Pakistan direly needs foreign investment to support its limping economy and save its people from dying from starvation, but Pakistan’s ruling elite is investing abroad. Why they invest outside is a question that the public is asking after “Dubai Unlocked” scandal appeared last week. Since it emerged, some politicians, not retired civil and military officials, have been found explaining their positions after their names have appeared in this report.
Those giving explanations say this is not something they need to worry about when they already mentioned it all in papers with the relevant authorities. Some say the media maligns them otherwise they are clean. Some boast of it stating when it comes to a good house and a nice car their name will be there.
There may be a reason why the UAE was allowed to appear in this kind of report when it always desires business, in our context, it has generated some questions at the public level. In Pakistan’s existing economic situation, the question is not about whether one has mentioned it on paper or not, it is more about a moral commitment to Pakistan. This is all about what Pakistan is direly looking for. Isn’t it extra interesting that Pakistan needs foreign investment while Pakistanis, taking big salaries and privileges from the people’s tax, are investing in the UAE? Does it not reflect how morally we are committed to Pakistan?
This is about mentioning the ECP and FBR or is it more about what we earn from such businesses and what in return is projected in tax papers? The question is about how long we have had those properties and businesses in UAE and what tax we paid against our income. The previous year’s record tells that Pakistan was under a burden of more than 131.159 billion US Dollars (USD) in external debt. In the USD in billions, it owes 7.541 to the Paris Club, 38.813 to multilateral donors, 7.596 to the IMF, and 7.8 billion to international bonds such as the Eurobonds.
Pakistan’s government is doing its best to have this investment from Saudi Arabia, China, and other countries. The Prime Minister visited Saudi Arabia, Saudi delegations are visiting Pakistan, and the Saudi Crown Prince is to visit this country. The Deputy Prime Minister visited China to seek investment from companies.
Army Chief at his level is trying his best. The finance minister is all the time busy holding talks with money lenders. Pakistan is endeavoring to send its trade volume up by 10 billion USD with Iran in five years. It is begging from the IMF and in return is imposing more taxes on common people who are unable to earn bread.
Why is this all being done when our renowned civil and retired military officials and bureaucrats have enough to invest in Dubai? Pakistan owes maybe a bit more than 7.596 billion USD to the IMF and the leaked investment of Pakistanis in Dubai is over 12 billion USD. When it comes to the offshore companies and the Panama scandal, our judges, retired generals, and politicians are also found there on that list. Yes, if one says that all is mentioned in the papers and the money trail is available then one should not doubt that, but why you invested outside Pakistan is a question. Those who invested in this might know what the purpose is behind it. However, there are four main reasons behind investing money in foreign countries. These are: this money is not safe in the residence country, this investment is for good profits, someone is a resident of a country where it invested, and finally it is done to conceal black money.
If this money was not safe in Pakistan, then why weren’t the steps taken to secure it while being a part of this system? Why devaluation of the Pak Rupee was not controlled? If this investment was for good profits, how much was paid to Pakistan in terms of taxes against the profits of such businesses or properties? If you are a resident of those countries and your stakes are there then what are you doing in Pakistan? Why was this money made in Pakistan, salaries, perks, and privileges taken from here and sent abroad? Is it not about loyalty to Pakistan? if one is clear in all these respects then it is more than good.
Though, the opposition is demanding inquiries in this regard also for some political advantages, even then it should be investigated. It should not be investigated like Panama Leaks or Pandora Papers; it needs a thorough investigation.
It must be investigated, and should not end up with some FBR penalties. It should not be treated like the investigations of wheat imports; it must have some logical ending. This is the desire of the common public. Pakistan with a hard struggle came out of the FATF gray list, it doesn’t afford any more experiments.
According to this property leaks report, several prominent Pakistanis including politicians, retired military officials, bankers, and bureaucrats own luxurious properties in the UAE. The combined value of properties owned by all these Pakistanis has been estimated at around 12.5 billion USD.
(Senior journalist Rana Kashif has authored this article)