Pakistan Today

Page 1

Pages For e-paper_Layout 1 11/5/2011 4:13 AM Page 1

Pakistan among most poor countries per UNDP human development report

US killed over 1,500 Afghan civilians in 10 months PAGE 15

PAGE 10

Rs15.00

pakistantoday.com.pk

Vol II No 132 32 Pages Lahore Edition

Govt plans to shock people with 14% power tariff surge ISLAMABAD Staff RepoRt

The government is planning to increase the power tariff by a massive 14 percent during the current fiscal year to avoid accumulation of another debt of Rs 67 billion under the tariff differential subsidy. An official said the government was reluctant to pass on the financial burden to a people crushed by high inflation. “However, the threat of another debt will force the government to make the hard decision. For the current fiscal year the government has a budget of Rs 50 billion for power subsidies,” the official said. Finance secretary Waqar Masud Khan told reporters on Friday that power sector reforms would be pursued even out of the International Monetary Fund (IMF) conditions. He said new management would be inducted in the distribution companies (DIsCOs) in the ongoing month to improve their performance. On a question regarding reported misappropriations in the electricity dues of government departments, the finance secretary said it was not possible because DIsCOs were empowered to disconnect power supply to defaulters.

PAGE 20

Saturday, 5 November, 2011 Zul-Haj 8, 1432

Pakistan to have a larger negative list if NTBs not removed by India Indo-Pak secretaries talks on Nov 14-15 g Secretaries to chalk out roadmap for trade liberalisation g Trade volume likely to increase to $6 billion from existing $2 billion g

ISLAMABAD

E

JaLaLUDDIN RUMI

vEN though Pakistan has shown commitment to grant the Most Favoured Nation (MFN) status to India, the trade between the two neighbouring countries is still likely to be regulated through a larger negative list until the non-tariff barriers (NTB) are removed by New Delhi to allow unhindered access to Pakistani products. Commerce secretary Zafar Mehmood will be visiting India on a two-day visit on November 14-15 to hold parleys on the bilateral trade issues with his Indian counterpart, to work out modalities and roadmap for trade liberalisation and re-

moving non-tariff barriers. Talking to Pakistan Today, Zafar Mehmood said India would have to dismantle all NTBs to Pakistan’s satisfaction to get the MFN status. He said MFN did not mean any sort of preferential arrangement, rather it created a conducive environment for trading partners so that they could be able to do business. On the negative list, he said the government was ready to put more items on the list, provided the relevant manufacturers gave proper reasoning for putting it in the negative list. He said Indian goods would not be allowed to reach Afghanistan even after the grant of MFN status to New Delhi. The status of sensitive list under south Asian Free Trade Agreement (sAFTA) would remain the same, as import of 233 items would

not be allowed from India. An official source said Pakistan would be maintaining a larger negative list for trade with India until the NTBs were not removed. Most of the products to be safeguarded would be from the steel, automobile and pharmaceutical sectors, which are less competitive than Indian products. Pakistani textiles products could create a niche in India provided NTBs were removed. India had granted MFN status to Pakistan in 1996, but due to NTBs, Pakistani goods could not make inroads into Indian markets. Pakistan trades with India under positive list which includes 1,946 items, while India disallows export of 850 items to Pakistan. The bilateral trade between both countries is $2.6 billion,

Congress slips on promised civilian aid to Pakistan WASHINGTON: support on Capitol Hill for aid to Pakistan has plummeted amid accusations that some in the Pakistani government have aided anti-Us militants, the state Department said in a new report on Friday, but Us secretary of state Hillary Clinton advocated a strong linkage between lasting security and economic opportunity and urged Congressional support for continued economic assistance for both Pakistan and Afghanistan. she noted that reconciliation in Afghanistan offered the best hope for stability in the region. In a status report on Afghanistan and Pakistan Civilian Engagement, submitted to Congress, the chief American diplomat said assisting the two allied countries would secure American interests in the region. Earlier, the state Department report said Congress had slipped on its 2009 promise to triple non-military aid to Pakistan over five years. The appropriations reached the promised level of $1.5 billion in 2010, but last year amounted to only $1 billion, the document said. It said, however, that the Obama administration intended for assistance to Islamabad to continue and wants to focus on “signature” projects in Pakistan. Us officials are currently looking to select a major new infrastructure project “that would both contribute to power generation and water management” in Pakistan, it said. The report said that Us civilian aid to Afghanistan peaked, declaring the Us would spend less on development assistance there as it withdraws troops from the country. ReUteRs

Jailed Aamer ‘shattered’

which is planned to be enhanced to over $6 billion in next three years. The trade negotiations between the two countries were revived in April this year after a gap of four years with the commerce secretary-level talks, in which both countries softened down their traditional stance. Commerce Minister Makhdoom Amin Fahim and Foreign Minister Hina Rabbani Khar had said during their visit to India that Pakistan has no objection to granting MFN status to India. A positive gesture was shown by New Delhi during the visit of the Pakistani commerce minister in september, when it assured support to Pakistan for getting approval from the World Trade Organisation for getting concessional access to European markets.

US reins in drones over diplomatic concerns

LaHoRe: Crowds hit the railway station as millions return to their hometowns to celebrate eidul adha. INP

While PM says no MFN to India yet, FO says no U-turn LAHORE/ISLAMABAD Staff RepoRt

As Prime Minister Yousaf Raza Gilani on Friday said Pakistan had not yet granted India the Most Favoured Nation (MFN) status, the Foreign Office in Islamabad said Pakistan had not backtracked from its decision “as the cabinet has endorsed the decision to grant MFN status to India in principle”. The FO statement came in reaction to a Reuters report which quoted unnamed Indian officials as saying that Pakistan was bowing to domestic business interests opposed to finalizing MFN status for India. Quoting an Indian official, who requested not to be named, the Reuters report said that business and political lobbies in Pakistan appeared to have forced the move to be put on hold, leaving India to “wait and watch” as to when the process

would resume. A media report from New Delhi quoted Pakistani High Commissioner in India shahid Malik as saying, “The process of normalisation is already underway and the grant of MFN status is part of that normalisation process. There is no question of U-turn about it.” Meanwhile, talking to reporters in Lahore, Gilani said it took time to reach such a historical decision and “we will give it the green signal after making careful calculations and observing the emerging situation without compromising on national interests.” He rejected the impression that the government had sought the military’s approval on the issue, saying the PPP-led coalition government was a democratic government which decided issues on its own after taking into confidence all stakeholders “and in this case, the stakeholders are the chambers of commerce”. Elaborating on the issue, the prime min-

ister said the cabinet had authorised the Ministry of Commerce to deepen trade ties with India and negotiations were underway in this regard. To a query, he said there could be no forward movement without taking stock of legal and procedural requirement in the cabinet. Gilani said if China, which had border conflicts with India, could have economic ties and direct trade links with New Delhi, so could Pakistan. He was of the view that the government would take the matter before parliament on receiving a go-ahead from the Ministry of Commerce.Revealing more details, he said the government allies did not have any objections over bridging trade ties with India. “We have just empowered the Ministry of Commerce to negotiate trade issues with India and of now there is nothing beyond it that,” he added. However, he evaded discussing basic dynamics of developing trade relationship with India.

WASHINGTON: The Central Intelligence Agency (CIA) has quietly tightened its rules on drone strikes in Pakistan over concerns about their impact on tense relations with Islamabad, the Wall street Journal reported on Thursday. The disputes over drones became so protracted that the White House launched a review over the summer, in which Obama intervened, the Journal reported. The review ultimately affirmed support for the underlying CIA programme. But a senior official said, “The bar has been raised. Inside CIA, there is a recognition you need to be damn sure it’s worth it.” The changes reportedly include granting the state Department greater sway in strike decisions, giving Pakistani leaders advance warning of more operations and suspending operations when Pakistani officials visit the United states.“It’s not like they took the car keys away from the CIA,” the Journal quoted a senior official as saying. “There are just more people in the car.” The Journal said the debate was sparked by a particularly deadly drone strike on March 17 that took place just one day after Pakistan agreed to release CIA contractor Raymond Davis. At issue in the debate over drones were so-called “signature strikes”, in which unmanned drones fire on groups of suspected militants without necessarily knowing all their identities, and which make up the bulk of operations. such strikes are seen as more controversial than “personality” strikes, which target alleged top militants, the Journal said. According to the Journal, many officials at the Pentagon and state Department privately argued the CIA pays too little attention to the diplomatic costs of airstrikes that kill large groups of low-level fighters. “such strikes inflame Pakistani public opinion. Observers point to the rising power in Pakistan of political figures like Imran Khan, who held large rallies to protest the drones and could challenge the current government.” However, changing the handling of the drone programme does not mean the CIA is pulling back. The agency in recent weeks has intensified strikes in Pakistan focusing on the Haqqani network, a group believed to be behind a series of attacks in Afghanistan. The Pentagon and state Department have backed those strikes as serving Us interests. AgeNcIes


Turn static files into dynamic content formats.

Create a flipbook
Issuu converts static files into: digital portfolios, online yearbooks, online catalogs, digital photo albums and more. Sign up and create your flipbook.