Analysis, Side Feature, South Asia

Pakistan Headlines – 28 Oct 2016

Headlines:

  • Falling Exports, Rising Imports and Debt Exposes Regime’s Claims of Recovering Economy
  • Increasing Consumption of Intoxicants is Consequence of Liberalization
  • Sabotaging PSEs is to Justify their Privatization
  • The Raheel-Nawaz Regime is One in Its Betrayal of Kashmir
  • Democracy Eradicates the Hungry, not Hunger
  • Back Breakingly Expensive Natural Gas When Available, Suffer in Cold, Harsh Winter When Not
  • Abandon Slavery to the US State Department to Ensure India Receives a Befitting Response


Falling Exports, Rising Imports and Debt Exposes Regime’s Claims of Recovering Economy

Remittances dropped to $4.7 billion in the first quarter, down 5.3% from the same period of the preceding year. Exports fell 10% in September 2016 compared to September 2015, reported the Pakistan Bureau of Statistics (PBS) on 14th October, whilst imports surged by 11.8% compared to 2015. And Pakistan posted $7.1-billion trade deficit in the first quarter, which was $1.6 billion or 29.2% more than the deficit in the corresponding period of last year. Owing to the falling remittances and exports, with increasing imports, coupled with shrinking foreign direct investment (FDI), the government has resorted to dollar borrowing to build its foreign currency reserves. The much-touted ‘highest-ever’ foreign currency reserves, approximately $24bn, are not a cause of celebration but a source of sorrow. Despite decreasing imports and remittances, foreign exchanges have still grown, which means Pakistan is being plunged deeper into interest based debt. As if this were not enough, Pakistan’s economy is now even more dependent on foreign commodities, with its own manufacturing base crippled to the point that it cannot provide for its domestic market, let alone foreign markets.

In its three-year stint, the PML-N government has obtained $25 billion as fresh foreign loans in addition to borrowing Rs3.1 trillion ($30 billion) from the domestic market for budget financing. Pakistan’s total debts and liabilities swelled to Rs22.5 trillion by last fiscal year end as of June`16. Increasing external borrowing has severe repercussions. Persistent borrowing by the government to bridge budget deficit has resulted in inflation. Pakistan’s debt obligations have crossed all sustainable levels as interest makes liberation from debt untenable. Worse, in recent years government has resorted to heavy borrowing from the central bank, which is called “monetizing” the deficit and because this method always leads to the growth of monetary base and of money supply and ultimately inflation, it is often referred to as just “printing money.” Moreover, by devaluing the Rupee, the Pakistani government increased the costs of manufacturing inputs, which caused havoc in the agricultural, textile and other sectors that were already reeling from the policy of high interest rates. Hence, the high cost of borrowing, together with the increase in manufacturing costs, rendered many industries and companies unable to compete internationally and are being forced to abandon production of goods and resort to trading in imports. Incapable to find buyers for their expensive products, key exports declined and Pakistan’s balance of payments deteriorated. The government’s implementation of capitalism and dependence on interest based loans, of which the foreign loans represent the added danger of conditions from the international financial institutions, has destroyed the economy.

In Islam interest is forbidden on any loan, domestic or foreign. Moreover, it is not allowed to allow the colonialist institutions to have an authority over the economic affairs of the country through conditions. The currency will be based on gold and silver standards as stipulated by RasulAllah ﷺ rather than remain as a fiat currency whose devaluation devastates the entire economy. The Islamic State will focus on reviving the agriculture and industry, enhancing local production and the Shari revenues from it such as Kharaaj and Zakah on merchandise. The Islamic State will restore the immense sources of revenues from the public properties, such as oil, gas and electricity, to the Baytul Maal so as to look after the affairs of the people. Thus, the Khilafah (Caliphate) on the Method of the Prophethood will set an example for the colonialist oppressed nations of the world by ending colonialist control of its economy.

 

Increasing Consumption of Intoxicants is Consequence of Liberalization

The Dawn newspaper reported that the Sindh High Court on 18 October directed the excise and taxation department to revoke liquor licenses granted in violation of the Prohibition (Enforcement of Hadd) Order 1979. The bench gave the direction while hearing a petition seeking cancellation of the licences and closure of liquor shops operating in Muslim-majority areas. Under the guise of selling liquor to non-Muslims, there are 120 liquor shops across Sindh, of them, 59 shops are in Karachi alone, including 11 in DHA and Clifton areas. In Pakistan, the selling of liquor to Muslims is banned under law. However, it is being sold right under the nose of authorities all across Pakistan. The deaths of Muslims due to adulterated liquor have been on rise, whilst some of the increasing crimes are a consequence of being drunk and in some elite circles of Muslims, alcohol consumption is a constant feature. These is not an isolated phenomenon for officials to gain kick-backs, but it is just part of the liberalization campaign to attack our Muslim society and our Islamic values. And liquor is not the only intoxicant that is being allowed to grow in distribution. “The News” reported that the Dr Maria Sultan, Director General of South Asian Strategic Stability Institute (SASSI) presented a study to the Senate Standing Committee on Interior and Narcotics Control on 19 October 2016, stating that, “The average age of students in the private schools, in which nearly 44 to 53 percent of pupils are taking either artificial or hard drugs or were addicted to heroin, is in the age groups 12-16 and 16-19… At some schools the intoxicants are available at canteens, while addicts also get them easily from street vendors.”

The rise in intoxicant use is the direct result of liberalization adopted by the government in a bid to please its Western masters. The Western liberal value of “personal freedom” is a poison to all societies, including the Western societies, destroying family values, modesty, chastity and dignity.  According to “personal freedom” every human being has the right to live his private life as he wishes unless he transgresses against the private lives of other people, so he has the right to eat, drink and wear whatever he wants within the public laws.  He has the right to marry or to have an extra-marital relationship with any woman as long as it is done with her consent. In secularism, the concept of Halal and Haram does not exist when it comes to personal conduct, as long as the person behaves lawfully, and “lawful behaviour” in the Capitalist societies is subject to disparity from one society to another and from one time to another, leaving man adrift and deprived of guidance. Yet, the regime is promoting “personal freedom” through electronic media, mixing of genders, music and dance festivals, corrupt extracurricular activities in many schools and the celebration of non-Islamic rituals at a state level. At the same time, the regime  is suppressing the groups and individuals raising their voices for Islam, so that the Muslims are left defenceless before the liberal onslaught.

Hoping to please America using the land of the Muslims as an offering, the Raheel-Nawaz regime now maintains the bridges with the worst enemies of Islam, using our youth as another offering to satisfy America, even though Allah سبحانه وتعالى warned,

وَدُّوا لَوْ تَكْفُرُونَ كَمَا كَفَرُوا فَتَكُونُونَ سَوَاءً فَلا تَتَّخِذُوا مِنْهُمْ أَوْلِيَاءَ

They wish you would disbelieve as they disbelieved so you would be alike. So do not take from among them allies.”

(Surah An-Nisa 4:89)

In order to save the Muslim youth from the regime’s liberalization campaign, the need of the hour is to establish the Islamic Khilafah on the Method of the Prophethood. The Islamic State will forbid the promotion of secular liberal culture and instead will build a society based on Islamic thoughts. The education curriculum will be derived from Islam, building the Islamic personality of individuals. The Islamic personality of our youth will mean that they will not only shun intoxicants, but will confront the corrupt liberal values globally. The duty of the Muslims of Pakistan, parents and children alike, is to discard this regime, that only serves the interests of America, the way they discard seeds, and to work with the loyal sons of the Ummah to establish the state of truth, the Khilafah state.

 

Sabotaging PSEs is to Justify their Privatization

As reported in the Dawn Newspaper of 17 October 2016, “The losses incurred by three major public sector entities (PSEs) — the Pakistan International Airlines, Pakistan Railways and Pakistan Steel Mills — have surged to about Rs705 billion in three years despite continuous injection of funds into the organizations. This is in addition to around Rs660bn debt piled up in the accounts of power sector companies, of which Rs348bn has been accumulated in three years, even though consumer tariffs have repeatedly been increased.”

Pakistan International Airlines was once a prestigious public organization, guiding many Middle Eastern countries in establishing and developing their airline businesses. Pakistan Railways has a wide network connecting rural and urban areas by land and a source of considerable revenue. Similarly, Pakistan Steel Mills has fulfilled a large portion of domestic demand since its inception. Yet, these three once profitable public organizations have been run into the ground by vested interests to justify their privatization. As reported in the Dawn newspaper of 21 October 2016, “A Chinese firm has expressed interested in the sale of Pakistan Steel Mills (PSM) as the PML-N speeds up the privatisation process.” And the IMF maintained a “score card” of selling off Pakistan’s most valuable state owned assets under its three-year Extended Fund Facility, which concluded on September 30. The  Dawn reported on 17 October that “the IMF has stressed that restructuring and attracting private sector participation in ailing PSEs would be key to restoring their financial viability to reduce fiscal costs….the government committed to attract private sector participation in the company (i.e PIA) and finalise the transaction structure for a minority sale by the end of the year.”

To prepare the grounds for IMF colonialist demands for privatization of revenue generating state enterprises, Pakistan’s current rulers have sabotaged them. They have systematically interfered in matters of strategy, hired without merit, over-staffed to accommodate political patronage and established policies to halt progress including bureaucratic red tape. If this was not due to deliberate, malicious policy, then how is it that soon after privatization, private management is able to dramatically turn-around loss making firms? By handing-over these public organizations into private hands not only does the state lose revenue generating assets, it also exposes the masses to the greed of a few individuals. We have witnessed the case of privatization of numerous state and public properties previously, where having gone into loss just ahead of privatization, they suddenly report record profits, with the new owners profiteering over the necks to the masses through extortionate tariffs. And in some cases hugely profitable assets were privatized in any case, such as PTCL.

When Islam’s economic is reestablished, it will prevent the privatization of public properties such as electricity, gas and minerals, including steel, as it is forbidden in Islam. It will ensure that the state will dominate in industries which are in origin private property, such as large scale transport and telecommunications, so that the Bayt ul-Maal has sufficient revenues to look after the affairs of the people. Thus Islam will ensure the distribution of wealth and prevent concentration of wealth amongst few individuals, which has been disturbing the economic equilibrium of the society.  Allah سبحانه وتعالى revealed,

كَيْ لاَ يَكُونَ دُولَةً بَيْنَ الأَغْنِيَاءِ مِنْكُمْ

so that it does not be a wealth solely within the rich from among you.”

(Surah Al-Hashr 59:7)

Thus finally the Muslims will see the end of the privatization of state and public properties which leads to greater expense for the people, greater dependence on interest base loans and ever increasing taxation to meet short falls. Truly, the Khilafah (Caliphate) on the Method of the Prophethood is the need of the time.

The Raheel-Nawaz Regime is One in Its Betrayal of Kashmir

Participants of a Corps Commanders meeting at General Headquarters in Rawalpindi on 14 October expressed serious concern over what they said was a leak from a security meeting which was reported by Dawn earlier. In a statement issued by Inter-Services Public Relations (ISPR), participants of the meeting expressed serious concern over “feeding of false and fabricated story of an important security meeting held at PM House and viewed it as breach of national security.” This comes in response to a controversial news exclusive by Cyril Almeida of 6 October which stated “an extraordinary verbal confrontation between Punjab Chief Minister Shahbaz Sharif and the ISI DG” took place in a meeting chaired by PM Nawaz Sharif. Since the publication of Cyril Almeida news, Pakistan’s media and political medium has been dominated by questions as to whether or not there exists a real rift between civil and military leadership and whether or now the reporter who leaked the news is to be booked under law for going against the “national interest”? However, the main agenda of the meeting where the alleged confrontation took place has been neglected from the scrutiny that it deserves.

The main agenda was to suppress all groups that have been supporting Kashmiri freedom fighters and to expedite investigations pertaining to Pathankot and Mumbai attack cases, as India has demanded as preconditions for normalization talks. Here the traitors in the civil and military leadership are exactly on the same page as their master is the same, the United States. So on the one hand, the civilian senate committee recommended that “backchannel talks between India and Pakistan should be restored” whilst the military’s ISPR stated that “communication channels including hotline between the two militaries are open”. Washington has been urging its agents both in the military as well as civil leadership to take action against the groups that are unsettling the Indian occupation of Kashmir.

The Raheel-Nawaz regime’s unified stance to strangulate the Kashmir resistance’s much needed support takes place when the uprising in Indian occupied Kashmir has crossed the 100 day mark. It comes at a time that the resilient Kashmiri`s have been subjected to unprecedented level of torture, hundreds have been arrested, over a hundred Muslims have been martyred, thousands injured, hundreds by pellet guns which have blinded many. In addition the Muslims languish under curfews, food-shortages and communication disruptions. Yet, at a time that the Hindu State is reeling before a strong, defiant uprising in Kashmir, the Raheel-Nawaz regime has come to New Delhi’s rescue in its hour of need. The Raheel-Nawaz regime has brought India much needed time to crush the Kashmiris with full force, by resorting to lip service, compiling dossiers and tired calls for the United Nations to resolve the issue. As if this was not enough, the Raheel-Nawaz regime is now committed to a full fledged operation against Kashmiri freedom groups. Suppression of the Kashmir resistance movement will not only grant India much needed relief in Kashmir, it will free it up to advance its hegemonic designs in this region.

The Muslims reject the traitors in the civilian and military leadership who plot against Islam and Muslim Lands at the behest of the Kuffar. Only the Khilafah (Caliphate) on the Method of the Prophethood and its implementation of Islam can end the current course of humiliation before India and liberate Kashmir as is obliged by Islam through an organized Jihad by our armed forces. RasuAllah (saw), «مَا تَرَكَ قَوْمٌ الْجِهَادَ إلاّ ذُلّوا» “No people abandon Jihad except that they are humiliated” (Ahmad).
Democracy Eradicates the Hungry, not Hunger

On 11 October 2016 the International Food Policy Research Institute released a survey regarding hunger and poor nutrition. Pakistan has been ranked as a country with “serious” hunger level with 22 per cent of its population undernourished on the 2016 Global Hunger Index. Placed 107 in a ranking of 118 developing countries, Pakistan performed worse than most of its South Asian neighbours in eliminating hunger

The report reveals the lie of capitalism of the trickle down effect. In Pakistan, despite its immense resources, 22% of its population faces serious hunger, whilst the current rulers establish mega projects to fill the pockets of their cronies. Since its creation, Pakistan has seen leaders come and go with claims of liberating the poor, uplifting the economy and providing basic necessities for all. These claims were all nothing more than lip service to deceive the people, whilst the rulers plundered more wealth for themselves and whisked it off abroad, as the Panama Papers indicated. Even the urban areas reveal stark disparity between rich and poor, so what of the rural areas. The middle class is battling just to make ends meet, whilst the poor eat a meal not knowing when they will get their next. With the majority of Pakistan`s population living in rural areas, they can only dream of having drinkable water, basic foods, electricity and drainage systems.

Pakistan is one of those countries which have been gifted with so many natural resources that they are enough to feed itself as well as other parts of the region. However the reason for the failure to distribute the wealth lies in Democracy which has ensured that the law making is given to a select elite who legislate as per their whims, plundering the wealth at the expense of suppressing the masses. In addition, more fundamentally, Democracy is the ruling system of Capitalism, whose economic system focuses on production only and leaves distribution to the trickle down effect. Democracy is depriving the people of Pakistan of basic needs of food, shelter and clothing, compelling many to commit suicide. Capitalism is ensures that a select rich flourish at the expense of poor. In this man-made system, the eradication of poverty and hunger is a utopian idea and instead the hungry and poor are being eradicated.

Democracy is not for securing the needs of the people, but only for securing the whims and desires of the rulers, who manipulate laws according to their interests. Democracy has directly led to the huge concentration of wealth in the hands of a small elite throughout the world, including the West. It is only in the Khilafah upon the Method of Prophethood that the laws are defined by the Creator سبحانه وتعالى, so the system does not serve the ruling elite. In the Khilafah, it is the responsibility of the ruler to ensure that all its inhabitants are provided with the basic needs. The Khulafa’a in the past have shown such high standards of fulfilling their responsibilities that even in the times of famine, they used to eat what the other Muslims ate. Unlike today when the rulers manipulate with economic statistics and do not leave a single luxury of the world, whilst the public sleeps hungry. The Khulafa’a were assigned with the responsibility of the Ummah and are held account for their guardianship. RasulAllah ﷺ «الإمام راع ومسؤول عن رعيته» “All of you are guardians and are responsible for your guardianship.” (Bukhari and Muslim)
Back Breaking Expensive Natural Gas When Available, Suffer in Cold, Harsh Winter When Not

Domestic consumers in Punjab will face severe gas shortages yet again during the upcoming harsh winter due to the curtailment of supply from 10pm to 5am daily, the National Assembly’s Standing Committee on Petroleum was informed on 17 September. Minister for Petroleum and Natural Resources Shahid Khaqan Abbasi told a meeting of the committee, chaired by Chaudhry Bilal Ahmed Virk, that the worst year of gas shortages for consumers in Punjab had started.

Not only will the people face shortages that will cripple the ability to keep their heaters and cookers functioning in the cold, natural gas rates are linked with prices of crude oil in the international market and fluctuate accordingly. Even then, the regime has ensured that the gas prices have rocketed over the last few years. This re-iterates the fact that government boisterous claims of a superb economy are lies. With industrial production reduced to distressing levels, interest-laden debts reaching unprecedented levels, many of the state and public properties are being privatized which worsens the problem as the government loses avenues for generating revenues. The government then increases the tax rates for itself and increases the tariffs for the new private owners to guarantee their profits. Both rises are borne by the common man whose back is already broken and an industry which is crippled and floundering.

It is a great injustice to sell public property, such as natural gas and electricity, to the people at high prices, since the state must secure the basic needs of living at prices that are affordable, with any profits being spent on the affairs of the Ummah, rather than upon interest to colonialist institutions. Water, natural gas and electricity are the public property of the Ummah. The state is responsible for their distribution and delivery to the people, recovering the cost of extraction and distributing when needed and ploughing any profit back into looking after the affairs of the Ummah. RasulAllah ﷺ said,«المسلمون شركاء في ثلاث: الماء والكلأ والنار» “The Muslims are partners in three things: water, feeding pastures and fire”. (Ibn Majah)

The pitiful situation can only be turned around by the establishment of Khilafah (Caliphate) on the Method of the Prophethood. Not only will it end burdening the Muslims with price hikes by profiteering from these energy resources, it will ensure that such basic needs are provided to all.
Abandon Slavery to the US State Department to Ensure India Receives a Befitting Response

Indian belligerency against Pakistan continues unabated. One villager was killed and five others injured due to unprovoked firing by Indian security forces across the Line of Control (LoC) on 19 October 2016, the Foreign Office said in a statement. Abdul Rehman, 28, resident of village Palani was killed due to firing by Indian forces across the LoC, it said. Throughout the several months of Indian hostility, the current military leadership has claimed that it will retaliate, including the 14 October Tweet from the military spokesman, General Asim Bajwa, who stated, “any attempt of misadventurism & irresponsible act will be met with the most befitting response.” Yet, despite the shedding of much Muslim blood and humiliation of Pakistan at the hands of the hostile Indians, a befitting response has yet to be seen.

Allah سبحانه وتعالى revealed,

لَتَجِدَنَّ أَشَدَّ النَّاسِ عَدَاوَةً لِلَّذِينَ آمَنُوا الْيَهُودَ وَالَّذِينَ أَشْرَكُوا

You will surely find that of all the people, the most hostile to the believers are the Jews and the mushrikeen.”

(Surah al-Maidah 5:82)

The hostility of the Hindu State is well known to the current rulers of Pakistan, yet they do not adopt the appropriate stance. The rulers also know that India is a favoured satellite of the United States, as a bulwark against Muslims and China is also known to the rulers with Sartaj Aziz declaring on 13 June 2015 that the US has formed a policy to “build up India” as “their entire situation is towards containing the Islamic world and China.” Yet, they accept the demands of the US State Department to exercise “restraint” despite huge provocation. Whilst the affairs of Pakistan are tied by traitors in its leadership to Washington, the Muslims will continue to be humiliated by India. It is imperative that the armed forces extend their Nussrah for the re-establishment of the Khilafah (Caliphate) on the Prophethood. Then and only then will they be led by a righteous Imaam to liberate the Muslim Lands from occupation in a glorious Jihad, whether it were Kashmir, Afghanistan, Palestine or Iraq.