The Pakistani government is making much of it's recent donor conference where a total of $5.8 billion was pledged towards the rebuilding cost. However, what is rarely mentioned by the regime is that $3.9 billion of this money is in the form of new interest based loans, loans which will have to be repaid.
The Musharraff regime has tried to deflect criticism by citing the few debt ‘write-offs’ that have been granted as a reward for Pakistan’s role in the 'War on Terror'. Yet these are mere crumbs compared to the billions in foreign debt that Pakistan has accumulated over the years. These loans will simply add to the burden of debt which will engulf Pakistan for years to come.
The loans have also come with added conditions such as reducing Pakistan's military expenditure. Moreover, there is little expectation that these monies will be used for the welfare of those most in need. Past experience shows how money lent by international institutions is often spent on foreign contracts with the associated kickbacks, resulting in wealth being taken out of the country.** Added to the gross mismanagement and corruption of the elites in the Pakistani establishment, it is difficult to believe that these loans will be used to help the people of Kashmir.**
Ali, why do you call it a joke? All nations need some such grand scheme to come out of major holes. For example the US had it's new deal, building the interstate hwy system, the lunar program etc. India has the river grid and the quadrilateral projects.
Building a new city is a historically well proven method of rejuvenating a people and the economy.
The debt of pakistan will not be removed by building properties or buildings, the removal of pakistans huge debt problem will start to clear when pakistan makes the bold decsion to no longer pay riba on top of any of the loans it has recived, because this is against belief of muslim.
Also because it is the interest that is the problem of the loans, i am sure pakistan has already paid back the original loan amounts and this is the case not just with pakistan.
Between 1970 and 2002 Africa received $540 billion in loans. Despite the fact that over that same period, African countries paid back $550 billion—$10 billion more than the original loans—at the end of 2002 they still owed another $293 billion.
This is one of the reason interest is prohibited in islam
It is simple but our corrupt rulers continue to lead us into deeper trouble. Golden rule number one do not take loans from the west it is like giving poison to a sick person!
you ve mentioned two things, for 1st , examples of USA n malaysia are there
for 2nd......riba......it cannot be uplifted bcz when we took the loans we agreed tht we ll give interst......so we r in trouble i know but cant do any thibg abt tht...........n by the way if we take loans on int. n use them PROPERLY...THEN THERE IS NO PROBLEM .......but we don't work like that.....
n by the way riba n int r two diff things......
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Between 1970 and 2002 Africa received $540 billion in loans. Despite the fact that over that same period, African countries paid back $550 billion—$10 billion more than the original loans—at the end of 2002 they still owed another $293 billion.
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that is a diff scenerio........bcz they took loan to purchase food ......tht is riba...
We/People of pakistan did not agree to take riba loans its was the corrupt rulers so the IMF and World bank can go to benazhir bhutto and nawaz “the theif” Sharif to collect the money its not a problem we can provide the address of these crooks.
Secondly as a country which claims to be islamic cannot take these loans from 2 angles from islamic basis and also from common sense when you take these kind of loans you killing yourself as seen in my previous examples.
Pakistan should be bold and sit down with these IMF/ World bank rip off merchants and give them straight option we will pay these loans without riba if you don’t accept this then no problem you not get anything because we already paid off original loans.
A recent example of Argentina is good example for pakistan, they paid off the IMF and got the monkey of their back, they sat down with them negotiated with creditors and gave them option we will pay you off original loan if you don’t like it you getting nothing because we cannot afford it, so options are their only question is do we have leaders who speak up or do we have coward leaders and i think you know answer to that question.
also the example of africa it doesnt matter what loans where used for if it was for food, roads or whatever they took $540 billion in loans they paid back $550 billion and according to the IMF/world bank they still owe $293 billion what a bunch of theives!
sitting down with credtors and renegotiating loan repayment is a well worn practice and nothing new. just remember, every time you do that, your credit rating goes down which makes further borrowing more expensive.
Which is why I like Ali's attitude of suggesting some ways to stop requiring more and more loans. I hear what you say about riba in Islam etc but consider it a toothless theory. If not, don't you think the entire middle east would have stopped dealing with the western world for money management?
You tell me how much Pak owes Saudi Arabai vs the west.
It is toothless theory if you are toothless person if you have the strength in mind then the options are several which i won't repeat.
Entire middle east leadership is not islamic it is secular and capitalist in its ideals that is why it openly deals with the enemies of islam like amerika.
what is the point of telling you how much pak owes saudi or IMF or japan or UK, the loans are their and they have to be removed and with riba on the loans they gonna be around pakistans neck forever more untill they stop paying the riba, it is simple and even a child can see that!
**
The last time i checked the Debt of the US is over several trillion dollars.
The International Monetary Fund is not insisting on cuts to subsidies, education and welfare as it does elsewhere – or even that the US should remove tariff barriers. US policy options are not constrained.**
Here lies another example of how the west will apply one set of rules upon itself in its favours and then bully other nations is africa, South america and asia where it will apply different rules including intefering in nations policies and causing great hardship to the people.
Then you quote Islam and riba but then when I show you the islamic countries are no different then you denounce them all as unislamic.
I don't know why it is so difficult to understand - the countries with mony to invest do not have any recourse but to invest in the West and they expect to be paid interest. They do not trust the 3rd world countries as places to invest in. BECAUSE the 3rd world countries, whether islamic or not, cannot afford the interest.
Which means countries like Pak have no choice but to borrow from only those who are willing to lend - in this case the 'west'. For interest.
It is either that or you forget about any form development. When that happens you end up with a Ethiopia or Haiti.
Instead of facing simple facts of life staring at your face, bringing on esoteric theory such interest free world may sound nice to some but has neither teeth nor legs
Bhai Jaan! Who is Benazir or Nawaz Sharif anyway? Brother they are ex- Head Of The State , of poor Pakistan , Who elected them ? The people , then we- the innocent people of this beloved country of ours , ve no option except to accept what our Heads of State did ? The only thing which we can do is not to elect those two ever again. But what they did we can’t alter it.
Why not ? Name one Islamic Country ? and talking of commom sense What about China it is progressing , & Malasia also .
and by the way are we Islamic ? Really:cb: …Unfortunately we are not ! you are living in dreams .
Have you studied Economice ? Do you know anything about Purchasing Power of Money ?..If yes , then you wouldn’t say that
You are wrong …Argentina had a loan of abt $150b…and trheir economy couldn’t bear it…So the West did that…No credit to Argentina ! They were just lucky…
Pak. is req. by US as we are a front line state …even then we can’t do that
why bcz we r Muslims …n …India wouldn’t like it …So US don’t do such
Plzzzzzz bro don’t give e.g of them we are much much better than them
Did i really ok so where the money i was lent? extactlly the man in the street is not even given a say on this matter so what you are talking about is the elite rulers so go get your money from them.
Pakistan is a secular state, but the people are muslims and they want to live under islam because the system they have now is miserable and is the cause for problems like its huge debt.
China is prospering for now because it produces cheap goods and has cheap labour costs once cost of living rises as it is now then we will see the other side of the story like today where 66 million people in China have been made homeless. Copying the western model also entails you gain their vices and social chaos for example HIV is spreading like wildfire in China because the social system has disintegrated where 10 years ago the idea of man and women openly free mixing would have been looked down upon today different story. The Poverty, crime and constant violations of basic rights are often hidden when people like yourself give example of China so it is better when you give example of China don;t give just the shiny surface give whats happening underneath the surface aswell this way we get the whole picture.
Also one point to mention along with India the economies of these countries are tightly regulated they do allow outside inteference in their economies can you say same about pakistan no you cannot the economic policy of pakistan is decided in Washington!
Argentina was Lucky? lucky against the imf are you joking how the hell can you just get lucky against criminal organisations like the IMF and World Bank because pakistan would like to know that!
Your point about pakistan on front line and we are better than them regarding africa i did'nt understand because your point makes no sense.
