The Economist

(Steven Felgate) #1

28 Asia The EconomistJuly 21 st 2018


1

2 PML-N has built too much fall flat). Since
2013 Mr Khan’s party has ruled effectively
in the northern province of Khyber Pakh-
tunkhwa. But its success there may not be
sufficient to persuade many voters to des-
ert the PML-N in the national polls.
So the PTI has focused on persuading
PML-N legislators to switch sides and bring
their voters with them. Mr Khan says that
without “electables” assuchweathervane
politiciansareknown“youcannotcontest
the election”. Around a third of the PTI’s
candidates are recent entrants from other
parties. They have been wooed with little
regard to their backgrounds. Some are pre-
cisely the kind of sleazy politician that Mr
Khanhas railed against. Opinionpolls sug-
gest the PTI is neck-and-neck with the
PML-N says Haris Gazdar an academic.
But the rush ofstrong candidates to the PTI
may suggest that the political elite is put-
tingits money on Mr Khan.
One reason for the defections may be
pressurefrom the army. Several PML-N pol-
iticians have publicly claimed in recent
weeks that they were pushed by Inter-Ser-
vices Intelligence an army-dominated
agency tochangetheir affiliation. Mr Khan
denies thatthearmyis supportinghim but
says it is the “only institution” that func-
tions in Pakistan. Some of his supporters
believe the army is influential. It is playing
“a big role” in the election says Zeeshan
Haider a PTI activist. “They will decide
whatset-uptobringinPakistan.”Thearmy
denies all such allegations.
By returning to serve a sentence that he
attributes to an army conspiracy Mr Sharif
has tried to persuade voters that the elec-
tion is a choice between democracy (sup-
posedly represented by his party) and mil-
itaryrulewith the PTIas its front. Onboard
Etihad Flight 243 to Lahore the capital of
Punjab province and his home town he
told The Economist that his battle with the
“establishment”—the army in other
words—was “heading to its peak”. The au-
thorities certainlyfear as much. As Mr Sha-
rif prepared to head home almost 300
PML-N activists were detained to prevent
them stirring up trouble. Around 10 000
policemen were deployed to block a pro-
cession led by his brother Shahbaz a for-
mer chief minister of Punjab from reach-
ing the airport. There Nawaz was
transferred to another flight that took him
to a prison near Islamabad. Shahbaz has
since tried to mollify the army. In an inter-
view with the Financial Times he vowed
to consult the army when needed should
the PML-N win.
Fears that these elections may not be
fair are justified. The work of a 100 - strong
EU monitoring team has been mysterious-
ly obstructed. For the first time in four elec-
tions the EU observers were able to start
theirworkonlyaweekbeforethevote.Pre-
viously they had started more than a
monthinadvance. Thearmyhas also been

more visible this time. In 2013  when terro-
rism was a bigger problem it deployed
70 000 soldiers to polling stations. There
will be 370 000 of them on July 25 th. The
Election Commission of Pakistan which
oversees the vote has granted army offi-
cers the power of magistrates. This will
give them control overproceedings in poll-
ing stations. The Human Rights Commis-
sion of Pakistan a respected NGO com-
plained recently of “unabashed attempts
to manipulate the outcome” of the vote.
If there is a hung parliament which is
likely the PTImaybeabletoformagovern-

ment with the support of smaller religious
parties and independent legislators. The
party may even have to approach its old
foe the PPP which these days has little
support outside the southern province of
Sindh. That would require Mr Khan to
swallow his words about not joining
hands with the PPP’s chairman Asif Ali
Zardari. He has accused Mr Zardari who
was president between 2008 and 2013 of
corruption. But the two parties did team
up against the PML-N in senate elections in
March. Mr Khan has proved flexible in his
pursuit ofpower. 7

M


OST political leaders play up their
country’s economic performance.
Those on the Cook Islands a collection of
15 islets spread over 2 m square kilometres
in the South Pacific are doingthe opposite.
At issue is whether the country of
17 000 peoplehasbecomewealthyenough
to warrant a reassignment by the OECD a
club of mostly rich countries from upper
middle-income to high-income status. The
rub is that “graduation” would make it
more difficult for the country to claim it
qualifies for aid. This amounted to
NZ$33m ($22m) in 2016 or just under 8% of
the islands’ GDP. However New Zealand
the biggest donor country to date has said
it will continue to give an unspecified
amount of financial assistance if the Cook

Islands graduates.
HenryPuna the prime minister has ac-
knowledged that achieving high-income
status would be a source ofnational pride.
It would be a first for a Pacific-island state.
But he has warned that “premature gradu-
ation could have serious implications” for
his country. The finance ministry down-
plays the islands’ impressive average an-
nual growth of around 5 % between 2014
and 2016. It noted in a recent press release
that“economicgrowth maynot have been
as strongas we thought”.
The OECD sorts countries into groups
based on theirgross national income ( GNI)
perperson. Countries thatexceed the high-
income threshold as defined by the World
Bank for three consecutive years are pro-
moted to the list of developed countries.
(In 2016 the high-income threshold was
$ 12 236 .) The Cook Islands however does
not produce data for GNI only for GDP
which does not include net income from
abroad. So when the OECDhinted lastyear
thatthe islandsappeared readyforgradua-
tion officials resisted arguing that they
should be granted extra time to compile
their own GNI statistics. The OECD set a
deadline ofearly 2019.
The Cook Islands has good reason to
worry that the good times may not last. It
has lost 12 % of its population in the past 12
years as young people seek greener pas-
tures in New Zealand. (Cook Islanders
hold New Zealand citizenship thanks to
their country’s “free association” arrange-
ment with the former colonial master.)
Spendingbytourists accountsforover 60%
of the islands’ economy. Around 80 % of
the visitors ( 161 000 of them last year) are
from New Zealand and Australia. A reces-
sion in one of those countries or a natural
disaster at home would be an enormous

The Cook Islands

A curse in disguise


The island state couldsoon become the world’s newestdeveloped country. Forits
leaders that maynot be all good news

How not to blow your own trumpet
Free download pdf