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Pertinent thoughts - present times

By Sirajuddin Aziz
Mon, 10, 19

In these columns, I rarely write on any subject other than ‘management’. Despite many temptations to do so, I exercise extreme restraint to not comment politically or even semi-politically. But here I succumb, largely as a concerned Pakistani.

In these columns, I rarely write on any subject other than ‘management’. Despite many temptations to do so, I exercise extreme restraint to not comment politically or even semi-politically. But here I succumb, largely as a concerned Pakistani.

Our prime minister, not only made a moving and impressive speech at the UN General Assembly, but also with conviction and success, he interacted, articulately with the politicians, together with the financial and business community of the United States. The whole nation was made proud. His confidence and truthfulness made a dwarf of the Indian propaganda machine.

In extolling the speech, most of our media went on over-drive, almost celebrating as if Kashmir, with that one speech had been liberated. To undo great leaders, the media heaps tons of appreciation, which in one or the other manner distracts the leadership, from other pressing issues. It is expected that Imran Khan will be cognizant of the sycophants. Indisputably his performance at the UN was remarkable; he came out as a voice of the underdeveloped world and as the representative of the Ummah.

History teaches us that any politician from the less-developed world or even anyone laying claims to the leadership of the Muslim world is not tolerated. This nation lost one of its brilliant sons, when he attempted to seek leadership of the third world and the Muslim Ummah. One prays that Imran would not pursue this utopian position. He has tasks at home. Let’s put the speech on the back burner, but not the cause.

Some sections of the usually unfriendly media have been highlighting the economic morass; the country seems to be in. While some of the criticism is justified, there has to be simultaneous realisation that economic turn-around does not happen overnight. This is more true, when you inherit bankrupt coffers of the exchequer; coupled with a disoriented bureaucracy. In economics, all concepts and even tested theories, begin with the prefix, “…… all things remaining the same” and all propounders (economists) know so well, that nothing ‘remains the same’. All factors are in continues state of dynamic change. In the life of a nation, its economics is always about the long-term and not the short-term; for long-term gains, great nations have paid the price of sacrifice, in the short-term. Imran Khan must directly educate the masses; he will be surprised that majority are ready to face the pains, for the future glory of the future generation.

The recent economic gains of reduction in current account deficit, the slight increase in exports, the decline in imports and the encouraging rise in foreign direct investment, is positive news. These outcomes are not necessarily entirely due to domestic economic policy; these have been helped by changing factors of global economy too. The improvements shouldn’t be merely a matter of statistics but of sustainability of the positive trends. A slight change in the price of oil can throw everything back into a spin. We cannot ignore impact of international economics.

Perception makes greater and formidable inroads into the minds of both the local and foreign investors. We can tell the world and laud ourselves that the economy is responding to policy initiatives; that there is turn-around. This attitude is only self serving; economic gains have to be accompanied by positive perception. Are we as a nation doing that? Is the media creating and helping forward a positive perception? Reader must answer to themselves honestly and commit to play a part, in enhancing positive perception.

Staying in the grey list of Financial Action Task Force (FATF) will continue to haunt us till February 2020. The group is acting more like a super power, asking us at every single meeting, despite the great strides made through regulation and legislation to combat, and “to do more”. This in my view, again, is a matter of perception. We enjoy the benefit of better local regulations than most of our immediate neighbours, yet there is suspicion. The presence of a hostile country in the group demands our foreign office to use diplomatic channels more effectively, with focus on managing the perception.

China-Pakistan Economic Corridor (CPEC), has been portrayed all along as game changer for Pakistan’s economy - what are we doing about it? Is the pace of development satisfactory? If we do not have enough exportable surplus of goods and commodities to go on the CPEC, what exactly will CPEC be for us? A mere road connecting China to Gulf and Africa!

By not adequately recognising this need for industrialisation alongside the route, are we putting CPEC into jeopardy? For the longest of years, nay decades, we have talked of industrial parks and special economic Zones, of the type that China has successfully developed. But alas! Very little or close to nothing substantive has been achieved.

In 1978, when China embarked upon opening its economy, they developed the concept of special economic zone, like the South Koreans, with completely distinct and separate policies, for their operations; and in case of China to the contrast of the centrally planned economy of the country. The Chinese economic managers very intelligently selected 13 coastal cities on the eastern side of the country, for the creation of the SEZ’s, as the test-tube laboratories of capitalism.

They did not out of any political expediency choose Urumqi or the Hinterland States for creating SEZ’s. They wanted to fully exploit the maritime route for promotion of their exports. In the last thirty years, we have seen the emergence of Shenzhen, Zhuhai, Shantou and a list of successful economic zones. Today, if you remove the thin barbed wire between Shenzhen and Hon Kong; you cannot know, if you are in Hong Kong or Shenzhen.

Against this approach, just review what locations, we have chosen for creating special economic zones. Karachi and Gwadar should be natural choices for associating at least more than one special economic zone. Our SEZ policy must tie up with CPEC route.

Said by many of our leaders, we want to learn from China! So why don’t you? Why do we have to completely re-invent the wheel? Borrow Shenzhen’s blue print, tweak partially to suit local conditions, and implement.

From atop of the container, Imran Khan had made numerous promises to the nation, with practically impossible time-lines for achieving, those milestones. Admittedly, today he must be in full realisation that what may have appeared doable from the other side of the table, is actually difficult to deliver. That’s not an issue. The nation hasn’t lost hope. Imran Khan must not allow himself to be caged by the sycophants that naturally surround his office. The distraction put in his pathway, can be set aside, if only the PM may learn to distinguish between important and urgent and important but not urgent.

The long march! For what purpose! Why do our politicians have to put to shame and abuse the long march concept of Mao and Chou?

Under what de-jure or even de-facto authority of leadership can any individual ask a popularly elected prime minister to resign?

Will the nation, please let the prime minister work and not derail or distract him. He may very well be the last of the upright and honest breed of politicians, in this land of pure.

The writer is a freelance contributor