Department of State
AIRGRAM
CONFIDENTIAL A-610
DATE:
TO : Department of' State
INFO
: ANKARA, BANGKOK, CALCUTTA, DACCA, KABUL, KARACHI, KATHMANDU, LAHORE, LONDON,
NEW DELI-11, PESHAWAR, CO. 6937TH COMMO GROUP, PESHAWAR, RANGOON, TEHRAN
FROM:
AMEMBASSY RAWALPINDI
SUBJECT
: Current Pakistani Scene - Comment
REF :
The
reftel summarized the Embassy assessment of the current Pakistani scene. This
message provides a more detailed review of the Situation. The Submissions by
the constituent posts follow in a separate airgram.
I.
Yahya's MLA: Performance and Prospects
a.
Domestic Political Issues
The
Yahya regime has managed to keep a half step ahead of potentially explosive
domestic troubles by pursuing a basically cautious approach. After an initial
period of reform activity it is now responding to pressures rather than seeking
to master events. It has been willing to act tough when necessary to put down
disturbances, but has preferred to avoid confrontations by concessions. It has
been able to defuse potential opposition by continuing a relaxed form of
martial law and maintaining a slow hut, so far, steady pace toward the holding
of general elections and the reestablishment of a democratic and civilian
government.
While
to date Yahya's public remarks on plans for resolving the constitutional and
political impasse remain cryptic, he manages to say enough to convey the
impression that he does not want to prolong martial law and wants to remove the
military from direct political responsibility. According to a number of
separate reports (see Dacca's 2875, Karachi's 2687 and 2798, and Rawalpindi's
A-594) as well as rumors now circulating in Rawalpindi, it is expected that
Yahya will make a major political statement shortly, possibly to announce an
election date for choosing a constitutional assembly and the break up of One
Unit in West Pakistan. Reports are not entirely clear how Yahya plans to deal
with the election ground rules (population or parity) and the
constitution-making process. It is thought he may later announce constitutional
principles (possibly to be put to a referendum) and will leave the detailed
drafting of a constitution to the elected assembly, which would have a limited
term in office. There is talk that elections may come as early as April-May
1970.
b.
Economic Issues
MLA
performance in the economic field continues to be somewhat erratic, uncertain,
and discouraging. There is much pulling and hauling within the government on
the basic issues, i.e., the extent to which economic growth should be
sacrificed in the interests of social welfare, and how far resources can be
safely stretched or anticipated in implementing current and development budget
and foreign exchange expenditure. Initially, the MLA moved hastily to raise
very substantially minimum wage levels for unskilled laborers, and to publish a
somewhat grandiose set of proposals for consideration in the education field.
In the face of widespread criticism of both moves, however, further action has
generally been delayed.
Policies
in dealing with food grain problems have in some instances had erratic effects.
In April, anticipating an overwhelming grain surplus in West Pakistan and
observing a rising barrage of financial and economic policy advice, the
government reduced the procurement and issue prices for wheat in West Pakistan
by 12 per cent (from Rs. 17 to Rs. 15 per maund) to save the budget and reduce
the expected inflationary impact of the projected surplus. Now, concerned to
secure a major increase in the wheat crop next year and over the pressure from
major farm interests, the support and issue prices of wheat have been restored
to previous levels. As late as three to four months ago, still reflecting the
expectations of surplus, many key GOP officials professed to see little or no
need for PL 480 negotiations to supply
During
the first quarter of FY 1970 there has been an economic slowdown. While factors
such as shortages of raw materials, labor troubles, etc., have played an
important role, a major element in discouraging new investments has been
concern about the political situation. Uncertainities that have worried
investors have been the probable duration of MLA and the likely nature of any
successor government. Exports have been off eight per cent and imports two per
cent for the quarter, and significant declines have carried into October, on
the basis of preliminary figures.
The
perennial question of disparity between the two wings continues to plague the
central government. Bengali accusations that the GOP is not doing enough to try
to narrow the disparity are increasingly countered by privately expressed West
Pak views that the deficiencies on the East Pakistani side play the greater
role in hampering development-the chronically unfavorable weather,
inefficiencies in the public sector, absence of an adequate entrepreneurial
class, lack of investor interest, etc. Thus, indignation of the Bengalis over
allegedly insufficient GOP interest clashes with
There
is a widespread belief-and one which hampers business decisions-that the
economies of East and
2.
Current Scene
a.
Political
In
East Pakistan, the scene continues to be dominated by the center-left Awami
League of Mujibur Rahman with Maulana Bhashani's far left National Awami Party
(Left) trailing well to the rear and other parties like the Pakistan Democratic
Party lacking in appeal. Mujib has managed to maintain his popularity during
the past six months. He is in effect uncrowned king of
In
contrast, the pro-Communist NAP(L) appears to be suffering at least a momentary
setback although given the immensity of the economic problems of
In
West Pakistan, by contrast, the party structure is splintered on a sub-regional
basis with doubts now whether any party-Pakistan (Convention) Muslim League
(PML), Council Muslim League (CML), PDP, National Awami Party (Requisionist)
(NAP (R)), or Pakistan Peoples Party (PPP)-can honestly claim to have a
provincialwide following. In the former Frontier,
While
politicians disagree widely on the specifics of a possible constitutional
solution and appear at complete loggerheads, they remain unified in wanting
democratic elections as soon as possible and are probably willing, with the
exception of the far left, to accept less than their public demands in return
for elections. Recently consideration of constitutional issues-the question of
b.
Labor
While
the qualified guarantee of the right to strike should win applause for MLA, the
labor sector has become a highly troublesome one for the government during the
past two months. The mood of labor has changed from initial approval after the
release of Nur Khan's labor proposals. First disappointment set in as confusion
arose over the policy's implementation and more recently outright defiance in a
chronic wave of strikes. This situation has been aggravated by running contests
between Communist and non-Communist linked unions and by pressure below from
the workers for higher wages in response to rising prices,
c.
Students
Paradoxically,
the students, who have little sympathy with the MLA, remain for the moment
relatively quiet. In
d.
General Mood
i.
Despite
tensions caused by anti-One Unit sentiments, the acrimonious Islam versus
Socialism struggle and strike troubles, no direct challenge to the MLA appears
imminent. The current problem is rather a psychological one. Political leaders
and informed opinion now seem to lack confidence in the Yahya Government's
capability of handling the situation, fear that events may again disrupt the
electoral process and are skeptical that a democratically elected government
will in fact be capable of restoring political stability and maintaining the
pace of economic development. In short, while there is optimism that Yahya will
hold elections and (in the NWFP, Sind and Baluchistan) dismember One Unit,
there is a growing sense of malaise and pessimism about the longer-term
prospects for Pakistan. Re
ii.
When
faced with an imminent crisis in September-October as a result of student protests,
industrial strikes, and a potential food shortage, the MLA managed to finesse
the situation by its conciliatory handling of the students, a firmer stand with
the workers and rapid (if late) action on the food sector. However, when a mood
of relative quiet appeared to be setting in, fresh troubles erupted in
refugee-Bengali riots over the use of Urdu in the voter registration forms. The
details of these latest troubles are not entirely clear, but events underscore
the tenuous nature of MLA control in
With
major elements in the population-politicians, labor, business, and the
students-unsympathetic, maintenance of the MLA (read West Pakistani domination)
in East Pakistan seems dependent on the avoidance of major showdowns with the
Bengalis and tangible progress toward free elections and the ending of martial
law. Events of the past months have seen a further deterioration of the stature
of MLA and a rise in separatist sentiments in
Source: The American Papers - Secret and Confidential
Limited, p. 293 - 297