LONDON: Pakistan’s economy controlled by ruthless conglomerate – the army
owns everything in the country, from factories, bakeries, farmland, golf courses
620,000 soldiers, Pakistan boasts 7-largest standing army
senior officers have long ago realised perks from commercial ventures
writes Elliot Wilson for UK-based The Spectator
Since 1947, army steadily intertwined itself into Pakistan’s economy
hard to tell where military stops and any semblance of free-market begins
2007 book Inside Pakistan’s Military Economy
Dr Ayesha Siddiqa exposed rampant commercialism pervading military
Dr Siddiqa estimates military’s net worth 10 billion pounds
roughly 4 times total FDI generated by Islamabad in 2007
senior 100 military officials worth 3.5 billion pounds
Pakistan’s largest corporations controlled by military
opaque network of powerful ‘foundations’
largest 3 – Fauji, Shaheen, Bahria controlled by army, air force, navy
control 100 separate commercial entities from cement to cereal production
Fauji Foundation, largest of the lot worth several billion pounds
operates security force, oil terminal, phosphate JV with Moroccan govt
Bread supplied by military-owned bakeries
Army banks take deposits and disburse loans
1/3 heavy manufacturing and 7% private assets in army hands
average Pakistani earns 1,500 pounds a year
Pakistan poorer than all but 50 of the world’s nations
military’s junior officers live in squalid tents pitched by roadside, even in Islamabad
Financial autonomy given military dangerous sense of entitlement
any politician attempts to limit army’s power they get slapped down
an Benazir Bhutto, who tried to secularise the army without success
military beginning to act like feudal landlord
peasants in Punjab complained in 2001 army forced them to pay rent in cash
army cracked down, beating many and leaving eight dead
full democracy a threat to army’s power
since power creates greater economic opportunities, military perpetuates it
While other countries have armies, Pakistan’s army has a country.
army arrogant, dismissive attitude to its own people
flagrant profiteering engenders huge resentment
in rural provinces army increasingly seen as invading force