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RECENT DEVELOPMENTS IN PAKISTAN AND IN JAPAN-PAKISTAN RELATIONS Speech at the Natiponal Institute for Defence Studies Tokyo March 2002

It is a great honor and privilege for me to come to the National Institute for Defense Studies, a distinguished and eminent academic institution of Japan to share my thoughts with you on the recent developments in Pakistan and in Japan-Pakistan relations.

First, a few words of introduction, addressing two common misperceptions about Pakistan. First, a notion as if Pakistan was created out of India. When the British left in 1947, they divided the vast territory of British India, also known as sub-continent into two States, India and Pakistan to reflect the political, historical and nationalistic realities. The British India was not a single nation - rather it was an empire embodying two principal communities, Hindus and Muslims, ruled as one administrative unit by the Britain. Pakistan came into being not at the expense of India, but in its own right. It has a separate identity of its own responding to the aspirations of the Muslims of Sub-Continent who wanted a separate homeland. India has its own nationalism, and we have our own. Why we wanted a separate homeland: because we had our own culture, own way of life, own historical origin, own religion, indeed, our own nationalism. Pakistan came into existence as the result of the heroic sacrifices and sustained struggle by the Muslims under the dynamic leadership of our founding father Quaid-e-Azam, Mohammad Ali Jinnah. There is another misperception about Pakistan. Pakistan has come to be seen in some quarters as a fundamentalist state. May I state in all sincerity that it is not true. Let me present two fundamental truths in support of my assertion. I recall the positive reception of the masses of the people of Pakistan to the decision of our President to join the international coalition against terrorism, and again to the announcements he made just a month ago on 12 January. Pakistani nation has supported the correct choices made by the Government. Secondly, and equally significantly, the ballot has never favored fundamentalists - indeed, successive ballots have consistently marginalized them. That has been the verdict of the people of Pakistan- clear and unambiguous.

Now let me come to the recent history of Pakistan.

The change of government, in October, 1999 was necessitated by compelling circumstances. Three times earlier - in 1990, 1993 and 1995 - elected governments were dismissed by the elected President. Our experience with the practice of democracy has been “unfortunate”. But that does not mean we are against democracy as a system. On the contrary, our Government is resolved to reconstruct and restructure institutions so that democracy will be stable and sustainable. The Supreme Court of Pakistan has given the government three years to implement its agenda of reforms and systemic rectification. This time period ends in October this year when elections will be held to fully restore democracy in the country.

Ladies and Gentlemen,

The priorities of the government remain economic revival, improved governance, rectification and reform of national institutions and social progress.

Before September 11, the Government had managed to arrest and reverse the downward slide of our economic situation. Necessary conditions for sustainable economic development have been created through measures such as expansion of the tax base, documentation of the economy, reduction of the fiscal deficit and focus on key economic sectors for growth like textiles, agriculture, small and medium size Industries, energy and IT.

In the economic sector our critical needs are immediate fiscal support, debt relief and IFI assistance from international financial institutions and bilateral assistance. The international community has responded positively and has promised to assist us to overcome our economic difficulties both in the short term and in the long term.

Now the relations between Japan and Pakistan.

Pakistan and Japan have enjoyed a long-standing friendship resting on linkages that are both ancient and modern. Historically, these ties go back to nearly two thousand years when the north-western part of Pakistan was the cradle of Gandhara civilization radiating Mahayana Buddhism that found its way to Japan through Central Asia and China. The ancient bilateral relations were restored when Pakistan became independent.

We are happy that diplomatically, Pakistan and Japan have enjoyed friendly ties from the very beginning. Since the establishment of diplomatic relations between the two countries in 1952, the relations between us have been reinforced through a series of presidential, prime ministerial and other high-level mutual visits, including the visit to Pakistan by Their Imperial Highnesses The Crown Prince and Princess, now Their Majesties The Emperor and Empress of Japan.

Our economic relationship has grown side by side with our political ties. Over the decades Japan has extended generous financial and technical assistance to Pakistan. The volume of bilateral trade between Pakistan and Japan may not figure high on Japan’s tables but it is quite substantial from our viewpoint. Japan is one of our major trading partners. Also, Japanese private investment contributes greatly to Pakistan’s industrial and infrastructural development. Japan companies have invested in automobile, chemical, pharmaceutical, energy and textile sectors in Pakistan. The potential for further cooperation in these and other fields is much larger. It is our hope and desire that Japan would play a prominent role for its realization. We highly appreciate the decision of Japan to discontinue economic measures. Pakistan faced enormous economic difficulties since the terrorist attacks in the U.S. on September 11. Ladies and Gentlemen

Many things have happened in Pakistan and in its neighboring countries since September 11, 2001, which has affected Pakistan in many ways.

The barbarism of September 11 has changed the world because of the horror, the disbelief and the grief that we endured. In that moment and without hesitation Pakistan joined the international coalition against terrorism. Our commitment has been steadfast; our role is fully in your knowledge. We are alive to the responsibility that we have accepted.

Pakistan has a firm position of principle in the international battle against terrorism. We reject terrorism in all its forms and manifestations anywhere in the world. We will continue to fulfill our responsibilities flowing from our commitment.

Pakistan’s efforts to combat the terrorism both internally and internationally are well known. We extended support to international coalition in its fight against terrorism. In the first instance we contacted Taliban and urged them to cooperate with International Community and hand over Osama Bin Ladin and other members of Al Qaeda group to the international community. But unfortunately they did not listen to our advice. We are happy that a new government has taken control in Afghanistan and the process of reconstruction has started. We have extended full support to the new government and has announced a financial contribution amounting to 100 million dollars for reconstruction of Afghanistan.

We are happy that the war has come to an end in Afghanistan and now the focus has shifted to reconstruction of Afghanistan. Tokyo donor conference in January this year was very successful as 4.5 billion dollars were committed for the reconstruction of Afghanistan. The Conference provided a forceful and timely impulse to this process, which will also accelerate the return of millions of Afghan refugees in Pakistan to their homeland. Except for Afghanistan no other country is more affected by the events there than Pakistan. 200,000 new refugees has come to Pakistan after the recent war there, over and above 3 million Afghan refugees living in Pakistan.

We consider that the faithful implementation of the Bonn Accord provides the best guarantee for the future of Afghanistan. The Interim Administration must be strengthened and its writ established over the entire country. Chairman of Afghan Interim Administration Mr. Hmid Karzai has recently visited Pakistan and we have assured our full cooperation to them. Being a neighborly country having strong ties with Afghanistan, Pakistan is well placed to play a constructive role, along with the UN and international community in the reconstruction projects in Afghanistan. We are grateful for Japanese support following our unstinted support for the international fight against terrorism. Japan has agreed to reschedule a substantial amount of our debt. Last September, the Government of Japan decided to take emergency measures to assist Pakistan, which included bilateral assistance worth approximately US$40 million (4.7 billion yen). Again in November 16, the Government of Japan announced that it would provide US$300 million in grant aid to Pakistan, which includes the above-mentioned US$40 million, over approximately next two years to assist Pakistani government's efforts in such fields as education and health to reduce poverty. In early November Japan contributed one billion dollars to the Poverty Reduction Ggrowth Facility fund of the IMF of which at least half the amount was intended for Pakistan. This would be useful in improving the situation of Pakistan's external debts, promote an early economic recovery and further help to advance its economic reforms. All these steps helped Pakistan to overcome the unprecedented difficulties faced by it in the aftermath of September 11 events. We are grateful to the Japanese government and people for this generous assistance.

The year 2002 has special significance for us. This year we are celebrating 50th Anniversary of the establishment of diplomatic relations between Japan and Pakistan. In this landmark year the President of Pakistan is visiting Japan next week, which would further strengthen our friendly relations.

The significance of the President’s visit is enhanced as it takes place in the year when we celebrate 50th anniversary of the establishment of our diplomatic relations. The discussions he will have with Prime Minister Koizumi and other important political leaders will set the direction for our new partnership in the 21st Century. We will explore new fields of bilateral cooperation as our relationship transcends economic content or any other single issue. Pakistan has a unique position of acting as a bridge between Asia and the Middle East. Pakistan’s close proximity to Central Asia and the Gulf region emphasizes its geo-strategic location. The peace and stability of Pakistan and, therefore, of its region should be a matter of keen interest to Japan. That was valid before September 11 and has become more so since.

The need to rid Pakistani society of elements of extremism and religious radicalism has been the objective of the President since the time he came to power. Within days of assuming office, he launched a campaign to eliminate this scourge leading upto the decisions that he announced in his address to the Pakistani nation on 14 August, 2001 and January 12, 2002.

The campaign against terrorism has been undertaken in our national interest. It is our hope to see a just, moderate, progressive, tolerant society in Pakistan in the true spirit of Islam as was envisaged by our founding fathers. The government has arrested more than 2000 members of extremist organizations and more than 600 offices sealed. Posters and publicity material have been removed, accounts have been frozen. It is our endeavour to turn the energies of the nation to wage a struggle against illiteracy, poverty, backwardness and hunger.

These measures have been greatly appreciated by political and religious leaders, intellectuals, opinion makers and the general public. They have raised Pakistan’s standing in the comity of nations as a responsible progressive Islamic country.

Ladies and Gentlemen,

As you are well aware, in South Asia the tension between Pakistan and India continues and the serious security situation persists. This is caused by the massive mobilization and deployment of Indian forces on our borders. Over one million forces face each other across the line of control in Kashmir and along the international borders. More than one million troops are facing each other on our eastern borders.

Just after the attack on Indian Parliament, the President of Pakistan in his message to Indian Prime Minister condemned this tragic incident. Again in January this year, during the SAARC summit President extended the hand of friendship to Mr. Vajpayee and offered to hold talks for resolving all outstanding disputes. Pakistan also offered for joint investigation of the incident. But unfortunately we have not received any positive response from India. Our government has already banned those organizations, which are blamed by India for the incident. As I said more than 2000 persons belonging to these organization and have sealed their offices. While we were expecting that India would de-escalate the situation in response to such measures by Pakistan, they are putting additional demands. They have asked for the extradition of 20 persons which they suspect are involved in the incident. We do not have any information about these persons, neither India has provided any information about their addresses. Similarly for extradition both countries need to have extradition treaty. This is a legal issue not a political issue.

Pakistan is a small country and it cannot afford to have war with India. We have only taken defensive measures against any possible action by India. Obviously, there is one and only one way to defuse the situation - and that is by the immediate return of troops to their peace time locations. The situation is not of our making. Pakistani forces have only reacted, and with prudence, to a threat situation and deployed defensively. Pakistan desires peace. Pakistan cannot afford to go to war with India. Pakistani forces will respond to Indian de-mobilization and pull back.

Pakistan is committed to a peaceful resolution of the Kashmir dispute in accordance with the wishes of the Kashmiri people. All other differences existing between Pakistan and India should also be settled through peaceful means.

It is imperative that India should move to de-escalate the tense situation by agreeing to a withdrawal of troops and re-engage in a meaningful dialogue with Pakistan to address all issues including the dispute of Kashmir.

Japan enjoys tremendous respect influence both in India and Pakistan. It can play an important role in de-escalation of the current situation in South Asia and return of the forces to its peace time location. We also hope that friendly countries like Japan urge India to have meaningful dialogues with Pakistan.

Ladies and Gentlemen,

Pakistan' s foremost concern has been to safeguard its sovereignty and territorial integrity. We neither seek nor endorse spheres of influence. Territorial aggrandizement has never been our policy, indeed it is an anachronistic concept.

Pakistan has shared international concerns over nuclear disarmament and non-proliferation since late 60’s when NPT was being negotiated. At that time, Pakistan made efforts to obtain security assurances for non-nuclear weapon states. Since the early 70’s Pakistan consistently proposed a resolution at the UN General Assembly to promote negative security assurances for non-nuclear weapons states against the use or threat of use of nuclear weapons.

Despite India’s nuclear explosion in 1974, and its vast un-safeguarded nuclear program, which has been a source of great concern to Pakistan, we maintained our commitment to the goal of nuclear non-proliferation over the years. Since 1974, Pakistan repeatedly proposed initiatives for a non-discriminatory and equitable regime to keep South Asia free of nuclear weapons. Unfortunately all these proposals and initiatives were rejected by India and largely ignored by the international community.

Our security concerns obliged us to develop our indigenous nuclear program as a response to India’s established nuclear capability. We, however, continued to make vigorous efforts to promote nuclear non-proliferation at the regional level.

Pakistan had consistently drawn the world attention towards India’s missile and nuclear programmes and had been urging the major countries to use their influence to persuade India to desist from this course.

Ladies and Gentlemen,

The Indian tests of 11 and 13 May 1998 were followed by threatening statements asserting that the strategic relationship had been altered, that India would deploy nuclear weapons, that the Indian tests carried implications for the settlement of the Jammu and Kashmir dispute and that India would lodge hot pursuit attacks across the line of control.

The series of these threats culminated in credible reports of planned pre-emptive strikes against Pakistan’s sensitive facilities.

Ladies and Gentlemen,

Pakistan sought but got no security assurances from any major power against a nuclear India and hence we were obliged, in the interest of maintaining mutual deterrence, to carry out the tests. It was vital for the preservation of peace in the region. We could not ignore the threat to our security.

In evaluating the implications of India’s nuclear philosophy and programme, it is essential to be aware of the big power ambitions of India, and the compulsions of Pakistan. What is clear is that India's nuclear programme is driven by its big power ambitions, while ours is security-motivated.

Ladies and Gentlemen,

Pakistan strongly believes that the ideals of non-proliferation and disarmament in South Asia will remain unfulfilled in the absence of concrete and tangible steps taken towards that end.

Pakistan fully understands the sensitivities of Japanese people on the issue of nuclear proliferation. Since May 1998, when the imperatives of self-defence impelled us to conduct our own nuclear tests, we have been engaged in a constructive dialogue with Japan and have taken substantive measures to address its nuclear non-proliferation concerns.

We remain committed to the non-transfer of sensitive nuclear technology. We have repeatedly declared at the highest level that we are not interested in exporting sensitive nuclear technology or equipment.

I thank you for your patient hearing.