Who Owns Pakistan - Yimg

Kohat Cement, Dandot Cement and Thatta Cement and expansion on Javedan
and Mustehkam cement units was undertaken.
Import of tractors in CKD (Completely Knocked Down) condition started in 1973
and I remember Feroz Kaisar, Special Assistant to Prime Minister, proudly
showing me photographs of imported tractors being fitted with seats made in
Pakistan. It was this small step towards indiginization which has enabled
Pakistan today to export tractors which have 90 percent components made in
Pakistan.
At the height of agitation against government, Bhutto is reported to have
observed that it was not merely Pakistan's nuclear programme but also his
bid to make country self-sufficient in fertilizers, steel and cement that
turned the Americans against him.
On the eve of 1977 election, the PPP government brought out a comprehensive
document called " Promises and Performance". In its preamble Bhutto proudly
declared that " this administration is going to run on its records. Previous
governments ran away from theirs". The document was a clause by clause
statement of what manifesto had promised and what have been achieved. It
recalled, for exemple that PPP government had nationalized on the ground that
Credit facilities had been monopolised by owners of the banks for setting up their
own industaries. While under previous ownership bank branches were limited to
urban centers, the nationalized banks were asked to open braches in rural areas.
Thus the number of bank branches, including branches abroad rose by 75
percent from 3,295 in December 71 to 5,727 on November 30, 76, covering all
towns and villages with a population of 5,000 in accordance with targets set after
the nationalization of banks. In fact one of the most radical steps taken by Bhutto
government, even before nationalization of banks was the promulgation of Banks
Reform Act 1972 which assigned the State Bank of Pakistan the role of
increasing the flow of credit to the agricultural sector. Under the act, State Bank
was empowered to set target for lending to agriculture, imposing penalties for
defaults and ensured a 50 percent subsidy on losses on such lendings. An
Agricultural Credit Advisory Committee was set up to assess credit requirements
of the sector. Agricultural produce rules were promulgated in 1973 which
stipulated that 70% of institutional lending should be for small land holders of
12.5 acres or less, 20% for farmers with holdings between 12.5 and 50 acres and
10% for large farmers.
The Bhutto government's credit allocation policy made it mandatory on banks to
divert credit into areas which otherwise would not have received credit under
normal commercial banking. The rationing of credit might look unreasonable in
1997 but it was revolutionary, considering the situation in 1977 when banks were
serving only industrial clients of a privillaged class.
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