News
Saturday, October 16, 2010
Friends tell Pakistan to shape up in exchange for aid
* FoDP urges measures to enhance domestic resource mobilisation
* Stresses need for international community’s support to meet reconstruction, rehabilitation needs
BRUSSELS: The Friends of Democratic Pakistan on Friday stressed on the need for continued efforts by the Pakistan government under its reforms programme towards economic stabilisation and sustained economic revival, including widening the tax base. It also stressed on taking other necessary structural measures to generate and enhance maximum possible domestic resource mobilisation for reconstruction and long-term development.
The third ministerial meeting of the FoDP was preceded by a senior officials’ meeting and hosted by European Union High Representative for Foreign Affairs and Security Policy Catherine Ashton and co-chaired by Foreign Minister Shah Mehmood Qureshi. Also attending were foreign ministers and senior representatives of 20 countries and four multilateral institutions.
The FoDP also stressed on the need for strong solidarity and the international community’s support to Pakistan to meet the unprecedented needs of reconstruction and rehabilitation after the recent devastating floods that affected 20 million people and caused loss and hardships. “The ministers noted that the unprecedented need for post-flood reconstruction and rehabilitation should be met by a strong signal of solidarity and tangible support from the international community,” according to the joint communiqué issued after the FoDP meeting.
The FoDP also noted the need for continued efforts by the Pakistan government under its reforms programme towards economic stabilisation and sustained economic revival, including widening the tax base. It also stressed on taking other necessary structural measures to generate and enhance maximum possible domestic resource mobilisation for reconstruction and long-term development. The world powers told Pakistan that post-flood aid was part of a “two-way” deal, while Islamabad also offered to lend a hand to regional peace by facilitating Afghan-Taliban talks.
“It’s a two-way street,” a source added, indicating Catherine Ashton’s view that “unprecedented support cannot be expected without profound changes” in the way Pakistan runs its economy. “A safe, secure and stable Pakistan is manifestly in the interests of the EU, the United States and the international community as a whole,” Ashton said.
For Pakistan to “become more stable”, German Foreign Minister Guido Westerwelle said, “you can harvest as much money as you want, it won’t be enough at the end of the day if there is no reform”. “An adjustment in the equilibrium between rich and poor in Pakistan” was fundamental, he said. British Foreign Secretary William Hague also underlined that “there are necessary reforms in Pakistan and they should include a widening of the tax base”. agencies
Courtesy www.dailytimes.com.pk