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The State, Industry and Commerce – II

The Nawaz Sharif government has made some very laudatory and swift moves towards freeing the economy, speeding up the process started by Junejo in 1985 and continued by Ms Benazir. Open-ended incentives for locating projects in the rural areas can only encourage rapid industrialisation. Demographically speaking, it will initiate population shift back to the rural areas. Bureaucracy’s control over the granting of permissions having been reduced in the “sanctioning of” part, the Empire will strike back (to reassert their authority), probably by making utilities unavailable. The politicians ability to cope with the bureaucracy’s capacity to filibuster will be the acid test of the economic will of the new Administration, a hard rock on which the PPP wave floundered.

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