The Way Forward
By Shaukat Aziz
Prime Minister of Pakistan

When I returned home to serve our beloved country as Finance Minister, I brought with me thirty years of observation and study from some of the fastest growing regions of the world, regions as diverse and far removed as the formerly communist Eastern Europe, the Far East, the Middle East and Latin America. Despite their great diversity they had one thing in common: they suffered from varying degrees of deprivation and different kinds of backwardness despite their immense potential.
Some had very poor populations; others had wealth imbalances between people and regions; still others whose human resource development was lacking despite great wealth. And I saw how so many pulled themselves out of the mire of backwardness and reached the doorstep of the Twenty-First Century. As I saw, so did I learn, because, not least, I also had the opportunity of participating in the development of some of those countries as a senior banker. It was a unique experience indeed. I saw an economic miracle unfold before my eyes as country after country transformed itself from relative backwardness to positions of great affluence and development, literally in a single life span.
Why can’t we develop like that too, I often asked myself? Why can’t we, with our far greater human and natural resources, become a force to be reckoned with economically and not just geo-strategically? We have the potential – much more than most others. What we lacked was a clear vision in which everyone has a stake and which we all own collectively. It is this vision that leads to modern and contemporary policies with continuity and consistency.
As I looked out of the window of my Manhattan office and saw the purposeful stride of ordinary citizens going about their lives, this thought would vex me. It would haunt me in my pensive moments for if one knows that it cannot be done one comes to a sad acceptance. But when one knows that it can be done, and done with much less ado than others who have succeeded and where we have not even begun to try, it makes one restless and discontented. But it never made me despondent for I always knew that it could be done provided we had the opportunity that comes from unity of purpose, clarity of vision and a dynamic leadership hand-in-hand with a people galvanized by self-belief and self esteem marching towards greatness in unison and harmony. This is how history is made. Making history is in our genes.
We made an unmatched history when, led by the Quaid-i-Azam Mohammad Ali Jinnah the Muslims of India struggled for and won Pakistan against unimaginable odds. They succeeded because they were fired by unity of purpose, faith in Allah and in themselves and enormous discipline. They won not only freedom, they made a new country. In so doing they altered the course of history by changing the map of the world.
Thus it has always been my conviction that with Allah’s blessings and the implementation of sagacious policies, Pakistan too can perform such a miracle and many more during our lifetimes. We too can witness the emergence of Pakistan as a highly developed, prosperous and modern Islamic state. A Pakistan where poverty has been banished, where our children attend outstanding schools as a matter of routine, where the genius of our people is fully harnessed because it finds the proper opportunities and channels for our advancement, where widespread disease has been wiped out, where we have modern, thriving businesses and markets. A Pakistan which is populated with modern urban centres and dynamic rural communities where all Pakistanis can lead peaceful, productive and fulfilling lives free of harassment and hassle. A Pakistan that becomes a model for others to emulate.
Since returning home five years ago, I have witnessed firsthand the great ability of our people to face hardship with great dignity and patience, what tremendous resilience they have, what a hardworking and God-fearing people we all are. Given the right environment we have the character to achieve any goal, climb any mountain. Our moment has come. This is not just my feeling. It is my conviction. All that remains is for us to seize our moment and make it truly ours. It is for us to reach that which is beyond our grasp and show to the world why the heavens were made. I am determined that we will not lose this moment. We will not let it slip away. We will not let it pass. With the help of the Almighty and His people, we will grasp it. I know it. I feel it in my bones. I have seen how green the grass is on the other side. I am determined that our people will see it too.
Why am I so convinced that we will reach our goal of a prosperity that is shared equitably by all? Because after a long time and much sacrifice we have reached the stage where we can achieve fairly high rates of economic growth and look forward to doubling our national output every decade. A per capita GDP target of $1,500 by the year 2015 is well within our sights. This will translate into higher incomes and a much better quality of life for the vast majority of our people. This is our major long-term goal and will require our GDP to grow by around 7 to 8% every year on a sustainable and consistent basis.
I am mindful of the fact that achieving this kind of growth will be challenging, but it is eminently attainable. To do this we will need to excel in and achieve mastery over the entire value chain in our traditional fortes, like the textile industry, for instance, and agriculture – especially agriculture. At the same time we will need to graduate into higher value-added and fast growing sectors like construction, energy, engineering, electronics, information technology and bio-technology. We will have to unleash the potential of our urban areas for growth and creativity. We will have to make a quantum leap in value addition in agriculture and involve every village and hamlet in the development process.
It is the God-given right of the people to expect the State to endow them with the ability to acquire the best knowledge, have access to healthcare and to justice. All this requires major and continuous investment in human beings. Our people have to be equipped with the technical and managerial skills to enable them to participate fully in the world economy. I believe that our people are our biggest resource and investment in their development will pay off many times over. My aim is to achieve 100% literacy within the next ten years and create quality facilities in the country to produce the world-class human resources that are needed by the economy. We have to urgently improve our standard of education at all levels. Presently, we have a very general education system that does not have linkages to the evolving job market. Because of this, not only do our people, particularly our youth, suffer, Pakistan suffers as well from woeful gaps in skills. Thus we will lay great emphasis on vocational training so that we turn out the best skilled workers that there are. The ability is there, as witness the phenomenal engineering and sports products coming out of Gujranwala, Gujrat and Sialkot, to name but three cities.
In order to have a population with a modern and contemporary education, we must learn English. This in no way militates against our national language or any of our mother tongues. Language is but a tool of learning which equips people to acquire the most up-to-date knowledge as fast as possible. It does not replace or alter one’s identity. Do you think that people like me got so far in the world simply because we are very intelligent? Our intelligence would have got us nowhere if we did not have good English, just as far more intelligent and educated people never got the opportunity to compete and excel internationally because they did not. Yet by the Grace of God we have remained rooted in Islam and anchored in our culture. The English language should be just one of the many modern tools that our people must acquire. We must equip our children with this vital tool by teaching it to them as a subject, just as we teach – and will always continue to teach – religious studies and Urdu. It should be treated like studying accounting or physics. Let us face it: English has become the international lingua franca in which the bulk of the latest knowledge, information and data are imparted. Even in developed countries that have other languages people are learning English without feeling threatened. We already have yet another advantage: English is one of our two official languages. So let us develop this tool and give our people a chance to compete at the international level. For when our people compete successfully it goes without saying that so does Pakistan.
A healthy nation is a productive nation. This has become a truism precisely because it is true. Thus it is my goal to launch programs that lead to primary healthcare for all within the next ten years. In the same timeframe, and as part of our overall health strategy, we will initiate programs that provide safe drinking water for everyone in rural and urban areas alike.
To improve the quality of life of the people I am determined to improve the quality of public service delivery to the people at their doorsteps. In this respect, amongst other services like education, health, water and sanitation, a fair and affordable justice system at the grassroots level that provides justice to the poorest and least empowered in a reasonable period of time will be provided. This is an imperative. Police has to be reformed to provide impartial, transparent and corruption-free service to all segments of society and ensure security of life, limb and property for all citizens. A confident, well-educated and healthy population is the key to our success.

Our human development strategies, our initiatives in the industrial, agricultural, services and natural resource sectors will be designed to make Pakistan a regional economic powerhouse that is recognized as an economic lynchpin of the region. Our goal is to become the trade and manufacturing hub that connects North Asia, Central Asia, West Asia, the Middle East and South Asia. We intend to exploit our unique geo-strategic position fully for the welfare of our people and use this major economic and competitive advantage as a key driver of our economic growth.
People ask me: can we really pull it off? My answer is, ‘yes’, provided we all pull in the same direction. The endeavour has to be a joint public-private partnership embedded in an overall system that works and has inbuilt incentives to guide us in the right direction. Good governance in the public sector has to be coupled with good governance in the private sector as well. We intend to deregulate the economy substantially while ensuring that public sector institutions that provide critical services deliver those services that the people expect of them. This is the best way to create an enabling environment for private enterprise and initiative to develop and thrive. At the same time we will support the efforts of the private sector to grow and improve itself. I am fully confident that the private sector will deliver in a big way by providing millions of sustainable jobs to the people and outstanding products and services to the markets they serve.
Now let me get down to brass tacks. Years of neglect have deprived our agriculture of new ideas, processes and products. We will reverse this. We will bring the results of world-class research to our farmer so that we can leapfrog productivity gaps prevalent in Pakistan. Newer seeds, newer pesticides, newer processes will be introduced and made available in time and easily. Large water storage dams will be constructed and water shortage eliminated. In our development thinking we will connect production with modern wholesale markets and the markets in turn will be connected to processing and value adding agri-business centres.
The competitive advantage of each region and district will be explored and exploited. The idea is that the people of every village can excel in at least one value added product that can profitably be brought to the urban and international markets. We have great potential in livestock production and downstream processing, horticulture, fruits and vegetables and other products to which value can be added. Our objective is to create an agriculture sector that magnifies ‘on-farm employment’ with massive ‘off-farm employment’ opportunities. This will bring prosperity to the villages, bridge the urban-rural divide and reduce the need for rural-urban migration.
In manufacturing we will provide a hassle-free environment to our industrialists. We plan to develop modern production and export enclaves. Industrial estates will be developed that will have all the requisite infrastructure and modern facilities. We will support manufacturing clusters by programs that upgrade their technological capabilities, improve their connections with the international markets and provide state-of-the-art training to their workforce. We will rationalise and reduce the number of taxes, create a tax system that promotes employment-creating manufacturing, improve labour laws and deregulate arcane regulations.
In the services sector we have enormous opportunities in housing and construction, the tourism and hotel industry, communications and transport development, the retailing industry and commercial developments. This sector has the potential of creating millions of jobs – our objective is to remove the regulatory and other hurdles in its development. Scarcity of land for housing and development will be eliminated. New housing schemes based on proper planning and modern amenities will be launched to meet rising demand. Model village programs will be developed for upgrading rural housing.
As the economy grows there will be tremendous opportunities in the energy sector. We plan to boost domestic exploration and development of oil and gas resources and bring in oil and gas pipelines from Central and West Asia. The power sector will witness a major expansion. We will fully exploit our hydel, gas and coal potential to generate affordable power. We intend to be the most energy-efficient and energy-sufficient manufacturing economy in the region.
We are already witnessing a boom in telecommunications. New technology is being introduced at a frenzied pace. This trend will be further intensified. On our path to becoming the regional economic powerhouse and trade and manufacturing hub we will have to develop a network of modern communication systems including electronic, road, rail and air networks, banking systems that connect the regional economies in tandem with a financial services industry that can channel billions of dollars into the needed infrastructure projects. All this activity is coming our way. I am aware of the enormous challenges we face but I also have the realisation that this time we must succeed. We have to create ‘Pakistan Inc’ to reap all the benefits. The thrill of achieving enormous gain and change for our country and its people is what is driving me. God willing we will succeed.
But success will elude us if we don’t maintain a high-level of political stability, with both the government and the opposition ensuring the viability of the system and working towards making Pakistan truly democratic, which means, first and foremost, continuously and consistently improving the human condition. We have to avoid political point scoring and develop a working and stable consensus between the opposition and the government. All countries that have developed had sound and stable political processes. Where the political process was uncertain, they failed to develop. We need collective vision, continuity and consistency of policies, good governance and a high degree of transparency and accountability. Having a healthy debate is a must in a working democracy, but we must also ensure that only such decisions are taken that sacrifice personal interests at the alter of the interests of the country. We will develop harmony and brotherhood amongst the provinces and make certain that the benefits of development reach every nook and corner of the country. We have to reject corruption and nepotism in all its manifestations and ensure that public funds are utilised most effectively.
Our external relations should so develop that the international environment becomes conducive to our development efforts. Regional peace and cooperation have to be promoted and access to global and regional markets enhanced. We have to ensure an investment-friendly climate that promotes both domestic and foreign investment in our economy. This would require us as a nation to protect our internal security environment from deterioration and join the government in challenging and eliminating all forms of violence in our society. We have to create an image that is not threatening to Pakistanis and foreigners alike, be they visitors or investors. Terrorism of all types and dimensions will be rooted out, but while doing so we must remain cognizant of the causes that lead to this horrific effect so that this monster does not raise its ugly head again in our sacred land. Its genuine causes must be identified, addressed and redressed. People may be rich but will have little rights if their country is beset with terrorism because in the State’s fight to eliminate terrorism some rights of the people inevitably get eroded. No nation can develop without peace and security.
Our defense capability, strengthened by our nuclear deterrent, guarantees our sovereignty. We seek peace for everybody because without peace there can be no development and without development there can be no prosperity. So while we have no offensive design against anyone we will guard our sovereignty with full vigour. Our armed forces have played a brilliant role in protecting our internal and border security.
Pakistan is a moderate country. President Pervez Musharraf’s initiative of Enlightened Moderation is the way to proceed for the Muslim world at large and the rest of the world too. The Organisation of Islamic Conference and the Muslim ummah need to do a lot more and Pakistan has its role to play here. If Pakistan projects an image of a modern, vibrant Islamic state, it will help improve the image of the Muslim ummah too.
Our foreign policy is driven by national interests. The way to expand relationships with other countries is to create mutual dependencies. Our priority will be to have closer relations with the Muslim world while pursuing a path of peace and diplomacy that ensures the recognition of the rights and aspirations of the people of Jammu and Kashmir. China is our strategic ally, as always. Ours is a very special, very unique relationship that has stood the test of time and travail. With the big powers our relationship has to be based on fair values and mutual interests. Relations with all of them have improved consistently. We must now include more economic diplomacy in our overall foreign policy as that creates a strong bond between any two countries – this will include more trade, more investment and I even include the export of manpower, because this too creates tremendous linkages.
Our vision is to be a vibrant, modern Islamic state where the people have a myriad of opportunities. Never imagine that the heavens will open and riches will start falling out of the sky. God does not help a people that do not help themselves. That means hard work, honesty and steadfastness of purpose and our prime purpose has to be to develop our country. So let us make a covenant with ourselves to work together to realise Pakistan’s true and great potential. In this lies our salvation.
— The writer is Prime Minister of Pakistan


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Editor: Akhtar M. Faruqui
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