Pakistan tightens belt to weather sanctions

By Syed Ayaz Ahmed Pirzada

ISLAMABAD (JP): After India's nuclear explosions in the second week of May, Pakistan followed suit two weeks later in order to somewhat correct the imbalance of security in Southeast Asia. The nuclear option for Pakistan was hard and tough. The government and the people of Pakistan clearly knew what would happen in the wake of economic sanctions.

The whole Pakistani nation, in one voice, implored Prime Minister Nawaz Sharif to explode the device. Pakistan had acquired nuclear technology long ago before these explosions but had not exercised this option. It was only after India detonated its devices for the second time after 1974 that Pakistan conducted its own nuclear tests.

As expected, sanctions have been imposed on Pakistan following the nuclear explosions, and it became imperative both for the government and the people to tighten their belts in order to successfully meet the situation created by the sanctions.

Prime Minister Nawaz Sharif announced a national agenda calling for self-reliance, change, reconstruction and development.

The national agenda he announced on June 11, 1998, included distribution of lands, which were not surrendered by landlords during the last three land reforms, to the farmers. These lands, totaling 480,000 hectares, were held on to by their owners who managed to bypass the reforms or lands which were grabbed afterwards by adopting various tactics.

This land will be taken back and distributed among farmers. As for the land under jagirs, which actually belongs to the state, it will be being given to farmers who neither showed loyalty to the British Raj nor betrayed their homeland.

In order to augment agricultural production, 40 billion rupees have been earmarked. The prices of agricultural machinery and farm implements are also being reduced. To obviate the possibility of any unexpected developments, foreign currency deposits had to be frozen.

Pakistanis proved by their conduct that they were not lacking the spirit to put the honor of the homeland above personal gain, and, in fact, were happy to do so. Foreign currency account holders can withdraw as much money as they want in local currency at the rate of 46 rupees to a dollar. The privilege of secrecy in respect of foreign currency accounts remains in place.

A call has been made to the people, especially overseas Pakistanis, to donate generously to the National Self-Reliance Fund for the protection of the country's defense and its self- respect. A number of incentives have been offered to those overseas Pakistanis who wish to send remittances to Pakistan through normal banking channels.

The long-standing grievance of overseas Pakistanis about the issuance of passports has been redressed. Now they will not have to get a new passport every six months. Embassies have been directed to issue 100-page passports against a fee of US$150.

The prime minister's secretariat building has been vacated and it has been decided to sell it. The prime minister has also vacated his official residence and moved to an ordinary, smaller house. His official residence will be used as a state guest house.

The four governors' houses are also being converted into state guest houses. The former president's house in Rawalpindi is to be used for housing a women's university.

The number of public holidays has been reduced to 13 so that more work can be done. Total administrative expenditure everywhere has been cut by half. In all government offices and semigovernmental organizations, purchases of every kind have been stopped, and no new staff cars, furniture, refrigerators or air conditioners will be bought.

The ruling party Moslem League's and members of the Senate and the National Assembly have voluntarily reduced their salaries and allowances. They have also decided not to charge for medicine, which was part of their free medical attention.

In addition, all cabinet ministers have foregone their salaries. There will be exemplary and drastic penalties for tax evaders. Those who took heavy loans for setting up mills and for running their factories but instead pocketed the loans, are being pursued. Some of them have paid back the loans. Those who do not repay, will be prosecuted in courts of law as defaulters. This procedure will be so stringent that in the future, no one will dare to put commercial and industrial loans into their pockets.

So far as investment is concerned, there is no change in policy. One can undertake any kind of investment, and without hesitation. The prime minister's family has placed all their assets at the disposal of the relevant banks so that they can recover their money by selling them off. Their case in this respect has been in the court since 1996, but they decided not to wait for the verdict. When it comes, they will accept it, but in the meantime, they are clearing their account.

The government has made the decision to deal with those who have looted the national wealth. The theft of electricity and gas is a crime against the nation. A campaign will be launched against these malpractices.

When Pakistan came into being, the government had no accommodation for its offices, no furniture and stationery and no money to pay salaries to its employees. A nation that made its start in life in such poor circumstances has today become a nuclear power.

Prime Minister Nawaz Sharif said: "nothing should stand in the way of such a nation, not even high mountains. It is being said that, as a consequence of our atomic explosions, we shall not be able to withstand the sanctions and that our economy will be ruined. But by God's blessings, we are still standing on our feet. These are difficult of course, but we shall face them. The journey that we began on the road to development and national honor on May 28 shall go on, and we shall not falter."