President Asif Ali Zardari made history on Saturday when he delivered the fifth consecutive address to a joint session of the Parliament. The President gave the credit for the historic performance of the external sector to the government and added that "we are beginning to show stronger growth of the economy."
The list of relief measures provided to vulnerable groups itemised by the President was exhaustive. He noted that the elected government took different decisions to get out of a threatening situation, maintain economic stability and bring prosperity to our citizens. He said that in particular his government gave relief to vulnerable segments.
"We have shown great discipline to reduce government expenditures. We have mobilised domestic tax revenues to lessen our dependence on others and to give better services and projects to our people. We have achieved historic performance in our external sector. We have maintained stability. And we are beginning to show stronger growth of the economy," he said. The President said that the government took steps for the benefit of the employees including;
1) Provision of sustainable jobs to around 7000 wrongfully sacked employees, who were reinstated.
2) 12,000 contract employees were regularised.
3) Six hundred sixty thousand Pakistani workers were sent abroad for overseas jobs.
4) The government introduced the Benazir Employees Stock Option Scheme to give 12 percent share of state-owned enterprises to the employees.
5) Shares worth many billions of rupees have been given to more than half a million employees and they have been made owners of national assets.
6) To employ youth, the Government provided internship to 100,000 holders of Master degrees.
7) Salaries of all government employees were increased by more than 125 percent in the last four years.
He said that to reduce the burden of common man, the Government provided over 1000 billion rupees subsidies to the power sector alone. To help the growers' a 110 billion rupees subsidy was given for fertilisers, he said.
The President said that a 137 billion rupees subsidy was provided for food items and, 104 billion rupees subsidy provided for petroleum products during the last 4 years. The government gave cash transfer of 70 billion rupees to flood victims to rebuild their lives and prevent them from falling into poverty trap, the president said.
Economy About economy, the President said the elected government inherited in economic problems, most prominent of which are: i) a fragile economic situation, ii)a balance of payment crisis, iii)-External shocks due to global recession and a huge fiscal imbalance, iv) Fiscal deficit was 7.6 percent, V) current account deficit had reached 8.4 percent, Vi)fiscal space provided by rescheduling of over 12 billion dollars loans in 2002 had been lost. Vii) Growth had lost momentum. Reserves began to deplete as the rupee fell and viii) Inflation peaked at an unprecedented 25 percent.
The President said that government's efforts to achieve high growth and employment were hampered by unprecedented floods and monsoon rains. The floods cost the country over 2 percent of GDP growth, and damage worth around 14 billion dollars. The government was also forced to cut other programs to look after the country's affected citizens.
The President in his address also seemed optimistic of the government achievements saying; 1) In spite of all the difficulties, the economy will grow by 4 percent in 2012. 2) Exports crossed a historic benchmark of 25 billion dollars last year. 3) Remittances were 11.2 billion dollars last year, and will double over the 2008 level this year. 4) Our foreign exchange reserves reached their highest level ever at over 18 billion dollars at the end of June. 5) Despite global increase in the price of oil and food our rate of inflation is coming down. We have worked hard to bring down inflation from its peak of 25 percent in 2008 to 11 percent at present. 6) Our tax collections have doubled from one thousand billion to about two thousand billion rupees since 2008. This year the tax growth is the highest ever at 26 percent. 7) The stock market has begun to improve. The index has crossed 13000 mark, compared to around 7000 in 2009. Dependence on food imports has reduced. The government estimates wheat crop to be 25 million tons and cotton crop will touch 13 million bales despite a loss of 2 million bales due to floods in Sindh. 8) The government has adopted agricultural pricing policy, so as to benefit farmers and bring prosperity to rural areas. In the last two years, approximately Rs 800 billion additional income has been generated for the growers. 9) During the last four years, the Government spent 2200 billion rupees on development programs. More than 200 projects have been completed including Chashma Nuclear Power-2, Mangla Raising, Mirani Dam, Islamabad Peshawar Motorway and Islamabad Muzaffarabad Expressway. 10) New projects of national importance have been started including Bhasha Dam Project, Neelum-Jhelum Hydro power, Tarbela Extension, Chashma Nuclear Power 3 and 4 and rebuilding of KKH and Indus Highway. The government will soon start construction of Karachi-Hyderabad Motorway on BOT basis. 11) The President said he travelled several countries to promote trade. The government has negotiated currency swap arrangements with China, Russia, Turkey and Jordan.
Benazir Income Support Program The President said the program provides cash transfers, job training, insurance and business support. He said that the government has given 138 billion rupees in four years. The principal beneficiaries are woman heads of the households, he said.
"Additionally, 6 billion rupees were provided through Bait-ul-mal to deserving individuals. Five billion rupees of Zakat fund have also been provided to the needy,' he said.
Forthcoming elections President Zardari said that a new Parliamentary year is starting and he would see free, fair and transparent general elections in the country during this period.
He said that the government moved further to make democracy more transparent and ensure that the elections are fair and free. He said that the 20th amendment ensures the independence of the Election Commission and the selection of an impartial caretaker government through a process of consultation between government and opposition in the parliament.
"This extraordinary legislation will guarantee credible elections, increase confidence in democracy and enhance the image of our country in the world. We have pursued the politics of reconciliation and harmony. We have formed coalition governments to deepen democracy," he said.
Loadshedding The President said that loadshedding is a major problem especially when the water levels in big dams are down. The government is trying to get out of this situation.
He said that since 2008, the present government has added another 3300 Megawatts. The government's long-term policy to generate electricity is to move towards power generation based on indigenous resources, he said.
He said the Prime Minister has laid the foundation stone of Basha Dam project which will produce more electricity than combined production of Tarbela and Mangla Dams. Other Hydel projects under construction will yield another 1740 Megawatts. Chinese companies have made BOT offers to generate 5000 Megawatts at Dassu and Munda, he said.
"Unfortunately, development of Thar Coal for electricity generation was halted during the previous Governments. Multinationals and Pakistani joint ventures are now undertaking projects to produce electricity at Thar. The government is expecting construction of 11 Wind Power Projects and 14 Baggasse based projects to begin shortly. The government has ensured that tariff for 8 million power consumers is not enhanced during the last 4 years," he said.
NFC Award The president said that after a gap of 13 years, the federal and all provincial governments agreed on a new NFC Award. In the new Award the share of the provinces has been increased. Now nearly 70 percent of the resources are being transferred to the provinces. This means there is more money for education, health, drinking water, municipal services and law and order with the provincial governments.
In the last two years alone, over 800 billion rupees have additionally been transferred to the provinces. If utilised correctly, these resources can help transform the lives of our people, he said.
Terrorism and extremism The President said that our country has been facing the threat of militancy and extremism. The country's forces, police and civilians have been attacked and martyred. Our bases, police stations, pipelines, railway tracks, hotels, schools, have been targeted. Even our mosques, churches and religious shrines have not been spared, he said.
Our country's image has been negatively projected. Our economy has had to bear extra burdens. Even the good name of our great religion - a religion of peace and harmony and love - has been exploited, he said.
The president said that to deal with the mindset of a small minority, the government has mobilised society and tried to evolve a national consensus.
"We will continue to show resolve on this issue. I believe that our efforts have begun to pay off and the situation has improved. I join the Parliament and the nation in recognising the sacrifices of our Armed Forces, Civil Armed Forces, Police and all the innocent men and women who have suffered or embraced martyrdom. I salute the courage and sacrifices of those who have laid down their lives to secure the future of our nation. I also pray to Allah for them and their families."
Historic legislation The president said that all in parliament worked together to restore the 1973 Constitution. The rule of law has been established. The supremacy of the Parliament has been assured. As President I surrendered my powers. And today, the Prime Minister, the Chief Executive, enjoys full authority as required by law. This was a shining moment for our parliament and history will remember this achievement," the President said.
"We moved with speed and determination to strengthen the federation by redressing the imbalance between the powers of the center and the provinces. The government transferred eighteen ministries to the provinces. We enhanced provincial autonomy. We have made the Council of Common Interests fully functional. This great transformation was achieved with complete agreement of all the stakeholders. This shows complete unity of our nation in adopting legislation to make our country strong and democracy more inclusive. This is the first time in our history that an elected President is addressing the Joint sitting for the Fifth time. I want to thank the leadership of all the political parties for their support to the democratic process," he said.
Balochistan issue The President said he apologised for the wrongs done to Balochistan in the past. Aghaz-e-Haqooq-e-Balochistan is under implementation to mitigate feelings of being left out, he said. But the government recognises that much more needs to be done to heal the wounds of the past. "We are willing to go extra mile to engage in dialogue with our Baloch brothers," he said.
The President said that towards this end, the government has already created 11,500 jobs financed by the federal government. The government is disbursing arrears of 120 billion rupees on account of Gas Development Surcharge and doubling its share under the NFC, he said.
"The steps taken by the Government provides a solid basis for moving towards a settlement of the grievances of the people of Balochistan," he said.
"I realise that many in Balochistan feel neglected and even deprived. We have tried to redress the situation. I apologised personally for the mistakes of the past. The government has taken steps on both the political and economic fronts. I have already talked about some of the steps to transfer resources, generate employment and increase economic activity in Balochistan, he said.
Foreign Policy The President said that parliamentary oversight and democratic accountability is a new and important facet of foreign policy. The government is committed to maintaining country's bilateral relations with all on the principles of mutual respect for each other's sovereignty, territorial integrity and equality, he said. Pakistan fully supports an Afghan-owned and Afghan-led peace process in Afghanistan, he added.
He said the government has signed the Pak-Afghan transit trade agreement which will open up country's trade with Central Asian countries "with whom we have historical ties. Important steps have been taken to open up trade between India and Pakistan. But we must also address difficult issues including that of Jammu and Kashmir dispute. Pakistan and China have a unique relationship which is deeply rooted and mutually beneficial," he said.
"My eight visits to China are a manifestation of taking this relationship to new heights. Pakistan-United States relations are multi-dimensional and important. 2011 was a challenging year. We seek to engage meaningfully with the US on the basis of mutual interest and mutual respect. We are looking forward to your recommendations for re-engaging with the United States. Our relations with the European Union have expanded and deepened. We are grateful for the EU initiative on the tariff concession," he said. He said that Pakistan attaches importance to its relations with the Russian federation. The Prime Minister and he undertaken several visits to Russia to inject new dynamism to bilateral relationship, he said.
"Pakistan enjoys close and fraternal relations with all brotherly Islamic Countries. We also seek to deepen our engagement with East Asia, Africa and Latin America. As active member of the international community we uphold the principles of United Nations," he said. He said that it is a measure of country's standing in international community that Pakistan was elected as member of the United Nations Security Council last year.
Steps taken to uplift citizens The president said that the government has taken important steps to uplift citizens and provide for a more balanced development of the country are;
1) The Political Parties Act was extended to the Tribal Areas. This has given more political and economic power to tribal citizens.
2) The government has also amended the Frontier Crimes Regulation in response to the aspirations of the people of tribal areas to give them a judicial system that meets minimum standards of justice delivery.
3) The tribal area of Kala Dhaka has been converted into a settled area.
4) In the same spirit, this government adopted a historic measure in 2009 to grant self-rule to brothers and sisters in Gilgit-Baltistan. This will empower the people, accelerate the development and help realise the potential of hydro-power. 5) Rs 120 billion for Gas Development Surcharge will be provided etc.
Empowering women About the rights of women, the President said the Government is committed working towards empowering women, their access to capital, building their skills and support the rise of women leaders.
Towards this end, the Parliament made significant inroads in enacting laws for Prevention of Domestic Violence and Harassment, end Anti-Women Practices and crimes of defacing human body. National Commission on the Status of Women is yet another step forward in this direction. Women are increasingly occupying key positions, he said.
Appreciation for the PM and coalition partners The President said that Prime Minister Syed Yousuf Raza Gilani deserves unqualified appreciation for his political wisdom in handling various challenges with courage and perseverance. "I would also like to recognise and appreciate the contributions made by our coalition partners PML (Q), MQM, ANP, FATA legislators, PML (F), BNP (Awami) and other parties for their strong support, he said. I also acknowledge the role of the leader of the Opposition and members of the opposition parties for playing their role in the Parliament," he said.