PAKISTAN:

                   THE LAND OF PURE

Pakistan, officially Islamic Republic of Pakistan, republic in southern Asia, bounded on the north and northwest by Afghanistan, on the northeast by Jammu and Kashmìr, on the east and southeast by India, on the south by the Arabian Sea, and on the west by Iran. The status of Jammu and Kashmìr is a matter of dispute between India and Pakistan. Until December 1971 Pakistan included the province of East Pakistan; at that time, however, East Pakistan seceded from Pakistan and assumed the name Bangladesh. The area of Pakistan is 796,095 sq km (307,374 sq mi), not including the section of Jammu and Kashmìr under its control. The capital of Pakistan is Islamabad; the largest city of the country is Karachi.

Problems of Partition
 The division of the subcontinent caused tremendous dislocation of populations. Some 3.5 million Hindus and Sikhs moved from Pakistan into India, and about 5 million Muslims migrated from India to Pakistan. The demographic shift caused an initial bitterness between the two countries that was further intensified by each country's accession of a portion of the princely states. Nearly all of these 562 widely scattered polities joined either India or Pakistan; the princes of Hyderabad, Junagadh, and Kashmìr, however, chose not to join either country.
On August 15, 1947, these three states became technically independent, but when the Muslim ruler of Junagadh, with its predominantly Hindu population, joined Pakistan a month later, India annexed his territory. Hyderabad's Muslim prince, ruling over a mostly Hindu population, tried to postpone any decision indefinitely, but in September 1948 that issue was also settled by Indian arms. The Hindu ruler of Kashmìr, whose subjects were 85 percent Muslim, decided to join India. Pakistan, however, questioned his right to do so, and a war broke out between India and Pakistan. Although the United Nations (UN) subsequently resolved that a plebiscite be held under UN auspices to determine the future of Kashmìr, India continued to occupy about two-thirds of the state and refused to hold a plebiscite. This deadlock, which still persists, has intensified suspicion and antagonism between the two countries.

QUAID-E-AZAM MOHAMMAD ALI JINNAH: Quaid-e Azam Muhammad Ali Jinah was born in Karachi on December the 25th, 1876, in a building known as Wazir Mansion. He got his early education at Karachi and Bombay. He did his barristery from England. He saw the name of Hazrat Muhammad (PBUH) on the top of the gate of Lincoln's Inn. So he decided to study there. After his return, Jinah started his practice in barristery. He joined All India National Congress in 1906. He attended for the first time a meeting of All India Muslim League in 1912. Later he Joined All India Muslim League in 1913. The third political party he joined was the Home Rule League. He was member of both the Congress and Muslim League at the same time. Initially he remained working with the Hindu leaders of Congress. He was given the title of "Ambassador of Hindu Muslim Unity" by prominent politicians. With the passage of time he realised that the Hindu leaders of Congress have a different agenda. He left Congress and became fully involved with Muslim League.
Jinah was a man of principles. He was probably the only person among all the big leaders of the subcontinent, who never went to jail. His motto was: Unity, Faith and Discipline. When Muslim League finally decided to have a separate country for Muslims of the subcontinent, it was the leadership of Jinah which led the nation to achieve this goal. Because of these leadership qualities and his firm stand on the issue, Britishers found no way to reject the demand of Muslims of the subcontinent for a separate homeland. He took charge as the first Governor General of Pakistan on 14th of August 1947 in a ceremony at Karachi. India never took risk of invading Hyderabad or Junagarh in his life. Jinah died on September the 11th, 1948, at Ziarat near Quetta. He was buried in Karachi. His tomb is a beautiful piece of architecture and is worth visiting.

WARS WITH INDIA:
1965:  in Apr., 1965, when fighting broke out in the Rann of Kachchh, a sparsely inhabited region along the West Pakistan-India border. In August fighting spread to Kashmir and to the Punjab, and in September Pakistani and Indian troops crossed the partition line between the two countries and launched air assaults on each other's cities. After threats of intervention by China had been successfully opposed by the United States and Britain, Pakistan and India agreed to a UN-sponsored cease-fire and withdrew to the pre-August lines. Prime Minister Shri Lal Bahadur Shastri of India and President Ayub Khan of Pakistan met in Tashkent, USSR (now Toshkent, Uzbekistan), in Jan., 1966, and signed an agreement pledging continued negotiations and respect for the cease-fire conditions. After the Tashkent Declaration another period of relative peace ensued.

1971: The people of East Pakistan Province declared their independence as the nation of Bangladesh on March 26, 1971, while fighting a savage war against the central Pakistani government. The fiscal separation from Pakistan took place, with extensive aid from India, on December 16, 1971. Bangladesh was soon recognized by most other nations, although Pakistan withheld diplomatic recognition until 1974 and China did not recognize the nation until 1976. Bangladesh was admitted to the United Nations in 1974.
 
THE KASHMIR ISSUE:
It is an old story of struggle for custody of Kashmir between arch-foes India and Pakistan, and a continuing tussle between militant groups, some of whom dream of a homeland independent from India and Pakistan, and Islamic hard-liners who want an aggressive brand of their faith to replace Kashmiriyat, or the Kashmiri spirit, a distinct 700-year-old identity based on religious tolerance.The government says Kashmir is legally part of India, but Muslim separatists have sought its independence for half a century. Pakistan, a Muslim country and longtime rival of Hindu-dominated India, also claims the region and supports the insurgents.
The Kashmir problem
As long as the territory's existence was guaranteed by the United Kingdom, the weaknesses in its structure and along its peripheries were not of great consequence, but, after the British withdrawal from South Asia in 1947, they became apparent. By the terms India and Pakistan agreed on for the partition of the Indian subcontinent, the rulers of princely states were given the right to opt for either Pakistan or India or--with certain reservations--to remain independent. Hari Singh, the maharaja of Kashmir, initially believed that by delaying his decision he could maintain the independence of Kashmir; but, caught up in a train of events that included a revolution among his Muslim subjects along the western borders of the state and the intervention of Pashtun tribesmen, he signed an Instrument of Accession to the Indian Union in October 1947. This was the signal for intervention both by Pakistan, which considered the state to be a natural extension of Pakistan, and by India, which intended to confirm the act of accession. Localized warfare continued during 1948 and ended, through the intercession of the United Nations, in a cease-fire, which took effect in January 1949. In July of that year, India and Pakistan defined a cease-fire line that divided the administration of the territory. Regarded at the time as a temporary expedient, this partition along the cease-fire line still exists.
Although there was a clear Muslim majority in Kashmir before the 1947 partition and its economic, cultural, and geographic contiguity with the Muslim-majority area of the Punjab could be convincingly demonstrated, the political developments during and after the partition resulted in a division of the region. Pakistan was left with territory that, although basically Muslim in character, was thinly populated, relatively inaccessible, and economically underdeveloped. The largest Muslim group, situated in the Vale of Kashmir and estimated to number more than half the population of the entire state, lay in Indian-administered territory, with its former outlets via the Jhelum valley route blocked.
The UN was founded in 1945 to banish the "scourge of war", and to take effective action to resolve disputes peacefully. That massive violations of human rights are taking place in Kashmir, a dispute that has been on the agenda of the UN for over 50 years and still remains a matter for serious concern for the world body. All the five permanent members of UN Security council, i.e; China, Russia, USA, UK and France have urged both India and Pakistan to halt the flare up in tensions. Where such call of peace are commendable, but knowing the track record that since fifty years such talks have not really helped in reduction of tension or the easing of hostilities between the two adversaries, calls for peace are not enough. At a time when the world is witnessing international engagement in conflict resolution- from east Timor to Northern Ireland, it is inexplicable why Kashmir has not seen similar mediatory efforts. The stakes are rising in the region bristling with nuclear weapons and missiles-yet the response of the international community as well as UN does not seem to match the dangers at hand-both for the region and for the world. This is the moment for the United Nation to go beyond simple calls for peace and engage constructively to restore peace and stability in the region , that is poised precariously between war and peace.

A LOOK AT THE CULTURE:

Religion
The leading religion of Pakistan is Islam, which is the faith of about 97 percent of the people. About four-fifths of the Muslims are Sunnite, and about one-fifth are Shiite. Hinduism and Christianity form the leading minority religions; other religious groups include the Sikhs, the Parsees, and a small number of Buddhists. The constitution defines Pakistan as an Islamic nation, but guarantees freedom of religion.

Languages
 The official language of Pakistan is Urdu, but less than one-tenth of the people use it as their first language. Punjabi is spoken by about one-half of all households, and Pashto, Sindhi, Saraiki, and Baluchi are also spoken by many people. In addition, English is extensively used by people in government, the military, and higher education.

Currency and Banking
 The basic monetary unit is the Pakistani rupee, consisting of 100 paisa (63 rupees equal U.S.$1; ). The State Bank of Pakistan, established in 1948, issues banknotes; manages currency and credit, the public debt, and exchange controls; and supervises the commercial banks. Pakistani banks were nationalized in 1974, but in the early 1990s the country transferred two banks to private ownership and issued licenses for ten new commercial banks. A number of major foreign banks maintain offices in the country. In conformity with Islamic doctrine, domestic banks in Pakistan have abandoned the payment and collection of interest. Investment partnerships between the bank and the customer have replaced loans at interest.

Government
Pakistan adopted a constitution in 1973, which was subsequently amended. Following a military coup d'état in 1977, however, a system of martial law was put into effect, and most aspects of the 1973 constitution were suspended. In 1985 parliamentary government was reestablished, the constitution restored, and martial law ended. Legislation enacted in 1991 made Sharia, or Islamic law, the supreme law of the land.

ECONOMIC POSITION:
The economy of Pakistan grew by 5.1 percent annually during the period from 1965 to 1980 and by about 6 percent during the 1980s and early 1990s. Nevertheless, in the early 1990s, the majority of the nation's citizens remained poor and heavily dependent on the agricultural sector for employment. This was largely a result of the country's high rate of population increase, but political factors, such as the war of secession waged successfully by East Pakistan (now Bangladesh) in 1971 and a coup d'état in 1977 (see "History," below), also slowed economic growth and modernization. In 1994 Pakistan's gross domestic product (GDP) was $52 billion.
 The government of Pakistan is deeply involved in directing the country's economy, and most major industries have been nationalized. A government economic plan for 1978 to 1983, however, recommended that private capital be given a greater role in the industrial sector; the plan for 1983 to 1988 emphasized investment in hydroelectric power and rural development. A plan implemented in 1988 to liberalize internal and external trade and privatize more sectors of the economy had produced increases in the GDP growth rate, export revenues, and domestic and foreign investment by the early 1990s. In 1993 the government moved to reduce the nation's deficit and lessen its reliance on foreign aid and loans, by introducing, among other measures, a national sales tax and increases in fuel taxes. The annual budget in the early 1990s included an estimated $9.4 billion in revenues and an estimated $10.9 billion in expenditures. Pakistan receives considerable economic assistance from foreign countries and from international organizations. The United States, which had imposed economic sanctions against Pakistan in 1990 in order to protest Pakistan's nuclear weapons program, lifted the sanctions in January 1996, clearing the way for economic assistance.
Agriculture
About 26 percent of Pakistan's total land area is considered arable. Agriculture and related activities engage about half of the workforce and provide nearly one-fourth of GDP. By the late 1970s an intensive land-reform effort had resulted in the expropriation of some 1.2 million hectares (some 3 million acres) from landlords, the distribution of almost half of this to tenants, and the limitation of individual holdings to 40 hectares (100 acres) of irrigated or 81 hectares (200 acres) of nonirrigated land. Formerly an importer of wheat, Pakistan achieved self-sufficiency in the grain by the mid-1970s. Chief cash crops are cotton (textile yarn and fabrics produce more than one-half of export earnings) and rice. Principal crops in the early 1990s (with output in metric tons) included sugarcane, 38.9 million; wheat, 15.7 million; rice, 4.6 million; cotton lint, 1.6 million; and corn, 1.3 million. The livestock population included about 36 million cattle and water buffalo, 27 million sheep, 39 million goats, and 164 million chickens.
Foreign Trade
The foreign trade of Pakistan consists largely of the export of raw materials and basic products such as cotton yarn, and the import of manufactured products. In the early 1990s annual exports earned about $6.8 billion and imports cost about $9.1 billion. The chief exports were cotton textiles, cotton yarn and thread, clothing, raw cotton, rice, carpets and rugs, leather, fish, and petroleum products; the main imports were machinery, electrical equipment, petroleum products, transportation equipment, metal and metal products, fertilizer, and foodstuffs. Pakistan's chief trading partners for exports are the United States, Germany, Great Britain, Japan, Hong Kong, the United Arab Emirates, Saudi Arabia, and France; chief sources of imports are the United States, Japan, Germany, Malaysia, Great Britain, Saudi Arabia, China, and France.

PAKISTAN IN THE 90'S:
A civil servant, Ghulam Ishaq Khan, was appointed president, and Benazir Bhutto became prime minister after her PPP won the general elections in November 1988. She was the first woman to head a modern Islamic state. In August 1990 President Ishaq Khan dismissed her government, charging misconduct, and declared a state of emergency. Bhutto and the PPP lost the October elections after she was arrested for corruption and abuse of power. The new prime minister, Nawaz Sharif, head of the Islamic Democratic Alliance, introduced a program of privatizing state enterprises and encouraging foreign investment. He also promised to bring the country back to Islamic law and to ease continuing tensions with India over Kashmìr. The charges against Bhutto were resolved, and she returned to lead the opposition.
In April 1993 Ishaq Khan once again used his presidential power, this time to dismiss Sharif and to dissolve parliament. However, Sharif appealed to the Supreme Court of Pakistan, and in May the court stated that Khan's actions were unconstitutional, and the court reinstated Sharif as prime minister. Sharif and Khan subsequently became embroiled in a power struggle that paralyzed the Pakistani government. In an agreement designed to end the stalemate, Sharif and Khan resigned together in July 1993, and elections were held in October of that year. Bhutto's PPP won a plurality in the parliamentary elections, and Bhutto was again named prime minister.
During the early and mid-1990s, relations between India and Pakistan became more tense. Diplomatic talks between the two countries broke down in January 1994 over the disputed Jammu and Kashmìr territory. In February Bhutto organized a nationwide strike to show support for the militant Muslim rebels in Indian Kashmìr involved in sporadic fighting against the Indian army. She also announced that Pakistan would continue with its nuclear weapons development program, raising concerns that a nuclear arms race could start between Pakistan and India, which has had nuclear weapons since the 1970s. Although tensions continued, talks between India and Pakistan eventually resumed in 1997. In January 1996, despite some controversy, the United States lifted economic and some military sanctions imposed against Pakistan since 1990. The sanctions, originally created to protest Pakistan's nuclear weapons program, were lifted in order to allow U.S. companies to fulfill contracts with Pakistan and to help foster diplomatic relations between the two countries. Pakistan was beset by domestic unrest in the mid-1990s. Violence between rival political, religious, and ethnic groups erupted frequently within Sind Province, particularly in Karachi. More than 650 people were killed in 1994 as a result of the violence. In 1996 Bhutto's government was dismissed by President Farooq Leghari amid allegations of corruption. New elections in February brought Nawaz Sharif to power in a clear victory for the Pakistan Muslim League. One of Sharif's first actions as prime minister was to lead the National Assembly in passing a constitutional amendment stripping the president of the power to dismiss parliament.

PAKISTAN BECOMES A NUCLEAR POWER:
conducts nuclear tests Becomes world's seventh declared nuclear weapon state; Ghauri missile being capped with nuclear warheads; Western scientists say tremors register between 4.7 and 5.0 on Richter scale; US monitors confirm multiple tests at Chaghi.

PAKISTAN TODAY:
The Kashmir issue is still unsolved. These days Pakistan is under a militray rule. General Perwaiz Musharruf is the Chief of State.
FINANCIALLY:
As the current fiscal year is drawing to close, budget blues for the next 2001-2002 fiscal has begun. It is in low spirit, seemingly for two reasons. One, the federal finance minister has publicly ruled out of creating new taxation. Economic spectrum would be sealed by four tax corners, being custom duty, sales tax, income tax and central excise duty, latter to be confined to mere five products. The former three have inherent capability to mop up more in prevailing structure of rising cost of production and services provision, fortifying by erosion in rupee value. With cost/price surge, ad valorem form of trio, brings in-built mechanism of increases. So, why add more load, with diminishing returns? Emphasis would be on intensified recovery process, procedures, etc.
 

EXTERNAL LINKS
 www.pakcenter.com
 www.dawn.com
www.thenews.com 
www.un.org