Karachi lives to thrive again

Unfortunate that divisive narrative constructed for Karachi which has suffered over the last few decades

The perfect bureaucrat everywhere is the man who manages to make no decisions and escape all responsibility. — Brooks Atkinson

I have great respect for bureaucrats. Without them, a government or state cannot function. Unfortunately, post retirement their objectivity seems to resurge and they start saying things they could have performed during their long years in powers. Having said that I have worked with some truly amazing individuals. Not “perfect” though, they took decisions and bore responsibility for their actions. A few days ago, I came across an article by Younus Dagha, a recently retired bureaucrat. In his very “learned” exposé, Mr Dagha has mostly commented on how things should have been rather how they are. Since a number of factually incorrect assertions have been made — perhaps because it is fashionable (for some) to malign the PPP or to augment divisive nature of politics which unfortunately has prevailed in our city for the last many decades — I seek to set the record straight though this article.

As the PPP is targeted for “not doing enough for Karachi” and devolution of power to provinces under the 18th amendment is not seen as good for a city like Karachi, let me mention here that since FY2009, a total of Rs1,299 billion have been allocated under the district-based provincial annual development plan of Sindh, out which Rs427 billion were allocated for Karachi, which on an average is 32.9% of the overall allocation. In no fiscal year has the allocation for Karachi been below 25%.

Interestingly, Mr Dagha has describe “over-devolution by the Musharraf regime” as “unreasonable”. He then also becomes critical of the current Sindh Local Government Amendment Act. I would like to add here that during Musharraf’s regime most of the provincial departments were devolved, as district governments were established at a time when the provincial assemblies did not exist. Municipal functions were performed by towns (town/taluka municipal administration as they were called), and they still are with Local Councils. So unreasonable was the law brought by Musharraf that all provinces had to do away with that — and that still remains the case. However, the hue and cry that we hear is only about the law in Sindh. For Mr Dagha’s information, garbage collection was always a function of the District Municipal Corporations and he has wrongly asserted that it was being decided by the Chief Minister Sindh. The elected DMCs requested the Sindh Solid Waste Management Board to collect the solid waste. However, the Sindh government has now made KMC Mayor the Chairman of the Solid Waste Management Board. Similarly, the KMC Mayor has also been made the Co-Chairman of Karachi Water & Sewerage Board. In order to financially empower the local governments, the collection of property tax has also been devolved to the level of towns which are in a better position to do so.

I wish Mr Dagha had also spoken of the performance of elected local governments in respect of the powers that they had, especially the collection of municipal taxes. Let me assist him here by stating that in FY2019, KMC only collected Rs230 million from Karachi against a Rs1 billion target. Presenting a one-sided argument is misleading and leaves a bad taste.

I would also like to set the record straight on the fact that Karachi is getting more than it ever has. From an allocation of Rs8.2 billion in FY2009, the share of Karachi, in the current fiscal year’s ADP, has risen to Rs56.5 billion which is 34.6% of the total provincial allocation. Also, Rs11 billion were spent on education sector in Karachi in FY2009 while the amount has now increased to Rs58 billion. Similarly, the expenditure on health in Karachi has increased from Rs5 billion in FY2009 to Rs70 billion. It is also important to highlight that in FY2009, Karachi received Rs150 billion out of the provincial budget of Rs330 billion, while at present more than Rs600 billion would be spent on Karachi out of a provincial budget of Rs1.5 trillion. It is never about the quantum of money but how efficiently it is used. Unfortunately, all over Pakistan most of the money is spent on salaries, pensions and contingencies, which allows little room for development and that’s where public-private partnership projects have been effectively used by the Sindh government.

In the past, KMC failed to realise its targets of municipal taxes; or get proper returns from its properties and assets at the most lucrative locations; or make use of the platform of public-private partnership for efficient utilisation of its open spaces, parks and the beach.

There is no doubt that Karachi needs more. What Sindh government has done for the city could yield even better results if the federal government decides to support the province in the development of the city. For example, JPMC, NICVD and NICH were normal like health facilities under the federal government but their performance has improved manifold since they have come under the administrative control of the Sindh government. Why is then the federal government bent upon wresting control of these hospitals from the province? Why has the KPT not paid its due share in municipal taxes to KMC or contributed to the development of the city like other port authorities? Why do we have multiple municipal agencies in the city including federal entities who are answerable neither to the Sindh government nor the city administration? Why have amenity plots vanished into societies managed by the federal government in the very heart of Karachi?

I am not commenting on how little the incumbent federal government is spending on Karachi. I believe Mr Dagha, who has in recent years served as Secretary Finance Division, can tell us more about why so little has been made available for Karachi. Why has the federal government failed to strictly follow Article 156(2) of the Constitution regarding balanced development and regional equity whilst formulating the federal budget? Or why did the federal government not show the same zeal in issuing the sovereign guarantee for Karachi Circular Railway Project as it did for Orange Metro Train of Lahore? All these question are pertinent since Karachi is the industrial and commercial capital of Pakistan and the biggest contributor to the national exchequer. But whether Karachi gets its due share from the federal government worthy of its status as the industrial and commercial capital or in accordance with Article 156(2) of the Constitution continues to remain unanswered. To fortify my argument, I would urge all readers to please peruse the development schemes approved by the federal government under its Public Sector Development Portfolio.

It is very unfortunate that a divisive narrative is being constructed for Karachi which has suffered over the last few decades — a narrative that economically hurts the entire country in the longer run. A holistic approach and a combined effort is required to transform this great city into a modern and livable metropolis for which all three tiers of government have to work in support of each other. PPP has always believed in equality and equal opportunity for all. We are committed to serving the people of this city, province and the country knowing full well that people are the best judge and democracy is the only solution.