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Ministry's lengthy reiteration of the provisions of the EDF Act, and a breakdown of allocations, doesn't address our principal line of enquiry: correlation between EDF spending and export gains. It is not the intent but tangible gains that our column questioned.

Take an example: MoC claims EDF funding has contributed to 'Export base diversification'.Has it indeed? Most commentators, various government documents not excepted,see no evidence of a material change. The persisting lack of product and market diversification is accepted as a major weakness of our export effort. Take another contention: EDF has contributed to improved competitiveness. Virtually all analysts agree that our export competitiveness has deteriorated over the years.

Expo centres may have 'revolutionised the trade fair sector' but wasn't the idea to bring export-oriented fairs to Pakistan? If we have succeeded what is the need of 'full-expenses-paid' invitations, our trade officers included? Where is the cost-benefit analysis? Won't it be prudent to have an independent evaluation done of their benefits to exports before launching new Expo Centres?

Our plea to 'fix' the EDF was anchored in:

-- Inadequate representation of the principal contributors on the EDF Board

-- An absence of selection criteria and project appraisal system

-- Misallocations (we can happily add numerous other instances of misuse to the few illustrations our column gave)

-- Monitoring and evaluation weaknesses (as typified by the leather sector allocations that we had cited) that accentuate the 'spend-gain' disconnect

Ministry's rejoinder does not frontally challenge any of these. Clichés like 'hearsay and innuendo' or 'false and unsubstantiated' cannot substitute for empirics and sound reasoning.

Typically, our columns begin by a tour de horizon that highlights weaknesses tolay the foundation for remedies. We never think our suggestions are infallible; the idea is to generate a debate in search of a viable 'solution'.

In the EDF piece we had suggested the incorporation of a company, with reasonable checks and balances and governmental controls, to manage the EDF. Ministry promises 'improvements' in the years to come but is conspicuously silent on any alternatives.

If the Ministry thinks all is well with the EDF management, requiringonly peripheral embellishments, we have nothing to add. Otherwise, as the wise man said "we cannot solve our problems with the same thinking we used when we created them".

Even if we do not agree with the Ministry's views we find their willingness to engage in a candid debate both refreshing and reassuring. This is what responsive government consists of. We fervently hope this new spirit gets mainstreamed - not a flash in the pan occasioned by the recent change of guard in the Ministry.



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