Qital in Pakistan?

Genesis of the Jamaat
Tahir Ali November 30, 2014

http://tns.thenews.com.pk/genesis-of-jamaat-e-islami/#.VaDmAomxVK0 Nov 30,2014

Is Jamaat-e-Islami switching over from its peaceful democratic struggle to violent means to achieve its objectives?

Genesis of the Jamaat
Does Munawar Hasan know the implications of his views?Tahir-Ali2

Addressing last week’s Jamaat-e-Islami’s (JI) annual gathering in Lahore, former JI Ameer Munawar Hasan said that it was beyond the system based on elections to overcome the challenges being faced by Pakistan. “The problems of the society… can only be resolved through adopting and promoting the culture of jihad and qataal in the country. We need to wage jihad in the way of Almighty Allah along with democratic struggle to eliminate oppression and injustice from society.”
Does Munawar Hasan know the implications of his views? Will this qataal be against Pakistani security forces, political and religious leadership, parties or the entire system? Is the state on the wrong side and Taliban on the right or vice versa? Does JI support al-Qaeda?
It is ironical that he was the Ameer of JI and a successor of Maulana Maududi. Did Maududi write his famous book Aljehad Fil Islam on the strategy of qataal in a Muslim society? Munawar Hasan himself has never visited the battlefield himself or allowed his family members to go to the frontline. His assertion is likely to be misconstrued as an invitation/permission for violent reformation struggle.
Munawar Hasan represents a narrative in Pakistan that has many buyers. This narrative looks at democracy and electoral system as a hurdle in change. He dreams of an Islamic revolution, favours use of force to coerce compliance to Shariah, doesn’t accept the state boundaries and believes in Ummah as a political concept, sympathises with militants and considers them Mujahideen, thinks suicide attacks and terrorism are planned and executed by local agencies or Raw, CIA, Blackwater and attributed to Muslims to malign Islam, opposes military operations against militants and urges talks with them and so on.
Also read: The ameer and his party
He is not alone in these views. And there are many reasons — our dysfunctional system of justice and social services delivery system has disillusioned the masses. Private TV channels, intellectuals, religious class and state institutions have played their role to perpetuate and expand this disillusionment. Anti-democracy sentiments have spread especially in religious parties which have traditionally received negligible electoral success. The JUI F talks of democracy, for it has enjoyed sufficient electoral benefits.
JI at a crossroads
Earlier, Munawar Hasan had said that JI shared the same ideology with TTP and that the difference was in the tactics that JI employed. But how could JI, a political party that believes in democracy and constitutional rule within Pakistan, and al Qaeda and TTP, militant violent outfits that work for global khilafat, have same ideology.
Munawar Hasan represents a narrative in Pakistan that has many buyers. This narrative looks at democracy and electoral system as a hurdle in change. He dreams of an Islamic revolution.
There is no room for violent means in the JI strategy. Article 5 of the JI Constitution spells out that for the desired reform and revolution, the Jamaat shall use democratic and constitutional means, i.e., the use of advice and propagation of thought for reforming the mind and character, and preparing public opinion for accepting the desired changes and that this struggle for the realisation of its objectives shall be open and public, and not on the pattern of secret movements.
JI has several advantages vis-à-vis its rivals — discipline, countrywide support, internal democracy and simplicity. Even though Sirajul Haq, Ameer JI, says ballot paper is the only source of power and reformation, JI is at a crossroads. It has to decide whether it prefers the successful peaceful democratic Turkish model or the failed reactionary/violent Algerian and Egyptian models.
It has to decide whether it has to maintain status quo in its targets, ideology, structure and strategy. Or it has to become an ultra right militant group like al-Qaeda and TTP, or it reviews its plans and performances in the light of careful analyses of failure of Egypt’s Muslim Brotherhood and Turkey’s Justice and Development Party, to shape anew its political vision and mission and become a modern party.
Private jihad not allowed
Jihad is not synonymous with terrorism but opinions differ on what constitutes true jihad. For example, al-Qaeda and TTP assert that they fight for Islam; what is jihad for them is terrorism for others. There is no concept of war without state permission. War has only to be declared and managed by the state and government.
Similarly, administration of justice and execution of punishment is also the sole authority of the state. Women, sick people, children, animals, crops and non-combatants cannot be targeted. And desecration of bodies and targeting of religious places is not allowed.
All big religious schools of thought agree over this. There is no exemption for anyone.
Maulana Maududi never approved of jihad by private outfits. He had even outlawed jihad in Kashmir in 1948 for Pakistan had infiltrated private fighters there without any formal declaration of war. Had he been alive, he certainly would not have liked JI’s militant leanings.
Covert war against state(s) having diplomatic relations with Pakistan?
Maulana Maududi refers to Surah Anfaal 8:72, which says that Muslims are not allowed to indulge in secret subversive activities against infidels. He explains: “If we get into a dispute with a nation we are associated in a treaty with, and we realise that dialogue or international arbitration is not helpful in resolving the conflict or that it is bent on using force, it is legitimate for us to use force for its resolution. But this verse makes us morally bound that this use of force should come after clear and open declaration. To undertake covert armed activities, which we are not ready to admit openly, is an immorality which is not taught by Islam.”
Muslim states responsible only for their own citizens
In this verse, it has also been mandated that Islamic state is in no way responsible for the Muslims living outside its border. Maududi explains: “The responsibility of the Islamic states, as per this verse, is restricted to those living inside its borders….thus Islam has uprooted the very dispute that often originates from international complexities because when a country takes it upon itself to support some minorities living in other countries, it creates such anomalies that cannot be even solved by recurrent wars.”
What is Ummah?
Ummah is a spiritual concept but it is unfeasible as a political ideology. Unity is witnessed in Hajj which is a religious gathering. However, when Muslims come together in UN, OPEC, OIC, ECO etc which are political or economic entities, each country tries to safeguard its own interests for the ruler of each is the guardian of his nation who is accountable to/for his subjects. And when religious sects/parties cannot tolerate their rivals in other sects and in political struggle/fields and don’t unite into one, how could they argue for global Muslim Ummah neglecting state boundaries.
Muslims live in different countries and though they have sympathies with Muslims, every state pursues its own national interests first.
Sirajul Haq as a political leader prefers his party interests. As KP Finance Minister, he is not ready to share KP benefits with other provinces. At individual level, a Muslim doesn’t let stranger “Muslim brothers” enter his house or let them construct house on his land. Can he travel to another country without a valid visa issued by the other state from the Muslim ummah? Where is ummah in this equation?
Confusion?
Religious parties are confused over the genesis of terrorism. Terrorism can either be the work of foreigners/non Muslims or of extremists who are unhappy with the foreign policy. It cannot be two things at the same time. If it is the work of the former, there should be no reason to attribute the rise of terrorism to our alliance with the West and to suggest withdrawal from the coalition or talks with them as the prerequisite for peace in the region. And if it is committed by extremists, foreign agencies get automatically absolved of the blame.
Even if, as they say, Pakistan’s alliance with the West is the only reason for terrorism in Pakistan, does this justify the violence perpetrated by the extremists? They are yet to openly declare the TTP’s strategy unjust and un-Islamic.

Tahir Ali
tahir ali
The author is an academic and a freelance columnist. He blogs at tahirkatlang.wordpress.com and can be reached at tahir_katlang@yahoo.com.

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ORIGINAL TEXT OF THE ARTICLE

Jihad and Qital and democracy

By Tahir Ali

Addressing last week’s Jamaate Islami’s (JI) annual gathering in Lahore, Munawar Hasan, Ex Amir JI, ruled that it was beyond the system based on elections to overcome the challenges being faced by Pakistan. “I won’t mince my words in declaring that the problems of the society in which we live can only be resolved through adopting and promoting the culture of Jihad and Qital (war) in the country. “We need to wage Jihad in the way of Almighty Allah along with democratic struggle to eliminate oppression and injustice from society.”

When MH says Jihad and Qital is needed to support democratic dispensation which alone doesn’t suffice to solve problems, does he know what could be the implications of his views? Will this Qital be against Pakistani security forces, political and religious leadership, parties or the entire system? Is the state on the wrong and Taliban on the right or vice versa? Does JI support Alqaeda? Is it legitimate to wage war against Pakistan and its citizens? The nation awaits clarification.

It is ironical he was the Amir of JI and a successor of Maulana Madoodi who was famous for his constitutional mind. Did Maulana Maudoodi write his famous book Aljehad Fil Islam on the strategy of Qital in a Muslim society? And then MH has passed almost his entire life in the peaceful democratic political struggle. He doesn’t seem ever to have visited battlefield himself or allowed his family members to go to the frontline of Qital. Then why this assertion which could be misunderstood by Pakistani youth as an invitation/permission for violent reformation struggle.

By persisting with intermittent statements that often trigger controversies, Munawar Hasan has shown that the leftwing activist in him who joined the National Students Federation – a student body with a communist ideology- and was elected its President in 1959 is very much still there. In NSF, he seems to have contracted an extreme hatred for the ‘US Imperialism’ that still overwhelmingly shapes his thoughts. Whosoever that fights or claims to fight with the US becomes his hero. An acute hatred of this kind often leads one to deviate from the path of justice and fair-play.

Munawar Hasan represents a narrative in Pakistan that has, nevertheless, many buyers here. This narrative looks at democracy and electoral system as a hurdle in change’; dreams of an Islamic revolution; favours use of force to coerce compliance to Shariah; doesn’t accept the state boundaries and believes in Ummah as a political concept; sympathises with  militants and considers them Mujahideen in Allah’s path; thinks suicide attacks and terrorism are planned and executed by local agencies or Raw, CIA, Blackwater and attributed to Muslims to malign Islam; opposes military operations against militants and urges talks with them and so on.

He is not alone in these views. Many do so. Reasons thereof are many. Our dysfunctional system of justice and social services delivery system has disillusioned the masses. Private TV channels, intellectuals, religious class and state institutions played their role to perpetuate and expand this disillusionment. Anti-democracy sentiments have spread enormously especially in religious parties which have traditionally received negligible electoral success. JUI F talks of democracy for it has enjoyed sufficient benefits from its democratic manoeuvres so far.

JI at a crossroads

Earlier, Munawar Hasan had said that JI shared the same ideology with TTP and that the difference was in the tactics that JI employed. But how could JI, a political party that believes in democracy and constitutional rule within Pakistan, and Alqaeda and TTP, militant violent outfits that work for global khilafat, have same ideology, one fails to understand.

There is no room for violent means in JI strategy. Article 5 of the JI Constitution spells out that for the desired reform and revolution, the Jamaat shall use democratic and constitutional means, i.e., the use of advice and propagation of thought for reforming the mind and character and preparing public opinion for accepting the desired changes and that this struggle for the realisation of its objectives shall be open and public, and not on the pattern of secret movements.

JI has several advantages vis-à-vis its rivals like discipline, countrywide support, internal democracy and simplicity. Even though Sirajul Haq, Amir JI, says ballot paper is the only source of power and reformation, JI is at a crossroads. It has to decide whether it prefers the successful peaceful democratic Turkish model or the failed reactionary/violent Algerian and Egyptian models.

It has to decide whether it has to maintain status quo in its targets, ideology, structure and strategy. Or it has to become an ultra right militant group like Alqaeda and TTP, or it reviews its plans and performances in the light of careful analysis of failure of Egypt’s Muslim brotherhood and turkey’s  Justice and Development Party, to shape anew its political vision and mission and become a modern party.

Muslims should obey their rulers

Religion doesn’t prescribe a particular political system but it gives broad principles that the government of the Muslims be formed and run through consultations, that it should be obeyed in all matters except vices, that disobedience to it is a sin and revolt against it is not allowed unless a kufre bawah (open heresy like denouncing Quran or prayer or Haj for example) is witnessed, that baaghi (mutineers) and fasadi (mischief-mongers) will be with dealt severely etc.

Prophet Muhammad (PBUH) said: “If someone ever hears some disgusting things from his ruler, he should observe patience because if anyone went out even a hand sized distance from the obedience of his government and died thus, he died in a state of jahiliant (ignorance) [Bukhari 7053]. But if he is ordered to commit a sin, he will neither listen to him nor obey him [Muslim 4763].

 

Private Jihad not allowed

Jihad is not synonymous with terrorism but opinions differ on what constitute true Jihad. For example, Alqaeda and TTP assert that they fight for Islam. What is Jihad for them is terrorism to others. There is no concept of war without state permission. War has only to be declared and managed by the state and government. Similarly administration of justice and execution of punishment is also the sole authority of the state. Women, the sick, the children, animals, crops and Non-combatants cannot be targeted which are. And desecration of bodies and targeting of religious places is not allowed. All big religious schools of thought agree over this. There is no exemption in this principle for anyone. When Allah didn’t even confer on His prophets the right to declare war without first gaining state/sovereign power, how can it be given to the Mujahideen of today?

Maulana Maudoodi never approved of Jihad by private outfits. He had even outlawed Jihad in Kashmir in 1948 for Pakistan had infiltrated private fighters there without any formal declaration of war. Had he been alive, he certainly would not have liked JI militant leanings. It is incomprehensible that MH learnt from his 40plus years of association with Maulana Maudoodi and JI that a culture of Qital needs to be spread in Pakistan. It deserves a better future than being subjected to and degenerated to be like Afghanistan, Iraq, Syria, Labya by recourse to militancy?

Covert war against state(s) having diplomatic relations with Pakistan?

Muslims, in Anfaal 8:72, are not allowed to indulge in secret subversive activities against infidels, what to talk of Muslim governments. Maulana Maudoodi explains: “If we get into a dispute with a nation we are associated in a treaty with, and we realise that dialogue or international arbitration is not helpful in resolving the conflict or that it is bent on using force, it is legitimate for us to use force for its resolution. But this verse makes us morally bound that this use of force should come after clear and open declaration. To undertake covert armed activities, which we are not ready to admit openly, is an immorality which is not taught by Islam.”

Suicide attacks are also wrong and illegitimate from Islamic perspective for in a suicide attack, the attacker kills himself first with his own hands which is prohibited in Islam.

Muslim states responsible only for their own citizens

In this verse, it has also been mandated that Islamic state is in no way responsible for the Muslims living outside its border. Maudoodi explains: “the responsibility of the Islamic states, as per this verse, is restricted to those living inside its borders….thus Islam has uprooted the very dispute that often originates international complexities because when a country takes it upon itself to support some minorities living in other countries, it creates such anomalies that cannot be even solved by recurrent wars.”

Democratic and peaceful struggle

The situation is Pakistan is that to the extent of statute book, all laws (except the interest based bank transactions) are in consonance with traditional Islamic jurisprudence. If our system has failed to deliver it is because the laws are not being rightly followed, plaintiff and defendant lie in courts, witnesses either decline to give testimony or give wrong one, the police is corrupt, the lawyers use delaying tactics and the court officials seek bribes. There is room for improvement but the only way to remove the shortcomings and bring improvement in the government and individuals is the peaceful non-violent way comprising strategies of education, incitement, persuasion, encouragement, giving good tidings and informing/cautioning on vices. The violent strategy for that purpose leads only to disunity, injustices, anarchy and destruction.

Democracy may have its shortcomings but its benefits outnumber its drawbacks. It provides opportunity for gradual improvement. When peaceful change is possible (MMA, PTI mandate) why resort to illegal violent means?

Is coercion allowed?

 

Extremists advocate Jihad increases compliance with Islamic laws. But Muslims are not bound or entitled to force people or governments to come to the right path. Even the prophets of Allah were bound to preach and not to be dictators and force compliance. How could others be? Preaching should be done slowly, gradually, peacefully, affectionately and patiently. All the great Scholars of all Islam- Imam Abu Hanifa, Imam Malik, Imam Ahmad, Imam Shafi, Imam Bukhari etc never resorted to armed struggle against Muslim rulers who were more vicious and sinful than the rulers of today.

What is Ummah? Where is Ummah

Ummah is a spiritual concept but it is unfeasible as a political ideology. Unity is witnessed in Hajj which is a religious gathering. However when Muslims come together in UN, OPEC, OIC, ECO etc which are political or economic entities, each tries to safeguard its own interests for the ruler of each is the guardian of his nation who is accountable to/for his subjects. And when religious sects/parties cannot tolerate their rivals in other sects and in political struggle/fields and don’t unite into one, how could they argue for global Muslim ummah neglecting state boundaries. Muslims live in different countries and though they have sympathies with Muslims, every state pursues its own national interests first. Sirajul Haq as a political leader prefers his party interests and as KP finance minister is not ready to share KP benefits with other provinces. At individual level, a Muslim doesn’t let stranger “Muslim brothers” enter his house or let them construct house on his land. Can he travel to another country without a valid visa issued by the other state from the Muslim ummah? Where is ummah in this equation?
Gradual reformation?

Many Islamists who are eager and impatient to bring revolution are confusing two things: first, to desire and work for reformation; two, to be able to realise the dream. While Muslims are asked to work for bringing reformation, they are not bound to ensure it at any cost. They have to work for that and if they fail, they still will be rewarded for their sincere efforts. Forgetting this difference leads one to resort to hasty violent means for achieving objectives.

A collective system and its continuous reformation is the prerequisite for a civilised life but there is disagreement over whether reformation of society should precede that of the political system or follow it. One viewpoint argues when society and its people are reformed, governmental system will improve. The other says a competent and honest government automatically entails a transformed and honest society.

Confusion?

 

Religious parties are confused over genesis of terrorism. Terrorism can either be the work of foreigners/non Muslims or of extremists who are unhappy with the foreign policy. It cannot be two things at the same time. If it is the work of the former, there should be no reason to attribute rise of terrorism to our alliance with the west and to suggest withdrawal from the coalition or talks with them as the pre-requisite for peace in the region. And if it is committed by the extremists, foreign agencies get automatically absolved of the blame.

Even if, as they say, Pakistan’s alliance with the west is the only reason for terrorism in Pakistan, does this justify the violence perpetrated by the extremists? They are yet to openly declare the TTP’s strategy unjust and un-Islamic.

Tahir Ali

The author is an academic and a freelance columnist. He blogs at tahirkatlang.wordpress.com and can be reached at tahir_katlang@yahoo.com

Dawn-KP budget 2014-15

Progressive taxation of farm incomes

By Tahir Ali

Published Jun 23, 2014 06:11am

http://www.dawn.com/news/1114457/progressive-taxation-of-farm-incomes
The Rs404.8bn Khyber Pakhtunkhwa balanced budget for 2014-15, with a Rs139.8bn annual development programme, is aimed at addressing economic, social and industrial woes of the impoverished province, but falls short of business expectations.
“It is a status-quo budget devoid of any change, vision and reform agenda, and neglects the potential sectors. KP is beset with flight of capital, rising unemployment, terrorism and energy shortage. Joblessness is on the rise — there is 14.8pc unemployment in Khyber Pakhtunkhwa.
“Emergency steps are needed for economic growth, industrial revival, infrastructure development, energy supply, revival of sick industrial units and improvement in law and order and technical and IT education. But there is no proper roadmap for these areas.
“The government has failed to give new mineral, industrial, hydro, oil/gas and tourism policies reflective of its agenda for change,” says KP Chamber of Commerce and Industry President Zahidullah Shinwari.
The new budget is bigger by Rs69bn than the current budget of Rs344bn, while the ADP is higher by Rs21bn over this fiscal’s Rs118bn.
Major revenue receipts include Rs227.12bn from federal tax assignments, Rs12bn in net hydro profit, Rs32.27bn as NHP arrears, Rs29.26bn from oil/gas royalty, Rs27.29bn as war on terror grant and Rs35.35bn as foreign assistance etc.
KP’s own revenue receipts are estimated at Rs29bn (up by 70 per cent against the current year) and include Rs19.45bn in tax receipts and non-tax revenue of Rs9.3bn. This includes Rs12bn as GST on services. The province also earns Rs2.85bn from its own power plants.
The budget suggests insufficient measures to check the current expenditure which has reached around 70 per cent of the total budgeted outlay.
The finance minister promised to provide 15,000 more jobs in the public sector, but admitted that joblessness cannot be eliminated by the government alone. Without support of the private sector, and for that matter, economic growth, the problem cannot be solved.
There seems to be a genuine attempt to raise provincial revenues. The PTI-led KP government has proposed a progressive tax on agriculture income, as well as land tax and property tax. The KP revenue authority will conduct a proper survey to determine the property tax.
It intends to raise fees on stamp duty, professionals and professional institutions, business establishments etc. Strangely, a PTI-led government is to tax educational institutions, including medical, engineering and law colleges.
The finance minister says the province is replete with abundant human and natural resources, but its population is living in poverty and backwardness owing to unfair distribution of resources, flawed planning, joblessness, illiteracy, corruption, nepotism, weak accountability system and lack of good governance. He vowed to root out these evils.
Prepared under the ‘Integrated Development Strategy’, the budget aims at good governance, responsive social services delivery, economic prosperity, peace, economic growth and job creation, improved transparency and accountability, enhanced fiscal space and gender equity.
The minister said the private sector would be involved in the construction and maintenance of public sector development projects in partnership with the public sector.
However, important sectors have been allocated higher but yet paltry sums: Rs3.4bn for power sector against Rs1.4bn in the current year; Rs4.7bn against Rs3.28bn for irrigation and Rs1.58bn against Rs1.53bn for agriculture. Agriculture is the backbone of the economy as 70 per cent people in KP are dependent on it for their survival.
A Board of Investment and Trade has been formed to ensure an investment- friendly environment and for economic revival. The KP oil and gas authority has been constituted for better use of existing resources and for exploring new ones. But the impact of the two bodies is still not yet visible.
The finance minister says KP’s industrial sector is hit by lawlessness, energy crisis, limited market, high cost of production, dilapidated infrastructure and inadequate technical knowhow.
For this, technical education is to be promoted and has been allocated Rs3.7bn.
A self-reliance scheme with a Rs2.7bn rolling fund has been proposed to give interest- free loans of Rs50,000-200,000 to jobless youth.
He said the mineral sector could be used for poverty alleviation but earmarked only Rs0.62cbn for the sector.
The government intends to set up a stock exchange in Peshawar and is seeking support of the federal government in this regard.
Several austerity measures have been proposed to bring down expenditure. No treatment/training abroad, no new cars and no new posts are to be allowed unless approved by the chief minister. The construction of houses for officials and ministers on 20 marlas and 110 per cent raise in salaries of ministers, advisors etc. This is, however, being resented.
A sum of Rs7.9bn has been allocated for a pro-poor initiative under which various welfare programmes such as health insurance and provincial youth technical education etc will be launched. A Rs6bn special relief package programme for giving subsidised edible items to the poor has been proposed in the budget.
Various hydro and alternate energy projects being launched include the construction of 350 small dams.
Published in Dawn, Economic & Business, June 23rd, 2014

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ORIGINAL TEXT OF THE ARTICLE AS IT WAS SENT TO DAWN
KP budget 2014<br
By Tahir Ali
The Rs404.8bn Khyber Pakhtunkhwa balanced budget for 2014-15 with Rs139.8bn annual development programme addresses almost all the problems the province is faced with but gives only partial remedies to the economic, social and industrial woes of the impoverished province.
“The budget is a status-quo budget devoid of any change, vision and reform agenda and neglects the potential sectors. KP is beset with flight of capital, rising unemployment, terrorism and energy shortage. Joblessness is on the rise –there is 14.8 percent unemployment in Khyber Pakhtunkhwa against around 9.5 percent at national level. Province own revenues have remained stagnant. Real estate not taxed. Emergency steps were needed for economic growth, industrial revival, infrastructure development, energy supply, revival of sick industrial units, improvement in law and order, focus on technical and IT education but there is no proper roadmap for the areas. The government has failed to give a new mineral, industrial, hydel, oilg/gas and tourism policies reflective of its change agenda,” says the KP chamber of commerce and industry (Kpcci) president Zahidullah Shinwari.
Agonizing further is the fact that around 70 percent of the development funds lapsed in the current fiscal, he added.
The new budget is bigger by 69bn from the current year budget of Rs344bn while the ADP is higher by Rs21bn from this fiscal’s ADP of Rs118bn.
Major revenue receipts include Rs227.12bn federal tax assignments, Rs12bn net hydel profit plus Rs32.27bn as NHP arrears, Rs29.26bn oil/gas royalty, Rs27.29bn war on terror grant Rs35.35bn as foreign assistance besides some others sources.
KP’s own revenue receipts are estimated at Rs29bn (up by 70 per cent against the current year) include Rs19.45bn tax receipts and non tax receipts of Rs9.3bn. Rs12bn as GST on services which rose by 100 per cent is inclusive of tax receipts. The province also earns Rs2.85bn from own power plants.
The PORs target may be easily met in next fiscal and the years to come as new power plants get operational and sales tax collection targets is met for being easy,
Unlike other provinces, the budget has been divided into welfare, administrative and development sections but it is insignificant as welfare and administrative is the current budget having an outlay of Rs265bn while development budget is Rs139.8bn with Rs100bn local and Rs39bn foreign component.
The budget suggests insufficient measures to check current expenditure which has reached around 70 per cent of the total budget.
The expansion of the public sector must be a matter of concern for the subsequent government. The rising pay and pension bill of Rs176.5bn (66 percent of total current expenditure of Rs265bn) will squeeze space for development budget in future if not tackled. Industrialisation and Private sector
The finance minister promised to provide 15000 more jobs in public sector but he agreed that joblessness cannot be eliminated by government alone. Without support of private sector and for that matter economic growth, the problem couldn’t be achieved.
There seems to be a genuine attempt this time round to raise the provincial revenues locally and reduce dependence on federal and foreign funds. The PTI-led KP government has proposed a progressive tax on agriculture income, land tax and a progressive property tax.
KP has established KP revenue authority. This year a proper survey will be conducted to properly determine property tax.
It intends to raise the ratio of provincial taxes and fees on stamp duty, professionals and professional institutions, business establishments, agriculture income and salaries.
The rise in taxes/fees is expected to hit the consumers ultimately for it will be passed on to them. Strangely, a PTI-led government is to tax educational institutions including medical, engineering and law colleges.
The minister said KP is replete with abundant human and natural resources but its population is living under poverty and backwardness for unfair distribution of resources, flawed planning, joblessness, illiteracy, corruption, nepotism, weak accountability system and lack of good governance and vowed to root out these evils.
Prepared under the “Integrated Development Strategy”, the budget aims at good governance, responsive social services delivery, economic prosperity, peace, economic growth and job creation, improved transparency and accountability, enhanced fiscal space, gender equity and donor harmonization.
The minister said public private partnership act has been approved. The private sector would be involved in the construction and maintenance of public sector development projects.
Education has proved to be its biggest priority. However, important economic sectors have been allocated paltry sums: Rs3.4bn for power sector against Rs1.4bn in current year, Rs4.7bn against Rs3.28bn for irrigation and agriculture Rs1.58bn against Rs1.53bn in current year. The detailed expenditure report for the current year reveals that vital social and economic sectors of the ADP like social welfare, education, agriculture, energy/power and industries had been allocated Rs0.6bn, Rs24bn, Rs1.53bn, Rs2.2bn and Rs4.4bn respectively but actual utilisation remained at Rs.2bn, Rs3.72bn, Rs0.63bn, Rs0.65bn and Rs1bn could be utilised in this fiscal in that order.
Agriculture is the backbone of the economy as 70 per cent people in KP are dependent over it for their survival but only Rs1.5bn has been allocated for the sector. The poverty and inability of farmers to use enough quality inputs to raise their produce but the government comes up with only loans on easy terms for them.
A Board of investment and trade has been formed to ensure investment friendly environment and for economic revival. KP oil and gas authority has been constituted for better use of existing resources and to explore new ones but its impact is still not discernable.
To bring down poverty and accountability, the government has promulgated the right to information law and established a commission for access to information, access to services’ commission and conflict of interest commission, ihtesab commission, a complaint cell in CM secretariat. And a public procurement regulatory authority established to make the procurement system of hiring of services, goods and construction transparent and corruption free and introduced the market rate system instead of the composite scheduled rates to ensure transparency in development schemes.
The minister said KP industrial sector is hit by lawlessness, energy crisis, limited market, high cost of production, dilapidated infrastructure and lack of technical knowhow.
For this technical education is to be promoted which has been allocated Rs3.7bn. Technical University will be established.
Under the self-reliance scheme with a Rs2.7bn rolling fund has been proposed to give interest free loans of Rs50,000-200,000 to jobless youth on their personal guarantee.
He said the mineral sector could be used for poverty alleviation but then only allocated Rs0.62cbn in ADP for the sector.
The government intends to set up stock exchange in Peshawar to support the progress of industry and trade sectors and wishes the federal government to take further measures in this regard.
The government proposed ‘several austerity measures’ to bring down expenditure. No foreign treatment/training, no new cars and no posts to be allowed unless approved by CM. But he didn’t specify what happened to similar measures in the current budget. The minister said the government has formed committees for monetization and economy which are working with far reaching consequences, though he failed to identify any.
The construction of houses for officials and ministers on 20 marlas and 110 per cent raise in salaries of minister, advisors etc however is being resented.
Rs7.9bn has been allocated for a pro-poor initiative under which various welfare programs, such as health insurance, long-term loan for development of industries, and provincial youth technical education scheme etc would be launched. Rs6bn more allocated for a special relief package program for giving subsidized edible items to the poor.
Various hydel and alternate energy projects being launched. Rs7bn have been allocated to construct 350 small dams. 400 megawatts of electricity will be produced through gas whose cheap energy will be given to industries.