18 - 24, 2000
rose during '90s
The World Bank said on Thursday that "bad
governance" and fall in revenues were responsible for increased
poverty in Pakistan.
"The performance of successive governments in
Pakistan had been disappointing due to bad governance...that
ultimately increased poverty in the country," maintained John
Wall, WB's director for Pakistan and Afghanistan. "There has been
deterioration in revenues and governance".
Attacking Poverty on Thursday, he said the
situation in '50s and '70s was good as there was eradication of
poverty to a good extent. "But in '90s things were bad due to bad
He was asked, by a participant, why there was no
poverty alleviation in Pakistan despite the WB's considerable funding,
particularly for the social action programme, Mr Wall said that there
was no serious shortage of funding and that sufficient resource
allocation had also been made available but still things did not work
in the past.
The WB's country chief said that Pakistan's total
budgetary resources were 15 per cent of the GDP. "Out of this,
5pc goes into civil administration, 4pc to defence and the rest to
debt servicing. And (therefore) nothing is left for development
purposes," he elaborated.
He stated that governments could not run their
affairs with just 15pc of the GDP and that there was a need to
He pointed out that if much resources were put in
for development purposes, it would increase the budget deficit.
Therefore, he added, there was a need to balance the resources and
their spending in various sectors.
Mr Wall said that SAP was a great disappointment
and as it did not significantly contribute to eradication of poverty.
He stressed the need for giving serious thought to uplift the social
strategy will reduce poverty, says Shaukat
Finance Minister Shaukat Aziz said on Thursday that
poverty reduction in the country had been made the focus of economic
policy. "We have worked very closely with the World Bank to
develop a viable strategy to attack poverty. The final articulation of
our strategy will come in the form of Poverty Reduction Strategy Paper
He said the PRSP had been prepared in broader
consultation with the donor community and added that the interim PRSP
was ready and being discussed with stakeholders.
Consistent with the message of the world
development report, the PRSP is a three-dimensional attack on poverty:
a) providing opportunities to the poor through revival of growth
mainly through the private sector and exploitation of indigenous
resources. Public sector support will focus on small public works
programmes. b) facilitating empowerment through devolution of power,
reforms in the civil service, police and judiciary, and adoption of
credible anti-corruption measures. c) enhancing security through the
food support programme, micro-credit bank, revamping of the Zakat
system, and reforms in the pension system.
up by 4.71%
Inflation as measured by Consumer Price Index (CPI)
rose by 4.71% during July-Aug, compared to corresponding period of
last year, according to the Monthly Review of Price Indices issued by
the Federal Bureau of Statistics Tuesday.
During the month of Aug, the CPI went up by 4.43%
over the corresponding period of last year. Strangely, the FBS claims
that the month saw a decrease of 0.06% in CPI when compared with July
As regards the Sensitive Price Index (SPI), it
registered an increase of 3.90% in July-Aug compared to the same
period in '99 when it had increased by 3.05% over the first two months
of '98-99. In Aug, it had gone up by 4.01%, signifying a sharp spurt
over Aug '99. In the latter period, the SPI had increased by 2.61%.
The Wholesale Price Index shows considerable
movement in the FBS's review. It registered an increase of 3.55% in
July-Aug, and of 2.87% in the same period of '99 compared to
corresponding period of previous year.
The small and Medium Enterprise Development
Authority's (SMEDA) marble and granite sector development plan will
shortly be forwarded to the Chief Executive Secretariat for the
approval, sources told.
The Federal Minister for Commerce Abdur Razzaq
Dawood will preside over a meeting on 21st, in Peshawar during which
SMEDA will make a final presentation to him on its marble and granite
sector development plan.
China to boost cooperation
Chairman National Highway Authority Maj Gen Viqar
ul Haq Khan Khalid has said the government is taking pragmatic steps
for construction of highways in Pakistan.
The chairman was talking to the technical expert
team of China on Wednesday. An eight-member team of Chinese technical
experts is visiting Pakistan nowadays in order to take a detailed
review of the Karakorum Highway.
The chairman of NHA said, Pakistan and China were
already cooperating each other in road building sector and there was a
vast capacity of further cooperation.
More than 10,000 foreign computer specialists have
so far applied for work permits under Germany's "green card"
programme to attract badly-needed expertise, the Federal Labour Office
said on Wednesday in Nuremberg.
The office said that the applicants were led by
people from Romania, followed by Pakistan and India.
Around 700 German companies had posted job offers
on the special website set up by the office to bring foreign experts
and local employers together. In the first six weeks of the programme
German labour offices had issued 1,581 permits.
The government is likely to extend exploration
licence of Ocean Pakistan which drilled two off shore wells for
another 18 months to continue the exploration activities in Gwadar and
According to a proposal by the ministry of
petroleum and natural resources (P&NR) that request of the company
for an extension of the exploration licences for the Pasni and Gwadar
blocks for 18 months until Dec 31, 2001 should be accepted.