The PPP-led coalition commands two-thirds majority in the National Assembly now while it is mere two votes short of enjoying a similar position in the Senate. The policy of conciliation initiated by the PPP has paid off. From a government whose fate was hanging by a thread only a couple of months ago, the administration is now in a position from where it can function with confidence. This should serve as a lesson to the PML(N) which has gotten itself politically isolated on account of the policies of its leadership which is averse to sharing credit with the allies.
The coalition government should now move ahead with the much needed structural reforms that have been stalled for lack of voting strength. There is a need to enforce the RGST, rationalise power rates and bring those powerful sections of society under the tax net that have so far succeeded in evading it. This would require the taxing of agricultural incomes, real estate transactions and stock exchange gains. There is also a dire need to privatise the unprofitable state-controlled enterprises that caused a loss of Rs 245bn to the national exchequer in 2009-2010 alone. The circulatory debt which is acting as a millstone around the economy’s neck needs to be brought under control. While undertaking reforms, the economically backward sections of society have to be provided the required succour through targeted subsidies. The measures would bring the ailing national economy on the track to recovery.
There is a need on the part of the PPP to realise that the majority it possesses comes with an Achilles heel. The “big mandate” it enjoys is not the outcome of the PPP’s own strength but is dependent on the goodwill of the allies. What is more, it is an alliance on the basis of a minimum rather than a maximum programme. It would be quite a task to keep over half a dozen disparate elements together. With the swearing in of the MQM ministers, the cabinet will have 30 federal ministers and nine state ministers which keeping in view the number of advisors and those enjoying the status of federal ministers is quite sizeable. One hopes governance is not made a hostage to the expanded alliance.