Submitted to: Sir Jahanzeb Waseh
Submitted by: Group-1
Marriyam, Aroob, Aman, Sarrosh
Political Science
Assignment no. 1
Date of Submission 10th-05-22
Table of Contents
Effect of Zulfiqar Ali Bhutto’s industrial policies on development of the country...............................3
Introduction...............................................................................................................................................3
Major reforms...........................................................................................................................................3
Industrial reforms.....................................................................................................................................3
Nationalization...........................................................................................................................................4
1959 land reforms and their effectiveness in reducing land ownership inequality...............................7
Background................................................................................................................................................7
Introduction...............................................................................................................................................7
Land reforms.............................................................................................................................................7
Industrialization followed by democratic regimes during 1989 to 1999................................................9
INDUSTRALIZATION............................................................................................................................9
BACKGROUND......................................................................................................................................10
INDUSTRALIZATION EFFECT..........................................................................................................11
SOCIAL CONSEQUENCES..................................................................................................................11
CHANGES IN FAMIY STRUCTURE..................................................................................................11
Zia Reign was the period of Aid and revival of economy in the country.............................................12
Economic development under General Zia ul Haq Era........................................................................12
Industrial Improvement..........................................................................................................................13
Socio-economic development in the reign of General Pervaiz Musharaf in the light of good
governance and development in Pakistan..............................................................................................14
General Pervaiz Era and Economic Trends..........................................................................................14
GDP growth rate.....................................................................................................................................15
Growth of FDI.........................................................................................................................................15
The Magical Growth of Musharraf’s Era..............................................................................................16
Submitted by: Aroob Lubab
Effect of Zulfiqar Ali Bhutto’s industrial policies on development of
the country
Introduction
Zulfiqar Ali Bhutto took over the office of president of Pakistan as well as civil martial law
administrator on 20th December 1971. He was the first martial law administrator of the
country. In his first speech he said, “The country is facing a serious crisis. I have taken over a
time when the history of Pakistan has reached its turning point. I have to build a new and
progressive Pakistan which the Quaid-e-Azam dreamed. It is my belief that it will definitely be
done.”
Z.A Bhutto took the charge of the country in a really critical scenario. The GDP of Pakistan was
below average at that time. So he came up with some major reforms, which played crucial role in
overall development of the country both in positive and negative manner.
Major reforms
Industrial reforms
Economic reforms
Labor reforms
Agricultural reforms
Educational reforms
Insurance and banking reforms.
Industrial reforms
Z.A Bhutto was a socialist leader. The world was divided into two groups one was the capitalist
group which include the countries like America etc, and the second group was the socialist group
which include the countries like china, Russia etc. so Z.A Bhutto came up with socialist policy. It
is considered that Z.A Bhutto opt socialist site to maintain friendly relation with Beijing the
neighboring state, this is just a perception the exact reason couldn’t be concluded. His policies
were majorly in favor of lower class he also introduced much supportive policies for labor class
as well. The major point of industrial reform, or we can say the major policy of his era was the;
Nationalization
Nationalization is actually the transfer of the ownership from the private owners of the property
(industries, private institutes) to the government. It is that government take charge over private
institutes.
By 1971, 60% of the country’s assets and 80% of the insurance business were owned by the 22
families. On December 22nd, 1971 passports of those 22 capitalist families were confiscated.
Industrial licenses of more than rs.1oo million worth issued to 19 companies were declared
illegal.
Z.A Bhutto considered industrial development and stability essential for the development of the
people of Pakistan. His main goal was the betterment of the people of the Pakistan. He disagreed
with the policies of the capitalists, the wealthy and the industrialists. So Z.A Bhutto followed the
nationalization policy and took charge over the major private industrial assets in first step then in
second step he publicized the minor industries. To save the people from their injustice, Mr.
Bhutto issued an ordinance on 2nd January, 1972 under which ten heavy industries were
nationalized by the government. The industries taken over by the government are as under:
Automobile industry
Chemical industry
Consumer goods industry
Steel industry
Heavy equipment industry
Petrochemical industry
Cement industry
Social welfare services industry
Heavy electrical equipment industry
Tractor industry
Under the industrial reforms, directors of 20 industrial units were terminated and their managing
agencies were closed. Separate managing directors were hired for each industrial unit. In the
interest of the country, eleven more industrial units were nationalized on 16th January, 1972.
The above mentioned actions of Bhutto’s government gave strength to economic stability and
encouraged industrial development. Before the nationalization processes the investment in public
sector was only 25% but right after the public sedation of major industrial units people began to
invest in public sector and the investment rate increase up to 75%, which was considered the
major success. This increased the development of industrial sector and hence the overall
development of the country. The GDP rate when Bhutto took charge was somewhat between 1.3
to 2.3 but after the implementation of nationalization policy and massive investments boost up
the trade and GDP increase up to 7.4 points which the higher GDP rate till date. These policies
appear to be beneficial at that time because it boost up the economy of Pakistan and overall
development as well.
But there was an EXCEPTION that the industries working with foreign investment would not
be privatized they will work as they are already working.
Other reforms like education, health, agriculture etc enhance the development in their particular
units. The motto of PPP itself quotes the four basic principles which shaped Bhutto’s political
organization. These were: Islam as faith, democracy as the policy, socialism as the guiding
principle of national economy and allocating power to the people of the country. These
principles were immediately put into practice with positive results in short span of time. PPP
received both applaud and criticism on these policies.
The first two years of Bhutto’s era were spectacular the GDP rate was about 7.3 but after those
two years it fall on 3.4. The economy begins to fall because business class was not happy with
his policies. Bhutto opt the socialist policy because his regime consider that as being unfairly
privileging certain families (22 capitalist families) over other competitors. When canceled the
license of those 22 families who had a position in worldwide business class then the exports
began to fall and hence the economy.
So in the beginning the policy appears to be the game changer for the country’s development and
economic growth but then the opposition by the group of people or some drawbacks in policy
appear and hence economy falls below average, and then the country witnessed the worst time
with respect to economy.
1959 land reforms and their effectiveness in reducing land
ownership inequality.
Background
Ayub khan came to power as a result of the abrogation of 1956 constitution on October 7th, 1958.
President Iskander Mirza had invited Ayub khan to take charge after he abrogated 1956
constitution. After taking over as first martial law administrator, General Ayub khan forced
iskander to resign as president on October 27th, 1958.
After taking the resignation he exiled iskander to London where he spent his life afterwards.
Ayub khan announced to undertake economic development and initiate accountability of
bureaucracy and politicians.
Introduction
Land reform is actually the division of agricultural land and reallocation of land to land less
people.
So Ayub khan came up with this policy for the very first time because there was Jahgir system
for so long and he wanted to end that traditional system.
By proposing this reform he actually wants to boost economy through agriculture and also
wanted to utilize in blissful manner.
Land reforms
It was for the very first time that since the establishment of Pakistan that a government attempted
to introduces land reforms. Land reforms were meant to put ceiling on landholdings. Before
1959 land reforms, distribution of land ownership was among few land lords. More than 6000
owners owned 500 acres, which was around 15% of total land for 0.1% owners. At that time
more than 57% of land was uncultivated and other part of land was not fit for cultivation (I.e.
dessert, hill station). The government took the surplus lad by paying compensation for
redistribution of land among farmers and peasant.
The significant feature of 1959 land reforms was that owners were to be paid compensation for
their. Compensation was paid at rate of rs.1.5 per produce land index (PIU). Then many owners
just did fraudulent acts what they did was, they benefited by handing poor land to the
government.
PIU is measure of gross value per acre of land by type of soil and was measure of land
productivity.
The land ownership was redefined that the owner would keep only 500 acres irrigated
land 1ooo acres non irrigated land and 150 acres orchards.
Another important feature of 1959 land reform is that resumed land was to be sold to landless
tenants. By 1967 only 50% of resumed land had been sold and only 20% landless tenants. The
remainder was auctioned to rich farmers and military officers. The land was sold at the rate rs.8
per PIU which is payable in 50 half yearly installments with 4% annual interest rate.
This policy was really helpful in way that agricultural production increased as a result of the
mechanization of agriculture, the introduction of high yielding the variety of seeds, fertilizers etc.
The further construction of dams and canal system bring the huge barren land under use.
Hence production of crops increases at its max. The major increase in production of crops helped
meet the food needs of the country on one hand and on the other hand there was an increase in
export of crops like rice and cotton. So the increase in crops production not only fulfills the
needs of the people of the country but also the overall development of the country.
So if he have much major benefits of any policy we should not also forger the dark side of the
picture the 1959 land reforms also had some drawbacks, which couldn’t be neglected.
Some people benefited from land reform police like bureaucrats, army officers, and
businessmen. Consequently, a new class arose who on one hand had a massive size of land. On
the other hand, they owned huge industries and lucrative positions in army and government
sector.
Furthermore, most of the powerful landlords managed to escape land reforms and kept their hold
on their huge land holdings through cunning way.
A small part of land they handed over to the government was unproductive for agricultural
purpose. Losing small bit of the land did not make any difference for them. The poor lot or
tenants could not benefit from land reforms.
The last but not the least the negative impact of 1959 land reforms was more severe than that of
positive impact. So we can’t really neglect that and didn’t really consider that this policy was
successful on a whole.
Submitted by Sarrosh Yousuf
Industrialization followed by democratic regimes during 1989 to
1999
INDUSTRALIZATION
Industrialization is the time of social and monetary change that changes a human gathering from
an agrarian culture into a modern culture. This includes a broad re-association of an economy
with the end goal of manufacturing. Historically industrialization is related with increment of
dirtying enterprises intensely subject to petroleum derivatives. With the rising spotlight on
maintainable turn of events and green modern arrangement rehearses, industrialization
progressively incorporates mechanical jumping, with direct interest in further developed, cleaner
advances. The revamping of the economy has numerous potentially negative results both
financially and socially. As modern laborers' wages rise, markets for customer labor and
products of different types will quite often extend and give a further upgrade to modern venture
and monetary development. In addition, family structures will generally move as more distant
families keep an eye on presently not live respectively in one family, area or spot.
BACKGROUND
After the last phase of the Proto-industrialization, the principal change from a horticultural to a
modern economy is known as the Industrial Revolution and occurred from the mid-eighteenth to
mid nineteenth hundred years in specific regions in Europe and North America, beginning in
Great Britain, trailed by Belgium, Switzerland, Germany, and France. Characteristics of this
early industrialization were innovative advancement, a shift from country work to modern work,
monetary interests in new modern design, and early improvements in class awareness and
speculations connected with this. Later reporters have called this the First Industrial Revolution.
The "Second Industrial Revolution" names the later changes that occurred during the
nineteenth hundred years after the refinement of the steam motor, the creation of the gas powered
motor, the saddling of power and the development of trenches, rail routes and electric-electrical
cables. The creation of the sequential construction system gave this stage a lift. Coal mineshafts,
steelworks, and material processing plants supplanted homes as the work environment. Toward
the finish of the twentieth hundred years, East Asia had become quite possibly the most as of late
industrialized area of the world. The BRICS states (Brazil, Russia, India, China and South
Africa) are going through the course of industrialization.
There is significant writing on the elements working with modern modernization and endeavor
improvement.
INDUSTRALIZATION EFFECT
SOCIAL CONSEQUENCES
The Industrial transformation was went with a lot of changes on the social construction, the
principal change being a progress from ranch work to manufacturing plant related activities. This
brought about the formation of a class structure that separated the average citizens from the well
off and the functioning classification. It twisted the family framework as a great many people
moved into urban communities and left the homestead regions, thusly assuming a significant part
in the transmission of illnesses. The spot of ladies in the general public then, at that point, moved
from being home considerations to utilized laborers consequently lessening the quantity of kids
per family. Moreover industrialization added to expanded instances of kid work and from that
point schooling systems.
CHANGES IN FAMIY STRUCTURE
Family structure changes with industrialization. Humanist Talcott Parsons noticed that in pre-
modern social orders there is a more distant family structure traversing numerous ages who
presumably stayed in similar area for ages. In industrialized social orders the family unit,
comprising of just guardians and their developing youngsters, prevails. Families and youngsters
arriving at adulthood are more versatile and will generally move to where occupations exist.
More distant family bonds become more dubious
Submitted by: Aman-ud-
din
Zia Reign was the period of Aid and revival of economy in the
country
Economic development under General Zia ul Haq Era
Takeover with the aid of General Zia ul Haq in 1977 had crystallized the hegemony of the civil
and navy bureaucracy, no longer just on the political map of Pakistan. With political and
administrative roles and interests, the civil and army paperwork emerged as a key and well-
established entity in the economy”. With the takeover by using General Zia armed rule back and
the capitalist classification was again in power. “Zia also extended the position of the military
in governance through widespread utilize of navy intelligence, decision of senior officers to key
posts and well-known dispensation of patronage to armed forces”
We additionally got here to understand “important monetary lengthen and surprisingly low cost
increases at some stage in the Zia dimension did translate into massive in precise especially
based totally salary extend for most income group”. We in addition acquired right here to be
conscious of that monetary system below Zia enjoyed an immoderate and everyday cost of
growth. The monetary device prolonged to almost 6.6% per annum and inflation tended to
decline in the path of 77-78. There used to be a huge sharing of the benefits of growth. Real
wages extended and poverty tended to decline”. In the Zia’s science the investment local weather
for the private quarter used to be improved by means of the usage of way of imparting ensures
closer to future nationalization, clearer demarcations of things to do between the public and the
private quarter and greater tax concessions.
As involving to economic improvement very superbly summarized the monetary increase as
calculated by way of GNP slowed down at some factor of Zia’s last 5 years. This is also
imperative that at some factor of 1977-83, the rapid upward shove in employee remittances had
pushed GNP boom cost to an annual document of 7.6% per annum. Worker remittances tended
to refuse steadily after 1982-3 and endeavor payments on external debt gathered momentum, the
GNP increase fee fell sharply to 4.9% per annum all through 1983-8. In the first half of the
1980’s, worker remittances have been about as critical a provider of foreign alternate as
merchandise exports. Unluckily, the employee’s remittances growth did now no longer translate
into a substantially higher charge of nationwide economic savings and investments. Most of the
remittances had been directed to utilization and this carried out a major characteristic in falling
poverty. The each and every 12 months wages of two most vital wage organizations of
manufacturing facility humans factor to an enlarge in nominal wage of around 150% over 1977-
88.
Industrial Improvement
As related to industrial improvement there were necessary development “through the Zia
duration in the industrial design framework in phrases of stress on the position of the private
sector, greater import liberalization of industrial uncooked materials, and relatively expand of
incentives for manufactured exports, now not lots used to be finished to signal basic exchange in
industrial insurance policies which had hampered the structural alternate in manufacturing in the
course of the 1960’s and 1970’s”.There is also a comprehensive debate on exchange price and
trade policy in a book Pakistan’s Economy at the Crossroads: Past Policies and Present
Imperatives, by using Hassan, Pervez (1998), he argued that Pakistan in 1982 started to usually
regulate the value of the rupee The rupee was once devalued from Rs. 9.90 per US dollar to Rs.
11.84 in 1982 and then step by step depreciated to Rs. 18 per US dollar by using the give up
1988.
Between 1982 and 1988, there used to be an enormous real depreciation of the rupee; the
nominal alternate charge was devalued almost twice as quick as warranted via the relative
change in prices between Pakistan and predominant buying and selling partners. The actual
devaluation assisted the overall export growth of 7-8% per annum throughout the period and
contributed in a good sized way in lowering the relative dependence on worker remittance. By
1988 exports had been greater than double the stage of remittances. The industrial zone was once
installed in the late 1970’s to entice foreign investment, speed up drift of modern-day
technology, furnish greater job opportunities, increase skill and management requirements and
supply exporters a base for manufacturing in an surroundings free from import duties but the
outcomes had been on the other hand disappointing as exports from the quarter were particularly
small.
Submitted by: Marriyam Sheikh
Socio-economic development in the reign of General Pervaiz
Musharaf in the light of good governance and development in
Pakistan
General Pervaiz Era and Economic Trends
On October 12, 1999 General Pervez Musharraf imposed martial legislation in Pakistan and
overthrew the authorities of Nawaz Shareef for violating Article 6 of the 1973 Constitution. It
used to be the catastrophic day in the information of democracy. But if we analyze Committee in
monetary terms, this technological know-how of martial legislation marked the success of many
necessary milestones and validated a super growth rate. The legacy that General Musharraf
inherited has greeted this 3rd navy chief with a host of troubles and challenges. Heavy external
and domestic debt, immoderate budget deficit and low profits generation, rising. A poverty and
unemployment, stagnant exports, vulnerable stability of repayments and dwindling reserves are
amongst the volume the project to the military government. The authorities has restrained ability
to extend public spending, due to the low tax-to-GDP ratio and about 80% of revenue
distributed to debt settlement and safety activities. Therefore; the regular state of affairs of the
financial system is at an all-time low.
GDP growth rate
Pervez Musharraf in his rule, regarded like an intellectual, visionary and daring chief with a
massive financial and political approach. He took besides delay to fixing Pakistan's troubles in
the commando trend he had given up trained in. Notable traits in monetary governance coupled
with structural reforms laid the insurance policies for elevated financial enlarge and social
prosperity for the size of 2000-2008. The gradual amplify in prices of the ultimate decade has
been uplifted from 2.1% to 7% in his very early years. Further, annual GDP at steady fees
mother or father of 8.95% in 2005, which grew to be a trademark inner the economic data of
Pakistan. Foreign alternate reserves have been raised to about six months' imports whilst the
volume of alternate reserves to be had in previous authorities can also moreover favor to buy
imports of barely three weeks. Foreign reserves, which had been $700 million when he obtained
here, had been extended to $17billion. It grew to become his era which furnished a pleasing and
great environment for foreigners to spend money on Pakistan. Investment grew at a price of 23%
of the GDP and the monetary machine grew to come to be financed with an estimated $14 billion
of overseas locations personal capital inflows.
Growth of FDI
FDI for the length of 2000-2001 remained very low at $481 million. However, the equal head
registered a full-size extent of $5152.80 million internal the next eight years, which proves the
argument that Musharraf's authorities furnished a high-quality surroundings to far-off locations
investors.
The Magical Growth of Musharraf’s Era
In addition, Karachi Stock Exchange used to be awarded as the first-class performing Asian
market and Pakistan was once ranked third in phrases of financial institution profitability. Our
large scale manufacturing quarter is at the ideal stage in the industry. 30 years and the
construction quarter is 4,444, 17 years high. During the closing dictatorship, a large variety of
jobs had been created. The facts science (IT), telecommunications and CNG industries thrived
in his day, growing 90,000 jobs in IT, 1.3 million jobs in telecommunications and 45,000 jobs in
the field. CNG. The insurance of President Pervez Musharraf additionally focuses on the social
sphere. His authorities of installed 9 world-class technical universities, 18 public location
universities and raised the literacy price to 53%. Poverty charge records exhibit a big discount of
10%. He influenced and furnished freedom for the digital media and this area to develop to be as
unbiased as it as soon as was. As a result, the average performance of macroeconomic warning
signs in the course of President Musharraf's navy regime suggests high-quality dispositions and
exact growth, reflecting the wholesome nation of the Pakistani economy.
