PML-N urges for relying on national resources instead of foreign loans
By Asim Hussain

ISLAMABAD—Pakistan Muslim League (N) has strongly opposed seeking $4 billion in foreign loans under undisclosed terms in the name of rehabilitation of quake victims, and has urged heavy cuts in budget allocations for non-development expenditures and defense including construction of new GHQ, purchase of VVIP aircraft and unnecessary development projects.
Addressing a news conference here on Saturday, PML (N) Central Information Secretary Muhammed Siddique-ul-Farooque cited recent UN report saying that 1.3 million affectees had not been provided food even 50 days after the calamity. Cold weather has increased incidents of pneumonia and other diseases, and thousands might die in the absence of remedial measures. Meanwhile, corruption in distribution and contracts is so widespread that even ruling party MNA Mehnaz Rafi was forced to complain that blankets and food items received from abroad were being sold in openly in Raja Bazaar.
He said that fair disbursement of financial assistance was not possible because correct figures of the dead and the affectees had not yet been finalized. This deplorable situation is due to the fact that not only General Pervez Musharraf’s response to the calamity was most sluggish but he also kept all matters in his own hands and took dictatorial decisions. unwisely decided to bypass national resources and to beg for foreign loans and “assistance”, while he put his self-appointed relief machinery outside judicial accountability. Had he sought guidance from the 60-years experience of United Nations, and based his decisions on consultation, the relief to the victims would been more prompt and effective leading to a better image of the armed forces and enhanced prestige of the country; over lakh shelter houses would be in place today instead of 90 percent insecure tents.
Siddique-ul-Farooque deplored Pakistan’s world image as being among ten most corrupt countries; UN has gone on record saying only 15 rupees out 100 reach the poor due to corruption, while IMF has accused the government of allowing more concessions to the rich.
He said that because of these facts the world community had openly and covertly doubted the credibility of General Musharraf’s dictatorial action. That is why the Donors Conference in Islamabad turned into a Lenders Conference. He disputed the government’s claim that the conference failed due to non-participation of the opposition, and said that the government had refused to allow any positive role to the Opposition, which even then appealed for larger donations.
He said that over $4 billion out of $6 billion were in the form of loans that included 2.54 billion announced earlier. The interest rate is said to range between one and 3.8 percent under varying terms and conditions; but the government is yet to reveal actual rates and terms. Most of the loans will be disbursed in four annual installments. The nation, in fact, will be a hostage to these loans for 40 years, a situation that must be avoided at all costs.