The incumbent government led by of Prime Minister Syed Yousuf Raza Gilani is celebrating the completion of 100 days in office. Analysis of the events that had occurred during the last 100 days shows that the government had failed at major political and economic fronts, most important being the restoration of deposed judges and the arrest of burgeoning inflation that is hurting every household. Most analysts and critics believe that there was no good news for the commoners of this country.
On the political front the biggest issue of all, judges’ restoration is still a question mark. People are not sure about the fate of judiciary and the outcome of lawyers more than a yearlong struggle. The coalition partners had promised to restore judges in 30 days, but it could not be materialised even in 100 days. This lingering issue is furthering confusion and chaos in the country and the issue is drifting the coalition partners apart. It is expected that the PML-N might quit the government, as it left the federal cabinet. Despite the deadlock on the issue, the government is still investing more time and resources on it with lesser attention given to the economic issues.
The negligence on the government’s part, whether it is intentional or unintentional, is vitalising the culture of cartelisation in the country, as many trade associations have become powerful cartels and are dictating the prices of products and commodities at their own, by setting aside the orders of the government.
Cold and indifferent attitude of Pakistan’s bureaucracy is increasing the sufferings of the commoners. Recently a major error committed by the officials of the Oil and Gas Regulatory Authority (OGRA) cost millions of rupees to the CNG users. The authority despite issuing a clarification failed to implement the “right price”, because CNG stations across the country are still fleecing consumers without any fear and justification. The government initially announced that the price of CNG has been raised by Rs13 per kg then it was later announced that they raise was actually Rs5.58 per kg, but the concerned association openly announced to defy the government’s price. The association is adamant to sell CNG at Rs47.25 per kg higher than the price announced by the government, but nothing is being done to ensure the orders issued by the government.
Similarly, prices of other essential commodities such as wheat, rice and gram have multiplied during the months of April and June. The price of wheat has increased to Rs2,440 per 100-kg, which was Rs1,675 on first of April. Per kilogramme price of wheat has also soared up by Rs7.65 in the markets in Karachi, and during last three months. Gram prices increased to Rs5,700 per 100-kg from Rs3,600 per 100-kg. While rice and other commodities, which are directly linked to the masses have shown an upward trend.
Many trade associations of this country are actively engaged in the game of undue profit making and nobody is out there to question them. The players of this game have made billions of rupees by creating artificial shortage, hoardings and other tactics that lead to the confusion in their favour. These cartels are blackmailing with the threats of strikes and shutter downs and it seems that government has deliberately left the people at the mercy of these strong cartels.
On the other hand the value of Pakistani rupee is constantly declining, during last three months national currency has devalued to more than Rs 71 against a dollar from Rs 63. This depreciation is hurting imports and exports and creating huge trade and balance of payment deficits. Initiatives of central bank have all failed to calm down the inflation and rupee depreciation.
The new fiscal year has brought more miseries for the inhabitants of this country who are already under immense burden of over pricing of almost all essential commodities. The nation was gifted with increased prices of petroleum products and natural gas, impact of this recent increase haunts people especially lower income groups.
It seems that the country is being run on adhoc basis. After the departure of Ishaq Dar as Finance Minister and Shahid Khaqan Abbasi as Trade Minister, these portfolios were handed over to Syed Naveed Qamar and Chaudhry Ahmed Mukhtar in addition to the portfolios of privatization and defence ministries respectively. Finance and Trade are very important ministries and require fulltime concentration in order to stabilize the wobbling economy of the country. Current volatile situation demands consistency and visionary approach otherwise a major economic disaster would be imminent.
No doubt present political regime has inherited number of economic problems from the government of Shaukat Aziz, who planted seeds of confusion and mismanagement in this country and finally chose to live in another country. During last eight years of dictatorship the prices of many commodities such as oil were not adjusted according to the international fluctuations. This illogical decision of last government is now multiplying the suffering of commoners because of sudden rise in prices. But it is the prime duty of present government to provide relief to households and it would have to take bold steps to mitigate the suffering.