THOUGH the caretaker government has limited time at its disposal, it seems to be determined to reform the system as far as possible through introduction of policies and prudent decisions. As an intensive campaign is underway to reign in smugglers and hoarders in different sectors of economy, at a meeting on the economy on Thursday, Prime Minister Anwar-ul-Haq Kakar directed the newly inducted Minister for Privatization Fawad Hassan Fawad to complete the process of privatization of Pakistan International Airlines (PIA) on a fast track basis. Meanwhile, replying to a question during a television interview about sustainability of the ongoing operation against power theft and smuggling, the PM said appropriate application of force needed to be done consistently, adding that the process had started for the first time to curb illicit trade and it would continue as now an institutional mechanism was in place.
The firm determination of the Prime Minister to take the campaign against smuggling and hoarding to its logical conclusion augurs well for the national economy as already things have started improving. Action against currency manipulators has led to an improvement in the value of rupee and the PM sensibly defended administrative intervention on this account when he declared that it was not the job of the government to bring the value of dollar under Rs. 250. However, he clarified that if illegal activities are stopped, the value of the dollar would automatically depreciate. This is what experts as well as the layman have been demanding in the backdrop of illegal activities carried out not just by exchange companies but also by some banks. The government was duty bound to intervene if mafias take undue advantage of the economic weaknesses of the country. The government showed unwavering resolve against the menace of smuggling as it decided to form a task force comprising intelligence and law enforcement agencies to take a decisive action against the gold mafia and smugglers. It has also decided to start work on a war-footing to computerize sale and purchase of gold and bring the gold dealers into the tax net. This is a step in the right direction as imposition of a multitude of taxes on real estate forced people to divert black money towards the currency market and it was feared that after action against currency dealers this money would flow to the gold business. It is also appreciable that the Prime Minister is fully convinced that a sustainable campaign has to be launched to achieve the desired results. No doubt, it would take some time to address the challenges surrounding economic fundamentals but people were being fleeced by greedy and unscrupulous elements and it is the responsibility of the government to chalk out a mechanism to safeguard their rights and interests. There are reasons to believe that up to 30% inflation is attributable to manipulations and speculations and a constant vigilance can help check the price-hike to a considerable extent. We hope the Prime Minister and the Army Chief will continue to hold frequent meetings to get updates on the ongoing operation against smuggling. As for privatization of PIA, it has to be assessed whether the market conditions are suitable for such a transaction as in the past national assets were sold out on throw-away prices to some blue-eyed people by successive governments. We also have the bitter experience of privatization of the highly profitable PTCL as the buyers have still not paid the price despite the passage of 17 long years. There was a viewpoint that instead of getting rid of national institutions, sincere efforts should be made to run them on professional lines and there was no reason why PIA should not become profitable if genuine reforms are carried out. However, despite repeated interventions by the government, the financial woes of the national flag carrier have not ended and latest reports say its employees have not been paid salaries for August and 14 out of 31 aircraft are grounded because of the financial crunch. As the new Minister for Privatization Fawad Hassan Fawad has the necessary background and integrity, it is believed there would be utmost transparency in the entire privatization process including protection of rights of employees of the institutions concerned.
