At the edge of the precipice

The survival of every organisation of the state and society lies in strengthening, not destabilising democracy.


Dr Akmal Hussain October 16, 2010

Pakistan is in the midst of a multifaceted crisis of economy, polity and state. The government faces financial bankruptcy, yet it needs about $25 billion for the post-flood reconstruction. With a negative per capita income growth rate and food inflation rate at a historic high, poverty and unemployment are rising rapidly, while critical shortages of electricity, gas and irrigation water constrain an economic upturn.

The economic crisis has occurred in a political context where resurgent Baluch nationalism, persistent Taliban terrorism and incipient anarchy are placing severe stresses on the state and society.

The democratic government which is supposed to address these formidable challenges is facing corruption charges and its governance capability is being questioned. It is not surprising then that the shadow of ‘the man on horseback’ has once again begun to fall on the fair face of our battered land.

Precisely because of this grave crisis, democracy for all its faults, is still the only hope of building a better future. The collective national effort that is now required to pull the country out of the crisis can only be done through a legitimate government. At the same time only a democratic, federal structure can express and give balance to provincial aspirations. Finally, only a functioning democracy can hope to attract the massive inflow of foreign aid that is necessary to prevent economic collapse.

So what is to be done? The government must put the democratic house in order: 1) It must reduce the size of the present unwieldy cabinet and drastically reduce its operating expenses. 2) A strong financial management system must be put into place to prevent leakages of donor funds. 3) Stop the hemorrhaging of the fiscal system by restructuring and privatising the state owned enterprises that are generating annual losses of Rs300 billion. 4) Undertake power sector reforms to end the energy logjam. 5) Make changes in the institutional structure of both governance and the economy whereby all citizens rather than a small elite have the opportunity to participate in the process of governance and growth. 6) Unite, not divide the democratic forces by respecting the verdicts of the judiciary.

Pakistan is at the edge of the precipice. Pulling back requires the government to undertake these tasks by putting public interest above private gain. Equally the military must know that its best interest lies in preserving the constitutional order. They have no future without Pakistan. The survival of every organisation of the state and indeed of society, at this critical moment, lies in strengthening, not destabilising democracy.

Published in The Express Tribune, October 17th, 2010.

COMMENTS (4)

Shemrez Nauman Afzal | 13 years ago | Reply Loving every line and every recommendation. Dr. Akmal Hussain is undoubtedly one of the greatest economic minds of Pakistan. Right up there with the likes of Dr. Mahbub-ul-Haque and Dr. Ali Cheema.
Meekal Ahmed | 13 years ago | Reply Akmal, All that you say is wise and needs to be done. No one can dispute your recommendations. Look at it this way. If the government did what you say it should do -- and I agree with you wholeheartedly -- it would fall in a week. Because the government is made up of compromises and "deals" where one scratches the back of the other so as to maintain the status quo. That has always been the case -- military governments or so-called democratic one's. Six of one, half a dozen of the other. I say to my colleagues, there are good, intellectually-sound people still in Pakistan. We don't have to "import" them and think that these "imports" can solve our problems. We know the problems. They are glaringly obvious. We know the solutions as well. Therefore, we don't need a catalogue of what needs to be done but why we cannot or are disclined to do it. I hope you will turn your discourse to that issue in subsequent write-ups.
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