Food, Clothing And Shelter For All
Pakistan Peoples Party has revived "Roti, Kapra Aur Makan For All", first successfully introduced by Late Zulfikar Ali Bhutto in the late 1960s as a popular slogan, and made it a part of its platform for the upcoming elections in Pakistan. These planks by the PPP elicit a range of reactions among Pakistanis ranging from strong enthusiasm to total skepticism. Among the poor and the dis-enfranchised, the desire and the need for food, clothing and shelter is so great that they receive the PPP manifesto with enthusiasm. The skeptics ,on the other hand, argue that "Roti, Kapra Aur Makan" is just an impractical slogan designed to win votes, with no sincerity or substance behind it.
Bhutto's Five E's
While explaining her party’s agenda to ensure equality in every segment of society, the assassinated former Prime Minister Benazir Bhutto said in December 2007, that in line with the PPP’s slogan of “Roti, Kapra aur Makan”, her party would take specific policy initiatives. “Our policy is based on five E’s - employment, education, energy, environment and equality,” the former premier said.
US Experience
In the history of the United States, similar policy platforms have had mixed results. Looking back at the history of the political platforms that have succeeded, what comes to mind is the name of President Franklin Roosevelt and his "New Deal" , as well as the successive US Presidents' policies on "The American Dream" of home ownership for all. These policies helped reduce poverty and enhanced education and housing for a large number of people in the US.
Among the failures, US President Herbert Hoover's slogan "A chicken in every pot and a car in every garage" stands out. President Hoover's presidency ended in the Depression of the 1930s which was inherited by President Franklin Delano Roosevelt.
Specific Programs
A quick examination of the successful policies for promoting better living standards shows that, in each case, there were specific programs launched in public-private partnerships. For example, the government worked with the private sector on jobs and training programs to enable people to make a decent living to provide for themselves and their families. An effective public schooling system with school breakfast and lunch program was funded. GI bill was passed to help the returning soldiers from WWII who wanted to go to college. Social Security Administration (SSA) was set up to provide safety net with food stamps and welfare payments for those who could not find employment or were disabled. Federal Housing Administration (FHA) was set up along with FNMA to provide affordable mortgages and the tax code was modified to provide income tax breaks for home owners to promote home ownership. In order for the PPP vision of "Roti, Kapra Aur Makan" to be realized, it is very important that this vision is backed by specific plans and programs with clear objectives and measurable results over a period of a decade or more. The question is: Where would the resources and expertise come from to make it happen?
"New Deal" For Pakistan
Seeing it in the context of the current global war on terror, it is in the best interest of the world to have the FDR style "New Deal" for the poverty-stricken, illiterate, unemployed youths in countries such as Pakistan to address the underlying causes of terrorism. For example, the "radical" madrassahs often accused of promoting terror, are currently providing food, clothing, shelter and education for many of these youths. In this role, the madrassahs are very influential. If Pakistan (with the help of the US, EU and the Saudis) can replace what the madrassahs are doing while teaching tolerance instead of hatred, then there is hope for a more moderate and enlightened Pakistan free from terror. I think this will be good bargain for all. It will cost a lot less than the war on terror and have more durable results than the current strategy. The stakes are very high for Pakistan, South Asia, the United States, Europe and the rest of the world. Let us all help turn the PPP slogan of "Roti, Kapra Aur Makan" into reality for the sake of the world peace and our future generations.
Wednesday, February 6, 2008
Monday, February 4, 2008
Pakistan Economy Hit By Turmoil
The recent political turmoil with Bhutto's return and her tragic assassination in Oct-Dec 2008 period is taking its toll on Pakistan's economy. Weaker textile exports, rising food prices, and ongoing energy crisis have caused the government to scale down its growth target for the fiscal year ending June 2008.
Immediately after Benazir Bhutto's death on Dec. 27, rioters from her native Sind province caused an estimated $1.3 billion in losses, according to Karachi's Chamber of Commerce. Power transmission, telecommunications and roads were affected. Among the recent issues exacerbating the larger energy crisis, the two main power transmission lines were blown up in January 2008 in Sind, creating a shortfall of 1,000 MW. The business community complained that lopsided and unplanned shutdowns resulted in closures in almost all industries. Many factories in Karachi, the heaving commercial hub -- including some owned by Colgate-Palmolive Co. and Philip Morris International Inc. -- sustained damage, according to Tasleemuddin A. Batlay, president of Karachi's American Business Council and a director of Colgate-Palmolive's Pakistan unit, as reported in Wall Street Journal. At Italian garment maker Maxco Pvt. Ltd., a fire engulfed several refurbished buildings, killing eight workers; damage was estimated at $25 million, according to a report in Wall Street Journal.
Pakistan's Finance Minister Salman Shah says economic fundamentals remain strong and growth should still exceed 6%, which would outstrip many of Pakistan's peers in Asia. Last year, the Karachi Stock Exchange's benchmark index advanced more than 40%.
Karachi share market on Monday started on a positive note on the back of foreign interest, coupled with increasing oil prices in the international market, and the KSE-100 index breached through 14,000 psychological level to hit 14,053.46 points intra-day high level, reports Business Recorder, Pakistan's Financial Daily.
The Pakistani economy has, so far, shown a lot of resilience in absorbing a number of shocks in the last few years. It is likely that there will be post-election violence in Pakistan regardless of the outcome. We'll have to wait and see if the economy can ride out this potential storm as well.
Immediately after Benazir Bhutto's death on Dec. 27, rioters from her native Sind province caused an estimated $1.3 billion in losses, according to Karachi's Chamber of Commerce. Power transmission, telecommunications and roads were affected. Among the recent issues exacerbating the larger energy crisis, the two main power transmission lines were blown up in January 2008 in Sind, creating a shortfall of 1,000 MW. The business community complained that lopsided and unplanned shutdowns resulted in closures in almost all industries. Many factories in Karachi, the heaving commercial hub -- including some owned by Colgate-Palmolive Co. and Philip Morris International Inc. -- sustained damage, according to Tasleemuddin A. Batlay, president of Karachi's American Business Council and a director of Colgate-Palmolive's Pakistan unit, as reported in Wall Street Journal. At Italian garment maker Maxco Pvt. Ltd., a fire engulfed several refurbished buildings, killing eight workers; damage was estimated at $25 million, according to a report in Wall Street Journal.
Pakistan's Finance Minister Salman Shah says economic fundamentals remain strong and growth should still exceed 6%, which would outstrip many of Pakistan's peers in Asia. Last year, the Karachi Stock Exchange's benchmark index advanced more than 40%.
Karachi share market on Monday started on a positive note on the back of foreign interest, coupled with increasing oil prices in the international market, and the KSE-100 index breached through 14,000 psychological level to hit 14,053.46 points intra-day high level, reports Business Recorder, Pakistan's Financial Daily.
The Pakistani economy has, so far, shown a lot of resilience in absorbing a number of shocks in the last few years. It is likely that there will be post-election violence in Pakistan regardless of the outcome. We'll have to wait and see if the economy can ride out this potential storm as well.
Are Pakistani Tribal Elders Losing Influence?
The Tribal Elders' Role
During the British rule of undivided India, the tribal elders in the Federally Administered Tribal Areas (FATA) of Pakistan made deals with the British government that were generally adhered to and kept the peace in the autonomous tribal region. This system continued after Pakistan's independence for several decades.
However, as the madrassahs proliferated in Pakistan's tribal areas since the early 1980s, there seems to be a new dynamic affecting the traditional role and influence of the FATA elders. The radical young graduates of these madrassahs are not willing to accept the traditional role of the elders and their decisions in all matters. There have been many instances of tensions reported between the local tribal elders and the Taleban on both sides of the Pakistan-Afghan border.In December 2007, AP reported that suspected Islamic militants fatally shot eight tribal leaders involved in efforts to broker a cease-fire between security forces and insurgents in Pakistan's volatile northwest. Last year, there were also several reports of clashes between the tribal elders and the Al-Qaeda operatives.
Madrassahs
Most of these madrassahs are boarding schools that provide free food, clothing, housing and education to the mostly poor kids in FATA, the Frontier and Baluchistan provinces. So, the basic reason for these institutions to exist is really the overwhelming needs for education and social services that the Government of Pakistan is unable to fulfill. The reason these institutions proliferated since the 1980s has its roots in the massive US/Saudi backing of the Afghan resistance against the Soviet invasion. The incentive for the US was to recruit and prepare fighters for "Jihad" in Afghanistan against the Russians. A key part of the education at these madrassahs included indoctrination and military training of the students which continues to this day. It is for this reason that the US now considers these institutions as purveyors of terrorist training. The changes in Pakistan's tribal areas set in motion during the 1980s to fight the Soviets are still affecting the entire South Asian region including Afghanistan, the Middle East and the world. Both Al-Qaeda and the Taleban movements have their roots in the Afghan war and the US support of it against the Soviet Union.
The Taleban & Al-Qaeda
The Taleban and Al-Qaeda have both become part of the tribal society in Pakistan and Afghanistan. They are a second power center after the tribal elders. And, I believe, there is an ongoing power struggle between them. It is this power struggle that is largely responsible for the scuttling of several peace agreements that the Musharraf government made with the tribal elders in Waziristan region. It is this situation that makes it difficult for Pakistan to do what the US has done in Al-Anbar province in Iraq with the support of the tribal sheikhs there.
Ideas for Solution
The real solution has to be political and diplomatic in the long term. It's absolutely essential that the fundamental issues of poverty that attract people to the madrassahs are addressed. This will require massive spending over a relatively short period of time. The US and Saudi Arabia are quite capable of such spending, as they have demonstrated during the Afghan resistance against the Soviets. In the meanwhile, both the Pakistani and the US governments must do everything possible to re-establish the role and influence of the tribal elders that want to make peace. At the same time, the war against the radicals challenging the authority of the elders must be conducted to avoid mass casualties of the ordinary folks in FATA. Indiscriminate bombing will not win any hearts and minds. It will only stoke the fires of revenge for a long time to come.
During the British rule of undivided India, the tribal elders in the Federally Administered Tribal Areas (FATA) of Pakistan made deals with the British government that were generally adhered to and kept the peace in the autonomous tribal region. This system continued after Pakistan's independence for several decades.
However, as the madrassahs proliferated in Pakistan's tribal areas since the early 1980s, there seems to be a new dynamic affecting the traditional role and influence of the FATA elders. The radical young graduates of these madrassahs are not willing to accept the traditional role of the elders and their decisions in all matters. There have been many instances of tensions reported between the local tribal elders and the Taleban on both sides of the Pakistan-Afghan border.In December 2007, AP reported that suspected Islamic militants fatally shot eight tribal leaders involved in efforts to broker a cease-fire between security forces and insurgents in Pakistan's volatile northwest. Last year, there were also several reports of clashes between the tribal elders and the Al-Qaeda operatives.
Madrassahs
Most of these madrassahs are boarding schools that provide free food, clothing, housing and education to the mostly poor kids in FATA, the Frontier and Baluchistan provinces. So, the basic reason for these institutions to exist is really the overwhelming needs for education and social services that the Government of Pakistan is unable to fulfill. The reason these institutions proliferated since the 1980s has its roots in the massive US/Saudi backing of the Afghan resistance against the Soviet invasion. The incentive for the US was to recruit and prepare fighters for "Jihad" in Afghanistan against the Russians. A key part of the education at these madrassahs included indoctrination and military training of the students which continues to this day. It is for this reason that the US now considers these institutions as purveyors of terrorist training. The changes in Pakistan's tribal areas set in motion during the 1980s to fight the Soviets are still affecting the entire South Asian region including Afghanistan, the Middle East and the world. Both Al-Qaeda and the Taleban movements have their roots in the Afghan war and the US support of it against the Soviet Union.
The Taleban & Al-Qaeda
The Taleban and Al-Qaeda have both become part of the tribal society in Pakistan and Afghanistan. They are a second power center after the tribal elders. And, I believe, there is an ongoing power struggle between them. It is this power struggle that is largely responsible for the scuttling of several peace agreements that the Musharraf government made with the tribal elders in Waziristan region. It is this situation that makes it difficult for Pakistan to do what the US has done in Al-Anbar province in Iraq with the support of the tribal sheikhs there.
Ideas for Solution
The real solution has to be political and diplomatic in the long term. It's absolutely essential that the fundamental issues of poverty that attract people to the madrassahs are addressed. This will require massive spending over a relatively short period of time. The US and Saudi Arabia are quite capable of such spending, as they have demonstrated during the Afghan resistance against the Soviets. In the meanwhile, both the Pakistani and the US governments must do everything possible to re-establish the role and influence of the tribal elders that want to make peace. At the same time, the war against the radicals challenging the authority of the elders must be conducted to avoid mass casualties of the ordinary folks in FATA. Indiscriminate bombing will not win any hearts and minds. It will only stoke the fires of revenge for a long time to come.
Conspiracy Theorists on the Internet Outage
Iran has been completely cut off. Israel, Iraq and Lebanon are not affected at all.
With several undersea cables cut within days, the rest of the Middle East, North Africa and South Asia including India and Pakistan are having serious Internet problems. Is all of this just a coincidence? These questions are being raised in various ways and reported by Jerusalem Post and CNN on the causes of this massive outage. Many find it difficult to accept the ostensible reason: Ships dragging anchors cut all of these cables. It seems to be too much of a coincidence. The conspiracy theorists of all stripes are having a field day while others are calling for a serious investigation into the causes to prevent such outages in the future.
Regarding the latest status in Pakistan, blogger Masud Reza is reporting as follows:
"PTCL and TWA-1 both have arranged for additional capacity on SMW4 segment 1 from SingTel. PTCL has successfully brought an STM-4 and three STM-1s in operation whereas TWA1 has been able to acquire four STM-1 circuits from SingTel.
So for PTCL users, things should be near to normal now and for TWA1 things should improve dramatically."
With increasig dependence of the world on the Internet connectivity, such incidents of outages take on special strategic significance. In some instances, Internet connections represent the lifelines of global companies with operations spread over Middle East, Asia and Latin America. World trade and global investments also take a beating in the absence of the Internet. Globalization, whether you like it or hate it, relies greatly on the Internet connectivity. Regardless of the conspiracy theories and theorists, there is clearly a need to understand and improve the reliability of the Internet.
With several undersea cables cut within days, the rest of the Middle East, North Africa and South Asia including India and Pakistan are having serious Internet problems. Is all of this just a coincidence? These questions are being raised in various ways and reported by Jerusalem Post and CNN on the causes of this massive outage. Many find it difficult to accept the ostensible reason: Ships dragging anchors cut all of these cables. It seems to be too much of a coincidence. The conspiracy theorists of all stripes are having a field day while others are calling for a serious investigation into the causes to prevent such outages in the future.
Regarding the latest status in Pakistan, blogger Masud Reza is reporting as follows:
"PTCL and TWA-1 both have arranged for additional capacity on SMW4 segment 1 from SingTel. PTCL has successfully brought an STM-4 and three STM-1s in operation whereas TWA1 has been able to acquire four STM-1 circuits from SingTel.
So for PTCL users, things should be near to normal now and for TWA1 things should improve dramatically."
With increasig dependence of the world on the Internet connectivity, such incidents of outages take on special strategic significance. In some instances, Internet connections represent the lifelines of global companies with operations spread over Middle East, Asia and Latin America. World trade and global investments also take a beating in the absence of the Internet. Globalization, whether you like it or hate it, relies greatly on the Internet connectivity. Regardless of the conspiracy theories and theorists, there is clearly a need to understand and improve the reliability of the Internet.
Sunday, February 3, 2008
Bhutto's Book Release Hastened Before February Elections
Former Pakistani Prime Minister Benazir Bhutto's posthumous book titled 
"Reconciliation: Islam, Democracy and the West" is being released February 12,2008, exactly 6 days before the crucial voting in Pakistan. Ghost-written by Mark Siegel, Washington lobbyist and Bhutto's personal friend, the book was originally planned for release in April, 2008. However, publisher HarperCollins, a division of Rupert Murdoch's News Corporation, decided to pull the release date in with the approval and cooperation of Bhutto's widower Asif Ali Zardari and Bhutto's children.
According to published reports, the book arguing that Islam should be reconciled with democracy, is among the final works produced by Bhutto before her assassination at a political rally on Dec. 27, 2007. "No one could have known that these would be Benazir Bhutto's final words, and somehow that makes them carry even more weight, especially at a time like this," said Tim Duggan, her editor at HarperCollins. "This book is her legacy." HarperCollins had signed up the book for an estimated advance of 75,000 dollars just ahead of her return to Pakistan in October after eight years of self-imposed exile. The publishers are expecting brisk sales and New York Times best-seller status for this book.
Among some of the shocking tidbits from the early publicity material from the book, there are revelations about Bhutto's belief that Osama Bin Laden's son Hamza or Taleban leader Baitullah Mehsud was planning her assassination. It should be noted that the Pakistani Government, the CIA Chief, and unnamed British officials believe Mehsud killed Benazir Bhutto.
Bhutto's husband and her children have added a short afterword to the book.
"Reconciliation: Islam, Democracy and the West" is being released February 12,2008, exactly 6 days before the crucial voting in Pakistan. Ghost-written by Mark Siegel, Washington lobbyist and Bhutto's personal friend, the book was originally planned for release in April, 2008. However, publisher HarperCollins, a division of Rupert Murdoch's News Corporation, decided to pull the release date in with the approval and cooperation of Bhutto's widower Asif Ali Zardari and Bhutto's children.According to published reports, the book arguing that Islam should be reconciled with democracy, is among the final works produced by Bhutto before her assassination at a political rally on Dec. 27, 2007. "No one could have known that these would be Benazir Bhutto's final words, and somehow that makes them carry even more weight, especially at a time like this," said Tim Duggan, her editor at HarperCollins. "This book is her legacy." HarperCollins had signed up the book for an estimated advance of 75,000 dollars just ahead of her return to Pakistan in October after eight years of self-imposed exile. The publishers are expecting brisk sales and New York Times best-seller status for this book.
Among some of the shocking tidbits from the early publicity material from the book, there are revelations about Bhutto's belief that Osama Bin Laden's son Hamza or Taleban leader Baitullah Mehsud was planning her assassination. It should be noted that the Pakistani Government, the CIA Chief, and unnamed British officials believe Mehsud killed Benazir Bhutto.
Bhutto's husband and her children have added a short afterword to the book.
Can Pakistan's Economy Defy the Odds?
While many analysts, CEOs, and investors remain bullish on Pakistan's economy, here's a contrarian view by Lee Hudson Teslik on the dangers ahead for Pakistan:
Pakistan has become a land of what-ifs. Analysts speculate on a wide range of fallout scenarios for the country: suppose President Pervez Musharraf’s regime falls; or Musharraf’s crackdowns disillusion moderate Pakistanis and embolden Islamist extremists; or the country’s nuclear weapons aren’t as secure as official assurances suggest. On the economic front, there’s no need for guesswork—Pakistan’s turmoil has already pinched the country’s economy, stoking inflation and prompting concerns among regional trading partners.
Voice of America (VOA), the U.S.-funded broadcast network, reports on a worsening of endemic economic problems in the country following the assassination of opposition leader Benazir Bhutto in late December. Pakistan’s central bank lowered its growth forecasts (Reuters) for 2007/2008 in early January, but VOA reports that inflation and power shortages pose a more concrete problem in the near term. Bloomberg reports that Pakistan’s inflation spiked in late 2007, ending the year at roughly 8.8 percent. More pressingly for much of the country’s population, the prices of beverages and food items, including basic foodstuffs like wheat products, rose at an even higher rate.
The country’s political turmoil also threatens foreign direct investment, a critical indicator in developing regions. “This is the worst possible scenario for foreign investment,” one emerging markets analyst told Reuters. “This environment of chaos is perfect for Islamic militants.” Less than 10 percent of Karachi’s stock market, which controls more than $70 billion, is owned by non-Pakistanis—yet the Reuters article notes that this number has increased rapidly in recent years. Analysts had hoped Pakistan’s economy might parrot the growth rates seen in neighboring India. As yet, that hasn’t happened. India handily eclipses Pakistan in gross domestic product and other critical economic measures.
Pakistan’s turmoil comes at a particularly bad time in terms of Indo-Pakistani economic relations. Trade between the countries expanded significantly following a 2004 South Asia Free Trade Agreement. The Economic Times, an Indian newspaper, reports that trade between the countries has more than quadrupled since 2001. Yet the space for additional growth remains vast. A 2006 working paper from the Indian Council for Research on International Economic Relations, an Indian think tank, estimates that two-way trade between India and Pakistan could reasonably multiply tenfold. In an interview with CFR.org, Sumit Ganguly, a South Asia expert, says trade relations between India and Pakistan remain hostage to diplomatic ties.
In the short term, Pakistan’s economic concerns will almost certainly affect the upcoming parliamentary elections, which were delayed from January 8 to February 18 following Bhutto’s death. Agence France-Presse says that basic needs like food carry more political weight for many Pakistanis than headline issues like nuclear security and al-Qaeda. CFR’s Daniel Markey adds in a recent Policy Options Paper that these concerns, which affect basic Pakistani stability, should not be overlooked as the United States seeks to encourage Pakistan to counter Islamic extremism within its borders. The political priorities of Pakistanis are explained more extensively in recent polling data from the International Republican Institute, a research institute founded by Congress and run by prominent Republicans. One question asks Pakistanis what issue they are most likely to vote on in elections. Fifty-three percent say inflation. The second- and third-highest responses are unemployment and poverty, at 15 percent and 9 percent, respectively. Only 6 percent of Pakistanis say they are likely to vote on the issue of terrorism.
Source: Council on Foreign Relations, Jan 2008
Pakistan has become a land of what-ifs. Analysts speculate on a wide range of fallout scenarios for the country: suppose President Pervez Musharraf’s regime falls; or Musharraf’s crackdowns disillusion moderate Pakistanis and embolden Islamist extremists; or the country’s nuclear weapons aren’t as secure as official assurances suggest. On the economic front, there’s no need for guesswork—Pakistan’s turmoil has already pinched the country’s economy, stoking inflation and prompting concerns among regional trading partners.
Voice of America (VOA), the U.S.-funded broadcast network, reports on a worsening of endemic economic problems in the country following the assassination of opposition leader Benazir Bhutto in late December. Pakistan’s central bank lowered its growth forecasts (Reuters) for 2007/2008 in early January, but VOA reports that inflation and power shortages pose a more concrete problem in the near term. Bloomberg reports that Pakistan’s inflation spiked in late 2007, ending the year at roughly 8.8 percent. More pressingly for much of the country’s population, the prices of beverages and food items, including basic foodstuffs like wheat products, rose at an even higher rate.
The country’s political turmoil also threatens foreign direct investment, a critical indicator in developing regions. “This is the worst possible scenario for foreign investment,” one emerging markets analyst told Reuters. “This environment of chaos is perfect for Islamic militants.” Less than 10 percent of Karachi’s stock market, which controls more than $70 billion, is owned by non-Pakistanis—yet the Reuters article notes that this number has increased rapidly in recent years. Analysts had hoped Pakistan’s economy might parrot the growth rates seen in neighboring India. As yet, that hasn’t happened. India handily eclipses Pakistan in gross domestic product and other critical economic measures.
Pakistan’s turmoil comes at a particularly bad time in terms of Indo-Pakistani economic relations. Trade between the countries expanded significantly following a 2004 South Asia Free Trade Agreement. The Economic Times, an Indian newspaper, reports that trade between the countries has more than quadrupled since 2001. Yet the space for additional growth remains vast. A 2006 working paper from the Indian Council for Research on International Economic Relations, an Indian think tank, estimates that two-way trade between India and Pakistan could reasonably multiply tenfold. In an interview with CFR.org, Sumit Ganguly, a South Asia expert, says trade relations between India and Pakistan remain hostage to diplomatic ties.
In the short term, Pakistan’s economic concerns will almost certainly affect the upcoming parliamentary elections, which were delayed from January 8 to February 18 following Bhutto’s death. Agence France-Presse says that basic needs like food carry more political weight for many Pakistanis than headline issues like nuclear security and al-Qaeda. CFR’s Daniel Markey adds in a recent Policy Options Paper that these concerns, which affect basic Pakistani stability, should not be overlooked as the United States seeks to encourage Pakistan to counter Islamic extremism within its borders. The political priorities of Pakistanis are explained more extensively in recent polling data from the International Republican Institute, a research institute founded by Congress and run by prominent Republicans. One question asks Pakistanis what issue they are most likely to vote on in elections. Fifty-three percent say inflation. The second- and third-highest responses are unemployment and poverty, at 15 percent and 9 percent, respectively. Only 6 percent of Pakistanis say they are likely to vote on the issue of terrorism.
Source: Council on Foreign Relations, Jan 2008
Saturday, February 2, 2008
Emaar's Crescent Bay Project Sold Out in Karachi
On January 31 2008, Emmar Chairman Mohamed Alabbar told Erin Burnett of CNBC that a major project in Karachi sold out within hours of its being offered for sale. The project he was referring to is Emaar's Crescent Bay Project in Karachi. Crescent Bay was launched on May 31, 2006 as part of a US$2.4 billion investment in Pakistan by Emaar.
According to Emaar, Crescent Bay is a 75-acre development featuring high- and mid-rise towers for residential and commercial use, a shopping centre and five-star beachfront hotel. The towers will contain approximately 4,000 residential apartments. Crescent Bay is located within Karachi’s DHA Phase 8 and in close proximity to the DHA golf course. Below is an artist's rendering of the completed project:
A friend of mine in Karachi reported via email as follows: "The first phase was overbooked in less than an hour of opening of the counter. Then there was balloting. Those who one were given a piece of paper. That piece of paper is already 10 times its original value.
There is no demarcation. Not even one pick ax has hit the ground. Only leaflets and pamphlets and Emmar's name sells.
It is said that one apartment presently priced at Rs 20 million will change hands much before its completion at more than twice this amount.
There are investors planning to buy a whole tower, to resell later.
One tower would on the average consist of 80 to 160 apartments. The payments would be in instalments according to phases of completion. All payments shall be strictly cash!
All this investment is on account of public enemy number 1 you know who.
The stupid fellow does not take commissions, does not have palaces in Surrey, Paris and Dubai does not own sugar and steel mills in Pakistan. What a shame.
Unless his children study in Oxford how can he feel the pain of children studying in Govt Schools? He can't even gift his wid $80K necklace to his wife paid for through a Swiss Bank issued Credit Card. Shame."
Here's a video clip about Karachi:
According to Emaar, Crescent Bay is a 75-acre development featuring high- and mid-rise towers for residential and commercial use, a shopping centre and five-star beachfront hotel. The towers will contain approximately 4,000 residential apartments. Crescent Bay is located within Karachi’s DHA Phase 8 and in close proximity to the DHA golf course. Below is an artist's rendering of the completed project:
A friend of mine in Karachi reported via email as follows: "The first phase was overbooked in less than an hour of opening of the counter. Then there was balloting. Those who one were given a piece of paper. That piece of paper is already 10 times its original value.
There is no demarcation. Not even one pick ax has hit the ground. Only leaflets and pamphlets and Emmar's name sells.
It is said that one apartment presently priced at Rs 20 million will change hands much before its completion at more than twice this amount.
There are investors planning to buy a whole tower, to resell later.
One tower would on the average consist of 80 to 160 apartments. The payments would be in instalments according to phases of completion. All payments shall be strictly cash!
All this investment is on account of public enemy number 1 you know who.
The stupid fellow does not take commissions, does not have palaces in Surrey, Paris and Dubai does not own sugar and steel mills in Pakistan. What a shame.
Unless his children study in Oxford how can he feel the pain of children studying in Govt Schools? He can't even gift his wid $80K necklace to his wife paid for through a Swiss Bank issued Credit Card. Shame."
Here's a video clip about Karachi:
Cricket Super Bowl in South Asia?
Super Bowl XLII
As New England Patriots meet New York Giants for Super Bowl XLII tomorrow, there is the usual annual excitement among the football fans planning for Super Bowl parties around the country. In addition to being a great sporting event, Super Bowl has also become a gigantic commercial extravaganza for a whole range of businesses. For example, the media are the big beneficiaries of the multi-million dollar TV commercials by major consumer product giants. The consumer electronics stores sell a lot of large-screen high-definition TV sets and home theater systems. And the grocery giants attract a lot of spending just for this event. That's not all, even the furniture stores benefit from major furniture sales just prior to the event. In short, this event by itself creates a significant stimulus to the economy on an annual basis.
TV Sales
Last year, US retailers sold 61 percent more TVs the week before the Super Bowl compared with the previous week, according to NPD group in Port Washington, NY. Best Buy targets Super Bowl shoppers with 2-3 year no-interest loans and guarantees delivery before the event. The TV buyers usually end up buying more with the TV sets such as the home theater systems. La-Z-Boy goes after the couch potatoes to sell comfortable furniture to go with the new TV sets for the event.
Snacks Sales
Americans are expected to consume about 30.4 million pounds of snack food this year on Super Bowl Sunday. This includes 11 million pounds of potato chips, 8.2 million pounds of tortilla chips, 2.8 million pounds of popcorn and lots of avocados, pizza, and beer.
Annual India-Pakistan Cricket Games
Pakistanis and Indians are probably just as enthusiastic for major cricket games between the two nations. However, the commercial scale is not comparable to the Super Bowl. But my recent experience watching the Indian Cricket League 2020 tournament in 2007 tells me that we are headed in that direction. The tournament seemed like a grand affair with all the elements of speed, excitement, entertainment, glamor, and commerce. As South Asia grows in economic importance on world stage, I would not be surprised to see the cricket scene there become the greatest sports spectacle on earth in the future.
Sources: Denver Post, Associated Press, Other Data.
As New England Patriots meet New York Giants for Super Bowl XLII tomorrow, there is the usual annual excitement among the football fans planning for Super Bowl parties around the country. In addition to being a great sporting event, Super Bowl has also become a gigantic commercial extravaganza for a whole range of businesses. For example, the media are the big beneficiaries of the multi-million dollar TV commercials by major consumer product giants. The consumer electronics stores sell a lot of large-screen high-definition TV sets and home theater systems. And the grocery giants attract a lot of spending just for this event. That's not all, even the furniture stores benefit from major furniture sales just prior to the event. In short, this event by itself creates a significant stimulus to the economy on an annual basis.
TV Sales
Last year, US retailers sold 61 percent more TVs the week before the Super Bowl compared with the previous week, according to NPD group in Port Washington, NY. Best Buy targets Super Bowl shoppers with 2-3 year no-interest loans and guarantees delivery before the event. The TV buyers usually end up buying more with the TV sets such as the home theater systems. La-Z-Boy goes after the couch potatoes to sell comfortable furniture to go with the new TV sets for the event.
Snacks Sales
Americans are expected to consume about 30.4 million pounds of snack food this year on Super Bowl Sunday. This includes 11 million pounds of potato chips, 8.2 million pounds of tortilla chips, 2.8 million pounds of popcorn and lots of avocados, pizza, and beer.
Annual India-Pakistan Cricket Games
Pakistanis and Indians are probably just as enthusiastic for major cricket games between the two nations. However, the commercial scale is not comparable to the Super Bowl. But my recent experience watching the Indian Cricket League 2020 tournament in 2007 tells me that we are headed in that direction. The tournament seemed like a grand affair with all the elements of speed, excitement, entertainment, glamor, and commerce. As South Asia grows in economic importance on world stage, I would not be surprised to see the cricket scene there become the greatest sports spectacle on earth in the future.
Sources: Denver Post, Associated Press, Other Data.
Friday, February 1, 2008
More Internet Woes With FLAG Cable Cut
The Falcon cable, owned by FLAG (Fiber-Optic Link Around the Globe) Telecom, was snapped on Friday morning, according to a BBC report.
This is the second undersea cable that has gone down in two days. This latest cable is believed to lie alongside SWM4 undersea that snapped earlier.
The cause of the latest break has not been confirmed but a repair ship has been deployed, said owner Flag Telecom. FLAG is a 28,000km (17,400 mile) long submarine communications cable that links Australia and Japan with Europe via India and the Middle East. SMW4 is a submarine cable linking South East Asia to Europe via the Indian subcontinent and the Middle East. The two damaged cables mean that the only cable in service connecting Europe to the Middle East via Egypt was the older SMW3 system, according to research firm TeleGeography.
With respect to Pakistan, blogger Masud Reza is reporting from Pakistan as follows:
"PTCL's additional capacity on SMW3 has NOT been arranged yet. I was expecting it to be operational by yesterday evening. I'll update once that has been done.
Update TWA1 has now (finally) an STM-1 from Singtel on SMW3. However, this is unlikely to improve upon the quality of Internet available on TWA1 since the sold bandwidth is above 2Gbps.
Update After failing to procure STM-4 and multiple STM-1 from Telecom Italia, PTCL is now arranging the same from Singtel. Browsing and Emails etc are working fine on PTCL. However, overall, the service is degraded. If this STM4 and three STM-1s become operational, this would add almost 1 Gbps to the available bandwidth for a total of 4.6Gbps. Internet for PTCL customers would then become 'normal'. :-)
Call Centers in Pakistan are suffering the most since PTCL has an unofficial policy of not opening voice ports (SIP ports, for example) even for Legitimate call centers. PTCL forces customers to get bandwidth directly from them if they want to open the Voice Ports. Still working on that."
This is the second undersea cable that has gone down in two days. This latest cable is believed to lie alongside SWM4 undersea that snapped earlier.
The cause of the latest break has not been confirmed but a repair ship has been deployed, said owner Flag Telecom. FLAG is a 28,000km (17,400 mile) long submarine communications cable that links Australia and Japan with Europe via India and the Middle East. SMW4 is a submarine cable linking South East Asia to Europe via the Indian subcontinent and the Middle East. The two damaged cables mean that the only cable in service connecting Europe to the Middle East via Egypt was the older SMW3 system, according to research firm TeleGeography.
With respect to Pakistan, blogger Masud Reza is reporting from Pakistan as follows:
"PTCL's additional capacity on SMW3 has NOT been arranged yet. I was expecting it to be operational by yesterday evening. I'll update once that has been done.
Update TWA1 has now (finally) an STM-1 from Singtel on SMW3. However, this is unlikely to improve upon the quality of Internet available on TWA1 since the sold bandwidth is above 2Gbps.
Update After failing to procure STM-4 and multiple STM-1 from Telecom Italia, PTCL is now arranging the same from Singtel. Browsing and Emails etc are working fine on PTCL. However, overall, the service is degraded. If this STM4 and three STM-1s become operational, this would add almost 1 Gbps to the available bandwidth for a total of 4.6Gbps. Internet for PTCL customers would then become 'normal'. :-)
Call Centers in Pakistan are suffering the most since PTCL has an unofficial policy of not opening voice ports (SIP ports, for example) even for Legitimate call centers. PTCL forces customers to get bandwidth directly from them if they want to open the Voice Ports. Still working on that."
Thursday, January 31, 2008
Emaar Boss Bullish on Pakistan
Talking with CNBC today, Mohamed Ali Alabbar, Chairman of Dubai-based Emaar Properties, said he believes Pakistan represents a great investment opportunity for his company as it goes global. In fact, he repeated it twice to convince Erin Burnett, the CNBC anchor, who appeared surprised. He further said Emaar sold a major project yesterday within hours of launch in Pakistan.
A massive real estate project valued at $43b by Emaar is underway in Pakistan to develop two island resorts near Karachi. This is Emaar's single largest project and supersedes the $26.7 billion King Abdullah Economic City project in Saudi Arabia announced in 2006. This project will include office buildings, hotels, apartments, shopping malls, restaurants, golf courses, and beaches. The two islands will be self-contained cities spread over 30,000 acres of land.
Emaar has already energized the Pakistani economy with development projects worth $2.4 billion. Emaar has unveiled its first master planned community in the country — Canyon Views in Islamabad. The company has also announced the highlands project in Islamabad and Crescent Bay in Karachi. It has also signed a memorandum of understanding (MoU) with Port Qasim Authority for a mixed-use land development comprising residential, retail, commercial and hospitality components.
Another Dubai-based company, Abraaj Capital, has acquired land in Karachi's financial district to build Karachi Financial Towers (twin-towers) to cater to the booming banking sector in Pakistan.
Apart from creating new job opportunities for Pakistanis, these projects will support ancillary industries and strengthen foreign investment inflow into the country.
Arif Masud Naqvi Vice-Chairman of Dubai based Abraaj Capital said that Pakistan is a country of enormous business potential, and investors are comfortable and see opportunity rather than risk.
A massive real estate project valued at $43b by Emaar is underway in Pakistan to develop two island resorts near Karachi. This is Emaar's single largest project and supersedes the $26.7 billion King Abdullah Economic City project in Saudi Arabia announced in 2006. This project will include office buildings, hotels, apartments, shopping malls, restaurants, golf courses, and beaches. The two islands will be self-contained cities spread over 30,000 acres of land.
Emaar has already energized the Pakistani economy with development projects worth $2.4 billion. Emaar has unveiled its first master planned community in the country — Canyon Views in Islamabad. The company has also announced the highlands project in Islamabad and Crescent Bay in Karachi. It has also signed a memorandum of understanding (MoU) with Port Qasim Authority for a mixed-use land development comprising residential, retail, commercial and hospitality components.
Another Dubai-based company, Abraaj Capital, has acquired land in Karachi's financial district to build Karachi Financial Towers (twin-towers) to cater to the booming banking sector in Pakistan.
Apart from creating new job opportunities for Pakistanis, these projects will support ancillary industries and strengthen foreign investment inflow into the country.
Arif Masud Naqvi Vice-Chairman of Dubai based Abraaj Capital said that Pakistan is a country of enormous business potential, and investors are comfortable and see opportunity rather than risk.
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