Rolling out the Red Carpet
Friday, August 1, 2008
Religions and Future Sustainability
A source of power for religions is the sheer number of followers they claim. It seems that some 80–90 percent of people on the planet belong to one of the world’s 10,000 or so religions, with 150 or so of these faith traditions having at least a million followers each. Adherents of the three largest—Islam, Christianity, and Hinduism—account for about two thirds of the global population today. Another 20 percent of the world subscribes to the remaining religions, and about 15 percent of people are nonreligious.
Influence stemming from having a large number of followers is further enhanced by the geographic concentration of many religions, which increases their ability to make mass appeals and to coordinate action. In 120 countries, for example, Christians form the majority of the population. Muslims are the majority in 45 countries, and Buddhists are in 9. When most people in a society have similar worldviews, leaders can make mass appeals using a single, values-laden language.
Religion is an orientation to the cosmos and to our role in it. It offers people a sense of ultimate meaning and the possibility for personal transformation and celebration of life. To this end it uses a range of resources, including worldviews, symbols, rituals, ethical norms, traditions, and (sometimes) institutional structures. Religion also offers a means of experiencing a sustaining creative force, whether as a creator deity, an awe-inspiring presence in nature, or simply the source of all life. Many of these characteristics give religion substantial influence over the environment.
At the same time, the environmental community has often alienated potential allies with what is perceived as scientific aloofness, even self-righteousness. Its “left-brain” approach to its work is partly to blame for its inability to connect with greater numbers of people, to inspire profound commitment on a large scale. Given the central place of culture in national development—and the central place of religion in most cultures—a sustainable world cannot effectively be built without full engagement of the human spirit.
Religious institutions and leaders can bring at least five strong assets to the effort to build a sustainable world: the capacity to shape cosmologies (worldviews), moral authority, a large base of adherents, significant material resources, and community-building capacity.
And most produce strong community ties by generating social resources such as trust and cooperation, which can be a powerful boost to community development. Many political movements would welcome any of these five assets. To be endowed with most or all of them, as many religions are, is to hold considerable political power.
In the three western monotheistic traditions—Islam, Christianity and Judaism—morality has traditionally been human-focused. Thus the natural world can be seen as a set of resources for human use.
Yet scholars in each of these traditions find substantial grounds for building a strong environmental ethics. The Islamic concept teaches that the natural world is not owned by humans but is given to them in trust—a trust that implies certain responsibilities to preserve the balance of creation. The Christian focus on sacrament and incarnation are seen as lenses through which the entire natural world can be viewed as sacred. The Judaic concept of a covenant or legal agreement between God and humanity, for example, can be extended to all of creation. And the
Hinduism and Buddhism contain teachings concerning the natural world those are arguably in conflict. The illusory nature of the material world and the desirability of escaping suffering by turning to a timeless world of spirit, in the case of Hinduism, or by seeking release in nirvana, in the case of some meditative schools of Buddhism. This otherworldly orientation minimizes the importance of environmental degradation. On the other hand, both religions place great emphasis on correct conduct and on fulfillment of duty, which often includes obligations to environmental preservation.
Thus Hindus regard rivers as sacred, and in the concept of lila, the creative play of the gods, Hindu theology engages the world as a creative manifestation of the divine. Meanwhile, Buddhist environmentalists often stress the importance of trees in the life of the Buddha, and “socially engaged” Buddhism active in environmental protection, especially of forests.
The East Asian traditions of Confucianism and Taoism seamlessly link the divine, human, and natural worlds. The divine is not seen as transcendent; instead, Earth’s fecundity is seen as continuously unfolding through nature’s movements across the seasons and through human workings in the cycles of agriculture.
This organic worldview is centered round the concept of ch’i, the dynamic, material force that infuses the natural and human worlds, unifying matter and spirit. Confucianists and Taoists seek to live in harmony with nature and with other human beings, while paying attention to the movements of the Tao, the Way. Despite the affinity of these traditions with an environmental ethic, however, deforestation, pollution, and other forms of environmental degradation have become widespread in contemporary East Asia due to many factors, including rapid industrialization and the decline of traditional values in the last 50 years.
Our civilization’s challenge is to reintegrate our societal heart and head, to reestablish spirituality as a partner in dialogue with science. While acknowledging its shortcomings, the religious community can rightly claim enormous capacity for self-reform. (www.asifjmir.com)
Towards a Recycling Society
Future economic growth depends on the efficient marshalling of energy, raw materials, and scarce financial capital. If
An inventory of discards would reveal metal wastes more valuable than the richest ones, paper wastes representing thousands of hectares of forests, and plastics wastes incorporating highly refined petrochemicals. That these products rich in raw materials and concentrated energy are frequently considered worthless is indicative of a distorted economic system. We are literally throwing away our future.
Recycling offers the opportunity to trim waste disposal needs, and thereby reduces disposal costs, while simultaneously combating global environmental problems. Recycling metals, paper, glass, plastics, and organic wastes would lessen the demand for energy and materials.
Managing solid waste is a global problem: Refuse is produced throughout the world. But it is also a local problem in that there is no such thing as global waste stream. The cumulative waste management decisions made by local and national governments affect global energy balances, the rate at which the atmosphere warms, and the amount of pollution emitted into the environment. They also affect international trade flows and the accumulation of debt. Individuals are not powerless in the face of these problems that sometimes seem too abstract or remote for constructive action. The degree to which people and nations act together to conserve raw materials and energy resources can slow the rate at which the global ecosystem is altered.
In the growing cities of
Recycling programs that require not only a new way of thinking about waste but greater involvement by a host of small, dispersed participants face even greater institutional barriers. Despite these obstacles, our cities should integrate recycling into our waste management plans. These cities will thus save money by avoiding disposal costs and by selling secondary materials.
Getting consumers to participate and establishing markets for recovered materials are the keys to successful recycling programs. Several approaches have effectively increased recovery rates and sales opportunities. Consumers can segregate their recyclables for pickup, permit others to retrieve the valuable components, or pay for a central processing plant to separate them. They may also return selected items to the place of purchase or take them to a collection or redemption center.
The demand for recovered products can be enhanced by meeting the resource needs of regional industries, exploring new uses for secondary materials, and offering economic incentives to waste processors and companies that use recycled materials as product inputs. Procurement policies that either favor or explicitly do not discriminate against goods made with post-consumer wastes also boost demand. Market stimulation simultaneously requires guaranteed supplies of high quality secondary materials. Competition from virgin resources and industry standards for the finished product set the operating parameters. If recycled materials are not as reliable, they will not be used.
Programs geared to the recycling of specific products often include a monetary incentive, usually in the form of a deposit. When consumers purchase carbonated beverages or milk jugs, for example, they may be charged separately for the container. If it is returned clean and intact, the consumer receives a refund. Once popular, voluntary deposit programs will go and most schemes shall be spurred by legislation.
Retailers can also purchase reverse vending machines to accept returned containers and disburse deposit refunds. After inserting their containers (as rapidly as one per second), customers are issued either cash or a redeemable voucher, sometimes accompanied by promotional coupons. Most of the machines are designed to accept aluminum, but reverse vending machines that accept glass are already on the (Western) market.
Recycling programs are most effective when integrated within a city’s overall solid waste management plan. If added as an afterthought, and implemented outside of the waste collection system, recycling schemes typically have lower recovery rates.
To encourage the use of recycled products, government can require its purchasing agents to buy competitively priced goods that contain a certain percentage of post-consumer stock. Reports, laws, and different forms printed on recycled paper, government vehicles lubricated with refined oil, and public roads paved in part by recovered rubber all represent huge markets.
Use of recycled paper by government agencies is important not only because of the volume of government purchases (creating a large market demand), but also because government procurement arrangements will be used by province, local and private organizations as a model to establish programs of their own to buy recycled paper. Additionally, as the market grows for recycled paper, the unit cost will go down, reducing costs for all organizations.
If government is going to encourage recycling, it must also take some responsibility for enlarging secondary materials market. Government regulations and fiscal incentives may compel manufacturers to produce recyclable products and packaging.
Law should require all levels of government and government contractors to purchase “items composed of the highest percentage of recovered materials practicable, consistent with maintaining a satisfactory level of competition.”
Government can also generate markets by encouraging manufacturers to use more discards in their production processes and altering nonessential quality standards. Tax incentives to encourage the purchase of recycling equipment are an approach that will gain favor.
Less waste means less demand for expensive garbage-hauling equipment and waste transfer stations, as well as the loss of habitat for disease-spreading insects and rodents. Greater use of recyclable materials cuts the needs for imported resources, cuts the need for imported resources, reduces energy consumption, and curtails water and air pollution. Societies that recycle can more efficiently and less expensively allocate scarce energy and materials among growing populations. (www.asifjmir.com)
Public-Private Partnership
In this era of modernization in many aspects of public administration,
A major reform objective in public sector management should be to increase, within the framework of democratic accountability, cost effectiveness in the public provision of goods and services. Both citizens and public administration accept the need for improved quality in the public sector.
The legality and the efficiency of providing such public services are of great concern. Local authorities have power to do anything, which is calculated to facilitate, or is conductive or incidental to, the discharge of any of their function.
Outsourcing is a way of contracting out one or more functions to specialist companies. This allows the public entity to concentrate on its core activities. There are three primary reasons for the public administration to outsource. The first is to achieve cost-effective provision of services. The second is to provide a choice for the citizens of producing and supplying public services of different qualities and kinds. The third is simply because there is no alternative due to a lack of staff with the requisite skills; need of relaxing the administrative burden, which somebody other could deal with even better and concentrating the attention on the core administrative matters; short deadlines for implementation. This last reason for outsourcing is to meet the needs, which exceed the capability of the public administration staff, because of a shortage of either staff or skills, or which give added flexibility to the administrative organization.
Thus, the outsourcing can be seen as a process through which relationships are managed and adjusted according to arrangements specified and conditions planned by the administrative authority in the contract documentation. The focus here is not on the legal issues of the contract rather than on the quality of contracting as a mechanism for achieving policy objectives determined at all levels of government for increasing efficiency, effectiveness and accountability. From this perspective the outsourcing by public administration can be considered as a joint commitment to partnership between public and private sector operating as a co-operative device for providing public goods and services.
The trend towards greater satisfaction of public needs and consumer empowerment underlies the role of outsourcing by public administration. The outsourcing is encouraged to secure higher quality of public works and services, whereby contracting managers are located closer to the consumer and so are better able to respond to their needs in actual delivery. The role of consumers and end-clients with respect to outsourcing can thus be increased. The strategies of improving responsiveness through outsourcing on the one hand, and hierarchical distribution of the administrative functions on the other, can be combined in a successful model of public service delivery. The administrative authorities - at federal, provincial and local levels – might participate in the specification of services and in the determination of contractual standards and terms of agreement.
As part of administrative reform outsourcing by public administration should be a high priority. The corresponding legislation should be based on three main principles—transparency, non-discrimination involving open selection criteria and open standards, specifications and standards regulated by law; and open competition.
The framework agreements are very important of securing the implementation of the administrative authority intentions and expectations of the outsourced services or works.
The governments, federal, provincial or local, can use outsourcing as a tool for providing public services when discharging their functions. They use outsourcing to get public results, which should be achieved when the governments exercise their administrative powers.
The outsourcing in some way can replace the direct administrative action. Such outsourcing has the compulsory nature same as this of the administrative action which it replaces. The government can use administrative or seek legislative powers to bring about the result it desires, if it is nonetheless outsourcing. A realistic view is that the process of deciding to outsource as well as the very process of outsourcing is a valid exercise of administrative power. The offered and agreed terms of the contract are also exercising of the administrative power. Once the contract signed, however, the particular relationships issued by outsourcing are moved under the regulations of the private law.
The government functioning can be improved by redefining its role: Policy-making instead of operative decision-making. It should stimulate tools for establishment of working, efficient, rational and fair practice, design of efficient allocation of financial and material resources; transparency and control. The government must also realize that developing a training strategy for skills and incentives is badly needed.
The overall proportion of outsourcing in the field of public administration is generally expected to growing. Demand will increase for a variety of reasons.
Successful outsourcing, however, presupposes the existence of an efficient market. In
Thursday, July 31, 2008
Pro-Poor Budget
Raising pro-poor budget requires a strategy that is deliberately biased in favor of the poor so that the poor benefit proportionally more than the affluent.
Pro-poor budget wades into the needs of the poor. It looks for making a difference in the lives of the poor. It wedges in ex cathedra on the poor empowering them to have a hand in full tilt and to do them a wealth of good from the process of development. Pro-poor budget facilitates the poor to have enlarged opportunities for changing into healthy, educated, productive and shouldering responsibility. A pro-poor budget has a thought through partiality in favour of the poor so that he avails each to each more from government expenditure than the affluent.
The first and foremost move in getting through a pro-poor budget is the earmarking who the poor are. Understanding and measurement of poverty has evolved over time. It is now by and large recognized that poverty is not just a money related deprivation. It is an amalgamation of diverse losses of rights borrowing from the deficient welfare. Through thick and thin, budget must acknowledge to such structure of poverty. Through and through this exercise is indeed labyrinthine. That’s like pulling teeth. In crafting a pro-poor budget requires latest data about the degrees, magnitude and kinds of deprivations that make up poverty.
Owing to both practical and strategic reasons, it is important to establish a conceptual linkage between gender and poverty for promoting gender-sensitive budgets. It would be a mistake to simply equate the two categories. Gender imbalances and inequalities should run across every social, economic and political classification. The exclusion and deprivation experienced by the poor is not the same, and tends to be even more acute for women than for men. Gender allows us to stop envisioning the poor as a homogeneous category of people, whose needs can be addressed with the same recipe.
Pro-poor growth should direct resources disproportionately to the sectors in which the poor work (e.g. agriculture), areas in which they live (underdeveloped regions), factors of production which they posses (such as unskilled labor), outputs, which they consume (such as food), translated into strategy of pro-poor growth - employment generation combined with price stability of goods and services which are essential items. Policies need to be designed to reflect concerns of poverty.
In order to address poverty effectively the budget will need to have more direct rather than indirect means of taxation. This would help reduce prevailing high-income inequalities and help spread the benefits of economic growth.
Pro-poor budget means that the poor benefit disproportionately from economic growth. This is to say the proportional income growth (rate) of the poor must exceed the average income growth rate. The per-capita income growth rate of the poor must exceed growth rate.
This spurs three crystal clear policy messages. First, policies to promote growth should help the poor although they could do so more if they made growth pro-poor rather than neutral as it currently is. Second, reducing initial inequality, particularly asset inequality, should receive highest priority, due to its triple effect on poverty. Third, reducing gender inequality should equally be of highest concern to policy makers that want to achieve pro-poor growth.
It is clear that pro-poor growth that directly reduces poverty must be in sectors where the poor are and use the factors of production they possess. The vast majority of the poor is in rural areas, a majority depends directly or indirectly on agriculture for their livelihood, and the factor of production the poor possess and use most is labor, sometimes land, and even more rarely human capital. Thus pro-poor growth must be focused on rural areas, improve incomes and productivity in agriculture, and must make intensive use of labor. These things are nearly tautological, but often forgotten and are clearly not reflected in public policies or in the allocation of public funds by national governments or donors.
Heavy investment in the human capital of the poor will yield two benefits on poverty reduction. It will increase economic growth and it will make growth more pro-poor. The record of East Asia is a good illustration where high human capital accumulation promoted growth and poverty reduction.
Beyond a concern for increasing average incomes and reducing poverty, there is a greater appreciation for a need to enhance the security for the population if one is to ensure sustainable pro-poor growth. The security of the poor is threatened by physical threats. Thus, the poor are forced to avoid risks that may carry high rewards, can get trapped in cycles of poverty and insecurity, and are regularly pummeled by shocks that militate against sustainable reductions in poverty.
A pro-poor orientation to both the analytical framework and the policy-making processes desperately needs to put into practice. This entails significant governance innovations to guarantee, among others, peoples’ participation in the decision-making processes of the government, as a norm. The direct engagement between the citizens and the government through a process of engaged governance has the potential to achieve the objectives of good governance including bringing people to the government and government to the people.
The budget-makers need to remember that real enemy is poverty and deprivation, that their key weapon is their skill and professionalism and that their modus operandi is their humility. They are the custodians of a value system that defines the objective as demonstrating every single day that they are a caring democracy.
Attaining a pro-poor budget is a big challenge. It requires a bottom-up approach; that ensures that poverty eradication is a central issue and not a donor driven requirement. (www.asifjmir.com)
Nanotechnology: Preparing to live 100, 200 and even 300 years
The rapid pace of technology and medicine are quickly posing the prospect of banishing aging and disease, and yes even most causes of death. Some of the most extreme but very possible aspects of technologies such as molecular manufacturing and nanomedicine promise continual cellular maintenance that will alleviate aging altogether and make it impossible for disease or toxins to injure one's body or take one's life. Present anti-aging treatments do not slow aging and do not extend life span more than quitting smoking, exercising, eating vegetables, or heeding ordinary medical advice does. While all over the world we have seen improvements in health and life spans, Pakistan has large gaps and much effort needs to be spent in narrowing that gap.
Although vainly wrestling with high female mortality at younger ages and during the reproductive years, Pakistan claims a life span of 65. This predominantly seems farce when almost one-half of women receive no antenatal care during their pregnancy and 72 percent receive no postnatal care at all.
The advancements in longevity can be generally attributed to improvements in sanitation, the discovery of antibiotics, and medical care. Despite tall claims, Pakistan’s record on these areas is hopeless. Now, as scientists make headway against chronic diseases like cancer and heart disease to extend anti-aging even further, such diseases in Pakistan are greater than ever and basic healthcare service is inaccessible to a vast majority.
There are theories on aging. The programmed theories hold that aging follows a biological timetable, perhaps a continuation of the one that regulates childhood growth and development. The damage or error theories emphasize environmental assaults to our systems that gradually cause things to go wrong.
Lengthening life expectancies in the industrialized nations are bringing about substantial changes including large increases in the number of elderly and in their proportion in the population. Such changes have occurred, for example, in the type of economic activity, housing, social services, and population make-up of the communities. With growth in the health care system and changes in the service mix provided, the elderly continue to consume more health care per capita and need different services.
Health care institutions, including hospitals, which are widely expected to experience increasing demand as the elderly population grows; organizations will provide home-based medical care and other types of assistance, allowing the individual to remain in their own residence; and a variety of assisted living facilities, ranging from adult day care to residential care to nursing homes.
Of greater concern, the already awful health care industry of Pakistan finds itself ill prepared to handle significant increases in the number of the very elderly. Today, there are almost 9.7 million senior citizens. When it has no policy in place for this population today, it has no concern for tomorrow. Neither public nor private sectors are equipped financially to deal with the problems caused by aging population. When a society starts aging, its economic vitality becomes inferior to that of young societies and sluggish economic growth reduces its opportunities to become well heeled. Thus, in Pakistan an aging population will become a heavy public burden, forcing its people to bring down the cost by establishing large institutions so that, by virtue of economies of scale, they could manage to provide the elderly with the most basic care and medical needs.
The health sector of Pakistan offers an inadequate remedy for the serious problems of an outdated and basically unsound system and hence needs an offensive. People must be offered a vision of a revitalized health care system that provides incentives for increased quality and technological innovation, while at the same time, reducing costs. Pakistanis need a system that gives them control over healthcare decisions, while encouraging them to set aside the resources they need to purchase this care.
The policy makers of Pakistan should keep themselves abreast of technological advances and management strategies by constantly scanning the literature and media, interviewing authorities, and drawing on other sources to identify emerging trends. These trends then need to be analyzed to select those that are most significant.
It needs to begin to prepare now for what will be a very different future. The key questions it needs to think about include: What is it that we should be asking? What is it that its policymakers need but do not get in their human development courses? People should be asking about connections -- connections between existing mindsets and human development. These connections simply are not made in most textbooks available for use in human development courses. In fact, effective change requires more than knowledge of human development. Effective change also requires the ability to devise strategies that take advantage of that knowledge … strategies for connecting research and practice. (www.asifjmir.com).
Monday, July 28, 2008
Poverty, Development and Democracy
It is widely recognized that development is about much more than growth of GDP. Equally, everyone appreciates that democracy is more than simply a matter of universal suffrage and the holding of regular multiparty elections, essential though these are. So we need to understand exactly what is meant by development and democracy today, in the twenty-first century.
There is a need to recognize the links between democracy and good governance on the one hand, and poverty, development and conflict on the other.
A strong, effective, accountable state is the first pillar of democracy and development. International institutions alone cannot and should not take responsibility for eradicating poverty, authoritarianism and conflict. Pakistan’s government should take the initiative by ensuring that its own core institutions of democracy are fully accountable, and by adopting pro-poor development strategies and promoting democratic reforms and human rights at all levels.
The foundations of a democratic state are worth recalling: a freely and fairly elected parliament that is broadly representative of the people; an executive (government) that is answerable to parliament; an independent judiciary; a police force that responds to the law for its operations and the government for its administration; and armed forces that are answerable to government and parliament.
The financial affairs of any democratic government should be monitored by parliament through a public accounts committee, and by an auditor-general answerable to parliament.
Civil society is the third pillar of pro-poor development and democratization. Building the capacity of citizens’ organizations and a free and well-informed media are critical for promoting citizen participation, holding government to account and empowering poor communities. Poor people and poor communities, for example, are in the best position to understand and articulate their own needs, and their voices should be heard directly within government. But they are not and here political rights and opportunities can be bolstered through community action.
The media plays an important role both in giving voice to citizens and in holding government and the private sector to account on their behalf.
Where international economic organizations such as the IMF, the World Bank and the WTO set down conditionalities or constraints on policy, it must be in the pursuit of pro-poor development, and must work in ways that do not erode democratic institutions and human rights at the national and sub-national levels.
There is a need for responsibility, partnership and concrete actions – from the government, private sector, civil society and international community. Without responsibility on all these levels, development and democracy will remain rhetoric rather than become reality.
The principal aim of development no longer focuses on maximizing marketable production of goods. The emphasis now is on expanding opportunities and strengthening human capacities to lead long, healthy, creative and fulfilling lives. Development is about enabling people to have the ‘capabilities’ to do and be the things that they have reason to value. Poverty is the deprivation of basic capabilities and development as the process of ensuring that the most basic capabilities are achieved by all.
Basic capabilities include: being adequately nourished, avoiding preventable morbidity and premature mortality, being effectively sheltered, having a basic education, being able to ensure security of the person, having equitable access to justice, being able to appear in public without shame, being able to earn a livelihood and being able to take part in the life of a community.
Pakistan has a weak administrative capacity. Public officials are poorly trained or lack experience in public expenditure management. State institutions, such as ministries and judiciaries lack sufficient resources or are plagued by entrenched systems of corruption. Inadequate numbers of women at decision-making levels in the civil service and judiciary means that women’s interests are not represented in policy formulation and implementation.
Ill-health is also a cause of poverty. A single experience of sickness in a family can divert energy and resources, leaving the household in deep poverty. Diseases such as malaria, and tuberculosis are not only personal tragedies; a high prevalence of such diseases is associated with significant reductions in economic growth.
Many anti-poverty plans are no more than vaguely formulated strategies. Pakistan needs a genuine action plans - with explicit targets, adequate budgets and effective organizations. Pakistan does not have explicit poverty plans but incorporates poverty into national planning. And many of these then appear to forget the topic.
The government has difficulty in reporting how much funding goes to poverty reduction - unable to distinguish between activities that are related to poverty and those that are not. It confuses social spending with poverty-related spending. But much government spending could be considered pro-poor if it disproportionately benefits the poor. Under these conditions it is probably best to set up a special poverty reduction fund - to give a better financial accounting and to allow government departments and ministries to apply to the fund for financing for their poverty-focused programs.
The scope of development policy has become broader, making ‘pro-poor development’ a vital additional analytical category that orients attention towards those people most in need. Recognizing that ‘development’ is still used loosely in the policy world to refer to development strategies for Pakistan, rather than particularly for poor people, it is important to distinguish and promote ‘pro-poor development’. Development policies aimed at the general population may have a more limited positive impact on particularly disadvantaged groups. Pro-poor development concerns those policies that are specifically
designed to enhance the quality of the lives of the poor.
Pakistan must start out inventing pro-poor developmental policies. This can be a hat in the ring for Yousaf Raza Gillani government. Quite the other way, the climbing poverty will snuff out all his claims for transforming economy for emancipation of the poor lot. (www.asifjmir.com)
Thursday, July 24, 2008
Poverty: Life near the Bone
Poverty is hunger. Poverty is lack of shelter. Poverty is being sick and not being able to see a doctor. Poverty is not being able to go to school and not knowing how to read. Poverty is fearing the future, living one day at a time. Poverty is losing a child to illness brought about by unclean water. Poverty is powerlessness, lack of representation, and freedom.
Poverty has many faces, changing from place to place and across time, and has been described in many ways. Most often, poverty is a situation people want to escape. So poverty is a call to action—for the poor and the wealthy alike—a call to change the world so that many more may have enough to eat, adequate shelter, access to education and health, protection from violence, and a voice in what happens in their lives.
For many, lack of access to income-generating activities, coupled with lack of basic services in education and health, is the determining factors behind acute poverty. In Pakistan, lack of access to credit, training in income-generating activities, basic social services, and infrastructure are critical factors behind the persistence of substantial poverty, especially in underserved rural and urban areas. Poverty levels also differ depending on where people live. The metropolitan poverty rate differs greatly between suburbs and the central city.
At the Millennium Summit in 2002, major development organizations looked at development goals, which had been agreed at international conferences and world summits during the 1990s, and distilled them into eight goals with eradication of extreme poverty and hunger at top. The Goals were formed in response to what was seen as uneven development progress, where globalization benefits millions, but poverty and suffering still exist.
This is scarcely surprising considering that those who live below the poverty line and that any supplementary income from working children becomes unavoidable for their families to make ends meet. We have to understand as why children go to work. If parents don't send their children to work I am sure factories will not be able to consume them. No mother likes her child to go for work. It is financial crisis, which forces. Our understanding should be little more practical as no parents want their children work at the age when children are to study and play.
The stress on a gradual approach towards eliminating child labor is the correct one. At the same time, poverty alleviation efforts must be stepped up, so that the loss of an earning member of the family is not felt, so actually and over an indefinite period of time.
Poverty is no longer just a matter of calories or of pricing a consumption bundle. It has to do with the poor defining and achieving their well being themselves and living a life in a participative society where the State is an enabling rather than a hindering institution. It is not that income or consumption level is unimportant. It remains at the core of any definition of poverty. But we must view it as an input as much as an outcome. It is an input which contributes towards well being. But just as important are public goods – health care, clean water, literacy, and healthy environment.
Pakistan's rural sector accounts for more than 70 percent of employment, and roughly two thirds of rural employment is in agriculture. Less than a third of rural households get loans, only 10 percent of which are from institutional sources. Pakistan's credit institutions are not helping the country accelerate agricultural growth and reduce poverty.
To improve performance in the rural economy and efficiency in financial institutions, rural credit markets must be liberalized.
Produce and price controls must be replaced by prudent regulation and supervision, combined with policies to stabilize the economy. Commercial banks must operate in a competitive environment. They must be allowed to set interest rates for rural lending that cover their transaction costs. Credit must be made available to support productivity growth for agricultural smallholders and small producers of the rural non farm sector, where Pakistan's growth potential lies. Credit must be made available to women and to the rural poor for consumption smoothing and for sustainable income generating activities.
Policy should be directed at developing a market based financial system for rural finance, but because of market failures to support disadvantaged groups, a special priority program may be needed to get credit to women, smallholders, and the rural non-farm sector.
Subsidizing interest rates is not the way to help marginal borrowers. Instead, they can be helped through fixed cost subsidies and self-selected targeting. NGOs should be encouraged to help, keeping in mind such success stories as the Grameen Bank in Bangladesh and Badan Kredit Kecaratan (BKK) in Indonesia.
Pakistan needs to make the policy choices to help it translate economic gains into real poverty alleviation for its citizens. It needs social protection, human development, and a well-coordinated rural strategy. Issues of governance are at the heart of many of the difficulties encountered in mitigating poverty and broadening access to social services for the poor. (www.asifjmir.com)