In accepting a $6.6 billion loan package from the IMF, Pakistan risks falling even further into a debt trap and inflicting the majority of the economic pain on its long-suffering citizens. As with all IMF loans, this one too will be accompanied by a lot of burdensome conditions. In fact, an IMF official will be visiting the country next week, after the release of the first instalment of $547 million, to explain just what it expects the government to do to keep the aid spigot flowing. There are some things the IMF always demands and we can expect to see them in the near future. Already, in anticipation of the loan, the government has been raising the price of petrol and other fuels but we can expect further increases soon since the IMF would like all subsidies on energy removed and for consumers to pay the market price. This may help the government build up its currency reserves and reduce the circular debt but the burden on citizens will be so onerous that fuel will become unaffordable for much of the country. On top of that, an increase in the price of fuel will lead to inflation throughout the economy. The price of food, for example, will rise since it will now become more expensive to transport it. Similarly, any goods or services that need fuel –whether for production or transport – will be more costly than before. Since the IMF also wants us to impose a gas levy, we will not even be able to rely on cheap gas as a substitute.

The IMF has a one-size-fits-all model that it imposes on all countries that seek its assistance, making very little adjustment for the unique needs and situation of the country. Thus we should brace ourselves for another round of privatisation. Just as was the case in the Musharraf era, national assets like the Pakistan Steel Mills may now be up for grabs. The biggest problem with privatisation is that the only state-owned enterprises the private sector is interested in purchasing are those which are already profitable, while white elephants like PIA and the Pakistan Railways find no willing buyers. Since the government is under pressure to raise capital by selling off its assets, you have a situation where there is an eager seller and cautious buyers. This invariably leads to the government selling state-owned enterprises at a lower price. Since the IMF is so wedded to its philosophy we will never be able to change their minds. What we should be doing is freeing ourselves of the burden of external debt rather than going even deeper in hock to the IMF.



When Major General Rizwan Akhtar, the director general of the Sindh Rangers, told the Supreme Court that 19,000 Isaf containers had gone missing from the Karachi port during the tenure of the last government he set off a firestorm. Akhtar’s testimony seemed to give proof of how criminal elements had so thoroughly infiltrated official circles in the city that they could seemingly raid the port at will. But soon the denials came pouring in. The MQM, whose member Babar Khan Ghauri was the federal ports and shipping minister at the time of the alleged theft, claimed that the accusations were baseless and part of a conspiracy against the party. Given that an interior ministry intelligence report which was submitted to the Supreme Court made mention of a previously unknown group known as the Muhajir Republican Army for culpability in Karachi’s violence, it is understandable why the MQM may feel aggrieved. The US followed with its own denial, claiming that none of its shipments arriving in Karachi have ever been stolen. Of course, both the MQM and the US would want to rubbish any claims that these containers were stolen on their watch but the Rangers too have a vested interest in absolving themselves of responsibility for the spread of illegal weapons in the city.

Instead of statements being taken at face value, what is needed is a thorough investigation into the incident – let that be the final word on the matter.We must also keep in mind that the FBR had conducted its own investigation into the missing containers case in recent months and had found several thousand missing while in transit to Kabul. With the federal government having approved a Rangers-led operation in Karachi, the last thing we need is for the MQM and the paramilitary organisation to be on the outs. Any operation worth its name will have to target criminals who are associated with political parties and the Rangers need to ensure that they are not accused of favouring one party over the other. The city is bracing itself for a tough period ahead and such sniping will only make things worse. The Rangers should also not use the alleged theft of the containers as an excuse for its failure to curb the spread of weapons in the city. Illegal weaponry was a problem in Karachi long before the US began receiving military shipments at the Karachi port and there has never been any political will to launch a deweaponisation campaign. The fact is that all political parties, with armed gangs at their disposal, benefit from these weapons and do not have the incentive to check their use. The Rangers should target these illegal weapons in their operation, regardless of the political patronage received by those who posses them.



To say that the state of sports in Pakistan is in decline would be an understatement. Just take a look at recent happenings: the country, which has won four world hockey titles, even failed to qualify for World Cup 2014. Pakistan’s cricketers lost to Zimbabwe – easily the weakest among all Test-playing teams – in a One-day International. In squash, Pakistan used to have five to six of its players in the top-10 world rankings but today it doesn’t have a single one in the top-40. The sad story spreads to other sports as well for a country that is proud of its past track record in the field of sports. In times like these, there is a clear need for a concrete and unified campaign to put things back on track. But instead, the country’s sports chiefs are embroiled in a power struggle that is threatening to push Pakistan sports towards further disaster.

The prize they are fighting for is the control of the Pakistan Olympic Association (POA), a body that reports to the International Olympic Committee (IOC) – the supreme organisation in the world of sports. For that purpose a parallel POA was formed with government support earlier this year. It was immediately rejected by the IOC but the government continues to back it. Earlier this week, this body occupied the Olympic House – POA’s headquarters in Lahore – with the help of government machinery. This controversial move, which elected officials of the IOC-recognised POA believe is illegal, has pushed Pakistan to the brink of an international ban. The IOC is expected to respond sternly which means that Pakistan’s suspension is imminent. This shouldn’t be allowed to happen. The government functionaries will have to stop taking sides in this power tussle and instead play a role in resolving this crisis. The POA is and will remain answerable to the IOC which means that it will only be allowed to function if it follows the Olympic charter. The government cannot take over the POA simply because the Olympic charter frowns upon any direct government interference in Olympic matters. It is time for those who instigated this crisis to back off. Otherwise things will only get worse for Pakistan’s sports.