PAKISTAN RELATED VIDEOS

Showing posts with label Pakistan Economy. Show all posts
Showing posts with label Pakistan Economy. Show all posts

Sunday, March 2, 2008

Gwadar, Can we handle it?

Asalaamu-Alykum


With Gwadar port almost ready, and it's anticipated that first ship will anchor there on March 15(1), Pakistan is set to embark upon another journey. A journey that many believe will bring good fortunes, and success to Pakistan, but when I see Gwadar, I see a totally different story. I not only sees promises of success that control of Straits of Hormuz will bring our beloved nation, but I also see it as a mishap just waiting to happen.

Gaining control of such a popular route of trade, through which 40% of the world oil is transported(2) will give Pakistan a a great deal of power, and, with great power comes great responsibility. Even more important than that great responsibility is the enemies that we can make or have made.

These "enemies" or should I say enemy, is India, Same India that broke Pakistan in 1971 under similar conditions. East Pakistan was contributing a lot of resources to federal government but was deprived of proper royalties. India silently ignited the instability which led to the breaking of Pakistan and the birth of Bangladesh.

Now India are starting a similar outburst of instability in Baluchistan, the outcry from the Baluchi public brings backs the memories of the tragic events of 1971. It is the same struggle just 40 years later and in the opposite corner of Pakistan. Indian Military has already been expressing concerns over consequences that Gwadar port can have o India, Admiral Sureesh Mehta, Indian Naval chief said "Gwadar, being bulit in Baluchistan coast, would enable Pakistan take control over the world energy jugular and interdiction of Indian tankers"

This time around India not only has the local political instability, but also a constant threat from vulnerability of the security situation in Pakistan. Theoretically speaking It would not be hard for India (assuming they already haven't done so) to hire suicide bombers to threaten the success of ports or the web of highways and railroads that will accompany the port.

In order to make sure Gwadar is big of a success that Pakistan wants it to be, Pakistan needs to settle the disputes of the Baluchi people as soon as possible. Another thing that is mandatory is the security of the ports and the areas surrounding the port, to make sure that the events that took place in Karachi during the 80s do not repeat.


Abu Abdullah,
The Doctor of Truth


1.http://www.pakistantimes.net/2008/02/27/top16.htm
2.http://news.bbc.co.uk/2/hi/middle_east/6729371.stm
3.http://www.countercurrents.org/ghazali080208.htm

Thursday, August 9, 2007

PIA, "The best waste of resources"

Asalaamu-Alykum,


Pakistan International Airlines, the the first Asian airline to granted FAA's maintenance approval, the first airline in world to have a scheduled helicopter service, and and PIA was the one to introduce a computer to the Islamic Republic of Pakistan when it installed an IBM1401, and not only that amongst many of the things it is known for is being the first airline that had in-flight movies on international routes. Looking at all these records one easily wonders what happened to PIA? Why did PIA go from being an innovator of idea, and a leader in industry to being in debt Rs. 28 bn?

Well the answer is simple, waste, wasting of resources, wasting money and not managing it well. Most of it comes in the form of having too many employees. PIA with only 42(43 after the delivery of Boeing 777-300ER in 2008) aircrafts flying to 66 destinations have close to 20,000 employees. While Japan Airlines, Asia's biggest airline has 135 aircrafts, 75 additional aircrafts that have been ordered and flies to nearly double, 125 destinations and still only has less than 18,000 employees.

All those employees, you'd think PIA get more work done, but not really. More than half of my experiences with PIA flights have been more than 7 hours late. Even with extra 14,000 employees PIA still can not get http://www.piac.com.pk to work properly, it is inconvenient, tedious, lacks information and I don't think it is ever updated.

There is a simple solution replace, delayer and downsize/expand, First step is to replace top management bring in some fresh minds with fresh ideas so PIA can be industry leader again. Next step delayer remove the different hierarchal positions to make communications faster and more reliable. Last step is downsize/expand, in other words buy more aircrafts to develop new routes to utilize the current good employees while downsizing and getting rid of the least productive employees, and Inshallah Pakistan International Airline will again become an industry leader it was.

Abu Abdullah,
The Doctor of Truth

Wednesday, August 8, 2007

E.U. Lifts ban on Eleven PIA Planes

Asalaamu-Alykum,


Pakistan International Airlines, was banned to fly into the European Union, consequentially PIA ended up losing more than Rs. 26.5 Billion. But recently European Union has lifted the ban from 11 additional airplanes.


A report published on July 5, 2007 in the Official Journal of the European Union stated "it is assessed that Pakistan International Airlines should be allowed to operate to the Community[European Union]." Now PIA, in addition to its Boeing 777s will now also be able to fly three of its Boeing 747-300's, each of which can carry 433 passengers, Two Boeing 747-200's, Which are configured to carry 298 passengers each, and Six Airbus 310's, which has the capacity to carry 198 passengers each.

With Pakistan 8* Boeing 777's including four 200-ER's able to hold 329 passengers each, two 200-LR's configured to seat 310 passengers each and two huge 300-ER which can carry 393 passengers per flight, after the completion of the procedures required by European Union Pakistan International Airline will have permission to fly 19 out of its 42 airplanes.

Even though the ban have been lifted it is not sure when PIA will be able to meet certified criteria, and resume its flights to European union. Once they do, it will again provide more competition and thus lower airfares for the customers.

Abu Abdullah,
The Doctor of Truth

*One of the Boeing 777-200ER is on lease from ILFC, and One more Boeing 777-300ER is due to be delivered in 2008

Tuesday, August 7, 2007

Pakistani economy Compare, Contrast and Analyze.

Asalaamu-Alykum,


I was recently wondering about Pakistan's Economy, so I decided to do a little research and I found some completely obvious and some utterly amazing answers.

Starting out with probably the least surprising is Pakistan's GDP per Capita, which sits at around $2600.00 per person as opposed to India's $3800(~150% of Pakistan's) or U.S.A. $44,000(~1700% of Pakistan's). But surprisingly India's GDP is not only 1.5 fold that of Pakistan but it is also growing at rate that is 139% of Pakistan. Pakistan GDP is growing at about 6.6% while India which is already ahead, is zooming at the rate of 9.2%. Not only India has achieved a greater economic success but it is en route to achieve some more. While America's GDP has reached near saturation and is growing at a mere rate of 3.2%

Another surprising fact is that Pakistan has a lower unemployment rate and poverty rate than India. India's unemployment rate is 7.8% while Pakistan is slightly behind at 6.5%. India has 25% of its population below poverty line while Pakistan has slightly less at 24%. Another major difference is the gini index(measure income inequality) of Pakistan is 41% while India is 32.5%. It means that there is a higher difference between income classes in Pakistan than in India. Pakistan has more rich-poor gradient than India.

Looking at all this you are probably wondering is that a solution to all this, Can Pakistan's Economy ever blossom? Well, the answer is always yes, but How? First of all Pakistan need increase it GDP growth rate, which can be accomplished by one of two ways. First Pakistan needs to increase exports and increase the income from outsourcing. The west has recently gotten a recent urge to outsource it programming and customer service contracts. India took a huge advantage of that and has made a lot of money from it while Pakistan is yet take advantage of it, primarily because India has a literacy rate of 61% while Pakistan only 50% that means India had more educated, English-speaking and unemployed people that Pakistan. But If Pakistan had a lower literacy rate than India therefore it must have a higher labor force, and since Pakistan has a higher gini index means there are a lot of rich people in Pakistan. Rich people+Poor labor force=Factories-->Jobs-->Exportable Goods-->Pakistan Success, Simple equation, basically rich gets richer, the poor get rich.

How do we get these Lazy and Rich people to make factories, simple TAX, if they have money that is not being used, they have to pay luxury-tax on it, any reasonable person will invest his money to make more money rather than give it away.


Abu Abdullah,
The Doctor of Truth

*All facts came from the CIA website.

Saturday, July 28, 2007

War against the Islamic Dinar

Asalaamu-Alykum,


A lot of us were excited and praising Allah about the Islamic Dinar, we were sure this Gold-bases Islamic Dinar will blow the baseless Dollar, Amero, Euro, Pound, Yen and everything else away. Why did it stop? Why was its minting halted? When is coming out? When will its minting resume? and Why should I care? are just some of the many unanswered questions that ring in the ears of the enthusiastic Muslims, who were praying were the Islamic Dinar.

To understand the whole phenomena you have know that current currency is controlled by a group of international bankers (e.g. Rothschild, Rockefeller and etc.). Having a baseless currency they basically rule the world as they control its supply therefore its value. We can all imagine that if one controls the currency and money there isn't much that ones doesn't have the control of. The formations of The European Union, The North American Union, The African Union, and The Asian Union are all examples of setting one bank in control of the currency in larger areas, with the goal of uniting the whole world under the control of one ruthless bank in mind.


In their plans of world domination only one thing stands in their way, The Islamic Dinar, because with the introduction of the Islamic Dinar one bank (ruled by a group of bankers) can't just control it's supply or it's value by just printing more or less of it.

In the current times the Muslims have lost most of their Islamic Culture, Values, and History. Everything from education to business has been westernized. Only thing the Muslims are currently and very vaguely known for is oil, even payments for which are made by the baseless paper currency. If the Islamic Dinar becomes the currency of choice in the Islamic world it would surly bring a huge success to the Muslims as our beloved Prophet Mohammad (PBUH) said "A time is certainly coming over mankind in which there will be nothing which will be of use, save a dinar and a dirham" ~The Musnad of Imam Ahmad Ibn Hanbal


Abu Abdullah,
The Doctor of Truth

Saturday, July 7, 2007

Bollywood premier's in Pakistan

Asalaamu-Alykum,


A few months ago President General Pervez Musharraf, lifted the 41 year ban on Indian movies in Pakistan by allowing the premier of the Mughal-E-Azam to be held in Pakistan. The move itself can the center of a controversy, but if he chose to send a message of peace to India by allowing the release of Indian films in Pakistan He could've done it more productively.

Musharraf should've have allowed the Bollywood to release their film in Pakistan and also should've allowed them to shoot some of their films in Pakistan, but conditionally. he should've chosen the conditions wisely enough that Bollywood still would've been interested in released the films in Pakistan as well as the Government of Pakistan along with the film industry of Pakistan would've have benefited from it in great deal.




How could the Government of Pakistan would've benefited from the release of the Indian movies in Pakistan? The answer is a simple three letter word, TAX. Musharraf should've taxed the revenue, not profited, but revenue that Bollywood is going to make is Pakistan. As this way they could've added other expenses later on and have had no effect on the amount of tax they would've received in Pakistan. Tax amount can be as high 50% and Bollywood still have agreed to it. This additional money would've been a Major help to economy of Pakistan, a piece of the World's biggest film industry can mean new roads, more electricity, better food and permanent housing for our beloved Pakistanis that were devastated by the earthquake.

How could Lollywood, the Pakistani film industry have benefited from the lifting of the ban? Well all they had to do was to say that films shot at least 60% in Pakistan would've been received a tax deduction of 30% so if the original Tax was 50% now it's only 35% and any movies shot in Pakistan must involve the local directors, cameramen & etc. Now that is a Win-Win situation. Our film industry get experience, money, credit and advertisement so soon our own Film industry can start competing with them and yielding more profit, and then you can ease up on the taxes and restrictions.

Abu Abdullah,
The Doctor of Truth