Thursday 4th July 2013

(11 years, 5 months ago)

Westminster Hall
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Jeremy Lefroy Portrait Jeremy Lefroy (Stafford) (Con)
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It is a pleasure to serve under your chairmanship, Mr Gray, and to follow my right hon. Friend the Member for Gordon (Sir Malcolm Bruce), who as usual has given the speech that we would all want to give, but cannot. I have found the past three years as a member of the Committee, under his chairmanship, to be a delight. I had not been to Pakistan before our visit, and my right hon. Friend led the group expertly; such things are particularly important when one is going to a country such as Pakistan for the first time. We all got back in one piece and in reasonable good humour, which I gather may not always have happened on such visits in the past.

The visit, as well as being my first, was an eye-opener to the tremendous country that Pakistan is. It is the sixth most populous country in the world, with a population of 180 million—it could go well over 200 million by 2020—nearly 40% of whom are aged 10 to 29. Of course, Pakistan has huge challenges, which it is trying to meet, and we must review its condition in the light of them. One is terrorism. Tens of thousands of ordinary Pakistanis have died in terrorist attacks in the past 10 or 15 years. Members of the International Development Committee must always remember when we visit such countries—I am sure that this applies to the Minister too—that although we may be working with the country’s Government or its members of Parliament, we are working for the people who, day in, day out, suffer terrible problems such as terrorism and the challenges of low income. I remind the House that as many as one in three Pakistanis live on 30p a day, or less; one in 11 children in Pakistan die before their fifth birthday; and half of all the country’s adults—two thirds of its women—are illiterate, with 12 million children out of school. Those are the people for whom the UK’s international development programme is designed. It is true that members of Parliament in Pakistan do not pay their taxes, but ultimately our role under the International Development Act 2002 is to tackle poverty through international development. I am glad to say that that is fundamentally what DFID does through its programmes in Pakistan. We saw some excellent work.

I want first to dwell on positive areas of international development work in Pakistan. Most of that, of course, is carried out by Pakistani citizens; we just support them in that work. It is often forgotten what huge humanitarian challenges Pakistan has faced in the past decade. In 2005 the Kashmir earthquake affected approximately 3.5 million people. In 2008-09, internal displacement affected approximately 3 million people, and the 2010 floods affected 20 million—a third of the population of Britain. Imagine if even that proportion—say, a tenth—of our population, which would be 6 million people, were affected by floods. How would we cope? We find it a struggle to cope with snow on the railway tracks. They had to cope with 20 million people affected by floods. In 2011, as an afterthought, 9 million were also affected by floods, and in 2012, the year when we visited, monsoon floods meant that 3 million people needed external support. Often people grow almost weary of hearing such figures, yet the Pakistan Government at national and regional level must deal with such challenges year in, year out. Ultimately it is the Pakistani people who must deal with them, and I am in awe of how they do so.

Secondly, I want to give what I might call a little vignette—although it would not be a vignette to the people who suffered from the problem in question. The Chief Minister of Punjab, Shahbaz Sharif, who has been re-elected, impressed us with his grasp of matters. We heard that he had personally undertaken 17 Ministries himself, perhaps showing a lack of confidence in his colleagues. He clearly has tremendous energy and abilities. In 2011, the year before we were in Pakistan, there was an outbreak of dengue fever, which killed 300 people in Lahore alone. He was determined that that should not happen again, and initiated a substantial public health programme, getting rid of standing water to remove the breeding grounds of the flies that carry dengue fever. As a result, in 2012, when there was an outbreak, no one died, as far as we know—if they did, the number was very small. A challenge was met and tackled.

Thirdly, I was encouraged—with the caveats that my right hon. Friend the Member for Gordon mentioned—about education. Sir Michael Barber, as I believe the Prime Minister mentioned in the House of Commons on Tuesday following his visit to Pakistan, has done excellent work in the Punjab and Khyber Pakhtunkhwa education programmes. We visited a new school, a little like one of our new free schools, which was set up on the voucher system supported by DFID, I am glad to say. The children who attended that school were almost exclusively the children of workers at a nearby brick factory. Indeed, some of them had worked at the brick factory before coming to the school. An enterprising, wonderful Pakistani woman set up the school using the voucher system and was enabling a couple of hundred children to be educated, albeit at a basic level, at low cost in the community, instead of having to provide labour—often, I am afraid, indentured labour—at the local brick factory. That was possibly the most encouraging thing I saw on our visit to Pakistan, and the work of DFID enabled it to happen.

There was therefore a lot to be encouraged about, and to give confidence in the future. However, my right hon. Friend the Member for Gordon has also mentioned the things that give us cause for concern. The first is the very low level of tax revenue, at less than 10% of GDP, and the failure of the wealthiest to pay their share—or, even, anything—towards public services. As my right hon. Friend said, they do not use those services, but that is not an excuse. There is also financial mismanagement. We heard about the amount of money that the Pakistan Government have in various funds and bank accounts. Apparently they have not yet adopted the policy of consolidating funds in a few accounts or one account, as is normal in public financial management. As a result, there was not as much grip on the public finances as there might have been. Can the Minister say whether that issue, and indeed the issue of tax revenues, has been raised with the Pakistani Government?

Then, of course, there is the issue of corruption, which comes up time and again. It is something that is very difficult to deal with and to speak of. I hope that the newly elected Government of Pakistan will tackle corruption, because corruption is anathema to development. If a country has a corrupt Government, it will not develop. It might get some form of development, but that development will be wasted, it will be inefficient and the country will not get the kind of development that it needs to bring all its people out of poverty.

In conclusion, our report on Pakistan was an opportunity—certainly for me—to see for the first time a country that faces huge challenges but that also has huge opportunities, and one in which Britain has a vital interest. That interest is not just a strategic one, but much, much more than that. It is a human interest, not only because of the Pakistani diaspora who make such a wonderful contribution to our country—there are well over a million of them in the UK—but because of the 180 million Pakistanis, and rising, who are looking to their Government and to those other Governments, such as the UK’s, who support their Government, to give them the chance to fulfil their talent and to seize the opportunities that a country such as Pakistan must rightfully seize.

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Rushanara Ali Portrait Rushanara Ali (Bethnal Green and Bow) (Lab)
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It is a pleasure to serve under your chairmanship, Mr Gray. Once again, I congratulate the right hon. Member for Gordon (Sir Malcolm Bruce), the Chair of the International Development Committee, and his team. May I say how moving I found the speech of my hon. Friend the Member for York Central (Hugh Bayley)? Such speeches and the work of the Committee say it all about why we need to continue to speak up for the most vulnerable people in the world and those who are powerless to act. It is a credit to hon. Members on both sides of the House who are passionate advocates of the development, aid and support that go to people in countries such as Pakistan that we continue our resolute support for those nations.

As we all know, and the Select Committee report highlights this, Pakistan is making progress, especially on the political side. It has successfully transitioned from one democratically elected Government to another. Of course there are challenges, but that is still to be welcomed. Now is a unique opportunity to see continued progress and to work with Pakistan to ensure that economic and social development, and the need for stability, are at the forefront of all our minds and interests.

As the report highlights, and as the right hon. Member for Gordon and other hon. Members have said, according to the World Bank, Pakistan saw a decline in poverty levels between 2008 and 2010 from just under 35% to 17.2%, which is obviously welcome. That represents progress, but there are still major concerns. The testimony of my hon. Friend the Member for York Central about the effects on the very poor, particularly women, sums it up. Some 12 million children are still out of school, which is the second highest population in the world. Pakistan also has one of the lowest levels of female participation in the labour market. Some 12,000 women die during pregnancy or childbirth each year, which is completely scandalous in a country that could be doing more.

The right hon. Member for Gordon talked out the failure of the wealthiest in Pakistan to make a contribution through taxation to build their own nation, and that issue needs to be raised constantly. Addressing it should, rightly, be a challenge to those people as we challenge ourselves to continue to support countries such as Pakistan. There is mutual responsibility.

As hon. Members are well aware, Pakistan also faces environmental challenges. Humanitarian disasters in 2005, in Kashmir, and in 2010 have cost billions, displaced some 20 million people and undermined economic growth. We need to build resilience through our efforts to ensure that there is proper adaptation and preparation so that any such future disasters will not cause as much chaos and disruption.

The report makes a good point about the demographic challenge. There are threats from security challenges arising from counter-terrorism and the long conflict in neighbouring Afghanistan. There are major questions about what will happen following withdrawal from Afghanistan, and about its relationship with Pakistan.

I welcome the points in the report about the role of the British Pakistani community. As we all know, the community has more than 1 million people who can channel significant influence and resources to their country of origin through trade and investment, and who have insights and knowledge that could be shared by our Government to play a more constructive and positive role than they have been allowed to do. Similar practices could happen with other communities in the UK.

As I said in the previous debate, such communities make a massive contribution through remittances. In the case of Pakistan, £627 million was sent in 2010 alone. That significant amount of assistance goes directly to families to supplement the very small amount of money that they have, even with international aid efforts. We must ensure that any change to what banks do does not undermine that effort, because that would force millions of people in countries such as Pakistan into poverty.

The challenges for Pakistan on corruption and tax collection have been well described. The Opposition feel strongly that we must look into building strong mechanisms through budget support. Support for tax authorities will be critical. I hope that the Minister will respond to some of the points made about specific measures to build a sustainable process for taxation and revenue, and to prevent avoidance and evasion. Our efforts must be conditional on effective governance, as that is what our taxpayers expect from us.

We talked a lot in the previous debate about the need to improve health and education, and Pakistan is a case in point. As hon. Members including my hon. Friend the Member for York Central mentioned, the major challenge for a country such as Pakistan is protecting the needs of women and minorities. Pakistan’s human rights challenge is massive. The treatment of particular groups, notably women, and incidents such as the high-profile case of Malala Yousafzai, who sought her basic right to an education, are unacceptable. They also do not speak for Pakistan’s proud history as a nation. Women played a formative role in the anti-colonial movements of 1947 and subsequently, and Pakistan has human rights lawyers—strong feminists and powerful women—who are working hard to ensure that their country is not hijacked by a small minority of extremists. We must shore up those women and the male human rights activists who are speaking up for all the population of their country, including minorities such as Christians and Hindus.

The British Pakistani community has a critical role to play in supporting Pakistan and working with our Government to ensure that Pakistan can be a beacon of economic and social development, and that it can stand up for human rights, democracy and the things that people fought for when seeking independence from colonial rule. People in Pakistan, like those in the rest of south Asia, have a proud history that needs to be tapped into. I believe that Britain, with its unique yet often troubling historical role, has a part to play by being a critical friend and supporter of Pakistan as it progresses towards further development.

Jeremy Lefroy Portrait Jeremy Lefroy
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Will the hon. Lady give way?

Rushanara Ali Portrait Rushanara Ali
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I know that the Minister wants us to press on, but I will, quickly.

Jeremy Lefroy Portrait Jeremy Lefroy
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I am most grateful and I shall be brief. The hon. Lady makes an extremely powerful point about the importance of protecting minorities. I come from Huguenot stock, and at one point the Huguenots were minorities in this country. She will know about the huge contribution that minorities make to a country’s economic development, and that a country that does not cherish its minorities is shooting itself in the foot.

Rushanara Ali Portrait Rushanara Ali
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I could not agree more. The hon. Gentleman will be aware that my constituency is the home of the Huguenot population that came to Britain, which has a proud history. Perhaps he will go to the Huguenot festival—or perhaps he has. I am pleased to have discovered that connection.

The hon. Gentleman is absolutely right about the role of minorities. The British Pakistani community and minorities make a vital contribution to this country. We have our own challenges, as we saw with the backlash following the terrible murder of Drummer Lee Rigby.

We must constantly work to protect minorities in this country, Pakistan and other parts of the world, and that is why we must ensure that in the post-millennium development goals discussions on the high-level panel, we all place human rights, and the rights of women and minorities, at the heart of debates about the future of development. If we do not, all our efforts and attempts to invest will be undermined.

I hope that the Government take this issue seriously. I worry that they do not always feel at ease with the language of empowerment and rights. I hope that when the testimonies are heard and explored, and considered alongside the risks to development when there is not a proper rights and empowerment agenda—a genuine one, as opposed to rhetoric—people will make a stronger case for putting human rights at the heart of the development agenda, rather than treating it as an add-on. I have faith that the Minister will push his Prime Minister to do so in his role in the high-level panel. The hon. Member for Stafford (Jeremy Lefroy) made the case clearly that the issue of minority rights affects all societies, especially societies coping with massive development, economic and security challenges.

I conclude with two additional points. Pakistan is the country with the fourth highest number of deaths of children under five. Additionally, in the UN’s report on the global gender gap, Pakistan ranks 133rd out of 135, so it is very much at the bottom, although there is no reason why it should be there. Pakistan has incredible people, and especially women, who could be in the driving seat to advance the cause against those issues that affect women so badly and hold its society back.

We support the report and tireless work of the members of the International Development Committee. Its timely report comes at an opportune moment, given the new Government in Pakistan. As aid budgets increase, we must ensure that our investment in Pakistan genuinely supports those in need, helps to build people’s resilience, protects them from exploitation and abuse, and creates hope and opportunity in a country that could be at the heart of economic and social development in Asia.

Given the huge markets and economic opportunities in China, India, Indonesia and across the region, and the economic growth to which we can only aspire, Pakistan has a unique opportunity to advance and to lift millions of people out of poverty, but that requires leadership, support from us and the international community, and a genuine focus on tackling corruption and the other issues raised in the report. It also involves ensuring that the public interest is put at the heart of Pakistan’s development, not the interest of an elite minority, some of whom do not even bother to pay their taxes.