 137 by 2008. Government R&D spending jumped from 0.1% of GDP in 1999 to 0.7% of GDP in 2007. In 2011, a Pakistani government commission on education found that public funding for education has been cut from 2.5% of GDP in 2007 to just 1.5% - less than the annual subsidy given to the various PSUs including Pakistan Steel and PIA, both of which  continue to sustain huge losses due to patronage-based hiring.

Pakistan's High-Tech Exports Tripled as % of Manufactured Exports. Source: World Bank

Pakistan textile exports more than doubled from $5.2 billion to more than $11 billion during the Musharraf years. Exports soared 19.43% in 2001, 20% in 2004, 24.5% in 2005 and 11.23% in 2006, all on President Musharraf's watch, according to "The Rise and Fall of Pakistan's Textile Industry: An Analytical View" published by Javed Memon, Abdul Aziz and Muhammad Qayyum.     


Pakistan Textile Exports Growth. Source: Javed Memon

Pakistan experienced rapid economic and human capital growth in the years 2000 to 2008 on President Pervez Musharraf's watch. Savings, investments and exports hit new records and the rate of increase in human development reached new highs not seen before or since this period.  Without this human capital, there would be no tech industry, no freelancers and no fast-growing tech exports today.

Employment Growth in South Asia. Source: World Bank

Pakistan's employment growth was the highest in the South Asia region in 2000-2010, followed by Nepal, Bangladesh, India, and Sri Lanka in that order, according to a World Bank report titled "More and Better Jobs in South Asia".

Comparing Per Capita GDP Trajectory in South Asia. Source: The Economist

Until 2010, Bangladesh was a laggard in the South Asia region. Its per capita income was about half of Pakistan's. Now Bangladesh's per capita GDP is higher than both India's and Pakistan's. What changed? The biggest change is Bangladeshi leader Shaikh Hasina's decision to stifle the unruly Opposition and the media to bring political and economic stability to the South Asian nation of 160 million people. It has eliminated a constant sense of crisis and assured investors and businesses of continuity of government policies. With development taking precedence over democracy, Shaikh Hasina followed the example of Asian Tigers  by focusing on export-led economic growth of her country. She incentivized the export-oriented garment industry and invested in human development. Bangladesh now outperforms India and Pakistan in a whole range of socioeconomic indicators: exports, economic growth, infant mortality rate, primary school enrollment, fertility rate and life expectancy.    

Related Links:















Monday, January 24, 2022

Pakistan Cut Public Debt in Half On Musharraf's Watch in 1999-2008

In 1999, President Pervez Musharraf inherited a massive debt of over 100% of GDP run up by the Pakistan Peoples Party and the Pakistan Muslim League (Nawaz) governments in 1990s. Musharraf's policies not only revived the bankrupt economy but also brought down debt to 52% of GDP by 2007. 

Pakistan Debt to GDP 1995-2021. Source: IMF



PPP Government's 2008 Letter to IMF:

In a letter to the International Monetary Fund in 2008, the PPP government hailed Musharraf's economic record without mentioning his name in the following words:

"Pakistan's economy witnessed a major economic transformation in the last decade (2000-2008). The country's real GDP increased from $60 billion to $170 billion, with per capita income rising from under $500 to over $1000 during 2000-07.....the volume of international trade increased from $20 billion to nearly $60 billion. The improved macroeconomic performance enabled Pakistan to re-enter the international capital markets in the mid-2000s. Large capital inflows financed the current account deficit and contributed to an increase in gross official reserves to $14.3 billion at end-June 2007. Buoyant output growth, low inflation, and the government's social policies contributed to a reduction in poverty and improvement in many social indicators". (see MEFP, November 20, 2008, Para 1).

Savings and Investments:

Domestic savings rate reached 18% of the GDP and foreign direct investment (FDI) hit a record level of $5.4 billion in 2007-8. This combination of domestic and foreign investments nearly tripled the size of the economy from $60 billion in 1999 to $170 billion in 2007, according to IMF. Exports nearly tripled from about $7 billion in 1999-2000 to $22 billion in 2007-2008, adding millions of more jobs. Pakistan was lifted from a poor, low-income country with per capita income of just $500 in 1999 to a middle-income country with per capita income exceeding $1000 in 2007.

FDI in Musharraf years came in many sectors, ranging from telecommunications to manufacturing.
Several mobile phone and Internet service operators built networks worth billions of dollars. Without this telecom infrastructure, there would be no tech industry, no freelancers and no fast-growing tech exports today.

New cement plants met growing demand that more than doubled cement consumption, FMCG (fast moving consumer goods) sector took off to meet demand from growing middle class and production of cars and motorcycles jumped. 


Human Capital Development: 

In addition to the economic revival, Musharraf focused on the social sector as well. Pakistan's Human Development Index (HDI) score grew an average rate of 2.7% per year under President Musharraf from 2000 to 2007, and then its pace slowed to 0.7% per year in 2008 to 2012 under elected politicians, according to the 2013 Human Development Report titled “The Rise of the South: Human Progress in a Diverse World”.



Primary Enrollment Source: Economic Survey of Pakistan

Youth Literacy Rate Source: Economic Survey of Pakistan

Overall, Pakistan's human development score rose by 18.9% during the Musharraf years and increased just 3.4% under elected leadership since 2008. The news on the human development front got even worse in the last three years, with HDI growth slowing down as low as 0.59% — a paltry average annual increase of under 0.20 per cent. Going further back to the  decade of 1990s when the civilian leadership of the country alternated between PML (N) and PPP,  the increase in Pakistan's HDI was 9.3% from 1990 to 2000, less than half of the HDI gain of 18.9% on Musharraf's watch from 2000 to 2007.

R&D Spending Jumped 7-fold as % of GDP 1999-2007 Source: World Bank

Acceleration of HDI growth during Musharraf years was not an accident.  Not only did Musharraf's policies accelerate economic growth, helped create 13 million new jobs, cut poverty in half and halved the country's total debt burden in the period from 2000 to 2007, his government also ensured significant investment and focus on education and health care. The annual budget for higher education increased from only Rs 500 million in 2000 to Rs 28 billion in 2008, to lay the foundations of the development of a strong knowledge economy, according to former education minister Dr. Ata ur Rehman. Student enrollment in universities increased from 270,000 to 900,000 and the number of universities and degree awarding institutions increased from 57 in 2000 to 137 by 2008. Government R&D spending jumped from 0.1% of GDP in 1999 to 0.7% of GDP in 2007. In 2011, a Pakistani government commission on education found that public funding for education has been cut from 2.5% of GDP in 2007 to just 1.5% - less than the annual subsidy given to the various PSUs including Pakistan Steel and PIA, both of which  continue to sustain huge losses due to patronage-based hiring.

Pakistan's High-Tech Exports Tripled as % of Manufactured Exports. Source: World Bank

Pakistan textile exports more than doubled from $5.2 billion to more than $11 billion during the Musharraf years. Exports soared 19.43% in 2001, 20% in 2004, 24.5% in 2005 and 11.23% in 2006, all on President Musharraf's watch, according to "The Rise and Fall of Pakistan's Textile Industry: An Analytical View" published by Javed Memon, Abdul Aziz and Muhammad Qayyum.     


Pakistan Textile Exports Growth. Source: Javed Memon

Pakistan experienced rapid economic and human capital growth in years 2000 to 2008 on President Pervez Musharraf's watch. Savings, investments and exports hit new records and the rate of increase in human development reached new highs not seen before or since this period.  Without this human capital, there would be no tech industry, no freelancers and no fast-growing tech exports today.

Employment Growth in South Asia. Source: World Bank

Pakistan's employment growth was the highest in South Asia region in 2000-2010, followed by Nepal, Bangladesh, India, and Sri Lanka in that order, according to a World Bank report titled "More and Better Jobs in South Asia".

Comparing Per Capita GDP Trajectory in South Asia. Source: The Economist

Until 2010, Bangladesh was a laggard in South Asia region. Its per capita income was about half of Pakistan's. Now Bangladesh's per capita GDP is higher than both India's and Pakistan's. What changed? The biggest change is Bangladeshi leader Shaikh Hasina's decision to stifle the unruly Opposition and the media to bring political and economic stability to the South Asian nation of 160 million people. It has eliminated a constant sense of crisis and assured investors and businesses of continuity of government policies. With development taking precedence over democracy, Shaikh Hasina followed the example of Asian Tigers  by focusing on export-led economic growth of her country. She incentivized the export-oriented garment industry and invested in human development. Bangladesh now outperforms India and Pakistan in a whole range of socioeconomic indicators: exports, economic growth, infant mortality rate, primary school enrollment, fertility rate and life expectancy.    

Related Links:















Wednesday, November 17, 2021

Musharraf Era Textile Boom Returning to Pakistan?

Pakistan textile industry is booming with exports soaring 27% to more than $6 billion in the first four months (July-October) of the current fiscal year. “We believe that $5 billion investment (in textile industry) in the Musharraf era would be matched in the next six to eight months”  says Zubair Motiwala, a leading textile industrialist and chairman of Businessmen Group (BMG), as quoted in the Pakistani media reports. Pakistan textile exports more than doubled from $5.2 billion to more than $11 billion during Musharraf years. Exports soared 19.43% in 2001, 20% in 2004, 24.5% in 2005 and 11.23% in 2006, all on President Musharraf's watch, according to "The Rise and Fall of Pakistan's Textile Industry: An Analytical View" published by Javed Memon, Abdul Aziz and Muhammad Qayyum.     


Pakistan Textile Exports Growth. Source: Javed Memon

Pakistani government officials report that the textile sector has invested $3-3.5 billion on modernization and expansion in the last 2-3 years and the investment is likely to match the $5 billion that was witnessed during Musharraf era when the sector was undergoing major modernization, balancing and replacement (BMR). Textile machinery imports jumped 110% in the last four months, according to the Pakistan Bureau of Statistics (PBS). Capital equipment imports are contributing to Pakistan's widening trade gap

Pakistan Textile Exports Boom. Source: Bloomberg

All sectors of the textile industry from yarn to fabric to ready-made garments are experiencing double digit growth.  Ready-made garments exports jumped 22.34% during July-Oct 2021,  knitwear exports soared 35.45%, bed-wear posted positive growth of 21.30%, towel exports were up by 14.17%, cotton cloth rose 18.54%. Among primary commodities, cotton yarn exports surged by 71.39%, while yarn other than cotton by 114%. The export of made-up articles — excluding towels — rose by 11.55%, and tents, canvas and tarpaulin dipped by a massive 23.98% during the 4-month period.

International Comparison of Textile Machinery Imports. Source: Business Recorder


History of Pakistan Textile Machinery Imports 2004-2021 in Millions of US$. Source: Ali Khizar


The textile industry is very important for Pakistan's economy. It is a very large employer and contributes nearly 10% of GDP.  Textile exports account for more than half of Pakistan's exports.  Unfortunately, the textile industry has stagnated in the last 12 years. Textile boom is good news for the country's economy. 

Related Links:

Haq's Musings

South Asia Investor Review

Pakistan's Debt Crisis

Declining Investment Hurting Pakistan's Economic Growth

Brief History of Pakistan Economy 

Can Pakistan Avoid Recurring IMF Bailouts?

Pakistan's Lost Decade 2010-20

CPEC Financing: Is China Ripping Off Pakistan?

Information Tech Jobs Moving From India to Pakistan

Pakistan is 5th Largest Motorcycle Market

"Failed State" Pakistan Saw 22% Growth in Per Capita Income in Last 5 Years

CPEC Transforming Pakistan

Pakistan's $20 Billion Tourism Industry Boom

Home Appliance Ownership in Pakistani Households

Riaz Haq's YouTube Channel

PakAlumni Social Network


Saturday, January 26, 2019

Part 2: History of Top Leadership Blunders in Pakistan

What are the key sources of the current crises faced by Pakistan? Can any of these be traced to blunders committed years ago by Pakistani leaders? Here's part 2 of the discussion started earlier.

Was it a blunder for General Zia to join the United States and Saudi Arabia in support of the Afghan Jihad against the Soviet Union in 1980s?  Did it help achieve Pakistan's objective of weakening the Pashtun Nationalists led by Abdul Ghaffar Khan's son Abdul Wali Khan who opposed the creation of Pakistan?  What if Pakistan had not supported the Afghan Resistance in 1980s? Did it promote militarization of religious fanatics in Pakistan? Was it a mistake for Benazir Bhutto to give birth to the Taliban?

Was General Musharraf's seizure of Kargil heights in 1999 in Kashmir a blunder? How was it different from India's seizure of Siachen Glacier from Pakistan in 1984? If these were similar actions, why was India's and the world's reaction so different?  Coming soon after Indian Prime Minister Atal Bihari Vajpayee's Lahore visit and the signing of the Lahore Declaration, how did Kargil change the course of India-Pakistan history?

Did Kargil lead to the 1999 Coup against Prime Minister Nawaz Sharif?  Did Sharif err by firing General Musharraf while he was representing Pakistan overseas and then denying landing permission to  the PIA commercial flight brining General Musharraf home?  Was the coup staged by General Pervez Musharraf or the Pakistan Army Corps Commanders while he was still in the air? Did Nawaz Sharif's failure to manage civil-military relations contribute to his problems and the coup?

Did Musharraf blunder by siding with the United States after Sept 11, 2001 terror attacks in America? What was the alternative? How would the US react if Musharraf had refused to cooperate? Would the porous Afghan-Pakistan border allow Pakistan to be a silent observer?

Azad Labon Ke Sath host Faraz Darvesh discusses these questions with panelists Misbah Azam and Riaz Haq (www.riazhaq.com)

https://youtu.be/grLQJa-QygA




Related Links:

Haq's Musings

South Asia Investor Review

US Aid to Pakistan

1971 Debacle in East Pakistan

Is it 1971 Moment in Pakistan's History?

Mission RAW by RK Yadav: India in East Pakistan

Benazir Bhutto Gave Birth to Taliban

What if Musharraf Had Said No to US After 911?

Riaz Haq Youtube Channel

VPOS Youtube Channel

Sunday, January 20, 2019

History of Top Leadership Blunders in Pakistan Part 1

What are the key sources of the current crises faced by Pakistan? Can any of these be traced to blunders committed years ago by Pakistani leaders?

Pakistan's Gen AK Niazi Signing Surrender in East Pakistan

Was it a blunder for Pakistan's founders to align with the United States early on? What was the alternative for a nascent cash-strapped state that faced imminent economic collapse? Who other than the United States had the deep pockets to help Pakistan in 1947 when the Soviet Union, Europe and Japan lay in ruins at the end of WW II? Would the construction of big dams and irrigation system in Pakistan have happened without the US help? Would the Green Revolution have come about if the US did not help?
US Aid in 66 Years

Was the passage of the Objectives Resolution in 1949 among the blunders of Pakistan's early leaders? Did it distract from framing an inclusive and unifying constitution of the nation-state? Did it promote religious discrimination and extremism in the country? Was the 2nd amendment to the 1973 Constitution declaring Ahmedis non-Muslims a logical consequence of it?

Did the failures of Pakistan's political class open the doors for military coups starting with the 1958 coup led by General Mohammad Ayub Khan? How did the military coups led by General Yahya Khan, General Zia ul Haq and General Pervez Musharraf impact Pakistan? Could these coups have been avoided?

What led to the loss of Pakistan's eastern wing and the creation of Bangladesh in 1971? Was it a political failure or a military failure? Was it orchestrated by India with the help of Shaikh Mujib ur Rehman starting with Agartala Conspiracy in 1960s? Was it a blunder for Gen Zia to join the United States and Saudi Arabia in support of the Afghan Jihad against the Soviet Union in 1980s? Did it promote militarization of religious fanatics in Pakistan? Was it a mistake for Benazir Bhutto to give birth to the Taliban?

Did Musharraf blunder by siding with the United States after Sept 11, 2001 terror attacks in America? What was the alternative? Would the porous Afghan-Pakistan border allow Pakistan to be a silent observer?

Azad Labon Ke Sath host Faraz Darvesh discusses these questions with panelists Misbah Azam and Riaz Haq (www.riazhaq.com)

https://youtu.be/EbIf11W89JI




Related Links:

Haq's Musings

South Asia Investor Review

US Aid to Pakistan

1971 Debacle in East Pakistan

Is it 1971 Moment in Pakistan's History?

Mission RAW by RK Yadav: India in East Pakistan

Benazir Bhutto Gave Birth to Taliban

What if Musharraf Had Said No to US After 911?

Riaz Haq Youtube Channel

VPOS Youtube Channel

Friday, September 8, 2017

India-Pakistan Ties: Who's at Fault For Failing to Resolve Disputes?

India's former foreign secretary Shyam Saran is the latest of a series of ex Indian officials to reveal causes of failures to resolve disputes in India-Pakistan talks in the last two decades.  Mr. Saran was part of the process to resolve Siachin and Sir Creek disputes regarded as "low-hanging fruit".


Similar revelations have been made earlier by former Indian RAW chief A.S. Dulat about the last minute interventions by Indian Deputy Prime Minister LK Advani that resulted in the failure of the Agra Summit between former Pakistan President Musharraf and ex Indian Prime Minister Vajpayee.

Siachin and Sir Creek:

In “How India Sees the World: Kautilya to the 21st Century”, the author Saran recalls the crucial meeting of the CCS (Cabinet Committee on Security) on the eve of India-Pakistan Defense Secretary-level talks in May 2006, where the draft agreement, that had been approved by the Army and other stakeholders, was to be discussed. However, he said two key players, the-then National Security Advisor MK Narayanan and then Army Chief General J.J. Singh made last minute interventions to scuttle the proposal, according to a report in The Hindu newspaper.

“When the CCS meeting was held on the eve of the defense secretary–level talks, [Mr.] Narayanan launched into a bitter offensive against the proposal, saying that Pakistan could not be trusted, that there would be political and public opposition to any such initiative and that India’s military position in the northern sector vis- à-vis both Pakistan and China would be compromised. [Gen] J.J. Singh, who had happily gone along with the proposal in its earlier iterations, now decided to join Narayanan in rubbishing it,” Mr. Saran writes.

Agra Summit Failure:

“This is when L. K. Advani surprised Musharraf by asking for Dawood Ibrahim. This took Musharraf back and a shadow was cast thereafter on the Agra summit.” “As Mr. Mishra put it: “Yaar, hote-hote reh gaya … Ho gaya tha, who toh.”  Ex Indian Intelligence Chief A.S. Dulat

The above quote is from A.S. Dulat who has served as Chief of India's Research and Analysis Wing (RAW) and as Special Director of India's Intelligence Bureau. He was speaking with Indian Journalist Karan Thapar of India Today on a variety of subjects including Kashmir and Musharraf-Vajpayee Agra summit.

Dulat has essentially confirmed the fact that Indian hawks like the BJP leader L.K. Advani are responsible for sabotaging the India-Pakistan summit.

Who's to Blame? 

Revelations by Dulat and Saran have debunked the myth promoted by Indian security analysts, Indian politicians and some western think tanks that regularly blame Pakistan for the failure of past bilateral diplomatic efforts by citing what they believe is the adverse role of Pakistani military in framing Pakistan's policy toward India. This rationale does not explain why the diplomatic initiatives undertaken by Pakistani military leaders from General Zia to General Musharraf have not borne fruit.

Wikileaks on Indian Establishment: 

A more rational explanation for the policy failures has surfaced in secret US embassy cables leaked by Wikileaks and published by The Hindu. After a meeting with India's National Security Adviser and former Indian intelligence chief M.K. Narayanan in August 2009, American Ambassador Timothy Roemer concluded that Prime Minister Manmohan Singh was isolated within his own government in his “great belief” in talks and negotiations with Pakistan.

Ambassador Roemer said that although Narayanan's hawkish stance on Pakistan was well known, his willingness to “distance himself from his boss (Manmohan Singh) in an initial courtesy call would suggest that PM Singh is more isolated than we thought within his own inner circle in his effort to "trust but verify" and pursue talks with Pakistan particularly in the wake of the hammering his government took from opposition for the July Sharm al-Sheikh statement with (Pakistan Prime Minister Yusuf Raza) Gilani.”

Summary:

There have now been multiple revelations by former Indian officials like Shyam Saran and AS Dulat as well as leaked US diplomatic cables detailing the causes of failures to resolve disputes in India-Pakistan talks in the last two decades.  These disclosures thoroughly debunk the myth promoted by Indian security analysts, Indian politicians and some western think tanks blaming Pakistan, particularly the Pakistani military, for the continuing failures to resolve bilateral disputes with India.


Related Links:

Haq's Musings

MQM-RAW Connection 

Ex-Indian Spy Documents RAW's Successes in Pakistan

Has Modi Stepped Up India's Cover War Against Pakistan?

Ex RAW Chief AS Dulat Blames Advani For Agra Summit Failure

Taliban or RAW-liban?

India-Pakistan Cricket Diplomacy

Counter-insurgencyOperation ZarbeAzb

India's Abiding Hostility Toward Pakistan 

India's Israel Envy: Will Modi Attack Pakistan?

Who Killed Karkare?


Sunday, April 24, 2016

Panama Leaks: Did Musharraf Steal Pakistani People's Money?

A story alleging corruption by former President Pervez Musharraf has appeared recently in Pakistan's Jang Media Group publications  in the aftermath of the Panama Leaks that revealed the names of 220 rich and powerful Pakistanis owning offshore accounts.

Politicians Dominate Off-shore Company Owners in Panama Leaks 
The Panama Papers show that Mir Shakeel ur Rehman, the owner of Jang Media Group, owns offshore accounts, as do the family of the current Prime Minister Mr. Nawaz Sharif and former Pakistani Prime Minister Benazir Bhutto who was assassinated in 2007. Other Pakistanis named in the Panama Papers include prominent businessmen, politicians, judges, bureaucrats, etc. allegedly involved in corruption. The names of former President Pervez Musharraf or his family members are not among the 220 names from Pakistan.

The Jang Media Group story titled "How Mr clean Musharraf became a billionaire" lists accounts held by Mr. Musharraf in Dubai and London with balances adding up to millions of US dollars. Farrukh Durrani, the story writer, demands that the commission of inquiry looking into Panama Papers also investigate the sources of Mr. Musharraf's wealth. Here's an excerpt of the story:

"Despite having such huge chunk of amount in his offshore accounts, neither did any investigative agency nor did the accountability bureau question him how he got billions of rupees in his foreign accounts. However the commission of inquiry appointed by prime minister in the wake of Panama Leaks has a broader scope and powers which can question ex-dictator Pervez Musharraf from where he got billions of rupees which are kept in his offshore accounts."

Knowing what I know about how western leaders like former US President Clinton and his wife Hillary became wealthy after leaving office, let me suggest to Mr. Durrani to do his homework as follows:

1. Learn about the lucrative speaker series business which brings hundreds of thousands of dollars per speech to celebrity speakers in the West, particularly the United States. This is a well-established, well-organized business that promotes lecture series featuring prominent speakers where attendees pay hundreds of dollars per person to attend in large numbers.

2. Do research into how many such lectures President Musharraf delivered after retiring from presidency in 2008? How much did he get paid for each? What does it all add up to? Does it add up to more than the reported account balances in Dubai and London?

Let me give a few pointers to Mr. Durrani if he's honestly trying to understand the sources of Mr. Musharraf's wealth:

1. A Newsweek story quoted David Wheeler, President of Embark LLC,  just one of the international public-relations firms trying to land Musharraf as a highly paid keynote speaker, as saying, "The [speaking] fee for Musharraf would be in the $150,000-200,000 range for a day."



2. The Newsweek story further added that "Public-relations executives say the articulate and brash 44-year army veteran's earning power could approach that of former U.S. President Bill Clinton".

3. Here's how an Oregon newspaper "The Oregonian" reported about Musharraf's planned appearance in Portland in 2010:  "The folks who attract big international names to Portland each year have done it again, landing Pervez Musharraf, Pakistan's former president, to speak here in March. The World Affairs Council of Oregon's 2010 speaker series will also feature Nobel Prize-winning economist Joseph Stiglitz; Jane Lubchenco, National Oceanographic and Atmospheric Administration chief administrator; and -- in a face-off --Howard Dean, former chairman of the Democratic National Committee, and Karl Rove, strategist for President George W. Bush."

4. A brochure announcing the Peninsula Speaker Series in the San Francisco Bay Area that included Musharraf as a featured speaker, along with Condeleeza Rice, Laura Tyson and Paul Krugman, showed the ticket prices ranging from $294 to $403 per person.

After Mr. Durrani has had a chance to do his homework, I believe he will realize, if he's honest, that he is being used by his employer to deflect attention of the world and of any investigative commission members from the sins of Mir Shakeel ur Rahman and his rich and powerful friends in high places, including Prime Minister Nawaz Sharif and his family, who have either stolen Pakistan peoples' money and/or cheated on taxes they owe to the Pakistani treasury. Any investigative commission must not allow itself to be used to pursue vendettas to obscure the truth.

Related Links:

Haq's Musings

Pakistani Leaders in London After Panama Leaks

Culture of Corruption in Pakistan

Zardari Corruption Probe

President Pervez Musharraf's Legacy

We Hang Petty Thieves and Appoint Great Ones to High Offices

Capitalism's Achilles Heel by Raymond Baker

Monday, June 2, 2014

Pakistan GDP Grew Just 4.1% in 2013-14: Is it Another Lost Decade?

Meager 4.1% GDP growth reported by Pakistan for 2013-14 caps sixth consecutive year of disappointing economic performance under "democratic" governments in the country. This slow growth brings back bitter memories of the last lost decade of 1990s when economic growth plummeted to between 3% and 4%, poverty rose to 33%, inflation was in double digits and the foreign debt mounted to nearly the entire GDP of Pakistan as the governments of Benazir Bhutto (PPP) and Nawaz Sharif (PMLN) played musical chairs.

Pakistan GDP Growth Rates Since 1993. Source: World Bank



Economy in 1990s:

Before the current Prime Minister Nawaz Sharif was ousted by General Pervez Musharraf  in 1999, Pakistan's two main political parties had presided over a decade of corruption and mismanagement. In 1999 Pakistan’s economy was the slowest in South Asia while its total public debt as percentage of GDP was the highest in the region– 99.3 percent of its GDP and 629 percent of its revenue receipts, compared to Sri Lanka (91.1% and 528.3% respectively in 1998) and India (47.2% and 384.9% respectively in 1998). Internal Debt of Pakistan in 1999 was 45.6 per cent of GDP and 289.1 per cent of its revenue receipts, as compared to Sri Lanka (45.7% and 264.8% respectively in 1998) and India (44.0% and 358.4% respectively in 1998).

Musharraf Era:

Under President Musharraf's leadership, Pakistan became one of the four fastest growing economies in the Asian region during 2000-07 with its growth averaging over 6 per cent per year for most of this period. As a result of strong economic growth, Pakistan succeeded in reducing poverty by one-half, creating almost 13 million jobs, halving the country's debt burden, raising foreign exchange reserves to a comfortable position and propping the country's exchange rate, restoring investors' confidence and most importantly, taking Pakistan out of the IMF Program.

The above facts were acknowledged by the PPP government in a Memorandum of Economic and Financial Policies (MEFP) for 2008/09-2009/10, while signing agreement with the IMF on November 20, 2008. The document clearly (but grudgingly) acknowledged that "Pakistan's economy witnessed a major economic transformation in the last decade. The country's real GDP increased from $60 billion to $170 billion, with per capita income rising from under $500 to over $1000 during 2000-07" elevating Pakistan from low-income to middle-income country.



IMF MOU of 2008 further acknowledged that Pakistan's "volume of international trade increased from $20 billion to nearly $60 billion. The improved macroeconomic performance enabled Pakistan to re-enter the international capital markets in the mid-2000s. Large capital inflows financed the current account deficit and contributed to an increase in gross official reserves to $14.3 billion at end-June 2007. Buoyant output growth, low inflation, and the government's social policies contributed to a reduction in poverty and improvement in many social indicators". (see MEFP, November 20, 2008, Para 1)



Pakistan experienced rapid economic and human capital growth in years 2000 to 2008 on President Pervez Musharraf's watch. Savings, investments and exports hit new records and the rate of increase in human development reached new highs not seen before or since this period.

Exports as Percentage of GDP in South Asia. Source: World Bank

Savings and Investments:

Domestic savings rate reached 18% of the GDP and foreign direct investment (FDI) hit a record level of $5.4 billion in 2007-8. This combination of domestic and foreign investments nearly tripled the size of the economy from $60 billion in 1999 to $170 billion in 2007, according to IMF. Exports nearly tripled from about $7 billion in 1999-2000 to $22 billion in 2007-2008, adding millions of more jobs. Pakistan was lifted from a poor, low-income country with per capita income of just $500 in 1999 to a middle-income country with per capita income exceeding $1000 in 2007.

Pakistan Per Capita Income 1960-2012. Source: World Bank 


The PPP government summed up General Musharraf's accomplishments well when it signed a 2008 Memorandum of Understanding with the International Monetary Fund which said:

"Pakistan's economy witnessed a major economic transformation in the last decade. The country's real GDP increased from $60 billion to $170 billion, with per capita income rising from under $500 to over $1000 during 2000-07" to elevate Pakistan from low-income to middle-income group. It further acknowledged that "the volume of international trade increased from $20 billion to nearly $60 billion. The improved macroeconomic performance enabled Pakistan to re-enter the international capital markets in the mid-2000s. Large capital inflows financed the current account deficit and contributed to an increase in gross official reserves to $14.3 billion at end-June 2007. Buoyant output growth, low inflation, and the government's social policies contributed to a reduction in poverty and improvement in many social indicators". (see MEFP, November 20, 2008, Para 1)

Human Capital Development: 

In addition to the economic revival, Musharraf focused on social sector as well. Pakistan's HDI grew an average rate of 2.7% per year under President Musharraf from 2000 to 2007, and then its pace slowed to 0.7% per year in 2008 to 2012 under elected politicians, according to the 2013 Human Development Report titled “The Rise of the South: Human Progress in a Diverse World”.



Overall, Pakistan's human development score rose by 18.9% during Musharraf years and increased just 3.4% under elected leadership since 2008. The news on the human development front got even worse in the last three years, with HDI growth slowing down as low as 0.59% — a paltry average annual increase of under 0.20 per cent. Going further back to the  decade of 1990s when the civilian leadership of the country alternated between PML (N) and PPP,  the increase in Pakistan's HDI was 9.3% from 1990 to 2000, less than half of the HDI gain of 18.9% on Musharraf's watch from 2000 to 2007.

R&D Spending Jumped 7-fold as % of GDP 1999-2007 Source: World Bank

Acceleration of HDI growth during Musharraf years was not an accident.  Not only did Musharraf's policies attracted significant new domestic and foreign investments to accelerate economic growth, they also helped create 13 million new jobs, cut poverty in half and halved the country's total debt burden in the period from 2000 to 2007, his government also ensured significant investment and focus on education and health care. The annual budget for higher education increased from only Rs 500 million in 2000 to Rs 28 billion in 2008, to lay the foundations of the development of a strong knowledge economy, according to former education minister Dr. Ata ur Rehman.

Student enrollment in universities increased from 270,000 to 900,000 and the number of universities and degree awarding institutions increased from 57 in 2000 to 137 by 2008. Government R&D spending jumped from 0.1% of GDP in 1999 to 0.7% of GDP in 2007. In 2011, a Pakistani government commission on education found that public funding for education has been cut from 2.5% of GDP in 2007 to just 1.5% - less than the annual subsidy given to the various PSUs including Pakistan Steel and PIA, both of which  continue to sustain huge losses due to patronage-based hiring.

To see a discussion of the above subject and the current situation, please watch the following video:

http://vimeo.com/84504051



Civil-military Stand-Off on Musharraf Trial; Musharraf Govt's Performance Record from WBT TV on Vimeo.

Related Links:

Haq's Musings

Musharraf Earned Legitimacy By Good Governance

Musharraf Wants to Face Trial; Military Opposed to it

Saving Pakistan's Education

Political Patronage Trumps Public Policy in Pakistan

Dr. Ata-ur-Rehman Defends Pakistan's Higher Education Reforms

Twelve Years Since Musharraf's Coup

Musharraf's Legacy

Pakistan's Economic Performance 2008-2010

Role of Politics in Pakistan Economy

India and Pakistan Compared in 2011

Musharraf's Coup Revived Pakistan's Economy

What If Musharraf Had Said No?

Human Development in Musharraf Years