ABSTRACT

The information and analysis presented in the previous chapters reveal that Pakistan has embarked on a program of far-reaching trade liberalization and global economic integration since the late 1990s, following slow liberalization attempts in the 1980s and some episodes of trade liberalization in the 1960s and 1970s. Across-the-board tariff reductions have been one of the key ingredients of the trade liberalization program. The political history of the country is also characterized by disturbances and unrest in the smaller regions. East Pakistan, now Bangladesh, separated from West Pakistan in 1971 with India’s help in the form of a war between West Pakistan and India. Even after this event, the relationship between the regions of the remaining country has not been smooth. The smaller regions have grievances against the larger region, Punjab, and the Punjab-based military, which has often intervened in the democratic governing process of the country. As Gall and Sengupta (2007) note, Balochistan and some parts of NWFP have turned to armed revolt against the military during the Musharraf rule. The regional tensions have escalated after the recent assassination of former Prime Minister Benazir Bhutto and the unconstitutional dismissal of the chief justice of Pakistan by the Musharraf government late in 2007.