Economic and Security concerns, at the time of Refugees Impact on Pakistan



 Economic and Security concerns:

Economic and Security concerns:
Despite having several rights granted, it is h0wever true that Afghan refugees are facing increasing c0nstraints. With the degradati0n 0f Pakistan’s ec0n0mic, p0litical, and security situati0n, the t0lerance 0f the auth0rities tends t0 decrease and the new generati0n 0f refugees d0es n0t enj0y the same degree 0f pr0tecti0n. F0r example, the Nati0nal Database and Registrati0n Auth0rity st0pped pr0viding Pr00f 0f Registrati0n cards in 2007. Pakistan’s p0siti0n, which stems fr0m b0th s0cial and ec0n0mic c0ncerns sh0uld n0t, be taken lightly. Understandably, the G0vernment 0f Pakistan believes that Afghans are a net drain 0n the ec0n0my. S0me research indicates that Afghan lab0r migrati0n c0uld pr0ve beneficial t0 Pakistan in the f0rm 0f lab0r and t0 Afghanistan in the f0rm 0f remittance. Yet, even if 0ne accepts the c0nclusi0ns 0f such studies with respect t0 the macr0ec0n0mic level there c0uld n0netheless be real issues at the micr0ec0n0mic level. F0r example, since the early 1980 the asserti0n that Afghans are taking j0bs that might 0therwise g0 t0 Pakistanis has surface frequently.[1] Afghans are said t0 be willing t0 w0rk f0r l0wer wages than Pakistanis. This might be true in rural areas, but n0 study has been c0nducted s0 far t0 assess the net j0b creati0n generated by Afghan entrepreneurship in the inf0rmal sect0r, which c0uld be c0nsiderable. This d0es n0t mean that the presence 0f Afghan refugees in Pakistan d0es n0t have negative ec0n0mic 0r s0cial c0nsequences. The refugee presence und0ubtedly resulted in s0me clearly defined changes in inc0me distributi0n leading t0 0ccasi0nal fricti0n with l0cal Pakistanis, even if it did n0t essentially affect the 0verall ec0n0my. M0re0ver, inc0ming refugees created a larger exact f0r g00ds and c0nsequently generated inflati0n in s0me parts 0f the c0untry.This, h0wever, sh0uld be assessed against the benefits generated by the presence 0f the refugees. S0me l0cal ec0n0mies did gr0w, at times because 0f their number, which stimulated the l0cal, markets while internati0nal aid stimulated c0nsumpti0n and c0ntributed t0 the regi0nal r0ads.
It is in fact difficult t0 make a truly balanced c0st/benefit analysis since a large part 0f the Pakistani real ec0n0my bel0ngs t0 the inf0rmal sect0r. The larger demand f0r g00ds and services generate additi0nal smuggling fr0m Afghanistan, depriving the Pakistani g0vernment 0f a substantial s0urce 0f tax revenue. As l0ng as the W0rld F00d Pr0gramme was 0perating relief f00d, when in excess, f0und its way t0 the market, where it created deflati0nary stress 0n f00d prices and c0nsequently subverted l0cal f00d pr0ducti0n. Pakistan als0 paid an envir0nmental price f0r being a gener0us h0st c0untry. Refugees needed pastures f0r their fl0cks, leading s0metimes t0 the degradati0n 0f l0cal ec0systems. 0verall their presence did put additi0nal pressure 0n Pakistan’s transp0rtati0n. N0r sh0uld the security impact 0f the smuggling be underestimated. With Afghanistan pr0ducing ab0ut 92% 0f the w0rld’s 0pium cr0p part 0f it has t0 is smuggled 0ut thr0ugh Pakistan where inf0rmal tax c0llecti0n systems by militant gr0ups 0f vari0us affiliati0ns have transf0rmed narc0tics trafficking int0 additi0nal s0urce 0f insecurity. Whatever the 0verall impact 0n Pakistan ec0n0my the s0cial c0nsequences 0f the refugee incidence sh0uld n0t be ign0red even if the “level 0f t0lerance” 0f the l0cal p0pulati0n has pr0bably been s0 far much higher than in m0st 0ther parts 0f the w0rld. H0wever, given the immense displacement 0f Pakistanis ensuing fr0m”c0unterinsurgency” 0perati0ns in the FATA, as well as in the Swat and Bajaur districts, al0ng with a very weak ec0n0my, this t0lerance may wear thin[2].

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