Achievements

Land Reforms

	Distributed 35000 acres of land among the landless peasants. Each farmer was given 12.5 acres of land. The landlords challenged the land reforms in Supreme Court and because of court intervention the hand reforms were temporarily halted.
	More than five hundred political workers, who were economically destroyed by the Zia regime because of their struggle for democracy, were given small residential plots on official rates.

Housing

	Arrangements were made to build 2000 two-room small houses for homeless in every big city.
	One thousand small houses were built in Karachi and handed over to homeless at a price of 30,000 each payable in small easy instalments.

Labour Reforms

	Ban was immediately lifted on trade union activities.
	Forty thousands industrial workers previously sacked were reinstated.
	Labour wages were increased twice.
	Labours were awarded share in the income of their enterprise.
	Decision was taken to build labour colonies in every industrial city.
	Labours were given the right of pension after retirement.

Health

	It was decided to establish government dispensaries in every Union Council.
	Admission and bed fees forced upon during Zia’s regime were abolished.

Education

	For the very first time in the history of Pakistan, in the budget of 1989-90 the amount allocated for education was increased.
	The education budget was again increased in 1990-91.
	Fifty thousand new teachers were employed.
	Education made compulsory upto 8th class.
	Importance was given to technical and scientific education.

Youth Policy

	Ban on students unions was lifted immediately so that the youth can get training and develop discipline and achieve organisational expertise during their college years.
	To address the problems of youth a separate ministry for youth affairs was established.
	80 thousands new literacy centres were set up throughout the country.

Women Affairs

	Ten thousands young people were given loans of 50 thousands each to start their own businesses.
	Very first time a separate ministry for women affairs was established to solve their problems.
	Women Bank was established.
	Women were given loan facility to start their own businesses.
	Computer centres for women were started in Karachi, Lahore and Islamabad.

Water & Power

	Electricity was supplied to 4 thousand Villages in twenty months, which is a record.
	Electricity supplied to more than 12 lac houses.
	Private sector was encouraged and 1 billion $ investment from private sector was arranged for electric generation.
	Ghazi Brotha and Neelam Jhelum projects (1 thousand Mega Watts) were initiated.
	To overcome the energy problem an agreement was signed with China for the supply of a 300 MW nuclear Power Plant.

Communication & Production

	Built a Satellite Station connecting Skardu, Gilgit and Gawadur with Islamabad.
	Microwave channel was built to connect Karachi and Peshawar.
	600 new post offices were opened.
	Port Qasim was extended.
	Pakistan Steel Mills was extended and its productivity increased.
	Employment of 5000 workers were secured by restarting Baluchistan Textile Mills.
	Millat Tractors was extended and its productivity increased from 12000 tractors per year to 18000 tractors per year.
	A new plant of Suzuki Cars was constructed.
	The lines for 1,50,000 new telephone connections were placed.
	18 cities were connected via direct dialling system.

Oil & Gas

	30% increase in production of oil and gas.
	Work started to build a refinery.

Industry

	Rupees 3.88 billion petrochemical project started.
	An assembly plant of Toyota Hi Ace, Jeeps and Cars was started.
	Loan facilities were extended for establishing small industrial units.
	Limits for investment without government approval, was increased.

Defence

	Two Frigates were handed over to Pakistan Navy.
	Pakistan started indigenous aircraft production.
	New sophisticated radar system started operation.
	Acquired sixty F-16 Planes.

Freedom of Press & Expression

	Press laws aimed at censorship lifted.
	Journalists terminated from service during Martial Law regime were reinstated.
	No objection certificate for journalists to travel abroad was abolished.
	Employees of Radio and Television were reinstated.

Religious Services

	An international Secret Conference was held.
	The numbers of Pilgrims were increased in 1989. The new Haj Policy was adopted and over 1 lacs people were sent to perform Haj in 1990.
	2 Secret Conferences were held.
	Haj flights were initiated from Lahore and Islamabad.

Miscellaneous

	Conference of the Heads of States of SAARC was held in Islamabad.
	China announced to extend an interest free loan of 5 crore dollars.
	Pakistan rejoined the Common Wealth.
	Relations with India normalised and an agreement of no attack on nuclear installations was signed.
	Russia approved 1 billion dollar for extension of Karachi Steel Mills.
	A separate ministry was established for eradication of drug smuggling.
	Big drug traffickers were arrested and put behind bars.
	South Asian Games were successfully held.

Development

	Built 21,000 primary schools.
	Provided 700,000 new telephone connections.
	Electricity to 18,000 villages.
	Airport at Sehwan Sharif.
	Airport at Gawadur.
	Work on Ketti Bandar Port started.
	Construction of Akra Dam providing safe drinking water to the coastal regions of Mehran.

Foreign Policy

	For the first time the OIC summit at Casablanca adopted a unanimous resolution asking for a solution of Kashmir dispute in accordance with the UN resolutions.
	Adoption of Brown Amendment which partially released the military equipment and hardware stuck up in the US since long due to Pressler Law.

Law & Order

Peace in Karachi. A near end to terrorism acknowledged by friends and foes alike.

Defence

	Agosta submarines for the Pakistan Navy.
	Tanks for the Army.
	Missile capability developed which was to be announced as the Golden Jubilee gift to the Nation on August 14,1997.

Energy

	An end to the load shedding by enlisting the private sector in power development sector through a uniform policy of tariffs and concessions hailed by the World Bank as a model for the developing countries.
	Completion of the first private sector power plant, HUBCO.
	Our 11000 kilometers of gas transmission line completed to provide gas to 240 new towns and villages.
	Oil and gas exploration stepped up. As a result four new oil and gas wells discovered.

Communication

	Laying of the optic fiber along with right bank of Indus.
	Introduced cellular telephones, digital pager, satellite dish and FM Radio.

Social Sector

	Countrywide Polio Vaccination Programme-Nearly 100 percent children under the age of five vaccinated against Polio in three years.
	A large number of Computer Centres opened - Special centers for women
	Recruitment of 33,000 Lady Health Visitors to reduce infant mortality.

Legislation/Northern Areas

	Electoral reforms bill adopted for the first time.
	For the first time people of Northern Areas given the right to vote.

Women Development

First time Women Police Stations set up, Women Bank opened and Women Judges appointed in superior judiciary.

Media

	Complete press freedom.
	Sixth Wage Board award announced for the newspaper workers. The award was also mplemented in the APP.

Finance

	For the first time since independence, Cabinet members were forbidden to take loans from Pakistani Banks.
	State Bank of Pakistan made an autonomous organisation.
	For the first time one billion dollars of debt retired.
	From a dismal growth rate of 2.3% in 1992-93 which it inherited, the PPP government raised the economic growth to 5.2% in 1995-96. The growth rate plunged to 3. I % in 1996-97 after the removal of PPP government, a figure further lowered to 1.3% in the budget.
	Fiscal defcit in the last year of PPP government i.e.1995-96 brought down to 5%, from 8% of GDP which it had inherited.
	Tax revenue which were only 7.2% of GDP in 92-93 was raised to 14. I % of GDP in 1995-96. Last year the tax to GDP ratio again fell to 10.2%.
	Due to investment-oriented policies, more than 3 billion dollars of direct foreign investment flowed into the country. As against this the present government has scared away foreign investment through its mishandling of the IPP issue and freeze on foreign currency accounts.
	A day before the PPP government was dismissal, the stock index was at 1500 points. It sank to 900 points in August 98.

Welfare

	Haj flights from Multan and Sukkur.
	Tens of thousands of jobs provided to the educated but unemployed youth in government departments, banks, corporations and autonomous bodies.

Anti Narcotics

	Effective anti-narcotics measures and legislation adopted for the first time.
	Half a dozen major drug barons extradited.
	Death penalty and confiscation of property provided in the law for drug pushers.

Fact Sheets on PPP’s Achievements

The present Government has no option but to hold the election in Oct. next year. A wilful campaign in the Press and TV is being carried out maligning the role of the politicians that the incidence of poverty increased when they were in power (1989-99). It is also alleged that substantial amounts of foreign aid came during the period but they were misused and misappropriated by the politicians and their cohorts. While I intend to write separately very soon on the above two cases, it is high time that we must set the records straight. PP’s leaders and workers need to be briefed and guided so that they can tell the truth to the voters and argue with confidence with their political adversaries, hence the need for these fact-sheets.

Five specific facts:

(i) Quite admittedly, there have been some unscrupulous politicians but so has been the case with some Generals, Bureaucrats and Business Leaders. To blame the politicians as a class for the economic ills of the country is unwarranted, unjust and misdirected.

(ii) During 1989-99, there has been nine Governments (four caretakers, two PP’s, two PML and present military Government.) the PP’s and PML Governments were not allowed to complete their respective terms. Sound and effective policy framework and its implementation can not take place in a changing political scenario. While I have strong reservations on the economic priorities of the second PML Government, the investment and business friendly policies of the PP Government, based on increasing income and employment of the common people could not be fully implemented under such changing conditions.

(iii) The fact-sheets unmistakably prove that economic nose-dive started after the unjust dismissal of the PP Government in Nov. 1996. Since then the actual performance of the economy continue to be dismally poor. Wrong economic priorities, Mughal style projects, misconceived economic policies, lost of investors confidence and freezing of FCAs, are some of the examples of the last PML Government which contributed to the economic nose-dive. Hurriedly half-baked policies of the present Government are also responsible for the catastrophe. Despite the big claims of the present Government, the economy continues to be in a bad shape. The overall economic growth rate was 3.5 and 2.5 percent in 1999-2000 and 2000-2001 respectively as the lowest in the decade of the nineties.

(iv) The incidence of poverty did increase after Nov. 1996 because of four primary reasons: (i) Low and falling GDP growth rate; (ii) falling income and increasing un-employment; (iii) substantial increase in prices of utilities; and (iv) the imposition of 15% GST whose impact on the middle and low income groups have been economically most severe.

(v) The fact-sheets prove that during PP’s regime (1993-1996) GDP growth rate was highest, agricultural growth rate was highest, investment growth rate was highest, foreign investment was highest and gross fixed capital formation was highest. Total unemployed labour force was much lower than during 1997-2001. There was quantum jump in collection of Federal Tax Revenues. fiscal deficit was lowest and domestic debt was half of the present regime. Workers remittance, exports and foreign exchange reserve, all these were highest.

PPP’s Achievements during 1993- 96
Key Economic and Social Indicators

	92/93	93/94	94/95	95/96	96/97	97/98	98/99	99/00	00/01
GDP Growth Rate (%)	2.27	4.51	5.26	6.76	1.93	4.30	3.15	3.9	2.6
Agriculture Growth Rate (%)	-5.27	5.23	6.57	11.72	1.93	4.30	3.15	6.1	-2.5
Total Investment Growth Rate (%)	13.80	10.01	13.42	16.42	8.09	7.33	-4.52	8.00	2.5
Foreign Investment (million $)	306	642	1532	1306	949	601	403	469	322
Gross Fixed Capital Formation (Rs. billion)	96.4	95.5	99.9	104.9	100.9	97.2	89.8	93.9	NA
Total unemployed labour force (million)	1.53	1.61	1.82	1.86	2.25	2.31	2.36	2.40	NA
Secondary/vocational school *	608	474	487	497	496	498	498	498	498
Total Tax Revenues Federal (Rs. billion)	158	172	226	268	282	293	308	347	406
Fiscal Deficit (%)	8.0	5.9	5.6	6.4	6.4	7.7	6.1	6.4	5.3
Domestic Debt outstanding (Rs. billion)	615	701	798	908	1037	1176	1375	1559	1708
Exports (billion $)	6.8	6.80	8.13	8.70	8.32	8.62	7.77	8.56	9.20
Workers Remillies (billion $)	1.56	1.44	1.86	1.46	1.40	1.07	1.23	0.87	0.91
Foreign Exchange Reserve (cash & gold) (billions $)	1.36	3.33	3.73	3.25	1.97	1.73	2.37	2.15	2.66

* (During First PP Government 1989-90 the total number of secondary/vocational school was 929)

Source: Economic Survey – 2000
SBP Annual Report – 2001

Pakistan Statistical Yearbook – 2001

PAKISTAN’S FOREIGN AID PROFILE

Disbursements of Foreign Economic Assistance
(in Million US Dollars)

TIME PERIOD	LOANS
	Nominal	Percent	Real (1)	Percent
1951 to 1960	192	0%	192	1%
1960/61 to 1970/71	4.122	10%	3,663	25%
1971/72 to 1976/77	3.782	9%	2,268	15%
1977/78 to 1988/89	12.359	29%	3,948	27%
1989/90 to 1990/91	3.348	8%	780	5%
1991/92 to 1992/93	4.157	10%	890	6%
1993/94 to 1995/96	6.910	16%	1,379	9%
1996/97 to 1998/99	7.150	17%	1,322	9%
1999 to 2000	1.303	3%	232	2%
TOTAL	43.323	100%	14,673	100%

	GRANTS
	Nominal	Percent	Real (1)	Percent
1951 to 1960	650	6%	650	14%
1960/61 to 1970/71	1,927	18%	1,811	38%
1971/72 to 1976/77	480	5%	285	6%
1977/78 to 1988/89	4,092	38%	1,243	26%
1989/90 to 1990/91	1,150	11%	267	6%
1991/92 to 1992/93	807	8%	173	4%
1993/94 to 1995/96	804	8%	161	3%
1996/97 to 1998/99	543	5%	101	2%
1999 to 2000	125	1%	22	0%
TOTAL	10,578	100%	4,714	100%

	TOTAL Loans and Grants)
	Nominal	Percent	Real (1)	Percent
1951 to 1960	842	2%	842	4%
1960/61 to 1970/71	6,049	11%	5,475	28%
1971/72 to 1976/77	4,262	8%	2,553	13%
1977/78 to 1988/89	16,451	31%	5,191	27%
1989/90 to 1990/91	4,498	8%	1,047	5%
1991/92 to 1992/93	4,964	9%	1,063	5%
1993/94 to 1995/96	7,714	4%	1,540	8%
1996/97 to 1998/99	7,693	14%	1,423	7%
1999 to 2000	1,428	3%	254	1%
TOTAL	53,901	100%	19,387	100%

Notes:

1) The Real Value of the aid is adjusted for inflation to the 1960 value of the dollar using the CPI from the Federal Reserve Bank of Minneapolis. The 1951-1960 data is not adjusted. Base year is chained 1982 to 1984 = 100.

2) The Loans and Grants data is obtained from Pakistan Statistical Yearbook 2001.

3) The Loan amount constitutes the Long and Medium term multilateral and bilateral aid and does not include short term borrowings.

HOME

Copyright © 2004-10 PPP USA. All rights reserved