Federal Minister for Information Qamar Zaman Kaira Monday said the Prime Minister on the demand of NWFP government has earmarked Rs 25 billion for the provincial government to strengthen the civil and law enforcement agencies in next two years.
The minister taking part in the general debate on budget here in National Assembly said that the country was faced with the major challenge of rehabilitation of the Internally Displaced Persons (IDPs). He disproved the opposition criticism on budget and said that despite downturn the government has been able to present a record development budget for the next fiscal.
He said that opposition's criticism on budget was unjustified as this was not a normal situation with world's economic giants facing worst financial meltdown, which also affected Pakistan's economy.
Giving details, he said that according to an IMF report, the world economies shrunk to 1.3 percent and we are not alone rather international indicators and statistics also reveal the same picture. International financial institutions are facing the deficit of 4.1 trillion dollars and even the US and EU, the most stable economies also witnessed 2.8 and 4.2 percent recession respectively.
The minister recalled that the PPP was inherited weak economy with 25 percent inflation and 33 percent food inflation but the government succeeded in bringing it down to 16 percent. The government paid back Rs 200 billion to the State Bank of Pakistan rather borrowing and the difficult decision taken has provided fiscal space. Kaira said the rural economy was able to get Rs 300 billion owing to agricultural friendly policies of the government.
He said that the government had made the world realise that Pakistan needed trade not aid and had asked the world economies to give us the market access. He said because of the government efforts the Friends of Democratic Pakistan (FoDP) agreed to assist Pakistan.
Dismissing the concerns whether FoDP pledges would materialise or not, he said that the countries in the FoDP were reliable and they have committed to extend help to Pakistan.
The minister said that for the first time in the history of Pakistan, $4 billion International Monetary Fund (IMF) standby has been arranged that would be utilised in case of delay in payment from FoDP. Speaking of Swat operation, the minister said that the operation was not a solution and was undertaken as last resort to bring about peace and said that the government would never hold peace talks with the militants unless they surrender.
He said that the Parliament was taken into confidence in this regard and there is no other option but to win the war. About IDPs, he said they are sacrificing for better future of the country. The minister informed that two millions IDPs from Swat have been registered so far, adding that special services group has been formed to carry out relief activities as the disaster management cell was not operative.