SPEECH BY PRIME MINISTER SHAUKAT AZIZ AT PRINCETON UNIVERSITY

" Pakistan 's Role in Reqional Peace and Development" 9 November 2006

Mr. Shirley Tilghman,

President of Princeton University ;

Ladies and Gentlemen,

I consider it a special privilege to address this distinguished gathering at Princeton University , one of the most prestigious institutions of higher learning in the world. I look forward to a valuable and enriching discussion with you today.

My current visit to New York is related to the presentation of the UN Secretary General's High Level Panel report on system-wide coherence in the fields of development, humanitarian assistance and the environment. As one of the three co-chairs, I participated in the preparation of this .important report, released and presented before the UN General Assembly earlier today.

I referred to the Panel report because my nomination as one of the co-chairs by the Secretary General underscores the increasingly important role that Pakistan is playing on the global stage. This leads me directly to the subject of my presentation before you today - Pakistan 's role in regional peace and development.

Ladies and Gentlemen,

In my presentation, I will speak about Pakistan 's pivotal regional and global role, our present policies and orientation and our aspirations for the future. This is important because Pakistan is a misunderstood country that unfairly suffers from a negative media image. I will also talk about the contemporary challenges of terrorism, extremism and the ominous trends loosely described as clash of civilisations or value systems, and share my views on what needs to be done to address these new dangers.

In highlighting Pakistan's role as a· pivotal state I will not dwell on the past when Pakistan was an important ally of the West during the cold war; or when we played a critical role as a bridge between China and the United States that changed the political map of the world; or, when Pakistan stood with the West to support the Afghan resistance to Soviet intervention that contributed to the seminal developments in the shape of upsurge of freedom and the end of the cold war.

I would like to point out factors relevant to Pakistan 's pivotal role in the present circumstances with important implications for our region and the world.

•  Pakistan is critical for the security and stability of the adjoining region that encompass Central Asia, South Asia and West Asia in particular the Gulf.

•  Pakistan is an important anchor of stability in the Muslim world; future developments in Pakistan will influence developments in the Islamic world.

•  Pakistan 's popular ethos makes it a moderate society which was disturbed by the events relating to the Afghan conflict, but we are now emerging from the shadows of that unfortunate development.

•  Pakistan is a vibrant evolving democracy in the Muslim world with the media enjoying full and unprecedented freedom.

•  Pakistan can be an important bridge between the West and the Islamic world for promotion of understanding and amity.

•  Pakistan 's aspiration to become a Rub of economic activity with trade, energy and communication corridors augurs well for the peace and development of the vast adjoining regions where the US has important interests at stake.

Ladies and Gentlemen,

Before I discuss our views and policies, I need to clarify a misperception about Pakistan in its portrayal mostly by the media as a breeding ground for extremism and terrorism.

When Afghanistan became the last front of the cold war, the World' Community and Pakistan stood together to check the Soviet advance. Over ten long years during the 80s, conflict raged in Afghanistan with active involvement of most of the free world, Madrassas were encouraged. Nearly 30,000 youth from the Middle East were brought to the Afghan front for Jihad against the Soviets.

The free world benefited from that struggle but Afghanistan and Pakistan have paid a heavy price. When the Soviets withdrew, Afghanistan suffered international neglect for more than a decade and Pakistan came under sanctions. Meanwhile, developments in Bosnia and in the Middle East, especially the Gulf war, influenced the Arab youth who remained in Afghanistan and many of them coalesced into AI-Qaeda with their own agenda, Pakistan was not responsible for the creation of AI-Qaeda, which is regarded as the primary source of international terrorism today. We are being unjustly blamed for the phenomenon that was not our creation.

Indeed, even before the horror of 9/11, Pakistan had been a partner in the international fight against terrorism and has since played a 'vital role. We, however, are fighting this menace primarily for our own sake because we want to develop as a modern, moderate Islamic state. It is this aspiration that is shaping our policies, both internal and· external.

Ladies and Gentlemen,

The Pakistan of today and tomorrow is not the Pakistan of yesterday. Over the past seven years we have repositioned and rejuvenated Pakistan into a strong and vibrant country that plays a pivotal role for peace, security and development in its neighbourhood. A country of 160 million, endowed with rich human and material resources, Pakistan is moving rapidly on the path of progress and prosperity.

The important transformation that has come about in Pakistan has been possible as a result of our government's policies aimed at multi-dimensional and broad-based structural· reforms covering the political, economic and social sectors.

In the political sphere, we have ensured good governance through transparency and accountability. We have introduced and nurtured grassroots democratic institutions through the new local government system, apart from representation at the provincial and federal levels. We have a fully functioning parliament, with an assertive and vocal opposition, an independent judiciary and a free media. The next electoral cycle has already begun with the completion of local body elections in August last year leading up to provincial and national level elections within 12-15 months.

In the economic sector, our reforms have been based on the principles of deregulation, liberalization and privatisation. The economy is now on an upward growth trajectory, with our growth rates being one of the highest 'in Asia . Our exports are growing and diversifying into new areas. Foreign Direct Investment has reached new high levels. As a result of these achievements, our per capita income has increased while poverty levels are decreasing. In fact, the size of the economy and per capita income has doubled during the last seven years! We have now embarked on second generation reforms involving infrastructure development, capacity building and investment in human capital.

Our social sector reforms include empowerment of women and minorities who have' been given guaranteed representation in the local, provincial and federal elected bodies as well as in government institutions. A special women's bank has been setup to encourage women entrepreneurs while our micro-finance institutions are financially empowering women in the rural and low-income urban areas. We now have women doctors, bankers, lawyers, politicians and even fighter pilots in our Air Force. We are also focusing on providing better healthcare and educational facilities so as to develop a healthy workforce for a knowledge-based economy. We strive for development with dignity and growth with equity which forms the basis of our economic transformation.

Ladies and Gentlemen,

In our external relations we are striving for a peaceful environment in our region, first and foremost in the interest of our own development and for raising the living standards of our people. We have a vision for Pakistan rooted in our geography to become a hub of economic, trade and communications activity linking our neighbouring regions of South Asia, Central Asia and West Asia or the Middle East . We want to leverage our position for the promotion of multi-sectoral, intra-regional cooperation that would help our economy and ensure prosperity in the area.

Pakistan provides. the shortest access to the sea for landlocked countries of Central Asia as well as the Western China . To facilitate linkages we are developing a third port at Gawadar close to the Gulf. We are engaged in large-scale construction of roads and plan to have a rail network as well that would serve to link up the adjoining regions, especially Central Asia . We also plan to develop oil and gas -pipe lines and electricity grids which could satisfy our growing energy needs and become energy corridors for China and India . .

We are conscious that for the realisation of these ambitious objectives we need to promote peace and help conflict resolution in the area.

Ladies and Gentlemen,

China is our largest and closest neighbour with which we share a longstanding strategic partnership. Our broad-based and multidimensional relationship with China is a key factor for peace, stability and development in the region. Last year our two countries signed a landmark agreement institutionalizing our strategic cooperation. Later this month, the Chinese President would be visiting Pakistan on a state visit which, we are confident, will further consolidate our partnership.

Ladies and Gentlemen,

A stable, conflict free cooperative relationship between Pakistan and India holds the key to durable peace and prosperity in South Asia . The peace process launched in 2004 serves the interest of both countries and the entire region. Since then there has been an improved atmosphere and increased people to people contacts but we must now move towards dispute resolution. We must address the malaise and not just the symptoms. We believe that a historical opportunity exists to resolve the Kashmir dispute in a manner acceptable to Pakistan and India and most importantly to the people of Kashmir . The international community can help by encouraging both countries to move forward and make meaningful progress.

We desire to see peace and stability in Afghanistan , which is in the vital interest of Pakistan . Many of our aspirations for the security and prosperity of Pakistan depend on a peaceful Afghanistan with a stable government. We see terrorism, extremism and Talibanisation in the area as a threat that needs to be countered effectively. Towards this objective, we are cooperating with the Afghan Government as well as the multi-national forces. However, Afghanistan presents a-complex challenge to us and to the world.

Any development in Afghanistan has a direct bearing on us. The Soviet military intervention of this country in 1979 and the subsequent internecine conflict has had far-reaching consequences for Pakistan . Apart from the influx of over four million Afghan refugees, most of whom are still in Pakistan , there was the flow of arms, drugs and extremist and terrorist elements into our country. Pakistan has faced the challenges posed by these developments much before the terrorist attacks on the US on 11 September 2001 .

Ladies and Gentlemen,

Pakistan has fully supported international efforts to bring peace and security back to Afghanistan . Apart from facilitating the peaceful conduct of presidential and parliamentary elections in Afghanistan , ·we have taken extensive measures to secure the Pakistan-Afghanistan border with the deployment of more than 80,000 troops. We have proposed fencing of the border and selective mining to deter any undesirable cross border activity. We also want early repatriation of the nearly three million Afghan refugees, especially their relocation from our border areas to inside Afghanistan . We have also extended $ 250 million worth of assistance and are helping with numerous infrastructure reconstruction and development projects. Additionally, we have provided unrestricted trade access to this landlocked country.

However, much more still remains to be done in Afghanistan . The international community must shoulder its responsibility and live upto its commitments especially for development assistance. It is also necessary to help the Afghans overcome the problems posed by drug trafficking and poppy cultivation. It must be recognized that narco-terrorism - nexus between drug-traffickers and terrorists continues to pose a major security threat for the entire world. Peace and stability in Afghanistan will eventually depend on the success of national· reconciliation and reconstruction that brings about the change in the lives of the people and addressing the problems of drugs, gun-running and corruption that are now receiving increasinginternational attention.

Ladies and Gentlemen,

Iran is our other neighbour with whom we share ties of faith, history and culture. As part of our bilateral cooperation, we are exploring the setting up of a gas pipeline, which would extend onwards to India . As an energy rich' country, Iran plays a significant role in the region and Pakistan 's policy is to engage with the Iranian leadership to promote regional peace and cooperation.

The brewing crisis over the Iranian nuclear issue is a cause for obvious concern in Pakistan . We recognize Iran 's right to use nuclear energy for peaceful purposes under appropriate IAEA safeguards but Iran must also abide by its obligations under the NPT consistent with its public statements disavowing any intention to develop nuclear weapons. In our view, this issue must be resolved through dialogue and compromise. Use of sanctions and threats would be counterproductive while any use of force would gravely destabilize an already difficult regional situation. Pakistan will continue to do its part to advise restraint by all sides.

Ladies and Gentlemen,

As a responsible nuclear power, we are opposed to proliferation of weapons of mass destruction and are resolved to help promote global non-proliferation efforts. We have deplored the recent nuclear test by North Korea ad believe that this issue must be resolved through the six party talks.

It needs to be clarified that Pakistan was not responsible for nuclear proliferation in South Asia . We were obliged to respond in order to ensure our security by establishing a credible nuclear deterrent. Today, our strategic doctrine is based on minimum credible deterrent. We, therefore, support nuclear restraint and are opposed to an arms race in strategic or conventional weapons in the region, having put forward the proposal for a strategic restraint regime in South Asia . Domestically, once our deterrence became an overt reality in 1998, we have put in place an effective command and control system with comprehensive laws and regulations to prevent the export or pilferage of sensitive nuclear materials and technology.

Our commitment to global non-proliferation goals is unilateral and we consider ourselves as a partner in the advancement of these objectives. However, we cannot accept discrimination especially with regard to access to civilian technology for nuclear power generation under international safeguards. We are ready to accept any safeguards for our civilian facilities. Our energy requirements are rapidly increasing and are no less important than those of any other country.

Ladies and Gentlemen,

Beyond our immediate borders, Pakistan has evolved close bilateral relations with the countries of South and Central Asia as well as the Gulf region. With many of these countries we are also bound by our common Islamic faith.

Our bilateral relations in the region are complemented through common multilateral forums such as the Economic Cooperation Organization (ECO), between Pakistan , Afghanistan , Iran , Turkey and the Central Asian countries; and the South Asian Association for Regional Cooperation (SAARC) including Pakistan , India , Bangladesh , Sri Lanka , Nepal , Bhutan and the Maldives . Another important multilateral forum in the region is the Shanghai Cooperation Organization (SCO) in which Pakistan is an observer state along with India , Iran and Mongolia while China , Russia and some of the Central Asian Republics are full members. These multilateral forums provide Pakistan a large regional footprint, with opportunities for mutually beneficial cooperation as well as engagement towards regional peace and development.

Ladies and Gentlemen,

As a pre-eminent world power, the United States has traditional and abiding interests in our region. During the cold war, Pakistan and the United States were allies against the spread of totalitarianism and Soviet expansionism. It was as a result of our intense cooperation that the last battle of the cold war was fought and won in Afghanistan with the retreat of Soviet forces.

In the post cold war global environment, qualitatively new and potentially more dangerous threats have emerged which necessitate a new strategic partnership between Pakistan and the United States. At this juncture, it is instructive to learn from history that a strong Pakistan-US partnership has always been beneficial to both sides while at times of estrangement the interests of both sides have suffered.

Today, Pakistan-US relations are pivotal - both regionally and globally. These relations are now on an upward trajectory and we have put in place the elements of a robust and broad based strategic partnership .

Cooperation between Pakistan and the US is essential for peace and development in the world as well as in our region. We are involved in a joint struggle against extremism and terrorism, we are committed to forging a better understanding between Islam and the West, we have a shared interest in addressing proliferation concerns, we are cooperating to promote peace and security in South Asia, we have a shared interest in a peaceful, stable and prosperous Afghanistan, we both seek development and prosperity in Central Asia and we recognize the urgent need for peace in West Asia or the Middle East.

Ladies and Gentlemen,

There are, however, several challenges before us that threaten to destabilize the international system, undermine peace and retard development. Pakistan and the US must work together with other likeminded states to address these interrelated challenges.

Most importantly, we must devise an effective strategy to overcome the threat posed by international terrorism, which has multiplied into a myriad of problems.

Pakistan remains a key-player in the international war on terrorism. The success we have achieved is unparalleled. Over 800 terrorists have been eliminated or apprehended. We have also paid a heavy price for our counter-terrorism policy, including terrorist attacks on President Musharraf and myself. But we remain unwavering in our commitment to fight terrorism. However, it is important to understand that in countering terrorism and extremism, military action alone will not suffice; it must be combined with a political approach and programmes for socio-economic development. This is especially true to counter extremism which is essentially a state of mind and requires understanding of the root causes. On a smaller scale, this approach is implicit in our recent efforts in the tribal areas that are most affected by the protracted conflict in neighbouring Afghanistan .

Most importantly, it is crucial to address the root causes of terrorism arising from deprivation, injustice and denial of freedom in the shape of longstanding conflicts afflicting the Islamic world, such as in Palestine , Iraq , Lebanon , Afghanistan and Kashmir , which have caused anger and frustration among people.

It is also necessary to reject the false notion of a linkage between terrorism and Islam. Terrorism knows no borders or religion. Islam is a religion of peace and tolerance and the majority of Muslims are peace-loving people. Nevertheless, Islam· is misunderstood and misrepresented in the West owing to the actions of a few fanatics. Accordingly, we must challenge such thesis as that of a clash of civilizations. Instead we must promote inter-­civilizational harmony and understanding through dialogue.

President Musharraf has put forward the concept of enlightened moderation, which calls upon Muslim societies to reform and modernize while persuading the West to help resolve conflicts affecting Muslim peoples.

Ladies and Gentlemen,

We must recognize that the success of the international campaign against terrorism is being undermined by conflicts that are raging in the Muslim world - in Palestine , in Iraq , in Afghanistan and until recently in Lebanon . In Iraq especially, old sectarian and ethnic divides have widened and there is a pervasive sentiment holding the US intervention responsible for the current turmoil. The US presence is no longer seen as benign or an -agent of change for the better. In an environment of creeping nationalism in Iraq and Afghanistan , the US presence is increasingly being seen as occupation. It is, therefore, critical to readjust to ground realities and evolve a carefully choreographed exit strategy that would provide stability and restore peace.

Ladies and Gentlemen,

The question arises as to how we can deal effectively with these interrelated threats. We believe it is possible to devise a comprehensive strategy for this purpose. I would like to share with you my views on an effective strategy combining three broad aspects to be appropriately adjusted depending on local conditions. These are:-

Launching of a political process with the overarching aim of resolving the root causes of the conflict situations. This would involve engagement with all the stakeholders - the visible and invisible. The process should also involve the United Nations to a much greater extent. Most importantly, it would be necessary to provide a voice to all the concerned people by ensuring their political participation and ownership.

Ensure much greater focus on economic support and incentives by devising a new version of the Marshal Plan aimed at ensuring reconstruction and rebuilding, developing the infrastructure and creating absorptive capacities. In the case of Afghanistan , this would also involve providing greater market access and implementing crop substitution programmes to deal with the problem of poppy cultivation and narcotics trafficking. The overall objective should be to ensure implementation of income generation programmes to ensure greater employment opportunities leading to reduction of poverty and availability of gainful opportunities.

There is need for building bridges and winning the hearts and minds of the people. It is necessary to touch the people and not just their leaders. This would involve generating hope and promoting interfaith harmony as well as inter-civilizational and inter-cultural dialogue.

Ladies and Gentlemen,

We believe that so far focus of the international community has been on the use of force to combat terrorism. We must recognize that it is impossible to win by military means alone. It is time to resort to a more holistic and broad-based approach, which addresses the threat of terrorism along with its related effects. A permanent victory against terrorism can only emerge from a strategy that will win hearts and minds.

Whoever they are and 'wherever they may be, people want a better future for themselves and their children. It is up to all of us to give it to them. Only then can we begin to create the conditions for a durable and lasting peace; only then can we provide an enabling environment for development.

In conclusion, Ladies and Gentlemen, I would like to say that in our view Pakistan is ideally positioned to work with the United States and other friendly countries to promote peace and development in our region. We are convinced that cooperation rather than confrontation should be the guiding principle in tackling complicated relationships at the regional and global levels. We remain ready and willing to fulfil our role as a force for peace, stability and prosperity.

Thank you.

November 9, 2006