Pakistan – Iran relations _2004-05_

Foreign Office Year Book 2006-07 CONTENTS Sl.No. Message from the Foreign Minister Foreword by the Foreign Secretary Foundations of Pakistan‟s Foreign Policy Guiding Principles of Pakistan‟s Foreign Policy Foreign Policy Objectives Foreign Policy Achievements during 2006-07 I. Neighbouring Countries Afghanistan China India Iran II. Asia South Asia Central Asia East Asia and Pacific III. IV. V. VI. VII. Africa Middle East Americas Europe and Russian Federation International/Regional Organizations United Nations Organization of Islamic Conference (OIC) South Asian Association for Regional Cooperation (SAARC) Economic Cooperation Organization (ECO) Asia-Europe Meeting (ASEM) VIII. IX. Economic and Commercial Relations Foreign Office Publications 113-120 121-122 55-58 59-67 68-80 81-95 96-112 34-54 Page No. 3-5 6 7 8 9 10-15 16-33 1 Foreign Office Year Book 2006-07 X. XI. XII. XIII. Various Construction Projects Home/Abroad Diplomatic Missions Abroad Budget and Administration of Finances Important Speeches/Statements Address by President General Pervez Musharraf to st the 61 Session of United Nations General Assembly: New York; 19 September 2006 Address by President General Pervez Musharraf to th the 34 ICFM held in Islamabad on 15-17 May 2007 Speech by Foreign Minister Khurshid M. Kasuri on „Pakistan Role in Regional and Global Peace‟ at the Council on Foreign Relations: Washington D.C.; 19 June 2007 XIV. Agreements/Protocols/MoUs signed during July 2006 – June 2007 High Level Visits from and to Pakistan during July 2006 – June 2007 151-158 123-124 125-130 131-132 133-151 XV. 159-160 2 Foreign Office Year Book 2006-07 MESSAGE FROM THE MINISTER FOR FOREIGN AFFAIRS T he foreign policy of Pakistan, in the last five years, has remained focused on promotion of regional and international peace and security as well as the economic and social development of the country and welfare of its people. Last five years, have been a period of great turmoil and insecurity. We have tried to navigate skillfully through these turbulent times. As a result of our pro-active engagement, we have managed to maintain and improve our relations with all our neighbours and the major world powers. Following the events of Nine Eleven, Pakistan joined the international coalition against terrorism in line with its principled opposition to terrorism in all its forms and manifestations. The objective of our foreign policy is to build bridges of peace with our neighbours. In that spirit, we have worked to build tension-free relations with India. Kashmir remains at the heart of conflict and tension between Pakistan and India. We have initiated a composite dialogue process aimed at confidence building measures as well as resolution of outstanding disputes. Trade and people to people contacts have increased. As a result, the political atmosphere in the region has improved. The President‟s proposal regarding self-governance, demilitarization and a joint mechanism offers the basis for a possible solution of the Jammu and Kashmir issue. The two countries are at a critical juncture in their relations and it is for the leadership of the two countries to decide how to move forward on conflict resolution, since this alone can lead to enduring peace in South Asia. No country has a greater stake than Pakistan in peace, stability and prosperity of Afghanistan. We supported every initiative that could help the Afghans to achieve national reconciliation and rebuild their country. We have also contributed to the reconstruction efforts in Afghanistan. It remains our policy not to allow our territory to be used by elements that want to destabilize Afghanistan. Afghanistan has continued to suffer ever since the Soviet invasion of that country almost 30 years ago. The situation in Afghanistan has created conditions of instability in the area with an adverse impact on Pakistan. Our tribal areas have been affected by the Afghan jehad which has generated forces of extremism. In recent years, some elements of Al-Qaeda have escaped to our border areas placing a heavy responsibility on us to counter this challenge. We have deployed a large number of our forces. The international community has also expectations from us in this regard. While we can differ on the means to counter these forces, there can be no difference in the objectives because we all reject terrorism and extremism. Pakistan as a developing country needs conditions of peace and security for its own economic, social and political development. We are cooperating fully to counter the common challenges. The recent Joint Peace Jirga between 3 Foreign Office Year Book 2006-07 Afghanistan and Pakistan in Kabul registered some success in that direction. Pakistan is also cooperating with G-8 countries in building a peaceful and stable Afghanistan. The broadening and deepening of relationship with US has gone beyond counter-terrorism and is based on the institutional framework established in March 2006 to promote cooperation in different fields including economic development, science and technology, education, energy and strategic dialogue. While being guided by our own national interests, we have to be mindful of the regional and global environment. Pakistan‟s independent foreign policy is evident from our refusal to support a resolution at the UN Security Council authorizing use of force against Iraq and to send our troops there, our position on Iran where we oppose the use of force, the progress of IPI (Iran Pakistan India) gas pipeline and our increasing engagement with SCO (Shanghai Cooperation Organization). In the area of non-proliferation, Pakistan has taken during this period several initiatives to bridge the gap of perception by dismantling the A.Q. Khan network in the country. Pakistan also cooperated in the adoption of the UN Security Council resolution 1540 on counter-proliferation. We wish to be treated as a partner rather than a target of global non-proliferation regime. We expect the world to help Pakistan in acquiring nuclear technology for our growing energy requirements following rapid growth of our economy in the last few years. The close relations with China are a corner-stone of our foreign policy. These relations have gained greater substance and strength in the last five years through high level of Chinese investment, construction of Gawadar Port, China‟s engagement in the construction of dams and our cooperation in joint defence production including that of JF-17 and tanks. During the last five years, trade between the two countries has increased from US$ 1.3 billion to US$ 5.15 billion. The target of US$ 15.0 billion has been fixed for the next five years. In the last five years, we have maintained traditional friendly relations with Iran. We continue to support its right to peaceful nuclear energy within the framework of its obligations to the NPT. We stand for a negotiated solution of Iran‟s nuclear issue. We have been engaged in negotiations on the finalization of the gas pipeline project. We have continued to enjoy close friendly relations with our brotherly Islamic countries including Turkey and special relations with Gulf countries in particular with Saudi Arabia and UAE. Pakistan‟s relations with European Union have been consolidated in recent years. EU remains Pakistan‟s largest trading partner and a source of foreign investment and development cooperation. The Third Generation Agreement was signed in November 2001 and ratified in 2004. In May 2007, the first Joint Commission from EU visited Islamabad. This was the start of the implementation of the Agreement and new partnership with the EU. The Joint 4 Foreign Office Year Book 2006-07 Commission was established in four special groups in trade, development cooperation, governance and migration and science and technology. Relations with Russia continued to improve in recent years, as manifested by the first visit of Prime Minister Mikhail E. Fradkov of Russia to Pakistan in April 2007 in nearly 40 years. We have accordingly worked to consolidate our relations in various areas of collaboration. With Japan, we have strong relations and together with its large ODA programme, Japan remains one of the largest investors in Pakistan. We have tried to increase our interaction with Latin America and Africa. We have worked to expand our trade and political links with these countries. Pakistan, during this period, became a member of the Asian Regional Forum (ARF) and signed a Treaty of amity and cooperation with the ASEAN countries. Pakistan played a leading role in reenergizing SAARC at its th Summit in Islamabad in January 2004. Pakistan also hosted the 4 ACD meeting in Islamabad in April 2005 and in May 2007 participated in the AsiaEurope Ministerial meeting of ASEM for the first time after our admission as a member in Helsinki last year. Pakistan continued to play an active role in the UN believing that in this age of globalization and new challenges including those of climate change, energy security, terrorism, proliferation of WMD, a genuinely multilateral approach can ensure peace, security and harmony. In this connection, Pakistan has supported all endeavours aimed at promoting Interfaith Dialogue and Cooperation among Civilizations. During this period, Pakistan was a member of the Security Council in 2003-04 and held the Presidency of ECOSOC in 2005. Pakistan is the Chairman of the G-77 for the year 2007. We continue to play a leading role in the OIC. The generous international response to the earthquake that hit northern Pakistan and Kashmir on 8 October 2005 was also an indication of success of our engagement with the world. Pakistan‟s diplomacy has been very active during the last five years. We have engaged with the international community in a proactive manner –– perhaps as never before. It has been a great privilege to be a part of this process. We believe this policy of active engagement has served us well. (Khurshid M. Kasuri) 12 October 2007 5 Foreign Office Year Book 2006-07 FOREWORD BY THE FOREIGN SECRETARY akistan‟s foreign policy remains focused on promoting peace and security at the regional and global level and to build our relations in the bilateral and multinational framework especially in the interest of our socioeconomic development. Pakistan continues to strive for improvement of peaceful environment in our neighbourhood and strengthening of relations with all major powers and the Islamic world. There is a new emphasis on promoting our trade and economic relations with the countries of the Asia Pacific. P Pakistan participated in the grand Jirga held in Kabul in August 2007 which underscored our deep interest in peace, stability and reconciliation and reconstruction in Afghanistan. Along-with the international community, both countries are also cooperating in fighting terrorism that threaten peace and economic progress in the region. Pakistan remains engaged in a peace process with India. Bilateral relations between the two countries have seen significant improvement. It is important that the two countries must seize the opportunity to address the long standing core dispute of Jammu and Kashmir to ensure a better future for South Asia. The Year Book 2006-07 was marked by an unprecedented number of high level visits to Pakistan and landmark agreements concluded with other countries. During the same period, Pakistan maintained an active profile at the United Nations and other international organizations. Pakistan was elected as the th chair of G-77. Pakistan hosted the 34 session of the Islamic Conference of Foreign Ministers in May 2007. In 2006, Pakistan was admitted as an observer in the Shanghai Cooperation Organization (SCO). The Annual Year Book 2006-2007 gives a broad survey of activities relevant to Pakistan‟s foreign policy and will hopefully serve as an important reference document. (Riaz Mohammad Khan) Foreign Secretary 19 October 2007 6 Foreign Office Year Book 2006-07 FOUNDATIONS OF PAKISTAN’S FOREIGN POLICY Muhammad Ali Jinnah, Founder of Quaid-e-Azam its first Governor General, inthebroadcast talk Pakistan and a to the people of the USA in February 1948, outlined the following goals of Pakistan‟s foreign policy: “Our foreign policy is one of friendliness and goodwill towards the nations of the world. We do not cherish aggressive designs against any country or nation. We believe in the principle of honesty and fair play in national and international dealings and are prepared to make our utmost contribution to the promotion of peace and prosperity among the nations of the world. Pakistan will never be found lacking in extending its material and moral support to the oppressed and suppressed peoples of the world, and in upholding the principles of the United Nations Charter.” Earlier, in a message to the nation on the occasion of the inauguration of the Pakistan Broadcasting Service on 15 August 1947, the Quaid-e-Azam had observed: “Our object should be peace within and peace without. We want to live peacefully and maintain cordial and friendly relations with our immediate neighbours and with the world at large. We have no aggressive designs against any one. We stand by the United Nations Charter and will gladly make our full contribution to the peace and prosperity of the world.” 7 Foreign Office Year Book 2006-07 GUIDING PRINCIPLES OF PAKISTAN’S FOREIGN POLICY he guiding principles of Pakistan‟s foreign policy are based on the internationally recognized norms of interstate relations, i.e. sovereign equality of all countries; non-interference in the internal affairs of other States; respect for sovereignty and territorial integrity of all States; non-aggression and peaceful settlement of disputes. T The foreign policy of Pakistan reflects the hopes and aspirations of the people of Pakistan. It is primarily directed to the pursuit of achieving higher national goals, improving political stability, economic growth, poverty alleviation, human resource development and projection of Pakistan as a strong, dynamic and moderate Islamic country. As a matter of policy, Pakistan has always tried to develop friendly and cordial relations with all countries of the world. The Constitution of Pakistan also has provisions relating to the conduct of foreign policy. For instance, article 40 of the Constitution provides: “The State shall endeavour to preserve and strengthen fraternal relations among Muslim countries based on Islamic unity, support the common interests of the peoples of Asia, Africa and Latin America, promote international peace and security, foster goodwill and friendly relations among all nations and encourage the settlement of international disputes by peaceful means.” 8 Foreign Office Year Book 2006-07 FOREIGN POLICY OBJECTIVES Safeguarding our vital security interests, including Kashmir. and geo-strategic Promoting Pakistan as a dynamic, progressive, moderate, and democratic Islamic country. Creating macro-political framework economic and social interests abroad. for pursuit of Consolidating our commercial and economic interests. Safeguarding interest of expatriate community. Developing friendly relations with all countries of the world, especially major powers and immediate neighbours. Ensuring access to resources for national development. 9 Foreign Office Year Book 2006-07 FOREIGN POLICY ACHIEVEMENTS DURING 2006-07 GENERAL A number of important initiatives were undertaken to safeguard Pakistan‟s vital security and geo-strategic interests including Kashmir. Efforts were made to promote Pakistan as a dynamic, progressive, moderate and democratic Islamic country. Development of friendly relations with all countries, especially with major powers and immediate neighbours, was accorded top priority. A number of MoUs, Protocols and Agreements were signed between Pakistan and other countries during the period under review (Chapter-XIV). A number of high-level visits were undertaken by the President and the Prime Minister to promote Pakistan‟s foreign policy goals and targets, and to explain our position on various issues (Chapter-XV). INTERNATIONAL/REGIONAL ORGANIZATIONS United Nations Pakistan maintained a high-profile participation in different UN activities and discussions. Pakistan was elected as one of the initial members of newly constituted Human Rights Council which replaced Commission on Human Rights, where Pakistan served 8 three-year terms since 1947. Pakistan was elected as the President of the Group of 77 & China, a major organization of developing states. The organization plays a key role in decision making on economic issues in ECOSOC. During the year Pakistan remained the largest troop contributor to the UN Peacekeeping operations with 10703 troops deployed in over 11 missions. 10 Foreign Office Year Book 2006-07 Pakistan was elected to the IAEA Board of Governors for a two-year term from 2006 to 2008. OIC Pakistan remained focused to make the OIC more effective and dynamic in order to represent the interests of the Ummah at global level, and to ensure OIC‟s support on issues of vital interest to Pakistan, especially on Kashmir dispute. Pakistan hosted the 34 Session of the Islamic Conference of Foreign Ministers in Islamabad from 1517 May 2007. The theme of the conference was peace, progress and harmony. SAARC Pakistan played a proactive role to reinvigorate SAARC both by providing substantive inputs and hosting several meetings, including Ministerial level meetings. Prime Minister Shaukat Aziz represented Pakistan at th the 14 SAARC Summit (3-4 April 2007). The Prime Minister in his inaugural address highlighted the need for making SAARC relevant to the people of South Asia by creating a conducive environment for resolution of disputes, thus decreasing a regional trust deficit. ECO Pakistan continued to participate actively in ECO programmes and activities. Considerable progress was made in setting up ECO‟s financial institutions, including the Trade Development Bank and the Reinsurance Company. The President and the Vice President of the Trade and Development Bank were appointed and initial capital contributions (for the bank) were also made. Mr. Khurshid Anwar, Additional Secretary, Ministry of Foreign Affairs, Pakistan, assumed the office of the Secretary General, ECO in August 2006. Asia-Europe Meeting (ASEM) Pakistan‟s longstanding desire to become a member of Asia-Europe Meeting (ASEM) was materialized in September 2006. The Foreign Minister of Pakistan participated in the Eighth ASEM Ministerial Meeting held in Germany in June 2007. th 11 Foreign Office Year Book 2006-07 BILATERAL Afghanistan There have been about half a dozen high level contacts between the leadership of Pakistan and Afghanistan during the year under review. The President of Pakistan also participated in the Trilateral Summit Meeting of Pakistan, Afghanistan & Turkey held in Ankara on 29-30 April 2007. The proposal to host the Trilateral Summit was made by Turkey on the request of Afghan President. The leaders at Ankara pledged to cooperate towards promoting peace, security, stability and economic development in the region and emphasized that the international community must work together to promote the objectives of Afghanistan Compact. Construction of Torkham-Jalalabad road was completed, and was inaugurated by Prime Minister Shaukat Aziz. China Exchange of several high-level visits further strengthened the time-tested bonds of friendship in all fields, including defence and security. During the visit of the Chinese President in November 2006, 18 Agreements/MoUs were signed; the two most important being the Free Trade Agreement and Five Year Plan for Trade and Cooperation, which would serve as engines of economic growth and help enhance bilateral trade. Over two dozen Agreements/MoUs in the public and private sector were signed during the visit of Prime Minister Shaukat Aziz to China from 16-21 April 2007. India A growing constituency of peace is emerging amongst the people of Pakistan and India. The annual bilateral trade between Pakistan and India has crossed US$ one billion mark. These improvements notwithstanding, there is a clear need to make progress on substantive issues, like the 12 Foreign Office Year Book 2006-07 Jammu & Kashmir dispute, Siachen, Sir Creek and the Water Issues. After having exhausted the bilateral route in pursuing India to stop construction of controversial Baglihar Plant on the river Chenab in I HK, Pakistan invoked the provision of Neutral Expert for the resolution of the issue. The Neutral Expert‟s final verdict on 12 February 2007 upheld Pakistan‟s objections on all the four design features of the Baglihar Project. Iran Pakistan continued pursuing negotiations on the US$ 7.4 billion Iran-Pakistan-India (IPI) Gas Pipeline Project. The project has been discussed amongst the parties at different levels to remove bottle-necks. Iran resolved to go ahead with the project with Pakistan, even if India remained adamant. An MoU for boosting water and power related cooperation between Pakistan and Iran was signed in April 2007. Middle East Pakistan‟s trade with the Middle East region almost doubled since 2004-05 and crossed the US$ 11 billion mark during the year under review. Saudi Arabia President General Pervez Musharraf visited five Arab States i.e. Saudi Arabia, Egypt, Jordan, UAE and Syria, and four non-Arab countries i.e. Malaysia, Indonesia, Iran and Turkey, in early 2007 for consultations with the leadership of those countries on his proposal to launch a new initiative to address the issues in the Middle East. The visits were followed by the meeting of the Foreign Ministers of Egypt, Indonesia, Jordan, Malaysia, Saudi Arabia, Turkey and Pakistan and the Secretary General of the OIC in Islamabad on 25 February 2007. President General Pervez Musharraf attended the 19 Arab League Summit, held at Riyadh in March 2007 at the Saudi King‟s invitation, which was linked to the President‟s Middle East Initiative. It was the first ever th 13 Foreign Office Year Book 2006-07 invitation to a Pakistani leader to address the Arab League Summit. G.C.C. At the 8 session of Pakistan-Saudi Arabia JMC, held in Riyadh in February 2007, Saudi Arabia processed to support Pakistan‟s initiative for early conclusion of Free Trade Agreement (FTA) between Pakistan and GCC. Bahrain The Embassy of Bahrain was formally inaugurated in Islamabad during the visit of the Crown Prince His Highness Sheikh Salman Bin Hamad Al-Khalifa. United Arab Emirate (U.A.E) During his visit to Pakistan in June 2007 to attend the th 9 JMC, the Foreign Minister of UAE announced doubling UAE‟s investment in the coming years and finalize plans for the construction of an oil refinery at Khalifa Point in Gwadar at a cost of $ 6-8 billion. European Union (EU) Pakistan-EU Ministerial Troika meeting held in Berlin in February 2007, decided to set-up Pakistan-EU Joint Commission as envisaged by the Third Generation Agreement soon, which would provide a platform to discuss and monitor enhancement of cooperation in all areas. Joint Commission from EU visited Islamabad in May 2007, as a first step towards the implementation of the Third Generation Agreement and new partnership with the EU. The Joint Commission was established in four special groups in trade, development cooperation, governance & migration and science & technology. Russia Relations with Russia continued to improve, as manifested by the first visit of Prime Minister Mikhail E. Fradkov of Russia to Pakistan in April 2007 in nearly 40 years. Earlier, during the visit of the Russian Foreign Minister in November 2006, inter-alia it was decided to reactivate Pak-Russia Inter Governmental Commission th 14 Foreign Office Year Book 2006-07 (IGC) to explore further avenues cooperation between the two countries. Australia During the year under review, about 100 students from Pakistan joined different Australian universities under the Australian Government‟s fully-funded scholarship programme. In the next four years, 400 more Pakistani students would be able to benefit from the facility. New Zealand Diplomatic relations with New Zealand were established. Mr. Munawar Saeed Bhatti took over as the first High Commissioner of Pakistan in July 2006. United States of America Pakistan-U.S relations continued to expand and broaden during 2006-07. The two countries remained closely engaged with a view to strengthening cooperation in diverse fields in pursuance of the „Pakistan-United States Strategic Partnership‟ affirmed during President George W. Bush‟s visit to Pakistan in March 2006. Exchange of high-level visit including by the President and Prime Minister of Pakistan further strengthened bilateral bonds and mutual understanding in multifaceted relationship between the two countries. An MoU on cooperation in the field of agriculture was signed by Dr. Atta-ur-Rehman and Dr. Gale A. Buchanan, Under Secretary for Research, Education and Economics of the U.S. Department of Agriculture. of economic ---------------------------------------------------------------------------- 15 Foreign Office Year Book 2006-07 I. NEIGHBOURING COUNTRIES AFGHANISTAN P akistan attaches high priority to close friendly relations with Afghanistan. The relationship between the two countries is fraternal, which is rooted in geography, history, shared ethnicity and a common faith. The destinies of the two countries are therefore inextricably linked. Peace in Afghanistan reinforces peace and tranquility in Pakistan. Peace in Afghanistan will enable both nations to serve as a bridge for trade and commerce between Central Asia, South Asia and beyond. The success of the endeavors for peace and prosperity in Afghanistan is therefore vital for Pakistan. Consistent efforts to add greater content to relations have produced positive results. Bilateral trade, at US$ 1.2 billion, has reached record level. We have signed as many as thirteen bilateral agreements for cooperation in diverse fields. Sixteen visits have been exchanged at Head of State/ Head of Government level. With a pledged assistance of $ 300 million, Pakistan is actively participating in the reconstruction process of Afghanistan. Pakistan is in fact one of the major donors of assistance to Afghanistan. Pakistan has provided shelter to millions of Afghan refugees since the Soviet occupation of that country and continues to host 2.4 million refugees today. President’s Visit President of Pakistan General Pervez Musharraf visited Afghanistan on 6-7 September 2006 on the invitation of President Hamid Karzai. During the oneon-one meeting Pak-Afghan bilateral relations were reviewed. President Musharraf assured his counterpart that Pakistan will continue to assist Afghanistan in building its physical and institutional infrastructure and the scope of mutual cooperation in these fields will enhance in the times to come. The two leaders agreed to enhance security cooperation in tangible terms i.e. in the Tripartite Commission mechanism, cooperation in border patrolling and establishment of Joint Information Operations Cell (JIOC). Prime Minister’s Visits The Prime Minister, Mr. Shaukat Aziz visited Jalalabad on 13 September 2006 to inaugurate Torkham-Jalalabad Road, which is a high profile project built at a total cost of US$ 34.42 million in a period of 15 months. Construction of this 75 kilometers stretch of the highway will give further impetus to trade between the two countries and form an important component of the road network connecting Central Asia with South Asia. Prime Minister Shaukat Aziz visited Afghanistan on 4 January 2007 to discuss bilateral issues, specifically focusing on the security cooperation between the two countries. The Prime Minister held one-on-one meeting with President Karzai to explore ways and means to strengthen bilateral 16 Foreign Office Year Book 2006-07 cooperation and to reaffirm Pakistan‟s commitment to assist Afghanistan in its endeavours for security, peace and prosperity. The Prime Minister announced to raise Pakistan‟s pledged assistance for the reconstruction of Afghanistan from US$ 250 million to US$ 300 million. Prime Minister Shaukat Aziz again visited Kabul on 5 June 2007 as a Key Note Speaker in “Enabling Environment Conference” organized by Aga Khan Foundation. In his address at the closing session of the conference, the Prime Minister reiterated Pakistan‟s commitment for a stable and prosperous Afghanistan. In his one-on-one meeting with President Karzai, Prime Minister Shaukat Aziz discussed bilateral issues, including repatriation of Afghan refugees, border skirmishes, border control and monitoring, bilateral trade and economic cooperation. Foreign Minister’s Visit The Foreign Minister, Mr. Khurshid Mehmood Kasuri visited Kabul on 7-8 December 2006 where he had a meeting with President Karzai and delegation level talks with his counterpart Dr. Rangin Dadfar Spanta. The main purpose of the visit was to discuss the proposal for holding of jirgas by Pakistan and Afghanistan. This visit also helped to improve bilateral atmosphere and raise mutual trust level. The Foreign Minister emphasized that for smooth initiation and success of jirgas, an enabling and conducive atmosphere is essential and it requires replacing mutual misgiving by mutual trust. Security Cooperation A Tripartite Commission (TPC) was established on 17 June 2003 in Rawalpindi with Pakistan, Afghanistan and USA as its founding members to th improve the border security along the Pak-Afghan border. During the 12 meeting of the TPC held at the GHQ, Rawalpindi on 24 August 2005, it was raised to the level of 4-Star Generals. NATO was formally welcomed into the Commission‟s fold in June 2006. During the year under review, the Tripartite Commission held three meetings, the last being in Rawalpindi in January 2007. Trilateral Summit in Ankara The President of Pakistan visited Turkey to participate in the Trilateral Summit meeting of Pakistan, Afghanistan & Turkey, on 29-30 April 2007. The proposal to host the Trilateral Summit was made by Turkey on the request of Afghan President Mr. Hamid Karzai. The leaders at Ankara Summit pledged to cooperate towards promoting peace, security, stability and economic development in the region and emphasized that the international community must work together to promote the objectives of Afghanistan Compact. President Musharraf and President Karzai reaffirmed their commitment to enhance goodwill and create further 17 Foreign Office Year Book 2006-07 confidence building measures and mechanisms. They agreed to deny sanctuary, training and financing to terrorists and elements involved in subversive and anti-state activities in each other‟s country and to initiate immediate action on specific intelligence exchanges in this regard. The Summit meeting concluded on a positive note and the two Presidents agreed to collectively work to facilitate repatriation of Afghan refugees as well. The two sides also agreed to form a “Joint Working Group” to monitor the progress made on the decisions of the Ankara Summit. Meeting of the Foreign Ministers of Pakistan, Afghanistan and G-8 Countries The Foreign Ministers of the G-8 countries, Pakistan and Afghanistan met in Potsdam (Germany) on 30 May 2007. This meeting was an outcome of the German initiative, which has the current presidency of the G-8. A joint statement was issued at the conclusion of the Potsdam meeting. The Foreign Ministers of G-8, Afghanistan and Pakistan agreed that they had a common interest to promote peace and security and development in the region. Most importantly the Foreign Ministers reinforced their commitment in the fight against all forms of terrorism. The G-8 members pledged their commitment to support both Pakistan and Afghanistan in their endeavors to achieve peace and progress and in this regard committed to undertake projects in various fields. With regard to the issue of the repatriation of Afghan refugees from Pakistan, the G-8 countries gave commitment for help to both the countries. Jirgas Pursuant to the decision taken during the Iftar dinner hosted by President Bush in the honour of President Musharraf and President Hamid Karzai on 27 September 2006, the two countries appointed their respective Jirga commissions. The two Jirga commissions have so far held three successful meetings (Islamabad 12-14 March, Kabul 3-4 May and Islamabad/Nathia Galli 31 May – 2 June 2007). The Kabul meeting decided to hold the first round of joint Jirga in Kabul in the first half of August 2007. The draft agenda, for the joint Jirga, was subsequently agreed during the meeting of the two commissions in Nathia Galli. Repatriation of Afghan Refugees The presence of a large number of Afghan refugees (2.4 million registered) has a serious bearing on the cross border infiltration problem. Some refugee th camps are used as safe havens by Taliban. In the 12 meeting of the Tripartite Commission on Repatriation of Afghan Refugees (February 2007), it was decided to close four such camps shortly, i.e. Girdi Jungle and Pir Alizai in Baluchistan and Jalozai and Kacha Ghari in NWFP. Tripartite Commission on Refugees includes Pakistan, Afghanistan and the UNHCR. 18 Foreign Office Year Book 2006-07 In order to enhance the repatriation assistance from US$ 60 to US$ 100 per person, Pakistan has donated US$ 5 million. However, a total amount of US$ 80 million is required for repatriation of Afghan refugees from Pakistan during 2007. --------------------------------------------------------------------------------- AFGHAN TRADE AND DEVELOPMENT CELL Afghan Trade and Development Cell was established in 1995 under the orders of the then Prime Minister. The Cell was tasked to develop trade with Central Asia in addition to its trade, transit trade and developmental projects in Afghanistan. Later, due to unstable geo-political environmental and financial constraints the trade routes to Central Asia could not be developed and the Cell mainly concentrated on Afghanistan with 160 million rupees, an annual budget of which was later reduced to 44 million after 1998 nuclear tests. The Cell was tasked to carry out the following:a. b. c. d. e. f. Regulate trade with Afghanistan and Central Asian Republics (CARs). Coordinate and regulate Afghan Transit Trade. Develop communication infrastructure in Afghanistan. Carry out development work in Afghanistan. Coordinate humanitarian assistance to Afghanistan. Maintain liaison with all groups operative in Afghanistan. 2. The Cell coordinated/arranged the following development projects in Afghanistan:Assistance out of US$ 300 million (pledged money) US $ in million 3. Already completed projects a. b. c.. Education Communication Others 2.607 57.728 25.715 Total: 86.050 153.97 Total: 58.07 33.85 56.95 5.00 153.87 66.467 86.05 4. Projects in hand a. b. c. d. Health Education Communication Others 5. Proposed projects (approved by JEC to be prioritized on availability of funds) 19 Foreign Office Year Book 2006-07 a. b. Communication Others 55.217 11.25 Total: 66.467 6. Progress of on-going projects is as under:a. (1) Health Nishter Kidney Centre, Jalalabad Project cost US $ 6.58 = Rs.395 million. Structure completed. Work on project started on 24 January 2006. Completion period 18 months. Jinnah Hospital (150 beds) alongwith Thalaecimia Centre (50 beds), Kabul Project cost US $ 20 = Rs.1200 (million).The site has been decided and handed over. Syed Ahmed Shaheed Hospital (100 beds), Logar Project cost US $ 14 = Rs.840 million. Tender papers issued. Related formalities underway. 14 Mobile Medical Units (2 per province for 7 provinces) (Rs.55,480,000) = (US$ 0.924) All the 14 Mobile Medical Units have been donated to Afghanistan. Project completed. Zia-ul-Haq Artificial Limb Centre, Badakhshan US$ 4.00 Afghan Minister for Public Health has suggested a (Rs.240.00) new site for the Centre. However, ATDC has suggested to consider construction of a block in Mazar-e-Sharif hospital instead of this project. Proposed change will be th considered in 7 JEC meeting. Fatima Jinnah Nuclear Medical Centre, Kabul US$ 8.00 The change of Centre from Kandhar to Kabul at the request of Afghan Government has been approved by Chairman, CRRA. NESPAK has been asked to liaise with Afghan Government for provision of site. Al-Shifa Eye Hospital, 50 beds each at Gardez and US$ 4.5 Kunduz Afghan Government has requested that 50 beds of hospitals each may be constructed at Gardez and Kunduz instead of Herat (100 beds hospital). Chairman CRRA has approved the proposal. Education Allama Iqbal Faculty of Arts, Kabul University, Kabul Projects cost US $ 6. 85 million = Rs.411.256 million. Construction commenced on 11 October 2005. (2) (3) (4) (5) (6) (7) b. (1) 20 Foreign Office Year Book 2006-07 Completion period 24 months. (2) Hostel with Rahman Baba School, Kabul (For over 1000 students) Project cost US $ 7.00 million = Rs.420 million. Detailed design and tender papers being prepared by NESPAK. Sir Syed Post Graduate Science Faculty Block Nangarhar University, Jalalabad Project cost US $ 10 million = Rs.600 million. Work on the project commenced on 01 March 2006. Completion period 18 months. Liaqat Ali Khan Engineering Faculty Block in Bulkh University, Mazar-e-Sharif Project cost US $ 10 million = Rs.600 million. Construction work started in October 2006. Completion period 18 months. Communications Additional Carriage Way of Torkhum - Jalalabad (75 KM Road) Work started in January 2007 at the estimated cost of Rs.300,000,000 US $ 50 (million) Construction of Rail Link from Chaman-Spinbolduk (11.5 KM) The project costing Rs.417 million was approved by CDWP. The MoU prepared by Pak Ministry of Railways was signed by an Afghan team, headed by Deputy Minister on 23 May 2007. Pak Railways has been asked to start the work. Right of way and NoC from Afghanistan is awaited. Others ECO Projects Released Rs.60 million on 11 June 2006 for rehabilitation of Deh Mazan Park and Kabul Zoo at Kabul Proposed Projects (Approved by 6 JEC, held 14-15 June 2006 at Islamabad) The Afghan side proposed some new projects to be completed out of remaining grant earmarked for Afghanistan reconstruction. All the projects were examined in detail and both sides agreed to prioritize the projects as per the following order: th (3) (4) c. (1) (2) d. 21 Foreign Office Year Book 2006-07 1. Education 1000 Scholarship to Afghan students Amount not committed in JEC/CRRA provided by HEC in their Concept Paper. 2. a. Communication Feasibility Study of Chaman-Kandhar Railway Line (107 KM) Afghan Ministry of Public Works has an extensive plan under consideration and will hold necessary meetings with Asian Development Bank and other donor agencies for financing the project. Feasibility Study of Alternate Kabul-Jalalabad Road US$ 0.125 (102 KM) (million) Estimated cost is Rs.7.500 million. NESPAK is being engaged for the project. Construction of Sarobi Tagab Jabal-Siraj Road US$ 55.092 Estimated cost is Rs.3305.520 million. NESPAK will be (million) asked to carry out the feasibility study as recommended by NHA. Miscellaneous 15 Weigh Bridges and 30 Mobile Hot Mixers for MPW US$ 11.25 Estimated cost Rs.675.000 million. Being processed by (million) the Ministry of Communication, Pakistan. Projects other than pledged money a. Health 45xAmbulances by Ministry of Defence ------45 Ambulances have been donated by the Ministry of Defence of Pakistan. Education Provision of 10 x Buses to Universities of Nangarhar (5) and Kabul (5) US$ 23.216 (million) (Rs.1393 million) b. c. 3. b. (1) US$ 0.456 (Rs.27.350) Five each HINO Pak buses have been delivered to Nangarhar and Kabul Universities, as donated by the Ministry of Defence, Pakistan (2) Rahman Baba School at Kabul out of ATDC’s Budget US$ 2.3 M/S. Airres, Lahore has started the work. The progress (Rs.126) of the construction is satisfactory as roof of the second floor has been laid. Completion expected by August 2007. 22 Foreign Office Year Book 2006-07 CHINA Friendship with China is the corner stone of our foreign policy. Pakistan and China enjoy excellent relations in all spheres of mutual interest, and there is convergence of views on all bilateral and international issues. This relationship is time-tested and broad-based having withstood the changes in international environment. The shared aspirations of both countries towards peace and stability in the region have brought them closer. Visits Exchange of high-level visits is the hallmark of Pakistan‟s relations with China. These visits further strengthened the time-tested bonds of friendship in all fields, including defence and security. From Pakistan Prime Minister’s Visit The Prime Minister of Pakistan visited Hong Kong from 26-28 March 2007, where he delivered a keynote address at the 10th Asian Investment Conference of Credit Suisse Asia Pacific Limited. The Prime Minister revisited China from 16-21 April 2007. He delivered a keynote speech on “Asia Driving Global Growth” at the plenary session of the Boao Conference on 21 April 2007. The Prime Minister also chaired a special session on Pakistan with the title “Pakistan Trans-regional hub linking Asia to Middle East and Beyond”. The visit also included meetings with select CEOs participating in the Conference. In the Beijing segment of the visit (1619 April 2007) the Prime Minister held talks with Premier Wen Jiabao. The Prime Minister called on President Hu Jintao and met other important state leaders. He also had extensive interaction with representatives of the media. He had a speaking engagement at the prestigious CPC Party School in Beijing. He also held meetings with key CEOs of financial institutions and corporations. The Prime Minister visited Chengdu on 19 April 2007. He inaugurated new Pakistan Consulate General at Chengdu and visited Aircraft Design Institute and the Aircraft Manufacturing Plant, where JF-17 is being produced. The Prime Minister also held meetings with the Sichuan leadership and businessmen and addressed the South Asia Institute of the Sichuan University. Thirteen Agreements/MoUs in the Public Sector while fourteen in Private Sector were signed during the visit. Foreign Minister’s Visit Foreign Minister Kasuri paid an official visit to China from 19-20 April 2007. The Foreign Minister‟s visit, in addition to his meeting with the Chinese Foreign Minister and call on Premier Wen Jiabao, included interactions with media, intellectuals/think tanks, heads of Chinese financial, banking 23 Foreign Office Year Book 2006-07 institutions and corporations. He also gave a talk at the Peking University and visited the Chinese Aerospace facilities in Beijing. From China President Hu Jintao’s Visit The visit in November 2006 was the high point of the 55 anniversary of the establishment of the diplomatic relations between the two countries. During his stay in Islamabad, President Hu held official talks with President General Pervez Musharraf and Prime Minister Shaukat Aziz. Chairman Senate Mohammadmian Soomro and Speaker National Assembly Ch. Amir Hussain jointly called on President Hu Jintao. The official talks between the two Presidents covered a wide range of bilateral, regional and international issues. There was complete unanimity of views on all issues. The two sides agreed to take forward their strategic partnership to new heights and to augment economic and trade cooperation for the betterment of the peoples of the two countries. At the conclusion of the talks, 18 Agreements/MoUs were signed; the two most important being the Free Trade Agreement and Five Year Plan for Trade and Cooperation which would serve as engines of economic growth and help enhance bilateral trade. President Hu‟s other engagements in the capital included an address at the Convention Centre to the people of Pakistan, where he was also conferred Pakistan‟s highest civil award, Nishan-e-Pakistan. He met representatives of the industrial and commercial circles and friendly associations of PakistanChina Forum. President Hu planted a sapling at Shakarparian, where he intermingled with a group of Chinese-speaking Pakistani students of National University of Modern Languages. President Hu also visited the historic city of Lahore. He addressed a large gathering of Pakistanis at a civic reception and also attended a banquet hosted by the Governor Punjab at Lahore Fort. President General Pervez Musharraf was also present at the banquet. President Hu attended the inauguration ceremony of Haier-Ruba Industrial Park Development Zone, near Lahore. Foreign Minister’s Visit The Foreign Minister of China, H.E. Mr. Li Zhaoxing visited Pakistan on the invitation of Foreign Minister Kasuri from 1-2 April 2007 for official talks, on his way to attend the SAARC Summit held in New Delhi. The Chinese Foreign Minister also paid calls on the President, Prime Minister and the Chairman Senate. H.E. Mr. Li Zhaoxing was awarded Hilal-e-Pakistan during the visit. Trade Bilateral trade remains modest at $ 5.24 billion (2006) with the surplus in China‟s favour (exports to China $ 1.007 billion; imports $ 4.24 billion; trade deficit for Pakistan $ 3.233 billion). Measures have been initiated to rectify the situation. The two sides signed FTA on 24 November 2006 during the th 24 Foreign Office Year Book 2006-07 visit of President Hu Jintao. The FTA includes trade in goods and investment in the first phase and trade in services to be negotiated during 2007. The Early Harvest Programme, which was put into operation on 1 January 2006, has been merged into this bilateral FTA. In the overall package Pakistan will get market access at zero duty on industrial alcohol, cotton fabrics, bed-linen and other home textiles, marble and other tiles, leather articles, sports goods, mangoes, citrus fruit and other fruits and vegetables; iron and steel products and engineering goods. China will also reduce its tariff by 50% on fish, dairy products, frozen orange juice, plastic products, rubber products, leather products, knitwear, woven garments, etc. FTA became effective w.e.f. 1 July 2007. Pakistan has given market access to China mainly on machinery, organic, and inorganic chemicals, fruits & vegetables, medicaments and other raw materials for various industries including engineering sector, intermediary goods for engineering sectors, etc. ----------------------------------------------------------------------- INDIA The Pakistan-India relations have come a long way since the tense period in 2002-03, when India had amassed its troops along our border. Today, the situation is much more stable as a result of the unilateral ceasefire along LoC announced by the President of Pakistan in November 2003. Since then, several other Confidence Building Measures (CBMs) have been put in place to improve the environment between the two countries. Those CBMs resulted in the commencement of the peace process in January 2004. The two countries resumed the Composite Dialogue process, which encompasses talks on Peace and Security, including CBMs; Jammu and Kashmir; Siachen; Sir Creek; Wullar Barrage; Terrorism and Drugs Trafficking; Economic and Commercial Cooperation; and Promotion of Friendly Exchanges. The first three rounds of the Composite Dialogue were completed in 2004, 2005 and 2006 respectively. The fourth round was initiated in March 2007 with the Foreign Secretary-level meeting between the two countries in Islamabad. As a result of the Peace Process and the Composite Dialogue, there has been significant improvement in the atmospherics between the two countries. High level visits have been exchanged and people to people contacts have also been enhanced. Bilateral trade has increased from around US$ 200 million before the beginning of the peace process to US$ 1095 million in 2005-06. Similarly, communication links like bus and train services between the two countries have been operationalised. These improvements notwithstanding, there is a clear need to make progress on substantive issues like the Jammu and Kashmir dispute, Siachen, Sir Creek and the Water Issues. With the improvement in the atmospherics, the 25 Foreign Office Year Book 2006-07 two countries now need to move from the conflict management phase to the next higher stage of dispute resolution. Bilateral Meetings The Foreign Secretaries of India and Pakistan met in New Delhi on 14-15 November 2006 for the Review Meeting of the Third Round of the Composite Dialogue. Indian Minister for External Affairs, Pranab Mukherjee, visited Pakistan from 13-14 January 2007 to extend an invitation to the Prime Minister of Pakistan th to attend the 14 SAARC Summit, held in New Delhi on 2-4 April 2007. During his stay in Islamabad, he also called on the President and participated in the Foreign Minister-level Review Meeting of the Third Round of the Composite Dialogue. Foreign Minister Khurshid M. Kasuri visited India on 21-22 February 2007, for the Pakistan-India Joint Commission meeting. There, he called on Prime Minister Manmohan Singh, met former Prime Minister A. B. Vajpayee and Mr. L.K. Advani, leader of the Opposition. Prime Minister Shaukat Aziz visited India to participate in the 14 SAARC Summit in New Delhi on 3-4 April 2007 and met Prime Minister Manmohan Singh on the sidelines of the Summit. The two sides discussed issues of mutual interest and expressed their resolve to continue the dialogue process. Fourth Round of Composite Dialogue The Fourth Round of Composite Dialogue was initiated in March 2007 with the Foreign Secretary level talks on Peace and Security, including CBMs and Jammu and Kashmir. The two sides also discussed other important issues such as Siachen, Sir Creek, terrorism, economic and commercial cooperation, consular matters and the release of prisoners and fishermen. Peace and Security On Peace and Security, Pakistan presented a number of new proposals, including ABM Free South Asia and Non-use of Space for Military Purposes. Both sides agreed to expedite negotiations and conclude agreements on a number of peace and security issues. In the field of Nuclear CBMs the two countries have so far concluded the following CBMs: Agreement on Pre-Notification of Flight Testing of Ballistic Missiles Agreement on Reducing the Risk from Accidents Relating to Nuclear Weapons th 26 Foreign Office Year Book 2006-07 In the field of Conventional CBMs the two countries have concluded the following CBMs: Reaffirmation by both sides of the commitment to uphold the ongoing ceasefire Implementation of the 1991 Agreement on Air Space Violations in letter and spirit Establishment of Hotline between the two Foreign Secretaries Upgradation of Hotline between the DGMOs Operationalization of Hotline between Indian Coast Guards and Pakistan Maritime Security Agency JAMMU AND KASHMIR DISPUTE The Jammu and Kashmir dispute is the core issue between Pakistan and India. Confidence Building Measures (CBMs) instituted so far have created a conducive atmosphere for the resolution of this long standing dispute. We have, therefore, made it clear to India that there is a need to move from conflict management to conflict resolution. The period from July 2006 to June 2007 saw a number of important developments with regard to the Jammu and Kashmir dispute. The most significant events are as follows: Pakistan-India Bilateral Consultations on Kashmir Dispute The Composite Dialogue was put back on track after the successful meeting between President General Pervez Musharraf and Indian Prime Minister Manmohan Singh in Havana on 16 September 2006. (Earlier, India had announced the indefinite postponement of the Foreign Secretary level talks following the Mumbai blasts on 11 July 2006). Both leaders agreed to “continue the joint search for mutually acceptable options for a peaceful negotiated settlement of all issues including the Jammu and Kashmir dispute in a sincere and purposeful manner”. The Foreign Secretaries of India and Pakistan met in New Delhi from 14-15 November 2006 for the review meeting of the third round of the Composite Dialogue. They agreed to fully implement measures to enhance interaction and cooperation across the LoC including operationalization of the truck service for trade on agreed items. Indian External Affairs Minister Pranab Mukherjee visited Pakistan from 1314 January 2007 to extend an invitation to the Prime Minister of Pakistan for SAARC Summit. The Foreign Minister level meeting, to review the progress 27 Foreign Office Year Book 2006-07 on all issues after third round of Composite Dialogue including the Jammu and Kashmir dispute, was held during the visit. The Foreign Secretaries of Pakistan and India met in Islamabad from 13-14 March 2007 to launch the fourth round of the Composite Dialogue. They reiterated the two sides‟ commitment to carry the momentum and spirit of the dialogue throughout. They also agreed to ensure the implementation of Jammu and Kashmir related CBMs. The Prime Minister of Pakistan met the Kashmiri leaders in New Delhi on the th sidelines of the 14 SAARC Summit on 14 April 2007. Earlier, he had received Yasin Malik in Islamabad in March 2007. The Prime Minister reaffirmed Pakistan‟s commitment to the struggle of the Kashmiris for selfdetermination and assured them that no settlement would be acceptable to Pakistan unless it was acceptable to the Kashmiris. President’s Proposals on the Resolution of the Kashmir Dispute In an interview with the NDTV of India in December 2006, President General Pervez Musharraf emphasized the need for “out of box thinking,” sincerity, flexibility and courage to address the Kashmir dispute. The President stated that a solution of the dispute must be acceptable to Pakistan, India and most importantly, the people of Jammu and Kashmir. The President suggested the four point formula, identification of regions, demilitarisation, self-government and joint management/institutional arrangement for resolving the dispute. The President‟s proposal has found resonance amongst Kashmiri people and leadership on both sides of the LoC. Visit of Kashmiri Leaders from IOK The Kashmiri leaders from Indian occupied Kashmir (IOK) visited Pakistan from 18-27 January 2007. The delegation comprised of Mir Waiz Omer Farooq, (Chairman APHC), Professor Abdul Ghani Bhatt, (Muslim Conference) and Bilal Ghani Lone (Jammu and Kashmir People‟s Conference). They visited Pakistan and AJK on the invitation of the Government of Pakistan for the purpose of consultations as part of the Composite Dialogue process in the pursuit of the final settlement of the Jammu and Kashmir dispute. The Kashmiri leaders during their stay here held meetings with the President of Pakistan, Prime Minister, Foreign Minister, Speaker National Assembly, Governor Punjab and Members of the National Assembly, as well as the AJK leadership. The visit provided a unique opportunity to Kashmiri leaders from both sides of the LoC to discuss ways and means to find a fair and just solution to the Jammu and Kashmir dispute in accordance with the aspirations and the wishes of the Kashmiris. Mir Waiz Umar Farooq called for a cessation of armed struggle in Jammu and Kashmir and to endorse peaceful means for the resolution of the dispute. He also endorsed President Musharraf‟s four point formula for the resolution of Jammu and Kashmir dispute. 28 Foreign Office Year Book 2006-07 Projection of Kashmir Dispute at Multilateral Forums President General Pervez Musharraf, in his address to the 19 Arab League Summit in Riyadh, Saudi Arabia, on 28 March 2007, stated that Pakistan was seeking a just settlement of the long standing Kashmir dispute, as this was imperative for a brighter future of the region. While addressing the “Global Discourse on Kashmir” in Brussels on 14 September 2006, the President of Pakistan stated that the historic opportunity to resolve the Kashmir dispute through peaceful dialogue exists and it must be seized by the leadership of the two countries to bring an end to the chapter of tension and conflict in the region. He said that without resolving the core issue of Jammu and Kashmir, the confidence building, trust and improvement of atmospherics would prove to be fragile and even short-lived. The President stated that the efforts for solution of the dispute are focused on three aspects; firstly; Kashmir-related confidence building measures; secondly; greater interaction and involvement of Kashmiri leaders with the process; and lastly; focused discussions for a settlement. The President of Pakistan, while addressing European Union‟s Foreign Relations Committee in Brussels on 15 September 2006, said that Pakistan was trying its best to move forward in the resolution of the Kashmir dispute with India. He urged the European Union to facilitate and encourage the bilateral process between Pakistan and India. While addressing the 14 NAM Summit in Havana on 16 September 2006, the President stated that Pakistan was determined to pursue the peace process for resolving all outstanding issues with India including the Jammu and Kashmir dispute. The President of Pakistan while addressing the 61 session of UN General Assembly in September 2006, stressed the need for finding a just solution of the Kashmir dispute acceptable to Pakistan, India and above all to the people of Kashmir through peaceful means. The fourth session of the United Nations Council on Human Rights was held in Geneva from 12 March – 6 April 2007. Pakistan drew the attention of the international community to India‟s continued denial of the fundamental right of self-determination to the Kashmiri people, as well as to the human rights violations being committed by security forces in the Indian occupied Kashmir. 34 Session of the ICFM, Islamabad,15-17 May 2007 The Ministers of Foreign Affairs and the heads of delegation of the member th states of the OIC, held the 34 session of the ICFM in Islamabad from 15-17 May 2007. Agha Syed Hassan Al Moosvi Al Safvi, representative of APHC Chairman Mir Waiz Omer Farooq participated in the Conference and the OIC Contact Group on Jammu and Kashmir. He addressed the plenary of the ICFM in his capacity as the True Representative of the Kashmiri people. th st th th 29 Foreign Office Year Book 2006-07 The Islamabad Declaration and the Final Communiqué, adopted at the 34 ICFM reaffirmed its support to the people of Jammu and Kashmir for their inalienable right to self-determination in accordance with the relevant UN Security Council Resolutions and the aspirations of the Kashmiri people and agreed to provide all possible political and diplomatic support to the True Representatives of the Kashmiri people in their struggle against foreign th occupation. The 34 ICFM hoped that the ongoing composite dialogue between Pakistan and India will lead to the resolution of the Kashmir dispute and usher in lasting peace in South Asia. Human Rights Violations in IOK International Human Rights organizations criticized the violations of human rights in Indian Occupied Kashmir by the Indian Security Forces in their latest reports. The Indian government continues to use black laws, such as the Armed Forces Special Powers Act, (1990), the Jammu and Kashmir Public Safety Act, (1978) and the Jammu and Kashmir Disturbed Areas Act, (1990) to suppress the struggle for self-determination in Kashmir. Despite the ongoing peace process, India has blatantly shunned from repealing these black laws. According to reports by human rights organizations, since 1989 to May 2007, more than 91,684 Kashmiris have been killed in Jammu and Kashmir, 105,402 houses/shops have been destroyed; and 106,930 children have been orphaned. In addition, 9,703 women have been molested while more than 22,530 have been widowed. Besides, more than 4,409 innocent Kashmiris are in the custody of Indian authorities. The Human Rights Watch in their Report India, everyone lives in fear Patterns of Impunity in Jammu and Kashmir, 12 September 2006 reported: “Indian army and paramilitary forces have been responsible for innumerable and serious violations of human rights in Kashmir. Extra judicial executions are widespread. Police and army officials have told Human Rights Watch that alleged militants taken into custody are often executed instead of being brought to trial, because they believe that keeping hardcore militants in jails is a serious risk. Most of those summarily executed are falsely reported to have died during armed clashes between the army and the militants in what are euphemistically called “encounter killings”. The United States Department of State, Washington, in “India Country Report on Human Rights 2006” (released by the Bureau of Democracy, Human Rights and Labour, 6 March 2007) states: “Government forces continued arbitrary and unlawful deprivation of life of those in custody. Police and prison officers also committed extra-judicial killings by staging counter killings in Jammu and Kashmir. The International Committee of the Red Cross (ICRC) visited 61 detention centres but the ICRC was not authorized to visit interrogation or transit centres, nor did it have access to regular detention centres in the northern states. According to th 30 Foreign Office Year Book 2006-07 the credible reports, in addition to harassing during searches and arbitrary arrests, security forces cleaning mine fields abducted and sometimes used civilians as human shields. Such abuses occurred mostly in the Kupwara and Doda districts”. The cases of custodial killings and forced disappearances of the Kashmiris by the Indian Security Forces are highlighted by the Indian themselves in the recent months. The political pressure led them to order a judicial probe into the killings. Pakistan, has, time and again, emphasized the need for involving the Kashmiri leadership in the dialogue process. We believe that a solution to the Jammu and Kashmir dispute should not only be acceptable to Pakistan and India but also to the Kashmiri people. Pakistan has strongly rejected any attempt to project the Kashmiri struggle as terrorism. The Indian emphasis on terrorism in the context of Jammu & Kashmir dispute is misleading as the struggle of the people of Jammu & Kashmir is a 60 years old struggle for selfdetermination which predates concerns relating to international terrorism. Water Issues under Indus Waters Treaty The Indus Waters Treaty 1960 circumscribed India‟s right to build water storage facilities on the rivers allocated to Pakistan. India, however, has started some controversial projects on the Indus system. According to media reports, India plans to construct 16 to 18 dams on River Chenab and 6 to 7 on River Jhelum. Baglihar Hydroelectric Plant Issue India started construction on controversial Baglihar Plant on the river Chenab in Indian occupied Kashmir in 2000. Pakistan raised serious objections on design of the plant. After having exhausted the bilateral route, Pakistan, invoking the provisions of the Indus Waters Treaty, requested the World Bank to appoint a Neutral Expert (NE) for the resolution of this issue in January 2005. The Neutral Expert‟s final verdict of 12 February 2007 upheld Pakistan‟s objections on all the four design features of the Baglihar project. By taking up the matter to the Neutral Expert, it was established that the Indian design was violative of the Treaty. It also ensured the sanctity of the Treaty for resolution of any other water dispute with India. Kishanganga-storage-cum Hydroelectric Project In April 2006, the Indian Commissioner intimated that the Kishanganga project had been reconfigured to a run-of-river Plant. The details of the altered design were furnished by India to Pakistan in June 2006. India furnished incomplete information about the spillways. Pakistan‟s PCIW team visited India in November 2006 for on-site inspection of the project. Later, the PCIW raised the issue in the Annual Meeting of the Permanent Indus Commission in May 2007. It was decided that Indian water experts would 31 Foreign Office Year Book 2006-07 visit Pakistan site of the project to assess Pakistan‟s claim on the agriculture and hydro-electric uses. Uri-II Hydroelectric Plant India, under the provisions of the Indus Waters Treaty 1960, communicated information regarding Uri Phase-II hydroelectric plant, proposed to be constructed on the Jhleum Main in January 2006. The proposed Uri Phase-II 240 MW plant envisages a construction of 40 meter high and 173.2 meters long concrete dam on Jhelum Main. Pakistan‟s objections on the design of the plant were communicated to the Indian Commissioner on 1 April 2006. India later unilaterally started work on hydro-electricity project without informing Pakistan. A Pakistani team headed by Indus Waters Commissioner visited the project site in Indian Occupied Kashmir after the meeting of Indus Waters Commissioner in New Delhi in the last week of May 2007. Pakistan raised questions over the design, pondage capacity and spillways of the Uri-II project and urged India to stop work on that. ---------------------------------------------------------------------- IRAN In the year under review fresh ground was covered in Pakistan-Iran relations. In September 2006, President General Pervez Musharraf met his Iranian counterpart President Dr. Mahmoud Ahmedinejad in Havana on the sidelines of the NAM Summit. On 5 February 2007, President Pervez Musharraf visited Tehran as part of his Middle East Initiative. December 2006 saw Foreign Minister Khurshid M. Kasuri in Tehran, followed by a visit by a parliamentary delegation led by Senator Mushahid Hussain in January 2007. Minister for Water and Power Liaqat Ali Jatoi visited Iran on 7-8 April 2007 and signed with his counterpart an MoU for boosting water and power related cooperation. Minister for Environment Syed Faisal Saleh Hayat and Minister for Communications Muhammad Shamim Siddiqui also visited Iran during April 2007, and signed one MoU each in their respective areas of responsibility. Next visits were by the Minister for Religious Affairs Mohammad Ijaz-ul-Haq and Minister for Railways Sheikh Rashid Ahmed, during the first week of May 2007. From the Iranian side, Health Minister Dr. Kamran Bagheri Lankarani visited Pakistan on 11-14 January 2007, followed by that of Iranian Commander in Chief General Ahmadi Moghadam. Iranian Majlis Speaker Dr. Gholam Ali Haddad Adel paid a visit to Pakistan in April 2007, followed by one by Iranian Minister for Culture and Islamic Guidance Mohammad Hussein Saffar-Harani in May, to attend the Board of Trustees‟ meeting of the ECO Cultural Institute. In the Economic realm, the momentum has been commensurate with the quality of political ties. Some salient points are set out below: 32 Foreign Office Year Book 2006-07  The 16th Pakistan-Iran Joint Economic Commission (JEC) met in Islamabad in May 2006. Progress of various avenues of bilateral cooperation was reviewed and ways and means to their further strengthening discussed. The next JEC is expected to be held in Tehran by the close of 2007. Both sides agreed to raise yearly bilateral trade volume to $ 1 billion. Though still short of the benchmark at around $430 million, the Pakistan-Iran trade volume has registered an increase of more than 60%. The Pakistan-Iran Preferential Trade Agreement (PTA) was operationalized in September 2006. Under this agreement both sides have granted tariff concession on more than 600 items. Another achievement in bilateral relations is materialization of the Pakistan-Iran Joint Investment Company (PIJIC). With an initial capital of $25 million and joint Pakistan-Iran management, the Company is expected to boost joint ventures between the two brotherly countries. Impressive progress was made towards fruition of the Iran-PakistanIndia (IPI) gas pipeline project. With concerted efforts a trilateral inter-governmental agreement is likely to be signed during 2007. Besides obvious economic benefits, the project is expected to have a very salutary effect on the political climate in the region. **********************************************************     33 Foreign Office Year Book 2006-07 II. ASIA SOUTH ASIA H aving treated India separately in the first chapter of the book, now we will have a look at other South Asian countries – Bangladesh, Sri Lanka, Nepal, Bhutan and Maldives. Pakistan has deep interest in all these countries, which is pursued bilaterally and through South Asian Association for Regional Cooperation (SAARC). In this regard, Pakistan is pursuing a three-tier relationship in political, economic and defense fields. Besides enhancing our bilateral interests, main objective of our policies is to create a cushion against Indian hegemonic designs in the South Asian Region and Indian efforts to encircle Pakistan. This is being pursued through cooperation with these countries in International Organizations, economic cooperation and monetary help in the form of soft term loans, extending academic and professional scholarships through Pakistan Technical Assistance Programme (PTAP) and Special Assistance Programme for South Asia (SAP-SA). Below is a country-wise narrative of the region. BANGLADESH Cordial relations between Pakistan and Bangladesh are based on shared beliefs, traditions, history and interests. The government of Pakistan is very keen to further augment the already existing brotherly relations with Bangladesh. Prime Minister Shaukat Aziz met Dr. Fakruddin Ahmed, the Chief Advisor and head of Caretaker government of Bangladesh on the sidelines of the 14th SAARC Summit held in New Delhi from 3-4 April 2007. Foreign Minister Khurshid M. Kasuri attended the 27 Session of the SAARC Council of Ministers held in Dhaka on 1-2 August 2006. He also met with his Bangladeshi counterpart and called on the Prime Minister of Bangladesh. On the invitation of the Prime Minister of Pakistan, Professor Muhammad Yunus (recipient of the 2006 Nobel Peace Prize for his contribution to the field of micro credit) visited Pakistan from 4-6 March 2007. Special Assistance Programme for South Asia (SAP-SA) To generate good-will for Pakistan among general public, an amount of over Rs. 13.1 million was utilized during the financial year 2006-07 under SAP-SA. The activities conducted under SAP-SA included setting up of a library for the visually impaired children, provision of three ambulances to various hospitals, th 34 Foreign Office Year Book 2006-07 development of a pathology laboratory, establishment of three computer centres at various educational institutions, and visit of media personnel and academicians to Pakistan. Joint Working Group A meeting of Joint Working Group was held on 4-5 July 2007 in Islamabad to th review the progress on implementation of the decisions made during the 8 session of the JEC, held in Dhaka from 12-13 September 2005. Joint Business Council During the 8 session of JEC, the Joint Business Council (JBC) of Chambers of Commerce and Industry of Pakistan and Bangladesh was reactivated. The first meeting of JBC was held from 26-31 August 2006, where both Chambers agreed to cooperate on joint ventures, exchange of trade delegations, establish a dispute resolution body and holding of single country trade fair, etc. Technical Assistance and Scholarships Pakistan offers to Bangladesh six seats, two each in medicine, pharmacy and engineering under Pakistan Technical Assistance Programme. Two additional scholarships were provided on the recommendation of the Government of Bangladesh. Pakistan has also offered 100 fully-funded scholarships for Bangladeshi students in the fields of medicine, engineering and IT. In addition to this, Pakistan also offers two seats for young Bangladeshi diplomats at the Foreign Service Academy, Islamabad. ------------------------------------------------------------------------th BHUTAN Bhutan is a small land-locked country and a member of the SAARC. We have maintained friendly relations with Bhutan since establishment of diplomatic ties in December 1988. The visit by Prime Minister Shaukat Aziz to Thimpu in November 2004 gave a boost to bilateral relations between the two countries. Pakistan Technical Assistance Programme Pakistan annually offers two seats, one each in our Medical Colleges (MBBS) and Engineering Universities (B.Sc. Engineering) under Pakistan Technical Assistance Programme. Additional seats are also made available to Bhutanese students in the above disciplines under self-finance scheme. Pakistan also offers two courses each year for training of Bhutanese diplomats in our Foreign Service Academy. ------------------------------------------------------------------------- 35 Foreign Office Year Book 2006-07 NEPAL Pakistan attaches great importance to its relations with Nepal and is keen to give an impetus to bilateral ties especially in the fields of economics, defence and commerce, etc. Our Commerce Minister Hamayun Akhtar Khan visited Nepal for attending SAFTA meeting, held in Kathmandu on 25 February 2007. Foreign Minister Khurshid M. Kasuri met his Nepalese counterpart on the sidelines of the 14th SAARC Summit, held in New Delhi from November 3-4 April 2007 Pakistan Technical Assistance Programme Pakistan regularly offers training facilities to Nepalese diplomats at the Foreign Service Academy, Administrative Staff College and National Police Academy. We also offer two courses in Banking Sector, one each in Construction Machinery & Equipment and Postal Services. Special Assistance Programme for South Asia (SAP-SA) Pakistan utilized an amount of Rs.10.5 million for donation of ambulances, hand knitting machines, computers along with accessories, and generators for various hospitals and charity organizations under SAP-SA 2006-07. Pakistan also subsidized PIA Air Fair for 330 Nepalese Hajis and provided Relief Assistance for Flood and Famine Victims, besides arranging visits of Nepalese journalists to Pakistan. ------------------------------------------------------------------------- MALDIVES Pakistan and Maldives enjoy friendly relations based on common religion and culture. Both the countries share similar views on various regional and international issues. Our Minister for Environment Syed Faisal Saleh Hayat visited Maldives on 17-18 March 2007. Joint Economic Commission The setting up of Joint Economic Commission was agreed in principle under the agreement on Economic and Technical Cooperation between Maldives and Pakistan. The First Session of Pakistan-Maldives Joint Economic Commission (JEC), scheduled for 3-5 May 2007 was postponed due to the political situation in Maldives. Both sides are working through diplomatic channels for fixing an early date in this regard. 36 Foreign Office Year Book 2006-07 Special Assistance Programme for South Asia (SAP-SA) An amount of Rs. 8.22 million was utilized during the financial year 2006-07 under SAP-SA for the provision of Medical Equipment for Hulhumale Hospital, Police Medical Post at Dhoonidhoo and training of four Maldivian Police Officers. During previous years these hospitals were also provided surgical and other medical instruments. Pakistan annually offers three scholarships, two in MBBS and one for BPharmacy, under the Pakistan Technical Assistance Programme (PTAP) to students from Maldives. Pakistan also sponsored the training of four Maldivian police officers in National Police Academy (NPA) who are expected to join NPA during September 2007. Pakistan regularly offers courses for junior and mid-carrier Maldivian diplomats in Foreign Service Academy, Islamabad. ------------------------------------------------------------------------- SRI LANKA Pakistan‟s relations with Sri Lanka have been friendly and mutually supportive, characterised by regular exchange of high level visits. Sri Lanka was the first country to conclude Free Trade Agreement with Pakistan. We are cooperating with each other in various fields including commerce & trade, education, agriculture, and defence, etc. Visits Prime Minister Shaukat Aziz met Mahinda Rajapaksa, President of Sri Lanka on the sidelines of the 14th SAARC Summit held in New Delhi from 3-4 April 2007. Mr. Rohitha Bogollagama, Foreign Minister of Sri Lanka accompanied by Foreign Secretary Dr. Palitha Kohona visited Pakistan from 15-17 February 2007. Both the sides agreed to: i) further strengthen the multifaceted and multi-sectoral cooperation in the fields of culture, commerce & trade, tourism, gemmology and Jewellery and defence for the common benefit of the two countries; utilize the bilateral Free Trade Agreement (FTA) for giving boost to bilateral trade and economic progress; and greater collaboration in tourism sector with greater focus on religious tourism and explore ways and means of offering collaboration to Sri Lanka in the field of Railways. ii) iii) The Sri Lankan Minister for Investment Promotion visited Pakistan from 5-9 February 2007. During the visit: 37 Foreign Office Year Book 2006-07 i) the two Boards of Investment agreed to sign a Memorandum of Understanding in order to enhance mutual cooperation for promotion of investment, trade and economic activities between the two countries; the Sri Lankan side expressed desire to develop closer cooperation with the leading Pakistani Educational Institutions such as LUMS and FAST, etc. both sides agreed that ample scope exists for attracting Sri Lankan investment and technical know-how in the hospitality, retailing, apparel and gemmology sectors. ii) iii) Mrs. Chandrika Bandaranaike Kumaratunga, former President visited Pakistan in November 2006 on a special invitation of Prime Minister Shaukat Aziz to advise on post-October 2005 earthquake reconstruction and rehabilitation, based on her experience of post-Tsunami reconstruction Pakistan Technical Assistance Programme Pakistan annually offers six slots to Sri Lanka under Pakistan Technical Assistance Programme (PTAP) in Medical and Engineering Institutions. Three additional seats were also provided during 2006-2007. Pakistan offered two fully-funded training courses to Sri Lankan diplomats at the Foreign Service Academy, Islamabad. Besides this, 9/10 short terms training facilities are offered annually in the Railway Operations/Techniques and Banking under Technical Assistance Programme. Special Assistance Programme for South Asia (SAP-SA) Pakistan has utilized an amount of Rs. 16.8 million under SAP-SA for establishment of Maternity Healthcare Unit/Gynecological Operation Theater, Pakistan Cultural Centre in Jinnah Memorial Hall, stitching/knitting centers for Sri Lankan widows/orphans. Apart from that, computers were also provided to various organizations. ********************************************************** 38 Foreign Office Year Book 2006-07 CENTRAL ASIA C entral Asian Republics, situated at the confluence of South Asia, deserve a closer focus of Pakistan in terms of bilateral, political and commercial relations. This becomes more important due to the existence of many commonalities of history, faith, culture, and structural dependencies. Pakistan, cognizant of these factors, therefore, was amongst the first to recognize the Republics at the time of their independence. Due to the geographical proximity of Pakistan with the CARs, our focus has been more on bilateral and transit trade. The trade remains a high priority owing to its intrinsic potential to be a vanguard of closer political relations. Pakistan provides a shorter transport corridor for the Central Asian transit trade. Pakistan has developed its infrastructure required for giving a boost to the expected transit trade through its territory. The development of the Gawadar and Karachi ports, and upgrading of rail and road networks are part of the required infrastructure build-up. In addition, the energy needs can also partly be met from the resources of the Central Asian Republics. For this purpose preparations are under way to establish an arrangement for the electricity and gas supply from Tajikistan and Turkmenistan. Pakistan has Joint Ministerial Commissions with all the Central Asian Republics. Hereunder is a country-wise mention of the CARs. AZERBAIJAN The 4 Session of the Joint Ministerial Commission was held in Islamabad on 6-7 February 2007, in which a seven-member delegation from Azerbaijan, headed by Deputy Prime Minister Yaqub Eyyubov participated. During their discussions, the two sides agreed to cooperate in the energy, telecommunications, agriculture, textile and tourism sectors. Both sides agreed to set up a joint working group, which will monitor and ensure implementation of decisions taken in the Joint Ministerial Commission. A 6-member parliamentary delegation of the Milli Meclis of Azerbaijan headed by Mr. Eldar Ibrahimov, Chairman of the Azerbaijan-Pakistan Parliamentary Working Group and Head of Standing Commission on Agrarian Policy, visited Pakistan from 28 November to 3 December 2006 on the invitation of Mr. Mushahid Hussain Syed, Chairman, Senate Standing Committee on Foreign Affairs. The Chief of the Defense Forces of Azerbaijan, Lt. General Najamuddin Sadikov paid a four-day visit to Islamabad from 5-8 February 2007 along-with a three-member delegation. During their visit, the Azeri Chief of Armed Forces held meetings with the Chairman, Joint Chiefs of Staff Committee, General Ehsan ul Haq and the Chief of Army Staff, General Ahsan Saleem Hayat and th 39 Foreign Office Year Book 2006-07 discussed issues of bilateral interest. The Azeri Army Chief also met Air Chief Marshal Tanvir Mahmood Ahmed. Some other visits included a pharmaceutical delegation from Pakistan to Baku (9-12 November 2006), Azeri defence delegation to the IDEAS 2006, Azeri tourism team‟s participation in the Visit th Pakistan Year Celebrations (14-17 December 2006) and 36 PN Staff Course participants‟ visit to Baku (12-15 March 2007). The Foreign Minister of Azerbaijan, Elmar Mammadyarov paid a th three-day visit to attend the 34 Session of the Islamic Countries Foreign Ministers‟ Conference, held in Islamabad on 15-17 May 2007. ------------------------------------------------------------------------------------ KAZAKHSTAN The 6 Session of Pakistan-Kazakhstan Joint Ministerial Commission (JMC) was held in Astana on 18-20 April 2007. The Pakistan side was led by Mr. Liaquat Ali Jatoi, Federal Minister for Water and Power, whereas the Kazakh Vice Minister for Transport and Communications headed his delegation. A protocol on exchange of trade delegations was signed on the occasion. It was also agreed that a Single Country Exhibition of Pakistani products will be held in Almaty in September 2007. The Deputy Foreign Minister of the Republic of Kazakhstan, Mr. Nurlan B. th Yermekbayev along-with a four-member delegation participated in the 34 Session of the Islamic Conference of Foreign Ministers, held in Islamabad on 15-17 May 2007. -----------------------------------------------------------------------------------th KYRGYZSTAN The Deputy Foreign Minister of Kyrgyz Republic, Mr. Kadyrbek Sarbaev th along-with a two-member delegation, participated in the 34 Session of the Islamic Conference of Foreign Ministers, held in Islamabad on 15-17 May 2007. A three-member delegation of National Assembly‟s Standing Committee of Foreign Affairs led by Dr. Attiya Inayatullah visited Bishkek in May 2007. ------------------------------------------------------------------------------------ TAJIKISTAN A three-member delegation of the National Assembly‟s Standing Committee of Foreign Affairs led by Dr. Attiya Inayatullah visited Dushanbe from 14-16 40 Foreign Office Year Book 2006-07 May 2007. During their stay, the delegation met with the Tajik Deputy Prime Minister, Chairman Majlis-e-Namoyandagon (Lower House), Head of the Majlis-e-Milli Committee (Upper House), Minister of Foreign Affairs, Economic Development and Trade, as well as the First Deputy Minister of Energy. The Deputy Foreign Minister of the Republic of Tajikistan, Mr. Abdullo th Yuldoshev participated in the 34 Session of the Islamic Conference of Foreign Ministers, held in Islamabad on 15-17 May 2007. ------------------------------------------------------------------------------------ TURKMENISTAN The Prime Minister of Pakistan, Mr. Shaukat Aziz visited Ashgabat on 24 December 2006 to attend the funeral service of late Turkmen President Saparmurat Niyazov. The Prime Minister was accompanied by the Minister for Petroleum and Natural Resources, Mr. Amanullah Khan Jadoon and Minister of State for Foreign Affairs, Mr. Makhdum Khusro Bakhtiar. Mr. Amanullah Khan Jadoon, Minister for Petroleum and Natural Resources led Pakistan delegation at the oath taking ceremony of the President of Turkmenistan, Mr. Gurbanguli M. Berdimuhammedov on 14 February 2007. ------------------------------------------------------------------------------------ UZBEKISTAN Prime Minister’s Visit The Prime Minister of Pakistan, Mr. Shaukat Aziz visited Uzbekistan from 1315 March 2007. He was accompanied by six ministers, two members of Parliament, high-ranking government officials and thirteen businessmen. Prime Minister Shaukat Aziz held bilateral talks with his Uzbek counterpart Mr. Shavkat Mirzayev and called on the Uzbek President Islam Karimov. He jointly inaugurated the business forum with his Uzbek counterpart, and both the Prime Ministers addressed the forum, which was attended by leading businessmen, members of the press and the Pakistani community in Uzbekistan. The Pakistani businessmen held meetings with their counterparts and officials from relevant ministries. Later, the Prime Minister visited Samarkand and Bukhara. The following agreements/MoUs were signed during the visit:  Agreement between the Government of the Islamic Republic of Pakistan and the Government of the Republic of Uzbekistan on Cooperation in the Field of Transport and Transit of Goods. Treaty between the Republic of Uzbekistan and of the Islamic Republic of Pakistan on Mutual Legal Assistance in Criminal Matters.  41 Foreign Office Year Book 2006-07  Memorandum of Understanding between the International Islamic University Islamabad-Pakistan and the Tashkent Islamic University under Cabinet of the Ministers of the Republic of Uzbekistan. Memorandum of Understanding between the Karachi Chamber of Commerce and Industry and Chamber of Commerce and Industry of Uzbekistan.  Other Interactions The third Session of Pakistan-Uzbekistan Joint Ministerial Commission (JMC) was held on 6-8 March 2007 at Islamabad. The Uzbek delegation was headed by their Minister for Water and Agriculture S. Ismoilov, while Pakistan delegation was led by Minister for Water and Power Liaqat Ali Jatoi. A 10-member Senators delegation led by the Chairman of Senate Committee on Foreign Affairs, Mr. Mushahid Hussain Sayed visited Uzbekistan from 1015 January 2007. The members of the delegation met the Deputy Chairperson of Uzbek Senate (Oily Majlis), Farrukha Muhitdinova. This was the first Parliamentary exchange between the two countries since establishment of diplomatic relations. The delegation also held a meeting at the Foreign Ministry. A three-member delegation of the National Assembly‟s Standing Committee on Foreign Affairs led by Mir Hazar Khan Bijrani, MNA visited Uzbekistan from 23-26 May 2007. The delegation held meetings at the legislative chamber of the Oily Majlis (lower house), Senate (upper house), and Ministry of Foreign Affairs. They also visited the Tashkent Islamic University and the Muslim Board. The Deputy Foreign Minister of the Republic of Uzbekistan, Mr.Shaazim th Minovarov along-with a three-member delegation, participated in the 34 Session of the Islamic Conference of Foreign Ministers, held in Islamabad from 15-17 May 2007. --------------------------------------------------------------------------------------------- 42 Foreign Office Year Book 2006-07 EAST ASIA AND PACIFIC P akistan is pursuing its policy of expanding cooperation with the region of East Asia and beyond to South Pacific and Oceania to enhance its economic links with this promising region. Our “Vision East Asia” encompasses establishing strong linkages with the countries of the region, both at the bilateral and multilateral planes. Pakistan secured membership of the ASEAN Regional Forum (ARF) and acceded to the Treaty of Amity and Cooperation in South East Asia in July 2004. A brief overview of relations with the countries in the East Asian region during the period under report is given below: AUSTRALIA Traditionally Pak-Australia bilateral ties have remained deeply influenced by the global political environment. The events of 11 September 2001 had a profound impact globally and relationship between Pakistan and Australia was no exception to this trend. Since then, however, there has been significant improvement in bilateral relations. Commerce and Trade Under the Pak-Australia trade agreement of 1990, Australia hosted the inaugural meeting of Pak-Australia Joint Trade Committee (JTC) in September 2006. During the meeting, the two sides identified specific areas for enhancing trade and economic cooperation. The total volume of trade during 2005-2006 was US $ 367.09 million, the balance being in favour of Australia. Human Resource Development Australia is providing considerable assistance to Pakistan in the fields of agriculture and education. In the education sector, Australia‟s aid programme to Pakistan focuses on human resource development, basic education, health, national resource management and governance. Last year, around 100 students from Pakistan joined different Australian universities under the Australian Government‟s fully funded scholarship programme for Pakistani students. In the next four years, 400 more Pakistani students would be able to benefit from the facility. New High Commissioner Mr. Baber W. Malik completed his tenure at Canberra as Pakistan‟s High Commissioner on 30 April 2007, and was succeeded by Mr. Jalil Abbas Jillani who took over as High Commissioner on 17 June 2007. ----------------------------------------------------------------------------------- 43 Foreign Office Year Book 2006-07 BRUNEI DARUSSALAM Relations between Pakistan and Brunei Darussalam are characterized by cordiality, warmth, cooperation and a broad identity of views on regional and international issues. Trade and Investment Trade between Pakistan and Brunei Darussalam in 2005-06 remained at 1.67 million US dollars. Pakistan‟s imports were US $ 0.64 million and exports US $ 1.03 million, with a trade surplus of US $ 0.39 million. Our major export items to Brunei are rice, cotton yarn, cotton fabrics, ready-made garments, plastic manufactures and carpets/rugs. Major imports from Brunei include raw jute, dyeing/ tanning material, miscellaneous manufactured articles, etc. The trade figures during July 2006 – March 2007 (nine months) recorded at US $ 0.6 million, the balance being in Pakistan‟s favor to the extent of US $ 0.4 million. In the second session of the Pakistan- Brunei Joint Commission, held on 1617 March 2006 at Brunei Darussalam, a Joint Study Group was established to look into the possibility of concluding a Free Trade Agreement (FTA)/Comprehensive Economic Partnership Agreement (CEPA) between the two countries. The First meeting of the Joint Study Group was held on 15-16 November 2006 at Islamabad. A three-member delegation of Brunei Investment Agency, headed by its Chairman and the Energy Minister of Brunei, Pehin Dato Yahya, visited Pakistan from 4-6 November 2006 and signed the agreement establishing Pakistan-Brunei Joint Investment Company. The capital of the Joint Investment Company is 1.5 billion rupees. The Royal Brunei Airline has been considering three different routes to Gulf region via Karachi under fifth and sixth Freedom, in which profits could be shared on passengers carried to or from Pakistan to onward destinations, in mutually agreed percentage. The Prime Minister of Pakistan in October 2006 approved three weekly frequencies to Brunei with fifth Freedom Traffic Rights up-to Dubai only. The RBA is yet to start flights between Karachi and Bandar Seri Begawan. Defence Cooperation The inaugural meeting of the Brunei Darussalam-Islamic Republic of Pakistan Joint Working Committee on Defence Cooperation (JWCDC) was held in Brunei on 11-12 December 2006. Pakistan Army is working on the modalities, terms of reference and conditions for employment of a battalion size force for protection of Key Point Installations in Brunei Darussalam. Admiral Afzal Tahir, Chief of the Naval Staff, visited Brunei on 9-10 May 2007. Pakistan Navy also sent its two ships on a goodwill-cum-training cruise 44 Foreign Office Year Book 2006-07 to the Far-East countries which also included a three-day stay in Brunei, in June 2007. Health Sector The Minister of Health of Brunei Darussalam visited Pakistan from 3-7 July 2006. During the bilateral talks with his counterpart many areas were identified for mutual cooperation. In this regard exchange of specialists/consultants in the Cardiac Surgery through Fellowship and Sabbatical programme came to the fore. Pakistan has shown willingness to help in setting up rehabilitative services in Brunei. Brunei on her part has shown its willingness in setting up a Bio-safety Level 3 Laboratory and also to share with Pakistan, their eradication and surveillance programme to achieve polio free status. Brunei has been declared polio free since October 2000. An agreement in the Health Sector is under consideration of the two countries. ---------------------------------------------------------------------------------------------- CAMBODIA Cambodia is one of the less developed in Southeast Asian countries. The total population is about 13.12 million. Literacy rate is estimated at 70% of country‟s adult population. Khmer or Cambodian is the official language but French and English are also spoken and understood. Pakistan attaches great importance to its relations with ASEAN countries in consonance with its East-Asia Vision. In order to demonstrate our substantive engagement with ASEAN member states, particularly less developed ones, the Prime Minister of Pakistan approved a soft loan of US $ 10 million for construction of a water reservoir in Cambodia. Secretary Commerce, Syed Asif Shah, accompanied by a representative of Export Promotion Bureau and two businessmen, paid a visit to Cambodia from 8-10 September 2006. Trade Pakistan-Cambodia trade in 2005-06 was US $ 13.535 million including US $ 12.976 million exports from Pakistan and US $ 0.559 million imports from Cambodia. Pakistan mainly exports cotton fabrics, hides and furs, cotton yarn and synthetic fabrics. Main imports from Cambodia include synthetics, chemical material and products, medicinal and pharmaceutical products. ------------------------------------------------------------------------------ 45 Foreign Office Year Book 2006-07 INDONESIA Bilateral relations between Pakistan and Indonesia are warm and friendly. The foundations of close relations were laid by the leaders of the two countries at the time of independence of Indonesia. President General Pervez Musharraf visited Indonesia on 31 January 2007 for exchange of views on the way forward to the situation in the Middle East. The first meeting of Pak-Indonesia Policy Planning Consultative meeting was held at the Indonesian Foreign Office on 14 December 2006. The Indonesian delegation was led by Mr. Soeprapto Martosetomo, Acting Head of Policy Analysis and Development Agency, whereas the Pakistan delegation was headed by Mr. Mohammad Akhtar Tufail, Additional Secretary, Ministry of Foreign Affairs. The two sides held in-depth consultations and exchanged views on international issues, regional situations in Southeast Asia and South Asia, issues of terrorism and non-proliferation, situation in the Middle East, SAARC and ASEAN and North Korea‟s nuclear issue. Trade The total volume of trade between Indonesia and Pakistan during 2005-06 was US $ 534.358 million. Pakistan‟s imports were US $ 496.90 million and exports US $ 37.45 million. Thus there was a trade deficit of US $ 458.47 million. This was mainly due to heavy import of palm oil. The trade figures during July 2006 – March 2007 (nine months) recorded at US $ 680 million, the balance being in Indonesia‟s favor by US $ 578.6 million. ---------------------------------------------------------------------------- JAPAN Pakistan enjoys cordial and close cooperative relations with Japan. We share the same vision of peace, stability, progress and prosperity at the global and regional levels. Japan is among the top ten trading partners of Pakistan. Visits Minister for Tourism Ms. Nilofer Bakhtiar represented Pakistan at the JOTA Fair, held in Tokyo in September 2006. Vice Chief of Army Staff General Ahsan Saleem Hayat paid a visit to Japan on 4-9 December 2006. A delegation of the Japanese Communist Party headed by Mr. Kazuo Shii, Chairman of the Executive Committee of the Party, visited Pakistan on 18-21 September 2006. 46 Foreign Office Year Book 2006-07 Trade and Commerce On 15 December 2006, Pakistan‟s Economic Affairs Division and the Japan Bank of International Cooperation (JBIC) signed an agreement for a soft loan of Yen 23.157 billion (US $ 207 million) to be provided by Japan for two projects: Indus Highway Construction Project (Phase III); and Dadu-Khuzdar Transmission System Project, under the Japanese Official Development Assistance (ODA). Major assistance of this soft loan was provided for the Indus Highway Construction Project (Phase III), with an amount of 19.455 billion Yen (US $ 174 million), while 3.702 billion Yen (US $ 33 million) were allocated for Dadu-Khuzdar Transmission System Project. Bilateral trade between the two countries amounted to US $ 1.5 billion (approx). Our exports to Japan were US $ 157.5 million, while imports stood at US $ 1.3 billion. Talks for revision of the “Avoidance of Double Taxation Agreement” were held in Tokyo from 27 February to 1 March 2007 and in Islamabad on 15-17 May 2007. After successful negotiations, the revised “Avoidance of Double Taxation Treaty” was signed at the end of the second round of talks. The treaty is expected to come into force in 2008. A dialogue between the Japan-Pakistan Business Forum (JPBF) and the visiting delegation of the Japan-Pakistan Business Cooperation Committee (JPBCC) took place in Karachi on 22 January 2007. The dialogue emphasized on the need for more technical training, more investment in physical infrastructure and utilizing Pakistan‟s manpower and strategic location for export to Africa, Middle East and CIS countries. A delegation of the PJBF and the JPBCC met the Prime Minister in Islamabad and participated in a conference on 24 January 2007 involving the public sector. The conference was chaired by the Commerce Minister. Security and Counter-terrorism The Second Round of Pak-Japan Security Dialogue was held in Tokyo on 14 September 2006. The two sides had an in-depth discussion on a number of issues of international and mutual concern, relating to security environment and security policies of the two countries, counter-terrorism, disarmament and non-proliferation issues, regional cooperation in the context of the ASEAN Regional Forum and SAARC. The first meeting of the CounterTerrorism Forum was held on 5 April 2007 in Islamabad. The Japanese side was led by Ambassador in charge of Counter Terrorism Cooperation while from Pakistan Additional Secretary (UN & EC) led the talks. The two sides agreed to enhance cooperation in counter-terrorism efforts. It was also agreed to cooperate in capacity building to bolster efforts in counterterrorism. The first round of disarmament and proliferation talks was held in Tokyo on 6 July 2006. During the talks, both sides discussed issues of mutual interest. ----------------------------------------------------------------------------- 47 Foreign Office Year Book 2006-07 LAO PDR Lao PDR is another less developed country of the region. Pakistan and Lao PDR enjoy friendly relations. Lao PDR became a member of ASEAN in 1997. Pakistan‟s relations with the East Asian countries, especially with ASEAN, is an important element of our approach and policy towards these countries. The Prime Minister of Pakistan also approved a soft loan of US $ 10 million for Lao PDR. Mr. Muhammad Akhtar Tufail, Additional Foreign Secretary, Ministry of Foreign Affairs visited Lao PDR in February 2007 and held a meeting with Vice Minister of Foreign Affairs of Lao PDR, H.E. Mr. Phongsavath Boupha to discuss issues of mutual interest. ------------------------------------------------------------------------------ MALAYSIA Pakistan‟s relations with Malaysia are close and friendly. Malaysia has rendered valuable support to Pakistan‟s bid for Full Dialogue Partnership of ASEAN and its membership of ARF, ACD and ASEM. Visits Prime Minister Badawi visited Pakistan in November 2006. President General Pervez Musharraf visited Malaysia on 30 January 2007 for exchange of views on the way forward to the situation in the Middle East. Prime Minister Shaukat Aziz attended the Summit Level Meeting of the Extended Executive Committee of OIC, on the Lebanese crisis, held in Putrajaya, on 3 August 2006. Trade Pakistan‟s total trade with Malaysia in 2005-06 was US $ 522.87 million. Pakistan‟s exports to Malaysia were US $ 40.66 million, while imports amounted to US $ 482.21 million, leaving a deficit of US $ 441.55 million. Deficit is on account of large-scale import of palm oil from Malaysia. The trade figures during July 2006 – March 2007 (nine months) recorded at US $ 732.9 million, the balance being in favour of Malaysia by US $ 630.1 million. Under Pakistan Technical Assistance Programme (PTAP), 9 seats in the facilities of medical and engineering and 6 short-term courses in Banking and Railways are offered to Malaysia, annually. Under their Technical Cooperation Programme (MTCP), Malaysia provides training/fellowships facilities to Pakistan every year in the areas including Medicine, Economic Planning, Management and Agriculture. 48 Foreign Office Year Book 2006-07 MYANMAR Pakistan maintains cordial relations with Myanmar. Visits Myanmar‟s Deputy Foreign Minister Mr. U Kyaw Thu paid a visit to Pakistan from 20-23 December 2006. During bilateral talks, both the sides agreed to have regular political consultations. On the invitation of the Minister for Religious Affairs, a delegation of Monks from Myanmar paid the first ever visit to Pakistan from 9-18 August 2006. The visit established an important linkage between Pakistan and Myanmar. Trade The volume of trade between Myanmar and Pakistan during 2005-2006 was US $ 26.62 million. Pakistan imported goods worth US $ 24.86 million and exported goods worth US $ 1.7 million; with a trade deficit of US $ 23.16 million. The trade figures during July 2006 – March 2007 (nine months) recorded at US $ 46 million, the balance being in Myanmar‟s favor by US $ 42.2 million. ------------------------------------------------------------------------------ NEW ZEALAND Pakistan and New Zealand enjoy cordial and friendly relations. In the wake of growing potential of Pacific to become world‟s future economic hub, Pakistan has initiated a concerted drive to strengthen bilateral relations further. Visits The Foreign Ministries of Pakistan and New Zealand held their first ever bilateral consultations in Islamabad in September 2006. Bilateral trade, education, agriculture and dairy sectors were identified as priority areas for mutual cooperation. Mr. Phil Goff, New Zealand‟ Minister of Trade, Defence and Disarmament, visited Pakistan in April 2007 to participate in the Cairns Group meeting. Opening of Pakistan High Commission President General Pervez Musharraf during his visit to New Zealand in 2005 had announced the establishment of a diplomatic mission in Wellington. Subsequently, in July 2006 Pakistan‟s High Commission was established with appointment of Mr. Munawar Saeed Bhatti as the first High Commissioner. 49 Foreign Office Year Book 2006-07 Trade and Technical Assistance Bilateral trade between the two countries has recorded upward trend. The total volume of trade in 2005-2006 was US $ 79.89 million, which reflects an increase of US $ 22.43 over the trade figures of 2004-2005. Pakistan had a favourable balance of trade with US $ 5.53 million surplus. During 2006-07, forty PhD students from Pakistan joined New Zealand universities under Higher Education Commission‟s (HEC) scholarship programme. HEC plans to continue this policy for the next four years. Under New Zealand‟s technical assistance programme, we intend to explore the modalities of establishing primary and technical education centres, increased market access for our products and to attract New Zealand Foreign Direct Investment (FDI) in dairy and agriculture sectors. ------------------------------------------------------------------------------------ PHILIPPINES Relations between Pakistan and the Philippines have been traditionally cordial marked with friendship and understanding. There has been a steady growth in bilateral trade. The economies of the two countries are complementary having potential for expansion of trade. Visits/Meetings On the sidelines of the Boao Forum for Asia Annual Conference 2007, held at Boao on 21-22 April 2007 in China, Prime Minister Shaukat Aziz had a bilateral meeting with Gloria Arroyo, President of the Philippines. The Prime Minister conveyed Pakistan‟s support to the Philippines for observer status at the OIC. The Philippines President agreed to his country‟s support of Pakistan‟s status as a Full Dialogue Partner of the ASEAN. A three-member delegation from the Philippines, visited Pakistan for participation in the inaugural ceremony of “2007-Visit Pakistan Year” on 13 December 2006. A four-member media team comprising of senior journalists from the Philippines visited Pakistan from 6-14 November 2006 at the invitation of the Institute of Strategic Studies, Islamabad. An eleven-member delegation from Pakistan Administrative Staff College visited Manila on study tour from 8-22 November 2006. The delegation had briefings in the Department of Foreign Affairs, National Economic Development Authority, Development Academy of the Philippines, Civil Service Commission and Colombo Plan Staff College. The House of Representatives of the Philippines sent two senior officials, Atty. Cesar S. Pareja and Mr. Rustico R. Agawin to Pakistan in December 2006 to study Pakistan‟s system of government. Both officials are involved in preparation of a study for the reform of the Philippines legislative system. 50 Foreign Office Year Book 2006-07 Trade The total volume of trade between the Philippines and Pakistan during 200506 was US $ 51.41 million. Pakistan‟s imports were US $ 16.45 million and exports US $ 34.96 million, a trade surplus of US $ 18.51 million. The trade figures during July 2006 – March 2007 (nine months) recorded at US $ 54.2 million, the balance being in Pakistan‟s favor by US $ 8 million. --------------------------------------------------------------------------------- REPUBLIC OF KOREA Diplomatic relations were established with the Republic of Korea (RoK) in November 1983. Ever-since, bilateral relations have been cordial and multifaceted. Visits Pakistan‟s Minister for Railways visited Republic of Korea from 9-11 November 2006. Secretary for Labour, Manpower & Overseas Pakistanis participated in the ILO Asia Regional meeting in Seoul from 29 August - 18 September 2006; A Korean Parliamentary delegation visited Pakistan in February 2007 to participate in APPCED. A 29-member South Korean cultural troupe “Hanbitt Yemoodan” visited Pakistan in February 2007 and performed in Lahore and Karachi. Commerce and Trade Pakistan-Republic of Korea trade crossed US $ one billion mark for the first time during 2006. Latest available bilateral trade figures are given below: (Unit: US $ million) % Change + 8% + 1.7% Pakistan‟s exports RoK exports 2005 315.591 661.876 2006 340.925 673.153 On 26 June 2006, Pakistan and RoK signed an MoU on export of work force to RoK under their Employment Permit Scheme. Under the Scheme, RoK will allow additional work force from Pakistan during 2007. Cooperation in Education The Higher Education Commission (HEC) is negotiating the establishment of a University of Engineering, Science and Technology Pakistan (UESTP) with the South Korean Ministry of Education and Human Resource Development and Ministry of Science and Technology. The UESTP is proposed to be established in Karachi involving a consortium of leading South Korean Universities. 51 Foreign Office Year Book 2006-07 Appointment of Ambassador Mr. Masood Khalid, Ambassador of Pakistan to Republic of Korea, completed his term and was succeeded by Mr. Murad Ali as Ambassador in June 2007. ---------------------------------------------------------------------- SINGAPORE Pakistan and Singapore enjoy friendly bilateral relations. Singapore supported Pakistan to acquire membership of the Asia Europe Meeting (ASEM) in September 2006. Trade and Investment The total volume of trade between Singapore and Pakistan during 2005-2006 was US $ 303.76 million. Pakistan‟s imports were US $ 282.34 million and exports US $ 21.42 million, with a trade deficit of US $ 260.9 million. The trade figures during July 2006 – March 2007 (nine months) recorded at US $ 414.3 million, the balance being in Singapore‟s favor by US $ 311.9 million. Asia Financial Holdings (AFH), a subsidiary of Temasek in July 2006, bought 11.5 per cent stake in Standard Chartered, which in 2005 bought Union Bank in Pakistan. Temasek on 30 June 2007 formalized buying stakes worth US $ 300 million (which amounts to 56 % of the total shares) in PICIC Bank through Asia Financial Holdings. The signing ceremony was held in Islamabad in the presence of Madam Ho Ching, CEO, Temasek Investments. She also called on the President and the Prime Minister. The Gwader Port management contract has also been awarded to Port Singapore Authority for forty years. Counter Terrorism Pakistan and Singapore have institutionalized cooperation in the campaign against terrorism. The two countries signed an MoU on „Combating Terrorism and other Transnational Crimes‟ in June 2005. The first meeting of Focal Points under the MoU on “Combating Terrorism and other Transnational Crimes” was held in Singapore on 10-11 May 2007. General Ehsan ul Haq, Chairman, Joint Chiefs of Staff Committee attended Shangri-La Dialogue in June 2007. He spoke on „Successes in Combating Terrorism‟. ----------------------------------------------------------------------------------- 52 Foreign Office Year Book 2006-07 THAILAND Pakistan and Thailand enjoy friendly relations. Thailand supported Pakistan‟s efforts to become a member of Asia-Europe Meeting. Pakistan was admitted into the ASEM process at its Summit at Helsinki in September 2006. Visits Pak-Thai relations have received a boost in recent years due to frequent exchange of high-level visits. Prime Minister Shaukat Aziz stopped over in Thailand on his way back from Malaysia in August 2006, where he attended an OIC summit. During the stop-over, the Prime Minister discussed with his counterpart the bilateral relations with special reference to trade, economy, investment and tourism expansion. Pakistan and Thailand agreed to work on Free Trade Agreement (FTA) to boost bilateral trade and economic relations. General Sonthi Boonyaratglin, Commander-in-Chief of the Thai Army visited Pakistan for three days to attend IDEAS-2006 in November 2006, and held meetings with President Pervez Musharraf, Prime Minister Shaukat Aziz and Chairman JCSC General Ehsan-ul-Haq. General Sonthi Boonyaratglin, presented a cheque of US $ 300,000 for earthquake affectees. The Deputy Foreign Minister of Thailand, Mr. Sawanit Kongsiri visited Pakistan on 4-5 April 2007 for bilateral political consultations. The Foreign Minister of th Thailand visited Pakistan on 15-17 May 2007 to attend the 34 ICFM. The Thai Commerce Minister, Mr. Krirk Krai Jirapaet visited Pakistan on 16-17 April 2007 to attend the „Cairns Group Meeting‟. Two MoUs were signed during the visit. Commerce and Trade Talks for bilateral Air Services Agreement between Pakistan and Thailand were held on 14-15 November 2006 in the Ministry of Defence, Rawalpindi. The talks resulted into signing of an MoU, which entitles the designated airlines of either side to commence 18 weekly frequencies to/from each other‟s territory, subject to entering into „code share arrangement‟ between PIA and Thai Airways. The Thai Airways at the moment is operating 12 weekly frequencies, while PIA is operating 2 weekly frequencies between the two countries. The Second Joint Committee Meeting on Defence Cooperation between Pakistan and Thailand was held in Thailand from 28 August to 1 September 2006. The total volume of trade between Thailand and Pakistan during 2005-2006 was US $ 456.76 million. Pakistan‟s imports were US $ 409.36 million and exports US $ 47.40 million, with a trade deficit of US $ 361.96 million. The trade figures during July 2006 – March 2007 (nine months) recorded at US $ 494.1 million, the balance being in Thailand‟s favor by US $ 385.9 million. 53 Foreign Office Year Book 2006-07 During the visit of the Deputy Foreign Minister of Thailand on 4-5 April 2007, both the sides agreed to the formation of a Joint Business Forum. ----------------------------------------------------------------------------------- VIETNAM Pakistan attaches importance to its relations with Vietnam in the context of our “Vision East-Asia”. Pakistan was one of the first few countries which established diplomatic relations with the Socialist Republic of Vietnam in November 1972. Bilateral relations with the Socialist Republic of Vietnam are growing steadily. In recent years, Vietnam extended valuable support to Pakistan in International Organizations like ASEAN, ARF, APEC and ASEM. Pakistan supports Vietnam for its first ever election to the United Nations Security Council in the non-permanent category for the term 2007-2008. Visits Mr. Muhammad Akram Malik, Secretary Economic Affairs Division paid a visit to Vietnam in February 2007. Earlier, Secretary Commerce along with his delegation visited Hanoi in September 2006. A number of trade delegations have also been exchanged. Mr. Muhammad Akhtar Tufail, Additional Foreign Secretary, Ministry of Foreign Affairs visited Vietnam in January 2007. During the visit, he called on H.E Mr. Pham Gia Khiem, Deputy Prime Minister and Minister of Foreign Affairs. Mr. Tufail signed the “Visa Abolition Agreement on Diplomatic and Official Passports” with Vietnam. He also held a meeting with Mr. Lu Cong Phung, Standing Deputy Foreign Minister and exchanged bilateral views. Vietnamese Vice Minister of Agriculture, along with his delegation, visited Pakistan in June 2006. Vice Minister of Trade, with his 28-member delegation, visited Pakistan in November 2006. Trade Pakistan and Vietnam have immense opportunity in the field of trade and economic cooperation. The two-way trade was only US $ 14 million in 2000 which crossed US $ 75 million mark in 2005 and reached over US $ 100 million by the end of 2006. Pakistan imports from Vietnam rubber, tea, cashew nuts, pepper, chemical products, machineries and coal. Pakistan exports to Vietnam products from crude oil, raw materials for leather, textile, cotton, fiber, medicine, cloth, animal feed and materials for production. ************************************************************* 54 Foreign Office Year Book 2006-07 III. AFRICA T he African continent, comprising 53 countries, holds special significance for Pakistan, both in the political and economic contexts. Our relations with several African countries can be traced to the times of their independence movements when Pakistan provided them with moral, material and diplomatic support. Pakistan maintains 12 resident missions in major African countries, while 11 African states have diplomatic presence in Islamabad. Pakistan‟s Technical Assistance Programme (STAP) for African countries, established in 1987, which covers diverse fields like public administration, diplomacy, industry, agriculture, banking and human resource management, is an effective tool of consolidating our bilateral relations with the beneficiary countries. Under the STAP, fully-funded training programmes have so far been provided to nominees of 47 African countries. The Foreign Service Academy of Pakistan remains the lead institution, having trained diplomats in specialized diplomatic courses from nearly all English speaking African countries. In order to broaden and strengthen economic and trade relations with Africa, Pakistan has set up Joint Ministerial Commissions (JMCs) with several African states. Following are the highlights of Pakistan‟s engagements with various African countries during the year under review: ALGERIA At the invitation of the Chairman of Senate, Mr. Abdelkader Bensalah, President of Algerian Council of the Nation (Senate) led a delegation of senators and senior officials of the Algerian Senate to Pakistan from 18-22 June 2007. They called on the President and the Prime Minister, and also exchanged views on issues of mutual interest with the Chairman, Senate and the Speaker of the National Assembly. ---------------------------------------------------------------------------- KENYA Pakistan and Kenya held a comprehensive round of political consultations in Islamabad in June 2007, where all aspects of bilateral relations came under discussion. The Kenyan delegation was led by the Permanent Secretary of the Ministry of Foreign Affairs and the Pakistan side was headed by the Foreign Secretary. The two sides agreed that there was a need to increase bilateral interaction through high-level ministerial and working level visits to further strengthen relations. The Pakistan side agreed to favorably look into the Kenyan request for increase of seats reserved for Kenyan students in Pakistani professional educational institutions, and to extend support in 55 Foreign Office Year Book 2006-07 setting up Kenya‟s diplomatic training academy. The two Foreign Secretaries also agreed in principle to conclude a Memorandum of Understanding for the establishment of political consultations mechanism between the Foreign Ministries of Pakistan and Kenya. In November 2006, Pakistan donated 1000 MT rice to Kenya to help alleviate the sufferings in the drought-stricken areas of the country. During the last quarter of 2006, the Kenyan government awarded a contract to NADRA for issuance of computerized passports. A 2-member Pakistani delegation visited Nairobi in October 2006 to muster support for Pakistan‟s candidature for the International Telecommunication Union Council and to the Radio Regulation Board. The Minister for Environment visited Nairobi in February 2007 to participate in the Governing Council/Global Environment Ministerial Forum of the UNEP. ----------------------------------------------------------------------- LIBYA The Minister of State for Railways visited Tripoli in July 2006 to discuss bilateral cooperation in the railways sector. In October, the Federal Minister for Labour, Manpower and Overseas Pakistanis visited Libya to explore avenues to increase export of Pakistani manpower to Libya. The Minister of State for Commerce visited Tripoli in January 2007 to attend the Single Country Exhibition of Pakistani products, organized by the Trade Development Authority of Pakistan. ---------------------------------------------------------------------------- MAURITIUS The fourth and fifth rounds of the Joint Working Group on Trade, Investment and Economic Cooperation between Pakistan and Mauritius were held in Port Louis in August 2006, and in Islamabad in January 2007 respectively. At the fifth session, the two sides proceeded to finalize the various issues relating to the Preferential Trade Agreement, modify the list of products on which immediate preferences would be given and the Rules of Origin. The JWG also reviewed and finalized some MoUs covering various areas of bilateral cooperation. The talks further decided to sign the bilateral free trade agreement in July 2007. Another delegation led by the Solicitor General of Mauritius visited Pakistan in April 2007 for discussions on an Air Services Agreement between the two countries. The talks led to the signing of an MoU which entitles the designated airlines of each side to commence a total of four weekly rd th frequencies with 3 and 4 traffic rights. The MoU also allows the Mauritian national carrier to operate to and from Gwadar, as well Open Sky for cargo operations. 56 Foreign Office Year Book 2006-07 MOROCCO The Foreign Secretary of the Kingdom of Morocco visited Pakistan in December 2006 and held wide ranging talks with his counterpart. From the Pakistan side, Minister for Environment visited Morocco in February 2007 and attended the meeting of the Friends of the United Nations Organization for Environment (UNEO), which discussed the implementation of an earlier signed agreement for cooperation in the field of environment. The Minister of State for Commerce inaugurated the Pakistan Single Country Exhibition in Casablanca in April 2007. The exhibition was arranged by the Trade Development Authority of Pakistan (TDAP). A Tri-Services delegation of Morocco visited Pakistan in April 2007 to exchange views on bilateral defence cooperation. The delegation also visited the Pakistan Ordnance Factories Wah and the Pakistan Aeronatical Complex Kamra. ------------------------------------------------------------------------ SOUTH AFRICA Pakistan enjoys close and friendly cooperation with South Africa and has institutionalized annual bilateral consultations to further strengthen political and economic relations. The inaugural session of the Pakistan - South Africa Joint Commission (JC), led by the Foreign Secretaries on both sides, was held in Islamabad in March 2007. The two Foreign Secretaries deliberated on a broad range of bilateral, as well as regional and international issues of concern and interest to the two countries. Separate working groups in the economic, technical and defence areas also held discussions in the framework of JMC to intensify bilateral cooperation. At the invitation of our Defence Minister, the Deputy Defence Minister of South Africa led a delegation of senior officials and defence personnel to Pakistan in April 2007. During his stay in Pakistan, apart from holding talks with the Defence Minister, the South African Deputy Defence Minister called on the Prime Minister and Chiefs of the Air and Naval Staff. The Chief of Air Staff paid an official visit to South Africa in May 2007 and signed a cooperation arrangement between the Air Forces of the two countries. The heads of South African Defence Forces and Navy also visited Pakistan in April and May 2007 respectively, to hold talks with their Pakistani counterparts. Pakistan‟s naval vessels, PNS Badr and PNS Nasr paid friendly calls on various South African ports in July 2006. ----------------------------------------------------------------------- SUDAN The Governor of Khartoum undertook a week-long tour of Pakistan in January 2007. During the visit, he called on Federal Ministers of Interior and Labour as well as Chairman, Joint Chiefs of Staff Committee. He also met 57 Foreign Office Year Book 2006-07 the Governor of Sindh and the Secretary of the Trade Development Authority of Pakistan. At the invitation of the Federal Minister for Culture, the Minister of Culture of Sudan paid an official visit to Pakistan in June 2007. During his stay in Islamabad, he called on the Prime Minister and signed a 3-year cultural exchange program and an MoU in the field of sports with his Pakistani counterpart. ************************************************************* 58 Foreign Office Year Book 2006-07 IV. MIDDLE EAST GENERAL akistan‟s relations with the Middle Eastern countries are deeply rooted on sound bases of religious and cultural affinities, geographical proximity and shared historical experiences. These brotherly relations are excellent at all levels and in various fields and are manifested by identity of views, not only at bilateral plane but at regional and international fora as well. P These ties continued to strengthen in 2006-07 and exhibited by exchange of high level visits, signing of various agreements, and through meetings of various bilateral fora. There had been ten head of state and government level visits from Pakistan during the period under report, while three such visits took place from the Middle Eastern region. Twenty agreements/memoranda of understanding/ programmes/ protocols were signed between Pakistan and some countries of the region. Pakistan‟s trade with the Middle Eastern countries stood at $ 10.4 billion in 2005-06, as compared to that of $ 5.8 billion in 2004-05. Similarly our exports also rose to $ 2 billion in 2005-06 from $ 1.2 billion in 2004-05. President General Pervez Musharraf visited five Arab states i.e. Saudi Arabia, Egypt, Jordan, UAE and Syria, and four non-Arab countries i.e. Malaysia, Indonesia, Iran and Turkey in early 2007 for consultations with the leadership of those countries on his proposal to launch a new initiative to address the issues in the Middle East. The visits were followed by the meeting of the Foreign Ministers of Egypt, Indonesia, Jordan, Malaysia, Saudi Arabia, Turkey and Pakistan and the Secretary General of the OIC in Islamabad on 25 February 2007. The participants expressed deep concern on the Palestinian issue, the Iraqi and Lebanese crises, the rising tensions between Iran and the US, the problems of extremism and terrorism and the ongoing campaign to malign Islam. President Musharraf attended the 19 Arab League Summit, held at Riyadh in March 2007 at the Saudi King‟s invitation, which was linked to the President‟s Middle East Initiative. It was the first ever invitation to a Pakistani leader to address the Arab League summit. In his address the President, highlighting the collective concerns, interests and aspirations of the Muslim Ummah, pointed out the need for a collective response to the common challenges. He also stressed the need for countering campaigns in the West to defame Islam. On his Middle East initiative, which had led to the seven Muslim countries‟ Foreign Ministers‟ meeting in Islamabad, the President stressed that the effort, which was th 59 Foreign Office Year Book 2006-07 supportive of other endeavours, was aimed at evolving a mechanism to facilitate solution to the problems. A country wise account of Pakistan‟s relations with the Middle Eastern countries follows:------------------------------------------------------------------------------------- BAHRAIN Visits His Highness Sheikh Salman Bin Hamad Al-Khalifa, the Crown Prince and Commander-in-Chief of the Bahrain Defence Force visited Pakistan on 20-22 December 2006. During the visit, he inter alia inaugurated the Bahrain Embassy in Islamabad. Maj. Gen. Mohammad Bin Isa Bin Salman Al Khalifa, Commander Bahrain National Guards visited Pakistan in May 2007. Chairman, Joint Chiefs of Staff Committee (JCSC), General Ehsan ul Haq visited Bahrain in December 2006. Trade Bilateral trade during the period 2005-06 stood at $ 99.7 million with our exports and imports being $ 45.8 million and $ 53.9 million respectively. The balance of trade of $ 8.1 million was in favour of Bahrain. Foreign Direct Investments from Bahrain were to the tune of $ 21 million during 2005-06. ------------------------------------------------------------------------------------- EGYPT Visits The Foreign Minister of Egypt visited Pakistan twice during the period under report in December 2006 and in February 2007, followed by one by Dr. Ashraf Mohsin, Deputy Assistant Foreign Minister in May 2007. The 3 Political Consultative meeting under an MoU of 2001 was held in Islamabad in August 2006. A six-member Egyptian media delegation visited Pakistan in May 2007 and met a cross section of intelligentia and officials including the Foreign Minister. Trade and Commerce Pakistan‟s trade with Egypt stood at $ 183 million in 2005-06, with our exports and imports being $ 61.4 million, and 121.6 million respectively. The Foreign Direct Investments from Egypt stood at $ 3 million. rd 60 Foreign Office Year Book 2006-07 The 2 session of the Joint Ministerial Commission (JMC), co-chaired by the Foreign Ministers of the two countries was held in Islamabad in December 2006. Four agreements/MoUs were signed during this JMC meeting. ------------------------------------------------------------------------------------nd JORDAN Visits King Abdullah-II visited Islamabad in August 2006 for consultations with the President. Brigadier General HRH Princess Aisha Bint Al Hussein, real sister of King Abdullah of Jordan visited Pakistan to attend the Land Forces Symposium, held in Islamabad on 10-13 April 2007. The Prime Minister visited Amman in May 2007 to participate in the World Economic Forum and G-11 summit. During the visit a Memorandum of Understanding on Pakistan – Jordan Strategic Dialogue was signed by the Prime Ministers of the two countries. Mr. Ghulam Sarwar Khan, Minister for Labour, Manpower and Overseas Pakistanis visited Jordan to attend the International Seminar on Women Migrant Workers, Human Trafficking and Labour Reforms, held on 27-28 March 2007. During the visit he also called on his Jordanian counterpart, Mr. Bassem Khalil Al Salem, and discussed export of manpower and problems being faced by Pakistani farmers in Jordan. For the services rendered by Prince Rashid El-Hassan, Head of the Royal Hashemite Charity, for the relief operations after the earthquake of October 2005, the President awarded him Sitara-e-Esar in February 2007. Trade Pakistan‟s trade with Jordan stood at $ 49.9 million in 2005-06, with our exports and imports being $ 21.2 million, and $ 28.7 million respectively. The balance of trade was in favour of Jordan. ----------------------------------------------------------------------------------------- IRAQ Pakistan supported the objectives of the UN Conference on Iraqi refugees and Internally Displaced Persons inside Iraq, held at Geneva on 17-18 April 2007. The Conference aimed at sensitizing the international community to the immediate and foreseeable humanitarian needs of the refugees in neighbouring countries. Pakistan believes that the disproportionate strain placed on Jordan and Syria by the influx of hundreds of thousands of refugees needs recognition and support, particularly financial and through possibilities of resettlement outside the region. The Iraqi government itself faces the massive responsibility of the internally displaced. It is only through 61 Foreign Office Year Book 2006-07 coordinated efforts of the UN and other international organizations that the humanitarian situation can be improved within and outside Iraq. Pakistan participated at the Ambassadorial level in the key international conference on Iraq security that was held on 3 May 2007 at Sharm el-Sheikh, Egypt. It was attended by more than 50 countries and adopted a five-year International Compact for Iraq. The main aim of the International Compact is to rebuild a unified, democratic and federal Iraq. Trade Pakistan‟s trade with Iraq stood at $ 25.9 million in 2005-06, with our exports and imports being $ 24.1 million, and $ 1.7 million respectively. The balance of trade amounting to $ 22.4 million was in Pakistan‟s favour. ----------------------------------------------------------------------------------- KUWAIT Investments and Joint Ventures The Karachi-based Pakistan-Kuwait Investment Company Private Limited is a joint venture and operates Al-Meezan Investment Bank, while the Kuwait Investment Authority has 100 percent ownership of the Sheraton Hotel in Karachi. Kuwait‟s state-owned Petroleum Corp. (KPC), in collaboration with Premier Oil, has recently established an exploration company, PremierKUFPEC-Pakistan (PKP). The Kuwait Fund for Arab Economic Development (KFAED) has provided assistance worth US $ 208.95 million for ten projects, which have been completed. KFAED has also approved a $ 33 million funding for the Lyari Express Way. The seven projects being financed in Pakistan by the Fund are valued at US$ 245 million. Trade Bilateral trade during the period 2005-06 stood at $ 1.7 billion with our exports and imports being $ 72.6 million and $ 1.7 billion respectively. The balance of trade was in favour of Kuwait. Foreign Direct Investments from Kuwait were to the tune of $ 18 million during the same period. ----------------------------------------------------------------------------------------- LEBANON Pakistan condemned the flagrant violation of Lebanese territory by Israeli forces that resulted in huge loss of innocent lives, displacement of nearly a quarter of the population, and large scale destruction in Lebanon in July 2006. The Lebanese Prime Minister remained in touch with Pakistan‟s leadership throughout the period of Israeli bombardment of civilian population 62 Foreign Office Year Book 2006-07 in the Southern Lebanon, and Pakistan displayed complete solidarity with its Lebanese brethren. Prime Minister Shaukat Aziz personally went to Beirut on 4 September 2006 to express solidarity with the Lebanese people. Pakistan stressed the need for dialogue among all political forces in Lebanon for early normalization of the situation. On the diplomatic front, Prime Minister Shaukat Aziz participated in the OIC summit in Putrajaya (3 August 2006) and Foreign Minister Kasuri visited Beirut as part of the OIC Contact Group. The Government of Pakistan donated seven C-130 plane-loads of humanitarian assistance for the war affected and Internally Displaced Persons in Lebanon. The total relief assistance consisted of 27 metric tons of food items, 24 metric tons of medicines, 310 tents and 2100 blankets. Trade Pakistan‟s trade with Lebanon stood at $ 35.4 million in 2005-06, with our exports and imports being $ 20.3 million, and 15.1 million respectively. The balance of trade amounting to $ 5.2 million was in Pakistan‟s favour. ----------------------------------------------------------------------------------------- OMAN Visits The Foreign Minister of Pakistan visited Oman on 1-3 December 2006, and inter-alia, he inaugurated the new Pakistan Embassy Complex. An 11-member delegation, comprising important Omani traders, investors, and businessmen, headed by the President of Omani Chamber of Commerce and Industry, H.E Engr Salim Bin Said Al Ghattami visited Pakistan from 16-20 April 2007. The delegation held in-depth discussions with senior officials of the State Bank of Pakistan, Trade Development Authority of Pakistan Pak-Oman Investment Company and the Federation of Pakistan Chambers of Commerce and Industry. Trade and Commerce Bilateral trade during the period 2005-06 stood at $ 126 million with our exports and imports being $ 55.8 million and $ 70.2 million respectively. Unlike the previous years the balance of trade of $ 14.4 million was in favour of Oman. Foreign Direct Investments from Oman were to the tune of $ 3.5 million during the year under review. 63 Foreign Office Year Book 2006-07 Air Services Agreement Pakistan and Oman signed on MoU in March 2007, which entitles the designated airlines of either side to commence a total of 10 weekly frequencies to / from each other‟s territory. ----------------------------------------------------------------------------------------- PALESTINE Pakistan continued to highlight the Palestinian issue at various fora, including the meeting of the 7 Foreign Ministers and the OIC Secretary General, held th in Islamabad on 25 February 2007, 19 Arab League Summit at Riyadh in th March 2007, and the 34 session of the Islamic Conference of Foreign Ministers held in Islamabad on 15-17 May 2007. Pakistan supported the Makkah Agreement between Fatah and Hamas reached in February 2007. Pakistan also expressed concern at the killings of a number of innocent Palestinian civilians in indiscriminate Israeli attacks on Gaza city in May 2007, and the tragic loss of lives during the inter-factional clashes in the Palestinian areas in June 2007. Pakistan also supported the emergency government of President Mahmoud Abbas that was formed in June 2007. A permanent representatives-level meeting of the Committee on Palestine comprising Pakistan, Senegal, Malaysia, Guinea and Palestine was held at the OIC General Secretariat, Jeddah on 20 June 2007. Pakistan was represented by its Ambassador in Riyadh. The meeting supported President Mahmoud Abbas, the emergency government, and the Saudi and Egyptian efforts on reconciliation between various factions in Palestine. ----------------------------------------------------------------------------------------- QATAR Visits Qatari Finance Minister Yousef Hasan Salman paid a visit to Pakistan from 31 May – 1 June 2007. During the visit, he signed several agreements and MoUs on investment with the Government of Pakistan, worth $ 2 billion, including those regarding industrial zones and power projects in Pakistan. Trade Bilateral trade during the period 2005-06 stood at $ 529.1 million with our exports and imports being $ 42.4 million and $ 486.6 million respectively. The balance of trade of $ 444.2 million was in favour of Qatar. Foreign Direct Investments from Qatar were to the tune of $ 8.7 million during the same period. 64 Foreign Office Year Book 2006-07 SAUDI ARABIA Visits During the period under review, President General Pervez Musharraf paid two visits to Saudi Arabia i.e. in January and March 2007 respectively. The Prime Minister Shaukat Aziz also visited Saudi Arabia on 12-15 December 2006. The Foreign Minister of Saudi Arabia, HRH Prince Saud Al Faisal visited Islamabad for a special meeting of Seven Foreign Ministers in February 2007. A 12-member Saudi delegation headed by H.E Dr Nezar bin Ubaid Madani, th Minister of State for Foreign Affairs took part in the 34 Islamic Conference of Foreign Ministers, held in Islamabad on 15-17 May 2007. Trade and Commerce Bilateral trade during the period 2005-06 stood at $ 3.3 billion with our exports and imports being $ 329.3 million and $ 2.9 billion respectively. The balance of trade of $ 2.6 billion was in favour of Saudi Arabia. Foreign Direct Investments from Saudi Arabia were to the tune of $ 277.7 million during the same period. The 8 session of Pakistan-Saudi Arabia Joint Ministerial Commission (JMC) was held in Riyadh in February 2007, jointly chaired by the Commerce Ministers of the two sides. The key decision taken at the JMC meeting was on early conclusion of Free Trade Agreement (FTA) between Pakistan and GCC, to which the Saudi side promised to support. Both sides also agreed on the establishment of special economic partnership. The Pakistan side assured to provide a roadmap for the implementation of the proposal. ----------------------------------------------------------------------------------------th SYRIA Visits The Syrian Foreign Minister, H.E. Mr. Walid Al-Moualem, at the head of a four-member delegation, visited Pakistan to participate in the 34th Islamic Conference of Foreign Ministers (ICFM), held at Islamabad on 15-17 May 2007. It was followed by bilateral consultations with his Pakistani counterpart. An MoU on establishment of political consultation mechanism between the Ministries of Foreign Affairs of the two countries was signed on the occasion. The Syrian Foreign Minister also called on the President. A 9-member Syrian media delegation visited Pakistan in June 2007 and met a cross section of intelligentsia and high officials including the Foreign Secretary. 65 Foreign Office Year Book 2006-07 Trade Pakistan‟s trade with Syria stood at $ 9.6 million in 2005-06, with our exports and imports being $ 7.1 million, and $ 2.4 million respectively. The balance of trade amounting to $ 4.7 million was in favour of Pakistan. ------------------------------------------------------------------------------------- UNITED ARAB EMIRATES Visits Sheikh Mohammad Bin Zayed Al-Nayhan, the Crown Prince of Abu Dhabi paid a visit to Pakistan in January 2007. The Foreign Minister of UAE Sheikh Abdullah Bin Zayed Al Nahyan visited Islamabad in connection with the Joint Ministerial Commission meeting on 10-12 June 2007. Trade and Commerce Bilateral trade during the period 2005-06 stood at $ 4.2 billion with our exports and imports being $ 1.3 billion and $ 2.9 billion respectively. The balance of trade of $ 1.6 billion was in favour of UAE. The Foreign Direct Investments from UAE stood at $ 1.4 billion during the same period. Joint Ministerial Commission (JMC) The 9 Session of the Joint Ministerial Commission was held in Islamabad on 11-12 June 2007. Foreign Ministers of both the countries co-chaired the meeting. Five Memoranda of Understanding/ Agreements were concluded at the end of JMC which included agreements on bilateral political consultations, cooperation against terrorism and organized crime, Memorandum of Understanding on the establishment of Joint Business Council, Protocols on cooperation in the fields of media and culture. During the visit, the Foreign Minister of UAE announced the renewal of soft loan of $265 million (from Abu Dhabi Fund) for construction of dams in Pakistan. He also announced doubling UAE‟s investment in the coming years and finalise plans for the construction of an oil refinery at Khalifa Point in Gwadar at a cost of $ 6-8 billion. Over half a million Pakistanis are presently living and working in the UAE, most of them in blue collar jobs. They remitted $ 716.3 million to Pakistan in 2005-06. An MoU in the field of manpower was signed during UAE‟s Labour Minister‟s visit in December 2006. ----------------------------------------------------------------------------------------th 66 Foreign Office Year Book 2006-07 YEMEN Visits The Prime Minister visited Yemen on 10-12 December 2006. During the visit he met with the Yemeni President, Prime Minister, Minister for Industries and Commerce, and addressed Yemeni investors. The official talks focused on matters of mutual, regional and international importance. On the bilateral front, the two sides agreed to strengthen cooperation in political, diplomatic, economic, defence, security, education and social sectors. The leadership of the two countries identified new areas of cooperation including agriculture, pharmaceutical, textiles, banking and capital markets. During the visit, agreements on abolition of visa requirements for the holders of diplomatic and official passports, cooperation in the fields of higher education & scientific research, agriculture & irrigation and culture, and a Memorandum of Understanding on establishment of a Joint Business Council were signed. Trade Bilateral trade during the period stood at $ 60.2 million with our exports and imports being $ 57.5 million and $ 2.7 million respectively. The balance of trade remained in favour of Pakistan at $ 54.8 million. ************************************************************* 67 Foreign Office Year Book 2006-07 V. AMERICAS UNITED STATES OF AMERICA P akistan-U.S. relations continued to expand and broaden during 2006-07. The two countries remained closely engaged with a view to strengthening cooperation in diverse fields in pursuance of the „PakistanUnited States Strategic Partnership‟ affirmed during President George W. Bush‟s visit to Pakistan in March 2006. High-level Exchanges Regular high-level exchanges continued during this period and played an important part in deepening bilateral cooperation. President General Pervez Musharraf visited the United States in September 2006. In November 2006, Prime Minister Shaukat Aziz visited New York in the context of UN Secretary General‟s Panel on System-wide Coherence. The Chief of the Naval Staff (CNS) undertook a visit to the U.S. in January 2007. This was followed by the visit of the Chairman, Joint Chiefs of Committee (JCSC) in May 2007. Foreign Minister Khurshid M. Kasuri paid a bilateral visit to the United States in June 2007. From the U.S. side, there were frequent visits to Pakistan by senior Administration officials and Members of Congress. Vice President Dick Cheney visited Islamabad in February 2007. His visit was preceded by the visit of the newly-appointed Defence Secretary Robert Gates. The Commander USCENTCOM, Admiral William J. Fallon, visited Pakistan twice, in February and June 2007 respectively. Deputy Secretary of State John Negroponte paid a visit to Islamabad in June 2007. The Counsellor of the Department of State, Dr. Eliot A. Cohen came here in April 2007. The U.S. Trade Representative (USTR) Susan Schwab stopped over in Lahore in April 2007 and held a meeting with the Minister of Commerce. The Assistant Secretary of State for South and Central Asian Affairs, Mr. Richard Boucher, paid several visits in 2006-07 as part of regular consultations between the two countries. Several Congressional delegations comprising leading U.S. legislators also visited Pakistan. These included Senators John McCain, Evan Bayh, and Hillary Clinton; House Speaker Nancy Pelosi; and Representatives Tom Lantos, Norman Dicks, Silvestre Reyes, Nita Lowey, John F. Tierney, Ike Skelton. The discussions during these visits focused on Pakistan-U.S. relations, cooperation in counter-terrorism, regional issues, and efforts for stabilization of Afghanistan. 68 Foreign Office Year Book 2006-07 President Musharraf’s Visit President General Pervez Musharraf visited the United States from 12-27 September 2006. In the first part of the visit, the President visited New York nd and addressed the 62 session of the UN General Assembly. This was followed by a bilateral visit to United States from 16-27 September 2006. On 22 September 2006, President Musharraf held a bilateral meeting with President Bush at the White House. The two leaders reaffirmed the Strategic Partnership in pursuance of the Joint Statement of 4 March 2006 and expressed their commitment to continue efforts for broadening and deepening the relationship. The President reaffirmed Pakistan‟s resolve to fight extremism and terrorism. He also highlighted Pakistan‟s comprehensive strategy in this regard, encompassing military, political, administrative and development tracks. On 27 September 2007, President Bush hosted an iftar dinner for President Musharraf and President Karzai for exchange of views regarding efforts for stabilization of Afghanistan. President Musharraf also held meetings with other senior members of the Administration, including Vice President Dick Cheney, Secretary of State Condoleezza Rice, Defence Secretary Robert Gates, and Secretary of Energy Samuel Bodman. A special investiture ceremony was also held in Washington, at which the President conferred awards on U.S. citizens, officials and organizations for their important contribution to the rescue and relief work, following the devastating earthquake of October 2005. During his stay in Washington, the President also met with leading members of the U.S. Congress at a lunch on Capitol Hill, hosted by Congressmen Tom Lantos and Henry Hyde. He also delivered talks at several leading academic institutions and think-tanks, including the Nixon Centre, Carnegie Endowment, George Washington University, and Cornell University. The President also addressed gatherings of the community of PakistaniAmericans in both New York and Washington and attended a cultural show arranged by the Pakistan National Council of Arts. During the visit, the President‟s book In the Line of Fire was also launched in New York on 25 September 2006. The First Lady, Begum Sehba Musharraf, attended a ceremony at the Bronx Zoo in New York for displaying the snow leopard “Leo” brought from Pakistan for conservation of species. The First Lady also attended, along with Mrs. Laura Bush, the inauguration ceremony of a website on Pakistani art and culture held at the Kennedy Centre in Washington. Visit of the Foreign Minister Foreign Minister Khurshid M. Kasuri paid a bilateral visit to the U.S. from 1823 June 2007. During the visit, the Foreign Minister held wide-ranging talks with Secretary Rice, reviewing Pakistan-U.S. relations and exchanging views on regional and international issues. The Foreign Minister also met with senior Administration officials including National Security Adviser Stephen Hadley, Defence Secretary Robert Gates, and Commerce Secretary Carlos 69 Foreign Office Year Book 2006-07 Gutierrez. He also met several leading members of the Congress and jointly addressed the House Foreign Affairs Committee and Pakistan Congressional Caucus. The Foreign Minister delivered talks at the Council on Foreign Relations in Washington and the Chicago Council on Global Affairs and also had extensive interaction with the U.S. print and electronic media. Institutional Mechanisms Strategic Dialogue Pursuant to the first round of Strategic Dialogue held in Washington in April 2006, the two sides remained engaged in operationalizing the structured Dialogues in the fields of Education, Energy, Economy, and Science & Technology. Economic Dialogue The preliminary round of the Economic Dialogue was held in Islamabad in May 2006, co-chaired by Adviser to the Prime Minister, Dr. Salman Shah, and Under Secretary of State for Economic Affairs Josette Shiner. The two sides examined ways to expand bilateral trade and investment ties and held a fruitful exchange of views on regional and international economic issues. The two sides have since agreed to hold the next round in Washington in October 2007. Energy Dialogue The Energy Dialogue had commenced with the visit of Energy Secretary Sam Bodman to Islamabad in March 2006. The first formal round was held in Washington from 26-27 June 2006, with the Pakistan side led by the Adviser to the Prime Minister on Energy Mr. Mukhtar Ahmad and the U.S. side headed by Assistant Secretary in the Department of Energy Ms. Karen Harbert. The dialogue is focused on promoting bilateral cooperation to help Pakistan meet its energy needs and strengthen its energy security including through collaboration in the areas of coal, renewable energy and increasing energy efficiency. During the Dialogue, it was agreed to form Working Groups on Coal and Fossil Fuel and Energy Efficiency and Renewable Energy. It was also decided to appoint two points of contact in the areas of scientific cooperation and energy trade. Two video-conferences were organized in February and April 2007, during which several areas of potential cooperation were identified for follow-up action. Science & Technology Dialogue The inaugural round of the Dialogue on Science & Technology was held in Washington in July 2006. The session was co-chaired by Dr. Atta ur Rehman, Advisor to the Prime Minister on Science & Technology and Dr. Arden Bement, Director of National Science Foundation. A Joint Committee on Science & Technology was established with Dr. Atta ur Rehman and Dr. Arden Bement as the co-chairs. Dr. Bement paid a follow-up visit to Pakistan 70 Foreign Office Year Book 2006-07 from 19-21 October 2006, during which he had meetings with Dr. Atta ur Rehman, as well as the Foreign Secretary, Secretary Science and Technology, and Adviser to the Prime Minister on Strategic Affairs, Dr. Ishfaq Ahmed. A number of presentations were made on potential projects for S&T collaboration. The first meeting of the Joint Committee on Science & Technology was held at the U.S. National Science Foundation in Arlington, Virginia on 13-14 February 2007. The Joint Statement adopted after this high-level meeting gave an outline of future cooperation between the two countries in areas such as quality assurance and higher education; agricultural sciences; health sciences; engineering sciences; university linkages; promoting innovative entrepreneurial partnerships; environmental sciences; physical sciences; basic sciences; standards, metrology and accreditation, and accessing computing grids and high-end computation. A Memorandum of Understanding (MoU) on cooperation in the field of agriculture was also signed by Dr. Atta-ur-Rahman and Dr. Gale A. Buchanan, Under Secretary for Research, Education, and Economics of the U.S. Department of Agriculture. Education Dialogue The inaugural round of the Education Dialogue was held in Washington in November 2006. The Minister for Education, Mr. Javed Ashraf led the Pakistan side while Secretary of Education Margret Spellings headed the U.S. delegation. Proposals to strengthen bilateral collaboration were discussed, including support to enhance the quality and access of education at all levels. The U.S. indicated it would be spending $100 million a year for the next 5 years in the education sector. Meanwhile, it was noted that the Fulbright Scholarship Programme for Pakistan had become the largest in the world. Other Initiatives The two countries made significant progress on the various initiatives aimed at addressing the challenges of extremism and terrorism, in a multifaceted strategy encompassing military, political and socio-economic dimensions: Reconstruction Opportunity Zones (ROZs) On the proposed Reconstruction Opportunity Zones (ROZs), providing for duty-free access to specified products manufactured in the selected areas located in NWFP, Balochistan, and earthquake-affected areas, a feasibility study was undertaken by a U.S. firm during this period. Following the recommendations in the study, the U.S. Administration conducted its inter-agency consultations to prepare draft legislation for the establishment of ROZs. The draft legislation was stated to be introduced in the Congress in the Fall of 2007 for approval. 71 Foreign Office Year Book 2006-07 FATA Development Plan In support of the FATA Sustainable Development Plan, aiming at grassroots social sector development, the U.S. gave its commitment to provide $ 750 million over next few years. The U.S. also indicated it would help mobilize funds through other donors. Strengthening of Frontier Corps (FC) The two sides were also engaged in discussions on U.S. assistance for capacity-building of the Frontier Corps (FC). The Administration indicated that it would mobilize requisite resources in this regard. Economic Relations Economic interaction continued to provide a crucial underpinning to the bilateral relationship. The United States remained Pakistan‟s single largest trading partner. Overall, Pakistan-U.S. trade amounted to $ 5.85 billion in 2006-07. It comprised of $ 4.2 billion exports from Pakistan and $ 1.65 billion worth of imports from the United States. The U.S. is the second largest foreign investor in Pakistan. Foreign Direct Investment (FDI) inflow from the U.S. increased by 300 per cent, from $ 516 million in 2005-06 to $ 913 million in 2006-07. Pakistan continued to pursue greater market access in the U.S. including early movement towards a Free Trade Agreement (FTA). The two sides were also engaged in discussions on the draft Bilateral Investment Treaty (BIT). U.S. assistance within the framework of the multi-year economic and security package continued at the levels committed by President Bush at Camp David in 2003. During FY 07, the U.S. provided economic and security assistance worth $738 million. For FY 08, the Administration requested for $785 million for Congressional approval. Defence Cooperation Defence cooperation remained on track in 2006-07. About half of the annual assistance (i.e. US$ 300 million) was earmarked for security assistance under the Foreign Military Financing (FMF). In July 2006, the U.S. Congress approved the new F-16s package proposed by the Administration, including 18 new F-16s and a munitions package. In implementation of the package, the U.S. Ambassador H.E. Anne W. Patterson handed over 2 F-16s to the Pakistan Air Force in 2007. Conclusion The year 2005-06 witnessed regular exchange of visits at all levels while the operationalization of the newly-established institutional mechanisms paved the way for expansion of bilateral cooperation in various fields, especially economy, education, energy, and science & technology. The two sides remained committed to maintaining a steady momentum towards 72 Foreign Office Year Book 2006-07 strengthening the bilateral relationship and working together to promote regional and international peace and security. ------------------------------------------------------------------------------------- CANADA Pakistan-Canada relations continued to strengthen during the year 2006-07. High-level exchanges during this period contributed to mutual efforts for broadening and deepening relations and expanding cooperation in diverse fields. Visits From Pakistan Prime Minister Shaukat Aziz visited Canada to address the Global MicroCredit Summit in Halifax on 12 November 2006. On the sidelines, the Prime Minister met with Canadian Foreign Minster Peter MacKay and discussed bilateral relations, as well as the situation in Afghanistan. The Chairman Senate, Mr. Muhammadmian Soomro, led a high-level parliamentary delegation to Canada on 16-20 October 2006 and held meetings with Canadian leadership, business sector and Pakistani community in Canada. Speaker National Assembly, Chaudhry Amir Hussain, visited Canada in March 2007 as leader of a parliamentary delegation. The delegation had fruitful interaction with Canadian parliamentarians, senior members of the government, and other segments of society including the Pakistani community. On the defence side, General Ehsan Ul Haq, Chairman Joint Chief of Staff Committee visited Canada in May 2007. From Canada From the Canadian side, Foreign Minister Peter MacKay visited Islamabad on 9 January 2007 and held bilateral talks with the Foreign Minister and called on the President and the Prime Minister. During the talks, it was agreed to institute a mechanism for regular consultations between the Foreign Ministries of the two countries to strengthen bilateral cooperation and exchange views on regional and international issues of common interest. A detailed exchange of views took place on Afghanistan, where Canada has deployed over 2,500 troops as part of the International Security Assistance Force (ISAF). The Canadian Foreign Minister also offered to suggest ways to help strengthen efforts for security along the Afghanistan-Pakistan border. Mr. Dalton McGuinty, Premier of Ontario province of Canada, on the invitation of the Chief Minister of Punjab, paid a visit to Pakistan from 22-26 73 Foreign Office Year Book 2006-07 January 2007 with a large delegation comprising Members of Ontario Parliament and Canada-Pakistan Business Council. During his stay in Lahore, Premier McGuinty held meetings with the Chief Minister and Governor of Punjab. The provinces of Punjab and Ontario agreed to formalize a twinning agreement and signed a Joint Declaration to promote cooperation between the two provinces in various fields including education and Information Technology. In Islamabad, Premier McGuinty called on the Chairman Senate, Speaker National Assembly, Minister for Foreign Affairs, and Minster for Interior. Mr. Stockwell Day, the Minster for Public Safety, visited Pakistan from 3-6 April 2007 and held discussions on proposals for assistance on border controls on the Pakistan-Afghanistan border. The Defence Minister Gordon O‟Conner visited Pakistan in August 2006. General Rick Hillier, Chief of Canadian Defence Forces visited Pakistan from 14-16 March 2007 and had wide-ranging interaction with the military leadership. Bilateral Consultations The first round of bilateral consultations between the Foreign Ministries of Pakistan and Canada was held in Islamabad on 2 April 2007. The consultations were led by Director General (South and Southeast Asia) Randolph Mank on the Canadian side and by Additional Secretary (Americas) Shahid Kamal on the Pakistan side. The two sides discussed proposals for enhancing cooperation in various fields including education, science & technology, energy, defence and culture. Views were also exchanged on regional and international issues, including Afghanistan. Establishment of Joint Working Group Another important development during the year was the agreement to establish a Joint Working group to strengthen economic and commercial relations between the two countries. The first meeting of the Joint Working Group is expected to take place in Islamabad in the latter half of 2007. Canadian Assistance in Border Controls In follow-up of Foreign Minister MacKay‟s offer for assistance in strengthening controls along the Pakistan-Afghanistan border, a Canadian assessment team visited Pakistan from 11-16 February 2007 and held meetings at the concerned Ministries. The team also visited PakistanAfghanistan border in Balochistan with a view to assessing the needs. The team later submitted its recommendations for consideration of the Pakistan side. ------------------------------------------------------------------------------------- 74 Foreign Office Year Book 2006-07 LATIN AMERICA Pakistan‟s relations with Latin American countries remained friendly and cooperative. Efforts to broaden and deepen relations with key partners in Latin America continued. Notable progress was achieved in expanding cooperation with Brazil, Argentina, Cuba, Mexico and Chile. During the period under review, negotiations continued between Pakistan and MERCOSUR to finalize a Preferential Trade Agreements (PTA) in follow-up of the Framework Agreement signed in July 2006. At present, Argentina, Brazil, Cuba and Venezuela have resident missions in Pakistan, while the Mexican Mission is expected to open shortly. Pakistan has its resident missions in Brazil, Mexico, and Argentina, while arrangements to open our Embassy in Havana are underway. ARGENTINA Visits From Pakistan In follow-up of the President‟s visit to Argentina in December 2004, the two countries maintained the momentum of high-level exchanges. Federal Minister for Railways, Sheikh Rashid Ahmad visited Argentina from 17-20 July 2006 and discussed proposals for cooperation between the two countries in the field of Railways. Mr. Humayun Akhtar Khan, Minister for Commerce, visited Argentina for signing the Pakistan-MERCOSUR Framework Agreement on Trade on 21 July 2006. During the visit he also held meetings with Argentine trade officials and discussed ways for enhancing bilateral trade. The Minister for Food and Agriculture, Mr. Sikander Hayat Khan Bosan, visited Argentina in December 2006. An MoU for cooperation in the field of Agriculture was signed. The two sides are also involved in exchanges in the field of seed development. From Argentina From Argentina, Dr. Jorge Arguello, President of Foreign Affairs Committee of the Argentine Chamber of Deputies visited Pakistan from 3-9 March 2007 at the invitation of the Chairman of National Assembly‟s Foreign Affairs Committee. This was the first ever visit by an Argentine Parliamentary delegation to Pakistan. Dr. Arguello held meetings with Chairman Senate, Foreign Minister and Chairman Senate Foreign Relations Committee. They also visited Lahore and called on the Chief Minister, Punjab. Dr. Jose Lino Bernaso, Chairman of the National Agency for the Promotion of Science & Technology led a delegation for the first meeting of PakistanArgentina Joint Committee on Scientific and Technical Cooperation, held in 75 Foreign Office Year Book 2006-07 Islamabad on 19-21 April 2007. The two sides examined proposals to strengthen bilateral cooperation in the field of science & technology. They identified several areas of cooperation for biennium 2007-09, including agricultural biotechnology, ocean research, solar energy and electronics. Dr. Javier Maria De Urquiza, Secretary of Agriculture, Livestock, Fishing and Food visited Pakistan from 16-18 April 2007 to attend the Inter-Ministerial Meeting of Cairns Group. ------------------------------------------------------------------------------------- BRAZIL President Musharraf‟s visit to Brazil in November 2004 broke new grounds for cooperation in various fields and provided impetus to the bilateral cooperation. During 2006-07, Pakistan continued efforts to strengthen bilateral cooperation in the areas of economic cooperation, energy and trade. Visits Bilateral visits contributed to growing cooperation in various areas. The Minister for Railways, Shaikh Rashid Ahmad, visited Rio de Janeiro on 15-16 July 2006 and held discussions with his counterpart on increasing bilateral collaboration in Railways. Mr. Humayun Akhter Khan, Minister for Commerce, visited Brazil from 22-25 July 2006. During the visit, he met with Brazilian Foreign Minister Ceslo Amorim and addressed the Confederation of National Industries (CNI). The Minister for Food, Agriculture and Livestock, Mr. Sikander Hayat Bosan, paid a visit to Brazil from 27 August to 1 September 2006 for exploring avenues of cooperation in the field of agriculture. The Minister for Science & Technology, Mr. Nauraiz Shakoor, visited Brazil from 2-6 September 2006. The Chief of the Naval Staff undertook a visit to Brazil from 31 January to 3 February 2007. During the visit, he met with senior officials in the Brazilian Navy and visited EMGEPRON, Brazilian Naval Research Organization. He was briefed on different research and development projects being undertaken by the Brazilian Navy. Commercial Relations Pakistan and Brazil also made progress in developing cooperation in the oil and gas sector. In February 2007, PETROBRAS and OGDCL signed a production sharing agreement. A Letter of Intent was inked between the Ministry of Petroleum and Natural Resources and PETROBRAS regarding concessions for off-shore drilling in Pakistan. ------------------------------------------------------------------------------------- 76 Foreign Office Year Book 2006-07 CHILE Relations between Pakistan and Chile continued to strengthen and expand during the year 2006-07. Bilateral trade continued to increase. Chile imported goods worth $58.6 million from Pakistan during 2005-06. With an envisaged investment of $ 210 million by a leading Chilean firm Antofagasta in copper mines in Balochistan, Chile has become significant economic partner in Latin America. Visits The Minister for Petroleum and Natural Resources, Mr. Amanullah Khan Jadoon, accompanied by senior officials visited Chile in December 2006. A 5-member delegation of Balochistan government, headed by Chief Minister Jam Mohammed Yousaf visited Chile from 10-16 December 2006. The Chilean Minister of State for Agriculture, Ms. Maria Cecila Leiva visited Pakistan for the meeting of Cairns Group from 16-18 April 2007. During this visit, an MoU on „Sanitary and Photosanitary Issues Related to Bilateral Trade in Plant and Plant Materials and Animal and Animal Products‟, and an MoU for „Cooperation in Agriculture‟ were signed between the Ministry of Food, Agriculture and Livestock of Pakistan and the Ministry of Agriculture of Chile. ------------------------------------------------------------------------------------- CUBA Pakistan and Cuba have been engaged in efforts to broaden the base of bilateral relations and expand cooperation in various fields. The opening of the Cuban Mission in Islamabad in 2006 provided further impetus to efforts for strengthening bilateral relations. Visits President General Pervez Musharraf visited Havana from 14-16 September th 2006 to attend the 14 NAM Summit. During the visit, the President met with Acting Cuban President Raul Castro and exchanged views on bilateral relations, as well as regional and international issues. A special investiture ceremony was also held to give awards to members of the Cuban medical brigade who had rendered valuable services in the earthquake relief and rehabilitation work. Cuban Deputy Foreign Minister Bruno Rodriguez Parilla visited Islamabad th from 15-19 May 2007 to attend the 34 session of the ICFM, during which he held a bilateral meeting with the Minister of State for Foreign Affairs. During the talks, bilateral, regional and international issues, as well as cooperation in multilateral fora were discussed. The two sides reviewed progress on various initiatives to strengthen the institutional basis of the relationship and expand 77 Foreign Office Year Book 2006-07 cooperation in diverse fields, including trade, economic cooperation, agriculture, education, and science & technology. In 2006, Cuban Government extended an offer of 1000 scholarships for Pakistani students in the field of medicine. 356 students in the first batch reached Cuba during February to April 2007 to commence their studies. The second batch of 644 students was expected to go to Cuba during the fall of 2007. In early 2007, Pakistan decided to open its resident diplomatic mission in Havana. Mr. Najm us Saqib, Pakistan‟s Deputy High Commissioner in Ottawa, was later designated as the first Ambassador to Cuba. The Embassy was likely to commence work towards the end of 2007. ------------------------------------------------------------------------------------- MEXICO The process of consolidating friendly and cooperative relations with Mexico continued in 2006-07. Besides regular bilateral exchanges, the two countries maintained close coordination in the UN, particularly their engagement in the Uniting for Consensus (UfC) group on the question of Security Council reform. Joint Commission The first meeting of the Pakistan–Mexico Joint Commission on Trade, Investment and Economic Cooperation was held in Mexico on 12 October 2006. The Pakistan delegation was led by the Minister of State for Economic Affairs, Ms. Hina Rabbani Khar, while the Mexican side was headed by Mr. Angel Villalobos, Under Secretary of the Mexican Ministry of Economy. The two sides agreed to take steps for increasing bilateral trade, sharing information about the trade and economic opportunities existing in the two countries, exchanging business delegations, participating in each other‟s trade fairs and holding single country exhibitions. It was agreed to hold the second meeting in Pakistan in the second half of 2007. Consultations Mechanism on Matters of Common Interest The second meeting of the Consultation Mechanism on Matters of Common Interest took place in Islamabad on 13-14 April 2007. The Mexican Vice Minister of Foreign Affairs, Mrs. Aranda Bezuary, visited Islamabad for the purpose. The Pakistan delegation was led by Minister of State for Foreign Affairs Makhdum Khusro Bakhtyar. The two sides discussed proposals for cooperation in different fields and exchanged views on draft agreements in the pipeline, including training of diplomats, extension of visa suppression agreement, export of rice from Pakistan, cooperation between central banks, agreement on scientific and technological cooperation, cultural and educational cooperation, and tourism cooperation. The Vice Minister had separate meetings with the Foreign Secretary, Foreign Minister and Minister 78 Foreign Office Year Book 2006-07 of State for Economic Affairs. She also delivered an address at the Foreign Service Academy on Mexican Foreign Policy, with special reference to relations with Pakistan. Other Visits Mr. Jesus Manuel Patron Montalvo and Mr. Sergio Augusto Lopez Ramirez, both members of the Mexican Chamber of Deputies (Parliament), visited th Islamabad from 26 February to 3 March 2007, to participate in the 13 General Assembly of the Asia Pacific Parliamentarians Conference on Environment and Development. Opening of Mexican Embassy in Islamabad During 2007, the Government of Mexico conveyed its decision to open its resident mission in Islamabad. The opening of the Mexican Embassy will contribute to further strengthening of bilateral cooperation. ------------------------------------------------------------------------------------- VENEZUELA Pakistan-Venezuela relations remained friendly and cooperative during the year under report. The Pakistan authorities lent all possible assistance in efforts to rescue a Venezuelan mountaineer, Jose Antonio Delgado, trapped in a snow storm during an expedition on the Nanga Parbat in July 2006. While his life could not be saved despite hectic efforts, the Venezuelan government formally conveyed its appreciation at the highest level for the cooperation and assistance extended in this regard. The Tehran-based Venezuelan Ambassador, H.E. Arturo Anibal Gallegos Ramirez, concurrently accredited to Pakistan, visited Islamabad in October 2006 as the Special Envoy in connection with Venezuela‟s Security Council candidature. He met with the Foreign Minister and delivered a message from his leadership in this regard. Pakistan‟s High Commissioner in Ottawa, Mr. Musa Javed Chohan, concurrently accredited to Venezuela, visited Caracas in January 2007 to attend the oath-taking ceremony of President Chavez for the second term. During the visit, he met President Hugo Chavez and conveyed Pakistan‟s desire to forge close cooperation in various fields. During the visit, the High Commissioner also met with senior officials in the Venezuelan Foreign Office and discussed ways to promote bilateral cooperation in areas of mutual interest. Bilateral relations were further discussed when Ambassador Ramirez visited Islamabad to present his credentials to the President on 30 May 2007. He also called on the Foreign Secretary and met with other senior government officials. 79 Foreign Office Year Book 2006-07 A Venezuelan diplomatic office was opened in Islamabad in June 2007, pending the opening of a full Mission in Pakistan. ******************************************************************** 80 Foreign Office Year Book 2006-07 VI. EUROPE AND RUSSIAN FEDERATION EUROPEAN UNION T he EU is our largest trading partner in the world, as well as the largest source of foreign direct investment and foreign assistance. The relations moved forward in all areas during the period under reference, helped by important exchanges. Prime Minister’ Visit to EU Headquarters Prime Minister Mr. Shaukat Aziz paid an official visit to Brussels in January 2007. Apart from official talks with his Belgian counterpart, he had a number of important meetings at EU Headquarters. His meeting with Javier Solana, EU High Representative of Common Foreign and Security Policy featured discussion on Afghanistan, the Middle East, Iran, Pak-India relations and terrorism. The Prime Minister had an in-depth meeting with Mrs. Farero Waldner, Commissioner for External Relations, on Pak-EU relations, who informed that the Third Generation Agreement would be implemented. Meeting with the EU Trade Commissioner Peter Mandelson focused on market access and Pakistan‟s proposal for an FTA with the EU. Pak-EU Troika Talks The EU-Pakistan political dialogue at ministerial and senior official level is a regular annual event. The purpose of this dialogue is exchange of views, coordination of positions on issues of mutual interest and enhancement of cooperation. Pakistan-EU Political Director‟s Troika meeting held in Helsinki on 21-25 November 2006 was quite successful. During the detailed parleys, the two sides reviewed the current relations between Pakistan and the EU, with a view to further enhancing cooperation. They also held discussions on wide ranging regional and international issues of common interest, including Afghanistan, Iran, Pakistan-India relations and regional stability. Pakistan-EU Ministerial Troika meeting was held in Berlin in February 2007. Foreign Minister Khurshid Kasuri led the Pakistan side, while his German counterpart Mr. Steinmeier led EU side. Expressing satisfaction at the growing commercial relations between Pakistan and the EU, the Foreign Minister impressed upon the EU Troika for the need of enhanced market access to Pakistan within the European Union. The two sides agreed to work together for tapping the huge potential for further growth of cooperation in diverse areas. It was decided that the Pakistan-EU Joint Commission as envisaged by the Third Generation Agreement would be set up soon, which would provide a platform to discuss and monitor enhancement of cooperation in all areas. 81 Foreign Office Year Book 2006-07 The First meeting of the Pak-EU Joint Commission was held in Islamabad in May 2007. Trade The EU is Pakistan‟s largest trading partner, with the overall volume of trade worth US Dollars 9 billion in the year 2006. Pakistan's main export items to the EU are textiles and clothing (70%) and agricultural products (8.4%). The EU's main export items are machinery (45%) and chemicals (18%). ---------------------------------------------------------------------- AUSTRIA Important bilateral exchanges marked Pakistan-Austria relations in 2006-07. Visits Foreign Minister Dr. Ursula Plassnik paid first ever visit by an Austrian Foreign Minister to Pakistan on 14 March 2007. His talks with Foreign Minister Khurshid. M. Kasuri covered the whole gamut of Pakistan - Austria relations as well as regional and international issues of mutual interest. Economic Cooperation Pakistan and Austria have meaningful cooperation in diverse fields including railways, oil and gas exploration, power generation, education and tourism development. About 150 Pakistani students are studying in Austrian universities under a joint arrangement. The two countries have also entered into a partnership to establish a University of Engineering, Sciences and Technology (UESTP) in Lahore. Both sides have agreed to further strengthen the ongoing development cooperation, as well as educational and technological exchanges. -------------------------------------------------------------------------------- BELGIUM Pakistan-Belgium relations received further impetus with high-level visits during the year under review. President’s Visit President General Pervez Musharraf visited Belgium in September 2006. During his meeting with the Prime Minister of Belgium, the two leaders reviewed the political and economic relations between the two countries. The Belgian Prime Minister expressed willingness to discuss the debt swap arrangement requested by Pakistan. The President of Pakistan invited the Belgian side to take advantage of the favourable investment environment in Pakistan. 82 Foreign Office Year Book 2006-07 Prime Minister’s Visit Prime Minister Shaukat Aziz paid a visit to Belgium in January 2007. During his stay in Brussels, he had bilateral talks with his counterpart, meetings with Kashmiri representatives, as well as business leaders. The meeting between the two Prime Ministers featured discussion on Afghanistan, the Middle East, Iran, Pak-India relations and terrorism. The Prime Minister also discussed Pak-EU relations and sought Belgian support on market access and Pakistan‟s proposal for an FTA. The Belgian Prime Minister promised to support Pakistan‟s case for enhanced access to the European Union market in European Parliament. Mr. Karel De Gucht, the Foreign Minister of Belgium visited Pakistan on 1-2 November 2006. During his stay in Pakistan, the Foreign Minister called on the President, the Prime Minister and held talks with Foreign Minister Kasuri. He also had a meeting with the Advisor to the Prime Minister on Finance, Revenue and Economic Affairs. The two sides expressed satisfaction at the reactivation of Pakistan-Belgium Joint Economic Commission in July 2006 and agreed that it should meet biannually. The Belgian Foreign Minister informed that his country was favourably considering debt swap for ODA by Pakistan. ---------------------------------------------------------------------------------- BOSNIA & HERZEGOVINA The upward trend in bilateral relations continued in 2006-2007 and got further impetus with high-level exchanges. President’s Visits President General Pervez Musharraf paid an official visit to Bosnia and Herzegovina from 27-29 April 2007. This was the first ever visit by a head of state from Pakistan to Bosnia and Herzegovina. The President met with the Chairman of the Presidency, Mr. Nebojsa RADMANOVIC and addressed the joint session of the Parliament. The President‟s engagements included a visit to the monument in Tuzla dedicated to Pakistani Armed Forces who worked with the UN Force, and conferred awards to doctors who had come to Azad Kashmir in the wake of the 2005 earthquake. The President also visited Potocari Symmetry in Tuzla, built to commemorate the victims of Bosnian war 1992-95, mostly Muslims. He announced to donate 1000 hand tillers to the affected families of that genocide. The following Agreements were signed during the visit: a. b. c. d. Agreement on Defence Industries Collaboration Agreement on Air Services Agreement on Establishment of a JEC Instruments of Ratification of the Agreements on Avoidance of Double Taxation were also exchanged during the visit. 83 Foreign Office Year Book 2006-07 CZECH REPUBLIC Relations with the Czech Republic are being revitalized. Pakistan Embassy in Prague, which was closed few years ago due to economic reasons, reopened in October 2006. Visits The Prime Minister of the Czech Republic, Mr. Mirek Topolanek paid an official visit to Pakistan from 8-10 May 2007 with an entourage including Czech business leaders, cabinet ministers and senior officials. This was the first ever visit of a head of government from Czech Republic to Pakistan. Earlier, the Prime Minister of the then Czechoslovakia Mr. Marian Calfa had visited Pakistan in December 1991. During the visit, Prime Minister Topolanek held talks with the Prime Minister and called on the President. He also addressed an investment seminar. The following MoUs were signed during the visit: MoU on establishment of bilateral cooperation between the Academy of Sciences of Czech Republic and Pakistan Academy of Sciences to promote scientific cooperation between the two countries MoU on cooperation in Higher Education MoU on cooperation between the Pakistan Foreign Service Academy and the Czech Diplomatic Academy MoU on establishment of Pak-Czech Joint Business Council between the Federation of Pakistan Chambers of Commerce and Industry (FPCCI) and the Confederation of Industry of Czech Republic.    Trade During 2006 the two-way trade volume was to the tune of $ 71.836 million with $ 40.882 million exports from Pakistan and $ 30.954 million imports. There was an overall increase of 19% in trade volume, with our exports registering 25% surge. --------------------------------------------------------------------------- FRANCE Bilateral cooperation continued to strengthen in all areas, especially education and commerce. 84 Foreign Office Year Book 2006-07 Visits Foreign Minister Khurshid Mahmood Kasuri paid an official visit to France from 4-6 July 2006 at the invitation of Foreign Minister Phillipe Douste-Blazy. They discussed the whole gamut of Pakistan-France relations with a view to enhancing cooperation, especially in the areas of trade, investment, defense and education. A four-member French Parliamentary delegation led by Mr. Jean LEMIERE visited Islamabad on 2 April 2007. Economic Cooperation and Trade Top French companies such as Alcatel, Schneider, Rhodia, Alstom, Total, and Carrefour have invested in Pakistan. Around three thousand individuals have been provided employment by these companies. A leading French Company, Sofitel has decided to build ten hotels in Pakistan. In 2005-2006 Pakistan exported goods worth US$ 511.3 million and imported US$ 508.3 million, with almost a balanced trade sheet. Cooperation in Education and Culture 162 students proceeded to France for post graduate studies in natural science and technological subjects. The Higher Education Commission (HEC) is in the process of setting up-University of Engineering, Science and Technology of Pakistan (UESTP) in Karachi with the French technical and academic assistance. --------------------------------------------------------------------------- GERMANY Bilateral cooperation continued to strengthen in many areas and got further boost-up with high level bilateral exchanges. Visits Foreign Minister Khurshid Mahmood Kasuri visited Germany from 7 -11 February 2007 for the Pakistan-EU Troika bilateral consultations and participation in the Munich Security Conference. He exchanged views with the EU Ministerial Troika (led by German Foreign Minister) on important issues including Afghanistan, India and Kashmir, and the President‟s Middle East initiative. Among other things Pakistan sought support for an early commencement of negotiations for FTA with the EU. There is convergence of views to develop an extensive dialogue with Pakistan to include strategic, non-proliferation, anti-narcotics and other important issues. Germany has extended assistance to set up an Engineering University in Lahore and a Vocational Technical Institute in Karachi. Both sides have also agreed to 85 Foreign Office Year Book 2006-07 place greater focus on cooperation in science & technology and energy sectors. German Foreign Minister Dr. Frank Walter Steinmeier visited Islamabad on 22 May 2007 at the invitation of Foreign Minister Kasuri. The two Foreign Ministers had talks on Afghanistan, Iraq, Iran, peace in the Middle East and Mediterranean Affairs. German Defense Minister Dr. Franz Josef Jung paid an official visit to Pakistan from 5-6 June 2007. He called on the President and met with the senior Federal Minister of Defense. Trade Bilateral trade between the two countries has been growing steadily. From January to October 2006, the total trade valued over € 1.6 billion, as against € 1.5 billion in 2005. Pakistani companies participated regularly in trade fairs held in Germany during the year. ------------------------------------------------------------------------------ GREECE Pakistan-Greece relations were marked by useful exchanges during the year characterized by mutual desire to expand cooperation in diverse fields. Annual Bilateral Consultations The second round of annual bilateral consultations between Greece and Pakistan at the Foreign Secretary level were held in Athens on 01 June 2007. Mr. Riaz Mohammad Khan, Foreign Secretary led the Pakistan side while Mr. Charalampos Rokanas, Secretary General of the Greek Ministry of Foreign Affairs led the Greek side. The whole gamut of bilateral, regional and international issues of mutual interest came under discussion. The Foreign Secretary also called on Mr. Theodoros Kassimis, the Deputy Foreign Minister for Asia Pacific and discussed issues of interest to both sides. Cooperation in Combating Serious Crimes During the visit of the Greek Minister for Public Order to Pakistan in May 2005, an agreement for cooperation in combating serious crimes like terrorism, human smuggling and drug trafficking was signed. The agreement was ratified by the Cabinet on 9 May 2007. Article 6 of the Agreement provides for Interior Secretary level meetings every two years alternately in Athens and Islamabad to facilitate implementation of the Agreement. Trade Pakistan‟s exports to Greece during 2006 were US$ 73.54 million, while the imports during the same period amounted to around US$ 30.95 million. 86 Foreign Office Year Book 2006-07 HUNGARY Important bilateral exchanges and significant growth marked PakistanHungary relations in 2006-07. Visits Hungarian Foreign Minister Dr. Kinga Goncz paid a visit to Pakistan from 7-8 November 2006 at the invitation of Foreign Minister Kasuri. This was the first ever visit by a Hungarian Foreign Minister to Pakistan. The visit was aimed at enhancing bilateral economic cooperation. The following agreements were signed during the visit.   Pakistan-Hungary MoU on Political Consultations and International Cooperation. “The Concession Agreement for Margala Block”, signed by the Hungarian oil company MOL. Economic Cooperation and Trade The Hungarian business giant MOL is seriously contending for 51% share of PPL (worth over US$ 1.3 billion) in partnership with a Kuwaiti firm (KUFPEC), and in cooperation with the Austrian OMV and the Chinese CNPC. Another Hungarian company M/S Ganzs Electric is also seeking participation in the tender for construction of small hydro electric power plants. The recent trade figures of Pakistan‟s trade with Hungary are as follows: (in Million US$) Exports Imports 21.36 46.00 17.69 131.22 20.1 94.7 Year 2004 2005 2006-07 Total Trade 67.36 158.91 114.8 (Hungarian sources) ---------------------------------------------------------------------- ITALY Bilateral Relations between Pakistan and Italy continued to gather momentum with important exchanges and bilateral cooperation. Visits Italian Foreign Minister and Deputy Prime Minister, Mr. Massimo D‟Alema visited Pakistan on 21-22 May. During the visit he called on the President, the Prime Minister and held bilateral consultations with the Foreign Minister. The two sides had an in-depth exchange of views aimed at enhancement of bilateral ties and cooperation on regional & global issues. 87 Foreign Office Year Book 2006-07 Italian Deputy Foreign Minister, Mr. Gianni Vernetti visited Pakistan on 3 – 4 November 2006. The following Four MoUs were signed during the visit: (i) Executive Programme of Cultural, Scientific and Technology Co-operation between the Italian Republic and the Islamic Republic of Pakistan for the year 2006-2008, (ii) Memorandum of Understanding on implementation of the Italian Emergency Programme to support earthquake affected population in Pakistan, (iii) Agreement on Debt-for-Development Swap between the Government of the Islamic Republic of Pakistan and the Government of the Italian Republic, (iv) Memorandum of Understanding between the Higher Education Commission of the Government of the Islamic Republic of Pakistan and POLITECNICO DI TORINO Italy. Italian Chief of Defence, Admiral Giampaolo DI PAOLA visited Pakistan from 13 – 14 September 2006. Former Deputy Foreign Minister Margherita Boniver was awarded Civil Award, Hilal-e-Quaid-e-Azam on the occasion of National Day of Pakistan, 2007. Trade Italy presently is Pakistan‟s 3rd largest buyer in Europe after UK and Germany. The bilateral trade has grown significantly in the last few years. The total volume of two way trade was US$ 1.2 billion in 2006. (Value in million US$) Exports Imports Total 454.04 312.64 766.70 588.33 586.00 363.70 523.00 952.03 1109.00 Year 20032004 20042005 2006 Balance (+) 141.40 (+) 224.64 (+) 63.02 --------------------------------------------------------------------------- MALTA Landmark bilateral exchanges helped explore various avenues of cooperation between Pakistan and Malta during the year under review. Visits Maltese Foreign Minister Dr. Michael Frendo visited Pakistan from 13-14 June 2007. He held bilateral consultations with his counterpart and they discussed the whole gamut of bilateral relations with a view to seek possibilities for further strengthening relations between the two countries, especially in the fields of trade, investment, education, culture and health care. The two sides appreciated the consistent cooperation between Pakistan and Malta in the United Nations and other International fora. Ideas for promoting dialogue and 88 Foreign Office Year Book 2006-07 understanding between the Muslim countries and the West were exchanged. Pakistan‟s relations with Malta within the framework of Commonwealth also figured in the talks. Trade Two-way trade between Pakistan and Malta remains restricted, as Malta is a small country with proximity to Europe and most of its needs are met by the neighboring European countries. However, there is some movement in textile exports and our ship breaking industry has shown interest in buying old ships from Malta. Pakistan‟s main exports to Malta are bed sheets, towels, cotton made ups, cotton denim etc. Pakistan-Malta trade was below the figure of US$ 3 million in 2005-06, whereas was a little above US$ 6 million during 2006-07. --------------------------------------------------------------------------- NETHERLANDS Bilateral relations continued to strengthen in 2006-07 with important bilateral exchanges taking place. Visits Dutch Foreign Minister, Mr. Bernard R. Bot paid an official visit to Pakistan in November 2006. This was his second visit to Pakistan in 2006. He called on the Foreign Minister, Mr. Khurshid Kasuri and had a meeting with Chairman, Joint Chiefs of Staff Committee (JCSC). The main focus of the visit remained on issues concerning regional stability, in particular relationship between Pakistan and Afghanistan. He also discussed issues related to the common fight against terrorism and the relationship between the EU and Pakistan, as well as between Pakistan and the Netherlands. Commerce and Trade Economic and commercial relations between Pakistan and the Netherlands have received a fillip in the last few years through the establishment of Netherlands-Pakistan Business Council, a double digit growth in Pakistan and sudden surge in investment inflows. The trade gap is widening to Pakistan‟s advantage. Pak-Netherlands trade during last few years is tabulated below: (in million US$) Export Import 345.049 146.793 399.034 249.588 369.75 218.10 Year 2004-05 2005-06 2006-07 (July-April) Total Trade 491.842 648.622 587.85 ---------------------------------------------------------------------- 89 Foreign Office Year Book 2006-07 NORWAY Bilateral relations between Pakistan and Norway witnessed further strength during the period under the review. Prime Minister Shaukat Aziz together with Prime Minister Stoltenberg of Norway participated in the UN high level penal meeting in Oslo in August 2006. Prime Minister Shaukat Aziz also held meetings with the leading businessmen of Norway. Foreign Minister Jonas Gahr Store paid his first ever visit to Pakistan from 13-14 December 2006. He called on the President and the Prime Minister and held bilateral talks with Foreign Minister Kasuri. ---------------------------------------------------------------------- POLAND The year 2006-2007 was a landmark period for enhancement of bilateral relations. President’s Visit President General Pervez Musharraf paid an official visit to Poland from 2224 April 2007. This was the first ever visit of a Pakistani head of state to Poland. During his stay the President met with the President and the Prime Minister of Poland. He also addressed the representatives of civil society and interacted with a leading business forum. The following agreements were signed during the visit:     Protocol on Education and Scientific Cooperation Protocol on Art and Cultural Cooperation Agreement on Cooperation in the Sphere of Defence Industry MoU between the State Bank of Pakistan and the National Bank of Poland in the fields of Banking Supervision and Cooperation. MoU between SMEDA and its Polish counterpart, Polish Agency for Enterprise Development MoU on cooperation between the Foreign Service Academy of Pakistan and International Affairs Institute of Poland.   ---------------------------------------------------------------------------- 90 Foreign Office Year Book 2006-07 SPAIN Pakistan Spain relations were marked by milestone bilateral exchanges in 2006-07. President’s Visit President Pervez Musharraf visited Spain in April 2007, on the invitation of the King of Spain. During his stay, he had a meeting with the King, bilateral talks with the Prime Minister, interaction with business leaders, as well as Pakistani community. The meeting with the King focused on President‟s concept of „Enlightened Moderation‟ and King‟s initiative of „Alliance of Civilizations‟. The meeting with the Prime Minister featured a frank discussion on Pak-Spain bilateral relations and international issues of mutual interest. The President also addressed Spanish parliamentarians, informing them about democratic reforms introduced by his government. The Joint Communiqué issued on the occasion reflects the desire of both countries towards closer cooperation bilaterally and on the regional and global issues. Other Visits The Minister of State for Foreign Affairs, along with Chairman, Senate Foreign Relations Committee, Mushahid Hussain Sayed, visited Spain (5-8 November 2006) to chair two seminars jointly, organized by CASA ASIA and Royal Elcano Institute in Madrid and Barcelona. It was agreed to institutionalize cooperation between the two countries through regular use of the mechanism of annual bilateral consultations and greater number of high-level visits. Trade The recent figures show a continuous upward trend in bilateral trade. (in million US $) 2004-05 2005-06 341.0 86.34 427.3 414.59 96.29 510.88 Description Exports Imports Total Trade 2006-07 (July-April) 386.47 84.91 471.38 ---------------------------------------------------------------------------------------- SWITZERLAND Bilateral relations continued to move forward in all areas and high level contacts helped promote further understanding and cooperation. 91 Foreign Office Year Book 2006-07 Visits Prime Minister Shaukat Aziz visited Davos (Switzerland) to attend the Annual Meeting of the World Economic Forum from 24-28 January 2007. He met with the President of the Swiss Federation, Ms. Micheline CALMY-REY on the side lines of the WEF. The theme of this year's meeting was “The Shifting Power Equation”. The Prime Minister was a key note speaker in several sessions of particular import to Pakistan, such as the West – Islamic Dialogue in the Council of 100 Leaders Plenary Sessions on Comprehensive Response to Terrorism, and Stopping the Spread of the Nuclear Weapons. The Prime Minister also participated in panel discussions on Women Empowerment and Education Reform. He took part in the Open Forum on issues related to religion, peace and violence. Besides, the Prime Minister received several business leaders, like Chairmen & CEOs of ABN Amro, Barclay Bank, Blackstone, Carlyle, Citigroup, JP Morgan, Metro, Nike, Nestle, Renault and Siemens etc. and briefed them on business and investment opportunities available in Pakistan. Economic cooperation and Trade Swiss exports to Pakistan in 2006 fell by 6.2% to SFr 336 million, while imports from Pakistan amounted to SFr 67 million i.e. a sharp increase of 45.5%. The increase, after years of stagnation, was partly attributed to an increase in non-traditional items (mushrooms, truffles, ethanol). Pakistan traditionally exports carpets, textiles, fur, leather and sports goods, agriculture products and apparels to Switzerland and imports machinery, chemicals/pharmaceutical products, and watches. As a highly developed industrial country with a vast potential of financial investments and transfer of technology, Switzerland continues to be an active investor in Pakistan. ------------------------------------------------------------------------------ TURKEY The upward trend in the Pakistan-Turkey bilateral relationship continued in the period under review. Visits On 6 February 2007 President General Pervez Musharraf visited Turkey as part of this Middle East Initiative. Again he visited Ankara on 29-30 April 2007, where the Turkish President facilitated a meeting with the Afghan President. Earlier, Prime Minister Shaukat Aziz visited Turkey on 3-4 September 2006 to participate in the Islamic Conference Youth Forum for Development and Cooperation. He also had a bilateral meeting with the Turkish Prime Minister Recep Tayyib Erdogan on the sidelines of the Conference. 92 Foreign Office Year Book 2006-07 Minister of State for Foreign Affairs Makhdum Khurso Bakhtyar participated th in the 10 Eurasian Economic Summit in Istanbul in May 2007. The Deputy Speaker of the Turkish Grand National Assembly led a parliamentary delegation to Pakistan in February 2007 for the groundbreaking ceremony of a Pak-Turk international school campus. The Turkish Interior Minister Abdulkadir Aksu visited Pakistan from 29 March to 1 April 2007. Trade Pakistan‟s total trade with Turkey during 2006 amounted to US$ 462.38 million. Our exports were to the tune of US$ 343.90 million with a balance of US$ 225.42 in Pakistan‟s favour. ----------------------------------------------------------------------------- UNITED KINGDOM Bilateral relations between Pakistan and the UK maintained their upward trend during the year. Interaction between the two countries continued at all levels. The current focus of bilateral relations is on development of cooperation in the areas of trade and commerce, development cooperation, counter-terrorism, judicial, educational and defence cooperation. Cooperation on regional and global issues of mutual interest, such as Afghanistan and WTO is also significant. President’s Visit President General Pervez Musharraf visited United Kingdom on 28-29 September 2006. During his visit the President held meetings with the British Prime Minister Tony Blair, Leader of the Opposition/Conservative Party, Members of House of Commons and Chief Executives of British multi national companies. The President addressed Oxford University Union on st the topic: “Pakistan in the 21 Century: Internal and External Challenges and Opportunities”. The President also interacted with the members of Pakistani community and British media. Others Another significant visit from Pakistan was by Air Chief Marshal Tanveer Mahmood Ahmad, Chief of the Air Staff, from 29 October to 3 November 2006. From U.K. From the United Kingdom, Prince Charles visited Pakistan from 29 October to 3 November 2006. During his visit the Prince had meetings with the 93 Foreign Office Year Book 2006-07 President and the Prime Minister. He also visited earthquake affected areas and Northern Areas. Prime Minister Tony Blair visited Pakistan on 18-19 November 2006 for the third Pakistan-UK bilateral summit meeting in accordance with the UKPakistan Joint Statement of 6 December 2004. During his visit he held meetings with President General Pervez Musharraf and Prime Minister Shaukat Aziz. The British Prime Minister also held a round table discussion on promotion of interfaith relations. A „Development Partnership Agreement‟, signifying a ten-year development assistance commitment by UK Government was also signed during the visit. British Secretary of State for Foreign and Commonwealth Affairs, Margaret Beckett visited Pakistan on 26-28 February 2007.During her visit she held talks with the President, the Prime Minister, Foreign Minister and Governor NWFP. Different issues of bilateral concern, as well as major international issues, like Afghanistan and Middle East were the focus of their talks. Dr. Kim Howells, Minister of State for Foreign and Commonwealth Office, visited Pakistan from 6-10 September 2006 and again on 21-23 May 2007. During his later visit he called on the Governor and the Chief Minister of Balochistan and had a meeting with the Regional Director of the Anti Narcotics Force. He also toured the Chaman border. Mr. Gareth Thomas, MP, UK‟s Parliamentary Under Secretary of State for International Development visited Pakistan from 3 – 6 October 2006. Commercial and Trade Relations UK remained Pakistan‟s 3rd largest trading partner globally and 1 within EU both for exports and imports. Pakistan‟s total trade with UK in 2006-2007 was US$ 2.107 billion. The balance of trade continued to remain in Islamabad‟s favour to the tune of $69.482 million, with exports standing at US$ 1088.57 million and imports at US$ 1019.09 million. ---------------------------------------------------------------------------------st RUSSIAN FEDERATION Bilateral relations between Pakistan and Russia maintained upward trend during the year under review. Landmark bilateral exchanges helped strengthen the multifaceted cooperation. President General Pervez Musharraf met with President Putin on the th sidelines of the 6 Shanghai Cooperation Organization (SCO) Summit on 15 June 2006. President Musharraf underscored Pakistan‟s desire for developing a strong and close relationship with Russia in the areas i.e. trade & economic, military & technological cooperation, establishment of joint 94 Foreign Office Year Book 2006-07 ventures and collaboration for satellite communication and observation satellites. Visits Russian Prime Minister Mikhail E. Fradkov visited Pakistan from 11-13 April 2007 and held wide ranging discussions with Prime Minister Shaukat Aziz. He called on the President and delivered a letter from President Putin. The Russian Prime Minister also met with Chairman Senate and addressed a gathering of Pakistani and Russian businessmen. Two agreements were signed relating to cultural, education and scientific exchanges and narcotics control. Russian Foreign Minister H.E. Sergey Lavrov visited Pakistan at the invitation of Foreign Minister Khurshid Mahmud Kasuri from 15-16 November 2006. In their deliberations, both leaders covered the whole gambit of bilateral relations, regional and international issues. It was also decided to reactivate Pak-Russia Inter Governmental Commission (IGC) to explore further avenues of economic cooperation between the two countries. The fourth meeting of the Joint Working Group (JWG) on Strategic Stability was held on 15-16 February 2007 in Islamabad, and a meeting of Joint Working Group on Counter Terrorism is expected to be held in the second half of 2007 in Islamabad. Trade Bilateral trade is estimated to US$ 520 million and is heavily in favour of Russia ($ 60 million in exports and $ 460 million in imports). The Government of Pakistan is interested in signing a Preferential Trade Agreement with Russia. A Mutual Obligation Agreement relating to the claims of our businessmen against the former Soviet Union was signed in 2005. Opportunities for joint collaboration between Pakistan and Russia exist in sectors such as: a) Upstream and downstream projects in Oil and Gas sector; b) Expansion of Railways; and c) Construction of coal thermal and hydel power generating stations. Russia has also shown interest in contributing to the Iran-Pakistan-India (IPI) pipeline project. ************************************************************* technology, particularly, 95 Foreign Office Year Book 2006-07 VII. INTERNATIONAL/REGIONAL ORGANIZATIONS UNITED NATIONS I n the year under review, we continued our efforts to pursue our Foreign Policy objective through a pro-active participation in various UN fora. Our policy objectives can be described as follows:       Maintain a high-profile participation through active representation and elections to important UN bodies, Project Pakistan as a peaceful and moderate country that respects international law and principles and purposes of the UN Charter, Develop international consensus on the exercise of right of self determination and development by all peoples, Mobilize support for its efforts to seek an equitable solution of the Kashmir dispute and ensure continuity of UNMOGIP‟s mandate, Oppose establishment of new power centers including expansion of permanent seats in the United Nations Security Council, Project national economic and social policies and steps taken for promotion and protection of human rights. The following is an issue wise overview of our activities, initiatives and achievements. Kashmir Pakistan utilized all relevant multilateral fora including the United Nations to highlight the plight of the Kashmiri people. In UNGA‟s Third Committee, the Permanent Representative of Pakistan urged immediate measures to enable the Kashmiri people to exercise their inalienable right to self-determination, as conferred upon them by the relevant Security Council resolutions. While welcoming the continuation of bilateral dialogue with India, we underlined the urgency of substantive progress for the resolution of this core dispute through demilitarization and by bringing the human rights violations to an end. ----- Counter Terrorism Pakistan is committed to combating terrorism in all its forms and manifestations. This commitment was reaffirmed by the President in his 96 Foreign Office Year Book 2006-07 address to the 61 UN General Assembly. He said, “While we confront terrorism, our strategy must seek to eliminate this phenomenon comprehensively. We cannot do this unless we understand the root causes of terrorism today”. The President further reiterated his strategy of Enlightened Moderation. Pakistan has been emphasizing that the global campaign against terrorism should not turn into a clash between the West and the World of Islam. Terrorism has no faith, and we will continue to highlight this fact. During the year 2006-2007, Pakistan remained fully responsive to the Security Council resolutions under which comprehensive sanctions have been imposed on terrorists. Our Mission in New York kept the United Nations abreast of our efforts for countering terrorism and extremism. Issuance of SROs During the year 2006-2007, the Ministry of Foreign Affairs, Pakistan issued eight SROs, to give effect to sanction measures imposed by the UN Security Council on individuals, groups, entities, and organizations linked to or associated with Taliban, Osama Bin Laden and Al-Qaida. Despite limited resources Pakistan took effective counter-terrorism measures. These measures highlight our unswerving commitment against terrorism. Our efforts also received widespread support and commendation from the international community. Counter-Terrorism Related Visits The Counter Terrorism Committee Executive Directorate (CTED) of the United Nations Security Council undertook a visit to Pakistan from 17-24 November 2006. The nine-member delegation was led by Ambassador Javier Ruperez, Assistant Secretary General CTED. The delegation was briefed on the mechanisms put in place to enforce financial laws and regulations regarding suppression of financing of terrorism, physical measures taken to suppress terrorism, effectiveness of law enforcement agencies vis-à-vis counter-terrorism and international cooperation mechanisms put in place to prevent international terrorism. Mr. Richard Barrett, Coordinator of the Analytical Support and Sanctions Monitoring Tram of the 1267 Sanctions Committee visited Pakistan from 5 – 7 May 2007. The Monitoring Team was given an in-depth briefing by Pakistani authorities. The Team acknowledged the continued substantial contribution being made by Pakistan in the fight against terrorism. Other related visits were by Ambassador Cecilia Ruthstrom-Ruin Swedish Coordinator on Anti-terrorism from 5 – 6 February 2007, followed by another one i.e. a EU delegation headed by Mr. Gijs de Varies, EU CounterTerrorism Coordinator from 7-9 February 2007. A visit by a Japanese st 97 Foreign Office Year Book 2006-07 delegation, led by Ambassador Akio Suda Ambassador Incharge of International Counter Terrorism cooperation took place in April 2007. They attended the first round of Pak-Japan Counter-Terrorism talks, held at the Foreign Office on 5 April 2007. Crime Prevention and Criminal Justice (CCPCJ) CCPCJ held its 16 session in Vienna from 23-27 April 2007. Pakistan, in its th capacity as the chairman of the 16 session of CCPCJ, chaired the session. United Nations Office on Drugs and Crime (UNODC) UNODC held its 50 Session of Commission on Narcotic Drugs in Vienna, Australia from 12-16 March 2007. Pakistan‟s delegation actively participated in the debates. Pakistan called for strengthening UNODC‟s capacity for assisting the member states in their direct demand for drug reduction efforts through public awareness and educations schemes as well as, by establishment of a framework for the treatment and rehabilitation of the victims of drug abuse. UN Peacekeeping Pakistan remains committed to strengthening international peace and security including through contributing in UN peacekeeping efforts. In recognition of their professionalism, Pakistani troops have been deployed in Missions/Operations in Africa, Asia and Europe. Since 1960, Pakistani peacekeepers have served in 28 out of 57 UN Missions. During the year Pakistan remained the largest troop contributor to the UN peacekeeping operations with 10703 troops deployed in over 11 missions. As a prime troop contributor, Pakistan has stressed the need for development of robust rules of engagement applicable uniformly across the missions and for providing clear, realistic and achievable mandates. Pakistan is also host of one of the oldest peacekeeping operations in the form of United Nations Military Observer Group in India and Pakistan (UNMOGIP). UNMOGIP continues monitor the Line of Control. The Pakistan delegation at the United Nations has made several proposals on how to utilize and expand UNMOGIP to promote peace and strengthen confidence-building in Kashmir. Reform of the UN Security Council Pakistan believes that reform of the Untied Nations particularly its Security Council is a major item on the agenda of the UNGA. We are coordinating with like-minded countries in opposing proposals that seek to establish new centres of privilege in the Security Council. Our efforts are focused on increasing the representation of medium and small sized countries in the Security Council and avoiding adoption of any decision that would lead to creation of permanent seats. th th 98 Foreign Office Year Book 2006-07 Human Rights Pakistan is an active member of international fora and organizations dedicated to developing global norms and frameworks on human rights. We believe that promotion and protection of human rights would be predicated on cooperative and problem solving approach rather than coercive actions and targeting of developing and Islamic countries as practiced under the current system. In 2006, Pakistan was elected as one of the initial members of newly constituted Human Rights Council which replaced Commission on Human Rights, where Pakistan served 8 three-year terms since 1947. We are also a coordinator on human rights and humanitarian issues of the OIC in Geneva. In this capacity, we assisted other Islamic states which were being politically targeting on human rights issues. Islamophobia In various UN bodies including the Human Rights Council and the Third Committee of the UNGA, Pakistan voiced concern over the growing trend of Islamophobia and defamation of Islam and Muslims and stressed the need to evolve a global strategy to address instances of religious intolerance. Our initiative i.e. a UNGA resolution on combating defamation of religions with particular focus on Islam was once again voted in favour by the General Assembly in February 2007. Interfaith Dialogue Pakistan believes that tolerance for cultural, ethnic, religious and linguistic diversities, as well as interfaith dialogue is essential for sustainable peace and security. Pakistan‟s initiative of „Enlightened Moderation‟ is, inter-alia, aimed at promoting interfaith dialogue and harmony. We co-sponsored a resolution entitled “promotion of Inter-religious and Intercultural Dialogue, st Understanding and Cooperation for Peace” in the 61 Session of the United Nations General Assembly, which was adopted by consensus. Pursuant to the resolution, a high-level dialogue on inter-religious and intercultural cooperation for the promotion of tolerance, understanding and universal respect on matters of freedom of religion or belief and cultural diversity will be held in October 2007. Our efforts further strengthened Pakistan‟s image as a dynamic, progressive and moderate Islamic state. Economic and Social Council of the United Nations (ECOSOC) Pakistan continued with its high-profile role in the multilateral system and efficiently promoting its interests in the UN bodies like Economic and Social Council (ECOSOC) and its subsidiary organs. Pakistan served as the President of ECOSOC for the year 2005-06. Last year, the Group of 77 & China, a major organization of developing states elected Pakistan as its Chair for the current year. The Organization plays a key role in decision making on economic issues in ECOSOC. 99 Foreign Office Year Book 2006-07 This year ECOSOC held its Substantive Session in Geneva. Mr. Hamid Yar Hiraj, Minister of State for Commerce, led the Pakistan delegation, as well as represented the Group of 77 & China in the Session. The Substantive Session launched two new functions i.e. Annual Ministerial Review (AMR) and Development Cooperation Forum (DCF). These two new initiatives had been agreed during Pakistan‟s Presidency of ECOSOC in 2005 and were translated into reality for the first time during the present ECOSOC Session. The main purpose of the AMR is to review the status of implementation of various commitments made at various UN conferences on economic and social issues and to identify the gaps and successes at the national level and at the level of the development partners. As the Chairperson of G-77 & China, Pakistan effectively steered the formulation of G-77‟ position on climate change, which called for addressing this issue under the overall theme of sustained economic growth and development, in line with the principles of common but differentiated responsibilities. Following a protracted discussion, G-77 managed to reflect its position in the Ministerial Declaration. It is expected that climate change will continue to dominate ECOSOC discussions in years to come. 24 Session of UNEP Governing Council and Global Ministerial Environment Forum (GC/GMEF) The 24 session of UNEP Governing Council/Global Ministerial Environment Forum (GC/GMEF) was held in Nairobi from 5-9 February 2007. Federal Minister for Environment, Makhdoom Syed Faisal Saleh Hayat led Pakistan‟s delegation. Pakistan remained actively engaged and steered negotiations on its various decisions on behalf of the G-77 and China. 26 Session of the Subsidiary Bodies of the United Nations Framework Convention on Climate Change (UNFCCC) The United Nations Framework Convention on Climate Change (UNFCCC) th organized the 26 Session of its Subsidiary Bodies in Bonn from 7-18 May th 2007. This was a preparatory meeting to 13 session of the Conference of Parties (COP-13) of the Convention and third Conference of the Parties to Kyoto Protocol which is to be held in Indonesia later in 2007. In its capacity as G-77 & China, Pakistan coordinated the position of the Group during the negotiations. 15 Session of the Commission on Sustainable Development The Fifteenth Session of the Commission (CSD-15) was held from 31 April to 11 May State for Environment, Mr. Malik Amin Aslam the session. The High-Level Segment of the May 2007. on Sustainable Development at New York. The Minister of led the Pakistan delegation to Session took place from 9-11 th th th th 100 Foreign Office Year Book 2006-07 During this segment the Ministers held interactive discussions on the themes “energy, climate change, industrial development and air pollution” and cross cutting issues. The Pakistan delegation participated actively in deliberations of all sessions relating to the thematic clusters of human settlements, poverty, nuclear energy and large dams. The delegation made suitable interventions on all issues, highlighting the policies and actions of the Government of Pakistan in meeting its obligations arising out of MDGs and other internationally agreed targets. ---------------------------------------------------------------------- Disarmament During the period under review, Pakistan actively pursued its foreign policy objectives on i) arms control, disarmament and non-proliferation, ii) international and regional peace and security iii) non-discriminatory access to advanced technology for peaceful purposes, including nuclear power generation. In pursuance of the Export Control Act 2004, efforts to further strengthen and improve national export controls continued. The 4 round of Pakistan-India Nuclear CBMs and 3 round of Conventional CBMs were held in Islamabad in April 2006. The next round of these talks will be held in New Delhi in the second half of 2007. However, during the intervening period both sides continued their discussions on regional stability and confidence building measures at various levels. On 21 February 2007, both sides finalized and signed the Agreement on Reducing the Risk From th Accidents Relating to Nuclear Weapons, which was negotiated during the 4 round of Nuclear CBMs talks. i) Establishment of the Strategic Export Control Division (SECDIV) th rd In April 2007, the Prime Minister approved the setting up of a national export control authority and its Oversight Board, pursuant to the Export Control Act 2004. The export control authority has been named as the Strategic Export Control Division (SECDIV) and is being established in the Ministry of Foreign Affairs. The Oversight Board has been constituted to monitor the implementation of the Export Control Act 2004. The SECDIV will formulate and enforce rules and regulations for the implementation of export controls in accordance with the Export Control Act 2004 and also act as a licensing body. The establishment of the SECDIV is a continuing manifestation of Pakistan‟s strong commitment to non-proliferation and its determination to fulfill its national and international export control commitments. 101 Foreign Office Year Book 2006-07 ii) International Engagements on Export Controls The Government of Pakistan is following a policy of constructive engagement with the international community on export control and non-proliferation issues. Pakistan‟s experience indicates that interaction amongst states on export controls leads to better understanding of respective national policies and enhancing the level of mutual confidence. Pakistan recognizes the important role played by export controls for the prevention of proliferation of WMDs, their delivery systems and related technologies and equipment. Pakistan is also of the view that nonproliferation efforts should not hamper international cooperation in the peaceful applications of dual-use technology which is required for economic development and progress of the developing countries, particularly for nuclear power generation under IAEA safeguards. A 7-member delegation of the Missile Technology Control Regime (MTCR) led by its Chairman, Ambassador Manuel Viturro of Spain, visited Pakistan in July 2006. This was the third meeting between the MTCR and Pakistan since 2003. The Pakistan side outlined national export control implementation, and cooperation with a number of countries, which included some MTCR partners for the purpose of sharing procedures and best practices. The MTCR Chairman appreciated Pakistan's non-proliferation commitment and the steps it has taken in this regard. He recalled that Pakistan's export control legislation and its control lists, which inter alia incorporated the MTCR export control lists, had been circulated at Pakistan's request to all MTCR partners. He concluded that discussions between both sides constituted a meaningful and positive basis for further institutionalized interaction. A Pakistan-EU Workshop on Export Controls was held in Islamabad in December 2006. A delegation of export control experts from various EU countries, led by Ambassador Annalisa Giannella, Personal Representative to the EU High Representative Mr. Javier Solana, on WMD Non-Proliferation, participated from the EU side. From the Pakistan side an inter-departmental team of experts attended the workshop. The holding of the workshop was reflective of both sides‟ desire to engage in a forward looking manner in the field of export controls. Pakistan participated in the 14 Asian Export Control Seminar held in February 2007 in Tokyo, Japan. Presentations by the Pakistan delegation on the Pakistan‟s export control system were highly appreciated by the participants. iii) Bilateral Strategic Dialogues th Pakistan holds regular bilateral consultations on strategic issues with the US, UK, Russia, China, and Japan. During the period July 2006 to June 2007 bilateral strategic consultations were held with Japan, China, UK and Russia. The next round of Pakistan-US strategic dialogue will be held in the second half of 2007. 102 Foreign Office Year Book 2006-07 Pakistan-Japan Senior Expert-level Talks on Disarmament and NonProliferation were held in Tokyo in July 2006. During these talks both sides reaffirmed their commitment to non-proliferation and work as partners in this regard. Besides exchange of views on disarmament and non-proliferation issues, matters pertaining to regional and global security were also discussed. Pakistan side underscored the need for maintaining strategic and conventional stability in South Asia. The Japanese side appreciated the efforts being made by Pakistan to strengthen its export controls and expressed its readiness to extend further cooperation in this area. Cooperation in the peaceful uses of nuclear energy also came under discussion. The third round of Pakistan-China Consultations on Arms Control and Disarmament issues was held in Islamabad in October 2006. The talks were held in a very cordial atmosphere reflective of the close friendly relations between the two countries. Both sides expressed satisfaction at the level of bilateral cooperation in various fields and noted the similarity of their approaches to issues of disarmament, non-proliferation and peaceful uses of nuclear energy. Regional and global security matters were also discussed. It was emphasized that non-proliferation, disarmament and arms control issues can be best addressed through multilaterally negotiated, universal and nondiscriminatory regimes. The second round of Pakistan-UK Strategic Dialogue was held in London in October 2006. The two sides held detailed discussions on a wide range of issues including non-proliferation, combating terrorism, counter-narcotics, transnational organized crime, and cooperation in the peaceful uses of nuclear energy. Regional issues including Afghanistan and South Asia were also covered. Fourth meeting of Pakistan-Russia Consultative Group on Strategic Stability was held in Islamabad in February 2007. A wide range of international, regional and bilateral issues were discussed during the meeting. The objective of the discussions was to deepen Pakistan-Russia understanding and cooperation in the multilateral and bilateral spheres. The talks reflected the importance both countries attached to their bilateral relations. iv) Global Initiative to Combat Nuclear Terrorism In June 2007, Pakistan announced its decision to participate in the Global Initiative to Combat Nuclear Terrorism which was jointly announced by the US and Russian Presidents at the July 2006 G8 Summit in St. Petersburg. The Global Initiative aims at developing international cooperation to combat nuclear terrorism. Interested states can join the Global Initiative by endorsing the Statement of Principles of the Initiative and expressing their commitment to implement them on a voluntary basis consistent with their national legal obligations. 103 Foreign Office Year Book 2006-07 Activities of the Global Initiative do not involve the military nuclear programmes of the nuclear weapon states party to the nuclear NonProliferation Treaty (NPT). Likewise, while joining the Initiative, Pakistan declared that the Global Initiative does not cover Pakistan‟s military nuclear facilities or activities. With this understanding, the sponsors of the Initiative welcomed Pakistan‟s participation. Pakistan attended the third meeting of the Global Initiative which was held in Kazakhstan from 11-12 June 2007. Pakistan‟s participation in the Global Initiative is a manifestation of the fact that nuclear security and export control measures in Pakistan are at par with latest international standards and recognition of the important role being played by Pakistan as a partner in global efforts against nuclear proliferation and possible nuclear terrorism. v) Developments at the international fora The Conference on Disarmament (CD) in Geneva, First Committee of the General Assembly in New York, International Atomic Energy Agency (IAEA) in Vienna and the Organization for the Prohibition of Chemical Weapons (OPCW) in The Hague are important international fora, mandated with responsibilities on arms control, disarmament and non-proliferation, where Pakistan‟s active participation is necessitated for safeguarding its interests and reinforcement of its principled positions on related issues. Being the sole legitimate forum for disarmament related negotiations, the Conference on Disarmament (CD) holds great significance for Pakistan. During the period 2006-2007, Pakistan‟s Mission in Geneva, in coordination with a group of like-minded countries, continued its efforts for a balanced programme of work for the CD. Four resolutions tabled by Pakistan were adopted by the First Committee st during the 61 Session of the United Nations General Assembly. These resolution were on i) Regional Disarmament, ii) Conventional Arms Control at the Regional and Sub-Regional Levels, iii) Conclusion of effective international arrangements to assure non-nuclear weapon states against the use or threat of use of nuclear weapons and iv) Confidence-Building Measures in the Regional and Sub-regional context. Through these resolutions, Pakistan obtained the endorsement of the General Assembly of its position on regional approaches to arms control and disarmament and CBMs which Pakistan has long sought to promote in the context of South Asia. IAEA‟s assistance has been playing a valuable role in promoting nuclear applications in various fields in Pakistan. During 2006-07, Pakistan continued its active engagement with the Agency. A number of Pakistani scientists and engineers availed of training opportunities under the IAEA‟s Technical Cooperation Programme. At the same time, under the same programme, a number of foreign experts got training in Pakistan and benefited from Pakistan‟s experience in the peaceful uses of nuclear technology in various fields particularly nuclear medicine, agriculture and industry. 104 Foreign Office Year Book 2006-07 In September 2006, Pakistan was elected to the IAEA Board of Governors for a two-year term from 2006 to 2008. Pakistan chaired the Sixth Review Conference of the Biological Weapons Convention (BWC) held in Geneva in November 2006. During the Review Conference, States Parties to the Convention agreed on a number of important steps for strengthening the implementation of the Convention. The successful conclusion of the Review Conference under the Chairmanship of Pakistan was yet another manifestation of the important role being played by Pakistan at the international level and its commitment to strengthening the multilateral treaty based system governing arms control, disarmament and non-proliferation. ------------------------------------------------------------------------------ ORGANIZATION OF ISLAMIC CONFERENCE (OIC) During the period under review, Pakistan continued to participate actively in the OIC activities and programmes. The main focus has been to make the Organization more effective and dynamic in order to represent the interests of the Muslim Ummah at the global level, and to ensure OIC's support on issues of vital interest to Pakistan, especially on Kashmir dispute. Pakistan attaches great significance to OIC, as a representative organization of 57 Muslim states and the millions of Muslims living as minorities around the world. Pakistan believes that the OIC has the potential to enhance the capacity of Muslim countries to play a significant role in world affairs. The OIC can also be a vehicle of greater economic integration among the Muslim world. The OIC held numerous meetings during the year. Pakistan participated in most of them, providing useful policy inputs. 1. 34 Session of the Islamic Conference of Foreign Ministers (ICFM) th th Pakistan hosted the 34 Session of the Islamic Conference of Foreign Ministers in Islamabad from 15-17 May 2007. All the 57 Members and 5 Observer States (Bosnia & Herzegovina, Central African Republic, Kingdom of Thailand, the Russian Federation and Turkish Cypriot State) attended the event with highest level of participation. The Conference addressed all issues of concern to the Ummah, including Palestine, Lebanon, Iraq, Afghanistan, Cyprus, Sudan, Somalia and Kashmir. It reaffirmed the resolve of the Muslim World to combating terrorism in all its forms and manifestations and stressed the need for addressing its root causes. The theme of the Conference was Peace, Progress and Harmony. The following issues were of particular interest to Pakistan: 105 Foreign Office Year Book 2006-07 i. Jammu & Kashmir dispute The Conference reaffirmed its support to the people of Jammu & Kashmir for their legitimate right to self-determination, in accordance with relevant UN resolutions. Welcoming the visit of the OIC Mission led by Ambassador Ezzat Kamel Mufti, Secretary General‟s Special Representative on Jammu and Kashmir, to Pakistan and Azad Kashmir, it called for full implementation of the recommendations contained in the Mission‟s report. Calling for respect of the human rights of the Kashmiri people and an end to their continuing violations, it urged India to allow the visit of an OIC Fact Finding Mission to the Indian Occupied Jammu and Kashmir, as well as other International Human Rights Organizations with a view to verifying the condition of human rights in Indian Occupied Kashmir. The Meeting of the Contact Group on Jammu and Kashmir, convened on th 15 May 2007 on the sidelines of 34 ICFM, was chaired by Mr. Khurshid M. Kasuri, Foreign Minister and attended by the Turkish, Niger and Saudi delegations. The meeting adopted a Memorandum submitted on behalf of the Kashmiri people as well as a Statement on Jammu and Kashmir. ii. Peace Process between Pakistan and India The Conference expressed its strong support to the ongoing Peace Process between Pakistan and India. It, inter-alia, recognized that implementation of recommendations of the OIC Secretary General‟s Special Representative to Pakistan and Azad Kashmir would facilitate Peace Process between India and Pakistan. It appreciated Pakistan‟s commitment to the ongoing composite dialogue with India. iii. Combating International Terrorism The Conference invited the OIC Ministerial Committee on Combating International Terrorism, comprised of 13 Members, to convene a meeting as soon as possible in order to make the necessary recommendations with regard to fighting international terrorism, to engender the ideal understanding of Islam and its principles, and to coordinate the activities between the OIC and other international and regional organizations concerned with fighting terrorism. 2. Reform and Restructuring of OIC The broad-ranging OIC reform including amending its Charter, providing it with adequate financial resources, well-trained manpower and structural changes in the Secretariat are considered imperative to rejuvenate the Organization, so it can play its role as the sole voice of the Muslim Ummah. Pakistan believes that the way forward is to revitalize OIC, in order to enhance the positive image of the Ummah world-wide and to promoting and strengthening close cooperative relations among the OIC member countries. 106 Foreign Office Year Book 2006-07 Pakistan‟s efforts to strengthen OIC through comprehensive reform and restructuring have received support from other leading members. As Chairman of Islamic Conference of Foreign Ministers, Pakistan seeks to promote Islamic solidarity and brotherhood within the member states as well as harmonious understanding between Islam and other religions. 3. COMSTECH Pakistan hosts the OIC Standing Committee for Scientific and Technological Cooperation (COMSTECH) and the President of Pakistan is its Chairman. With constant efforts Pakistan has been able to transform COMSTECH, into a specialized organ of OIC to serve as a primary vehicle to advance the organization‟s programmes in the fields of Science and Technology. President‟s proposal for mandatory contribution from OIC member states for development of Science and Technology needs to be pursued. 4. Annual Coordination Meeting of OIC Foreign Ministers The Annual Coordination Meeting of OIC Foreign Ministers was held in New York on 25 September 2006 with the Foreign Minister of Azerbaijan in chair. All our formulations relating to South Asia, terrorism, disarmament, Security Council reform and human rights were adopted without any hindrance. Common themes in all the statements were: addressing Islamophobia the Arab-Israeli problem, terrorism and reform of the UN. The Meeting reaffirmed its support to the people of Jammu and Kashmir for their legitimate right to self-determination in accordance with the relevant UN resolutions and the aspirations of the Kashmiri people. It urged India to end human rights violations against the Kashmiri people and allow international human rights organizations to verify the condition of human rights in Indianheld Kashmir. The Meeting also noted with “satisfaction” the determination of Pakistan and India to continue with the “serious and sustained” dialogue to find a peaceful negotiated final settlement of the core issue of Jammu and Kashmir and affirmed its support to several confidence building measures agreed and implemented between the two countries. ---------------------------------------------------------------------------------- SAARC Pakistan‟s policy is to support regional mechanisms that may facilitate confidence building measures, conflict resolution, peaceful settlement of all outstanding issues and socio-economic progress in the region. Pakistan continues to endeavor for achievement of a level playing field in South Asia through various initiatives within the SAARC ambit by hosting meetings and housing SAARC Centers etc. The prevailing conducive atmosphere in South Asia has strengthened the resolve of the SAARC Member countries to build economic synergies that could improve the quality of life of the people of South Asia. The Heads of 107 Foreign Office Year Book 2006-07 State / Government during 14 SAARC Summit on 4 April 2007 at New Delhi also emphasized the need to move from declaratory phase to project implementation phase. Pakistan has played a proactive role to reinvigorate SAARC both by providing substantive inputs and hosting several meetings, including Ministerial level meetings. These meetings were held on a broad spectrum of subjects relating to promotion of regional cooperation in diverse fields, such as Science and Technology, Energy Cooperation, Communication, Information Technology, Media and Trade & Economic matters, etc. Pakistan also organized a number of workshops and symposia on various issues related to SAARC, the most important being the hosting of First Meeting of Inter-Governmental Group on Transport and One-day Consultative Workshop on Regional Poverty Profile (RPP) to finalize SAARC Development Goals (SDG). During the last year, SAARC‟s external linkages have not only expanded but th also strengthened. At the 14 SAARC Summit held in New Delhi, Afghanistan was included as a member state and China, Japan, Republic of Korea, United States, Iran and EU have been given Observers status. During this time, SAARC also witnessed an increased collaboration with ASEAN, ADB and the World Bank. Prime Minister Shaukat Aziz represented Pakistan at the 14 SAARC Summit (3-4 April 2007). The Prime Minister in his inaugural address highlighted the need for making SAARC relevant to the people of South Asia by creating a conducive environment for resolution of disputes, thus decreasing the regional trust deficit. The Prime Minister while reiterating the correlation between security and development presented a five-point roadmap to overcome these limitations: First: To promote an environment of genuine peace and security in South Asia, since there is clearly a direct co-relation between security and development. This requires SAARC to resolve the differences and disputes within and between countries through dialogue and compromise. th th Second: And as a consequence of the first, build mutual trust and confidence, thereby removing the obstacle of the trust deficit which has hampered meaningful cooperation in the region. Third: Reinforce and uphold the principles of peaceful coexistence – especially to ensure respect for sovereign equality among member states of SAARC. Fourth: Build inter-dependencies and sharing of best practices so that we help each other to help ourselves. A shared desire for regional cooperation will not suffice and there was a need 108 Foreign Office Year Book 2006-07 to have real and tangible benefits that accrue equally to all sides in order to make such cooperation possible. Fifth: Promote a level-playing field for a truly effective regional division of labour and production. As a first step, this would require a truly open environment for regional trade – devoid of all types of barriers to free trade. During the Summit Agreements on Establishment of SAARC Food Bank and establishment of South Asian University were signed, their ratification is being finalized by the member states. Pakistan has initiated action on SAFTA Agreement which is operative since st 1 January 2006. Pakistan has also complied with SAFTA and in accordance with the Trade Liberalization Programme, Pakistan has twice reduced tariff lines that have been notified to the SAARC Secretariat and all member states. Pakistan actively participated in SAARC related activities held in other member states both at the Ministerial level and Senior Officials level related to various fields i.e., Finance, Poverty Alleviation and Social Development, SAFTA, Energy, Culture, Science and Technology and Agriculture etc. SAARC Activities Hosted by Pakistan During 2006-07 During the year under review, Pakistan hosted the First Meeting of the SAARC Finance Ministers (Islamabad 10-11 July 2006) and First Meeting of the SAARC Agriculture / Food Ministers (Islamabad – 14 December 2006). Some of the other activities during the period were Second Meeting of the Technical Committee on Science & Technology and Meteorology (Islamabad, 28-29 August 2006), First Meeting of the Governing Board of SAARC Energy Centre (Islamabad, 6-7 November 2006), Seventh Meeting of the Governing Board of SAARC Human Resource Development Centre (Islamabad, 27-28 November 2006), One-day Consultative Workshop to th finalize SAARC Development Goals (Islamabad, 28 December 2006), 4 meeting of the Governing Board of SAARC Consortium on Open and Distance Learning (SACODiL) (Islamabad, 7-8 February 2007) and First Expert Group Meeting on Energy Conservation and Energy Efficiency (Islamabad 23-24 April 2007). ---------------------------------------------------------------------------------- ECONOMIC COOPERATION ORGANIZATION (ECO) As one of the founding Members of ECO, Pakistan continued to participate actively in ECO programmes and activities. Considerable progress was made in setting up ECO‟s financial institutions, including the Trade Development Bank and the Reinsurance Company. The President and the Vice President of the Trade and Development Bank were appointed and initial capital contributions (for the bank) were also made. Negotiations on 109 Foreign Office Year Book 2006-07 establishment of the Reinsurance Company, which will be based in Pakistan, were also finalized. The two institutions are expected to commence operations shortly. During the year, Pakistan hosted the following ECO events: S. No. 1 Event Regional Workshop on Water Demand Management Policies for Agriculture Third ECO Ministerial Meeting on Industries, preceded by Second Meeting of ECO High Level Experts Group on Industries Third ECO Minerals Experts Group Meeting First Regional Workshop on Harmonization of Seed Regulations Third Meeting of ECO Heads of Reference Marine Organizations Second Meeting of Heads of Privatization Administrations and First Meeting of High Level Experts Group on Privatization and Private Sector Development First Meeting of Heads of Central Banks of ECO Member States Experts Meeting on Developing Work Plan on Biodiversity Trilateral Interim Committee Meeting on Establishment of ECO Reinsurance Company Second Experts Group Meeting on Culture and Third Meeting of Board of Trustees of ECO Cultural Institute Dates 5 – 11 November 2006 28 – 30 November 2006 Venue Islamabad 2 Lahore 3 4 20 – 21 December 2006 17 – 19 January 2007 16 – 18 January 2007 10 – 12 April 2007 Islamabad Islamabad 5 6 Karachi Islamabad 7 23 –24 April 2007 24 – 25 April 2007 14 –15 May 2007 21 –22 May 2007 Karachi 8 9 Islamabad Islamabad 10 Islamabad ECO’s Participation in Reconstruction of Afghanistan Pakistan is a leading participant in ECO‟s efforts for reconstruction of Afghanistan. It has pledged $ 5 million for the purpose. Out of this sum $ 1 million were remitted during the year under review to ECO‟s Special Fund for Reconstruction of Afghanistan. These funds, together with contributions from Iran and Turkey, would be utilized for the renovation of public recreational facilities in Kabul. ECO Council of Ministers Meeting, 26 September 2006 110 Foreign Office Year Book 2006-07 Minister of State for Foreign Affairs Makhdum Khusro Bakhtyar represented Pakistan at the ECO Council of Ministers meeting held in New York on 26 st September 2006, on the sidelines of the 61 . Annual UN General Assembly Session. Third ECO Ministerial Meeting on Industries, 30 November 2006 The Third ECO Ministerial Meeting on Industries was held in Lahore on 30 November 2006. The meeting finalized ECO‟s strategy for promoting regional cooperation in the industrial sector, as well as plans of action for development of SMEs and industrial property rights. The Lahore Declaration issued at the conclusion of the meeting reaffirmed ECO‟s resolve to strengthen cooperation in the industrial sector to enhance Member States‟ competitiveness in global markets. The Lahore Meeting coincided with the fourteenth anniversary of ECO‟s expansion in 1992, from a tripartite body to a ten-member regional grouping. In his message to the ECO family on the occasion, Prime Minister Shaukat Aziz reaffirmed Pakistan‟s commitment to the Organization and its objectives. ECO Secretary General Mr. Khurshid Anwar, Additional Secretary, Ministry of Foreign Affairs, Pakistan, assumed the office the Secretary General of ECO in August 2006. ---------------------------------------------------------------------------- ASIA-EUROPE MEETING (ASEM) Pakistan‟s longstanding desire to become member of Asia-Europe Meeting (ASEM) was materialized in September 2006. In June 2007, the Foreign Minister of Pakistan, Mr. Khurshid M. Kasuri, participated in the Eighth ASEM Ministerial Meeting in Germany. This was our first Ministerial-level interaction with ASEM after becoming its member. It is useful indeed to be part of a dialogue process between two major blocks of the world. ASEM was founded in 1996, and during the past 11 years its membership has grown from 26 to 45. Now it comprises 27 EU members, 10 ASEAN members, six other Asian members, viz., China, India, Japan, Mongolia, Pakistan and the Republic of Korea, the EU Commission and the ASEAN Secretariat. It represents around 50% of world GDP, 58% of the global population, and 60% of international trade. ASEM provides an informal forum for exchange of views on political, economic and social/cultural/intellectual issues. With the evolution of ASEM, it has shifted its focus to current foreign policy and security issues, climate change and socio-political subjects such as work, employment and education, information and communications technology, and interfaith dialogue, etc. It is a unique cooperation framework as it does not have a permanent Secretariat and works through a virtual Secretariat 111 Foreign Office Year Book 2006-07 ASEM also offers tremendous economic incentives to Trust Fund (ATF), for instance, provides substantial training on financial sector reforms and social policy members. Such institutional mechanisms can significance for a developing country like Pakistan. its members. ASEM technical advice and reforms to all ASEM be of considerable Asia-Europe Foundation (ASEF) is another institutional arrangement under the framework of Asia-Europe Meeting (ASEM), charged with the mandate to promote mutual understanding, deeper engagement and collaboration among the people of Asia and Europe through greater intellectual, cultural and people to people exchanges. We have recently made a voluntary contribution of US $ 40,000 to ASEF budget for 2007. Pakistan has also nominated its Governor on the ASEF Board of Governors. ************************************************************ 112 Foreign Office Year Book 2006-07 VIII. ECONOMIC AND COMMERICAL RELATIONS akistan‟s economy has had yet another year of solid growth in 20062007 maintaining the upbeat economic momentum. Economic growth was at 7 percent in 2006-07 at the back of robust growth in Agriculture, Manufacturing and Service sectors. Pakistan‟s real GDP has grown at an average rate of 7 percent per annum during the last five years (2003-07) and over 7.5 percent in the last four year (2004-07). This puts Pakistan as one of the fastest growing economies in the region. P The good performance has resulted from a combination of generally sound economic policies and on-going structural reforms. Pakistan is in the midst of its strongest economic expansion phase and its growth momentum is broadbased. All the three major sectors, namely, agriculture, industry and services have provided support to the strong economic growth. Pakistan has one of the highest per capita incomes in South Asia, which grew by 11 percent in 2006-07 to US$ 925 up from US$ 833 last year. The economy has doubled in 5 years with a phenomenal increase in exports (from US$ 7.8 billion in 1998-1999 to US $17 billion in 2006-07). Foreign Investment has touched it‟s highest ever level of US$ 8.4 billion (FDI US$ 5.1 billion) in 2006-07. All sectors of the economy are open for investment by foreign investors. Pakistan offers 100% equity to foreign investment with the facility of repatriation of capital and profit on investment. Foreign Exchange Remittances, which are the third largest source of foreign exchange inflows in the country, totaled US$ 5.5 billion in 2006-07– the highest ever in the country‟s history. WORLD ECONOMIC FORUM (WEF) The World Economic Forum (WEF) is an independent international organization with the stated aim to “improving the state of the world by engaging leaders in partnerships to shape global, regional and industry agendas”. Pakistan has been actively participating in WEF activities at the highest political level since early 90s. Pakistan's participation in the WEF has been helpful in advancing it's political and economic interests. Prime Minister Shaukat Aziz attended two events of the Forum in 2007 i.e. “WEF Annual Meeting” in Davos (January 2007) and the “WEF in the Middle East” (May 2007). Annual Meeting at Davos The Prime Minister attended the World Economic Forum (WEF) annual meeting at Davos, form 24-28 January 2007. This year‟s theme was “The Shifting Power Equation” reflecting the elements expected to shape the 113 Foreign Office Year Book 2006-07 global agenda in 2007. Over 2,000 global leaders from politics, business, academia, the media and civil society gathered to address these concerns and build effective, innovative communities needed to create new approaches in the spirit of global citizenship. The Prime Minister‟s engagements at Davos included a breakfast meeting with Council of 100 Leaders (West-Islamic World Dialogue), participation in plenary sessions on “Comprehensive Response to Terrorism” and “Stopping the Spread of Nuclear Weapons” and a Panel discussion on “Women‟s Empowerment and World Leaders: Narrowing the Global Gap”. The Prime Minister also had a Luncheon meeting with leading Business Leaders/CEO‟s. In addition, the Prime Minister held bilateral meetings with several Heads of State and Government. The Prime Minster met the Swiss President, Prime Ministers of Malaysia, Egypt, Vietnam and Ukraine; former President of Iran Syed Mohammad Khatami; IAEA Director General Mohammad EI-Baradei; Arab League Secretary General Amre Moussa and Leader of British Conservative Party David Cameron. Besides, Prime Minister Shaukat Aziz co-hosted a WEF session on women‟s empowerment with the Presidents of Finland, Lativa and Liberia. The Prime Minister also held talks with World Bank President Paul Wolfowitz and President Asian Development Bank Haruhiko Kuroda. The Prime Minister met sixteen Chairmen/CEOs including Carlyle Group, Nestle, JP Morgan, Barclays, Metro, Unilever, Citigroup, Siemens and Nike. He hosted a luncheon for 35 business leaders and addressed a breakfast meeting of more than one hundred policy makers and business leaders. All the participants showed keen interest in enhancing or initiating their investment in Pakistan. WEF on the Middle East, Jordan Prime Minister Shaukat Aziz attended the WEF on the Middle East in Jordan on 18-20 May 2007. He chaired the special sessions of Political and Economic Leaders on finding ways to resolve the ongoing Middle East crisis. He was also a keynote speaker in the plenary session on “Stability in the Middle East”. During his discourse, the Prime Minister called for unity among Muslims and for recognition of the Palestinian issue as being central to stability in the world. The Prime Minister informed the political and economic leaders that as a country of 160 million people, strategically located at the crossroads of three important regions, South Asia, Central Asia and the Middle East, Pakistan was playing pivotal role for international peace and stability. He referred to Pakistan‟s key role against terrorism, promoting peace and stability in Afghanistan and dialogue with India to resolve the core dispute of Kashmir as a factor for global and regional stability. The Prime Minister highlighted his government‟s comprehensive reforms policies based on de-regulation, liberalization and privatization, due to which the size of the economy and the per capita income had doubled over the past four years. 114 Foreign Office Year Book 2006-07 The Prime Minister held bilateral talks with the Jordanian King and Prime Minister. The two sides expressed their commitment to take the existing excellent state of relations to a higher level through realizing the full potential for economic and trade cooperation. While in Jordan, the Prime Minister also held bilateral meetings with the President of Sri Lanka and the Prime Minister of Morocco. Second G-11 Summit, Dead Sea, Jordan On the sidelines of the WEF in the Middle East meeting, Prime Minister Shaukat Aziz attended the Second G-11 Summit on 19 May 2007 at the Dead Sea in Jordan. The meeting was aimed at further promoting the substantive aspects of the G-11 Initiative and to help move it forward. The member countries discussed ways and means on the proposed strategy for institutional cooperation between the G-11 and the G-8. The Summit adopted a white paper by consensus identifying specific steps for achievement of the G-11 objectives. In his statement, the Prime Minister underscored the need for continuing reforms to ensure economic growth and social progress and called for greater partnership between the G-11 and G-8 countries through better market access, transfer of technology, investment promotion and joint ventures. He also emphasized the need for enhanced cooperation among the G-11 countries and pursuit of coordinated positions in the global economic arena. King Abdullah of Jordan first raised the idea of setting up a common platform for enhanced development cooperation and for soliciting additional support from the donor community for the Lower Middle Income Countries. The Jordanian initiative was premised on the assumption that Lower Middle Income Countries were on the verge of economic take-off and needed intensified support from the donor community to accelerate this transition. Besides Jordan and Pakistan, other members of the G-11 initiative include Indonesia, Sri Lanka, Morocco, Georgia, Croatia, El Salvador, Ecuador, Honduras and Paraguay. President General Pervez Musharraf had represented Pakistan in the first G-11 Summit in New York on 20 September 2006. ------------------------------------------------------------------------------- WORLD ISLAMIC ECONOMIC FORUM (WIEF) Second WIEF The second World Islamic Economic Forum was held in Islamabad on 5-7 November 2006. The Forum is convened by the WIEF Foundation, a nonprofit organization aimed at strengthening cooperation among Muslim businessmen worldwide. The Prime Minister of Malaysia, Mr. Abdullah Ahmad Badawi is the Patron of the Foundation. The Asian Strategy and 115 Foreign Office Year Book 2006-07 Leadership Institute (ASLI), a Malaysian think-tank, functions as the forum‟s secretariat and organizes the event. The inaugural meeting of the forum was held in Malaysia in October 2005. The theme of the Second WIEF was “Unleashing the Potential of Emerging Markets”. Prominent foreign participants included Malaysian Prime Minister Mr. Abdullah Badawi, former Australian Prime Minister Mr. Bob Hawke and former Sri Lankan President Mrs. Chandrika Kumaratunga. In his opening keynote address “The Way Forward for Muslim Economic Renaissance” Prime Minister Shaukat Aziz stressed upon the need for unity within the Muslim world in order to move forward and harness it‟s economic potential. Malaysian Prime Minister Mr. Abdullah Badawi delivered the special keynote address on “Enhancing Global Competitiveness and Trade among Muslim countries”. He also participated in the keynote leadership panel on the topic of “Challenges for Muslim Leadership in a Globalized World”. He described the WIEF as the "economic face of the OIC". The Declaration issued at the conclusion of the 2 WIEF reiterated the need to continue facilitating networking and strategic alliances with non-Muslim entrepreneurs to forge viable business partnerships; appreciated the importance of public-private partnerships manifested in the crucial ties between governments and the private sector in the Muslim world. It also called upon all OIC countries to provide their fullest support to the WIEF and its programmes, while continuing to find ways to create a conducive environment for business, facilitate the movement of capital, people and trade flows within and between OIC countries, strengthen and consolidate the Islamic banking and finance industry, and accelerate regional cooperation towards the establishment of an Islamic Free Trade Area (IFTA). Third WIEF The Federal Minister for Privatization & Investment, Mr. Zahid Hamid led the rd Pakistan delegation in the 3 World Islamic Economic Forum, held in Kuala rd Lumpur from 27-29 May 2007. The theme of the 3 WIEF was “Innovation in the Muslim World  Innovating New Solutions for the Betterment of Society”. ------------------------------------------------------------------------------nd WTO- CAIRNS GROUP The 31 Cairns Group Ministerial Meeting was held in Lahore on 16-18 April 2007. The Conference was chaired by the Australian Minister for Trade in the Department of Foreign Affairs & Trade, Mr. Warren Truss and co-chaired by Pakistan‟s Minister for Commerce, Mr. Humayun Akhtar Khan. The Ministers issued the Lahore Communiqué as well as the Lahore Agenda. The Communiqué called for high level political engagement from all members of WTO to deliver on the Doha Development Agenda and expressed the Group‟s commitment to securing an ambitious and successful st 116 Foreign Office Year Book 2006-07 conclusion of the Doha Round. The Ministers reiterated that the Round would not be successful without a substantial package of reforms on agriculture and called on the members responsible for the greatest distortions in global agricultural trade i.e. EU, US and Japan to do much more to give effect to the far-reaching mandate for agriculture reform. On the three pillars – market access, domestic support and export competition – including special and differential treatment provisions, the Communiqué called for sufficiently deep and substantial cuts in all tiers of tariff and over all trade distorting support, and end to all forms of export subsidies. The Lahore Agenda expressed the Group‟s resolve to continue its outreach to urge flexibility to those with highest level of support and export protection. The Ministers instructed the officials to find practical and affective means to improve monitoring and surveillance of domestic support commitments, to continue work on monitoring and analysis of domestic support reforms through the US Farm Bill and through scheduled reforms of the EU Common Agriculture Policy, and to give affect to the Group‟s interest in strong rules to ensure the elimination of all forms of export subsidies. In its capacity as co-chair, Pakistan played an active part in the deliberations and discussions leading to the finalization of Lahore Communiqué and Lahore Agenda. ------------------------------------------------------------------------------- DEVELOPING-8 GROUP (D-8) The Developing 8 (D-8) Group was established in 1997 at the initiative of former Turkish Prime Minister Necmettin Erbakan and includes Pakistan, Egypt, Iran, Turkey, Bangladesh, Malaysia, Indonesia and Nigeria. The D-8 is an institutionalized cooperative mechanism that seeks broader and deeper economic cooperation amongst the member states to enhancing and accelerating the socio-economic development of the member countries. Pakistan takes a lead in organizing D-8 related events and meetings and also actively participates in the D-8 Commission and other meetings held in D-8 member states. Pakistan hosted the following D-8 meetings during the period under review i) Seventh and Eighth High Level Trade Officials (HLTO) Meetings th The 7th and 8 meetings of High Level Trade Officials (HLTO) of D-8 countries were held in Islamabad, on 18-19 December 2006 and 3 – 4 May th 2007 respectively. Delegations from all member states attended the 8 th meeting while Bangladesh and Nigeria could not participate in the 7 meeting. The meetings considered the Revised Draft of Rules of Origin tabled by Pakistan along with the amendments proposed by other members. Most issues were settled by consensus except a few provisions. It was agreed that all members would send their list of products under the D-8 PTA to the D-8 Secretariat for circulation among the members and finalization in 117 Foreign Office Year Book 2006-07 the next meeting. The participants reaffirmed their resolve to conclude the Rules of Origin and Offer List by the end of 2007. ii) Workshop on Data Collection, Classification and Management of SMEs A two-day workshop on Data Collection, Classification and Management of Small and Medium Enterprises of D-8 countries was organized by the Ministry of Foreign Affairs with the help of the Small and Medium Enterprises Development Authority (SMEDA) on 12-13 March 2007 at Islamabad. The workshop was attended by delegates from Indonesia, Malaysia, Nigeria, and Turkey besides Pakistan. Iran, Egypt and Bangladesh were represented by officials from their embassies. The participants discussed ways to develop a system of data collection, classification and sharing among the Group aimed at forging co-operation to diversify and create new opportunities in trade relations and enhance participation in decision making. The participants agreed that the D-8 countries' collective trade share could be increased further through realizing the importance of SMEs and their contribution to economic growth, employment generation and poverty eradication. D-8 Commission The Commission is the executive organ of D-8. It comprises senior officials appointed by their respective Governments as Commissioners. The Commission is responsible for preparation of the Work Programme and Agenda of the Council, as well as the draft decisions to be submitted to the Council for consideration. Meetings of the D-8 Commission held during the period under review are as under:  21st Session of D-8 Commission, New York, 19 September 2006.  22nd Session of D-8 Commission, Jakarta, 11-12 November 2006.  23rd Session of D-8 Commission, Jakarta, 28-29 May 2007. D-8 technical meetings held in other countries during this period are as below:    21st Session of D-8 Commission, New York, 19 September 2006. 22nd Session of D-8 Commission, Jakarta, 11-12 November 2006. First Meeting on Ecotourism, Tehran, 13 November 2006. 118 Foreign Office Year Book 2006-07    Capacity Building Programme on Dispute Settlement on Trade, Investment and Intellectual Property Rights, Jakarta, 27-29 April 2007. 3rd meeting of the Working Group on Industry, Kuala Lumpur, 22–23 May 2007. 23rd Session of D-8 Commission, Jakarta, 28-29 May 2007. ------------------------------------------------------------------------------- WORLD INTELLECTUAL PROPERTY ORGANIZATION (WIPO) As a member of the World Trade Organization (WTO), Pakistan is under obligation to update its Intellectual Property Legislation in keeping with the requirements of the TRIPS Agreement. Upgradation of IP legislation was also in the national interest for strengthening the enabling environment for trade promotion and investment attraction in the country by elimination of IP crime i.e. piracy and counterfeiting. Accordingly, the Intellectual Property Legislation has been revamped to meet WTO requirements and TRIPS compliant laws have been put in place. A focal organization IPO-Pakistan has been established for integrated management of IP in Pakistan. Mainstreaming of IP and institutionalization of enforcement by the Government of Pakistan are widely acknowledged and appreciated abroad as well as at home. IPO Pakistan participated regularly in WIPO seminars and workshops held in 2006-07. ------------------------------------------------------------------------------- SPECIAL TECHNICAL ASSISTANCE PROGRAMME (STAP) Under the Special Technical Assistance Programmes for Africa and Central Asian Republics, the Ministry of Foreign Affairs organized two diplomatic courses at the Foreign Service Academy, Islamabad during the financial year 2006-07. 79 diplomats of countries from Africa, Central Asia and Asia Pacific availed of these courses. ------------------------------------------------------------------------------- ASIA COOPERATION DIALOGUE (ACD) Pakistan is a founding member of Asia Cooperation Dialogue. ACD was launched in 2002 in the aftermath of Asian financial crises. Since its inception, ACD has grown significantly in terms of its membership as well as activities. ACD currently comprises 30 countries from East to West Asia. Its mechanism has two dimensions i.e. dialogue and projects. 119 Foreign Office Year Book 2006-07 ACD mechanism functions in a manner that the member countries volunteer to become prime movers of concept papers in the area of cooperation that best matches their expertise and interests. Project cooperation proceeds on a voluntary basis and does not require a consensus from all ACD countries. Pakistan is also a prime mover on the concept of establishing an Asian Institute of Standards. Pakistan has been endeavouring to establish and strengthen links between the Standard Institutes of the ACD countries. In this regard, the Ministry of Science and Technology has drafted the Mutual Recognition Agreement (MRA) for possible cooperation amongst the ACD countries in the field of standards. The MRA has been disseminated to the ACD member countries for their views/inputs. During the Sixth ACD Ministerial Meeting in Seoul in June 2007 Pakistan urged the member countries for speedy feed back on the MRA. Apart from standardization, Pakistan is also a co-prime mover in the ACD concept papers on Tourism and Agriculture. Several ACD inter-sessional and follow-up meetings are organized every year for regular consultations among ACD member countries. These include ACD Ministerial Meetings, ACD Breakfast Meetings held on the sidelines of the UN General Assembly, ACD Senior Officials Trips to ACD capitals, ACD Ambassadorial Retreats. Over the years Pakistan has actively participated in all these events. Pakistan‟ Minister of State for Foreign Affairs attended the Sixth ACD Ministerial meeting at Seoul on 4-5 June 2007. At this meeting Pakistan was included in High-level Study Group for review and appraisal of ACD process. Pakistan is to host Second ACD Energy Forum in Islamabad on 3-4 September 2007. Energy Ministers of the member countries are expected to participate in the Forum. ************************************************************* 120 Foreign Office Year Book 2006-07 IX. FOREIGN OFFICE’ PUBLICATIONS T i) he Ministry of Foreign Affairs, Government of Pakistan, compiles and disseminates the following publications on a regular basis: Journal “Foreign Affairs Pakistan” It is a collection of documents related to foreign affairs of the country e.g. speeches, statements, interviews, visits, messages, press releases, transcripts of spokesman‟s press briefings, agreements, joint press releases, joint communiqué‟s etc. The journal was launched in 1974 and now it is th running into the 34 year of continuous publication. Its mailing list includes our Missions abroad, major public libraries, Area Study Centers, Universities, Federal Ministries/Divisions, Provincial Governments and senior officers in the Foreign Office. ii) Year Book The Year Book seeks to encapsulate in one volume a brief account of Pakistan‟s relations with the rest of the world during the year under review. The mailing list for the Year Book is quite extensive and includes our Missions abroad, Foreign Missions in Islamabad, major public libraries, Area Study Centers, Universities, Federal Ministries/Divisions, Provincial Governments, all officers of the Ministry of Foreign Affairs, Retired Ambassadors, intellectuals and media persons; besides, one hundred copies to the Cabinet Division. The Ministry is also obliged to send a copy of the Year Book for the perusal of the Prime Minister. The Year Book of the Ministry of Foreign Affairs was launched in 1997 and the present one is 10th of the series. iii) Joint Communiqués 1947-1997 (2 Volumes) It is a collection of joint communiqués that Pakistan signed with the various countries since its independence on 14 August 1947. The work has been divided into two volumes: Volume-I, 1947-76 and Vol.-II, 1977-97. The two volumes are spread over 834 pages and contain a total of 471 joint communiqués/joint statements. The collection has been highly appreciated by diplomats, scholars and the media. Daily “The Nation” titled the review of the publication as “Well Done Foreign Office”. The Sri Lankan High Commissioner visited us for guidance as his government was also interested in compiling a similar publication. We have started working on the third volume (January 1998 onward), and the collection exercise is in progress. 121 Foreign Office Year Book 2006-07 iv) Transcript of Foreign Office Spokesman’s Weekly Press Briefing An edited transcript of Foreign Office Spokesman‟s weekly press briefing is prepared and faxed/e-mailed to all our Missions abroad, besides dispatch to senior officers at the Headquarters and other government agencies/departments. It provides guidance to our Missions abroad with regard to official position on various current issues. It is also placed on the website of the Ministry of Foreign Affairs, and can be visited at: www.mofa.gov.pk v) Pakistan Treaty Series The Ministry has recently undertaken a project, which aims at printing all the agreements/treaties Pakistan signed with the various countries since its coming into being on 14 August 1947. It is a huge undertaking, involving compilation and printing of about 10/12 volumes of 600/700 pages each. The first volume of the “Pakistan Treaty Series 1947-53”, has been published and very well received by diplomats, media, researchers and academicians. The second volume of the “Pakistan Treaty Series 1954-60” of the series will be out shortly. These publications are quite useful and serve as source material to those interested in the foreign affairs of the country. Diplomats, researchers, scholars and media people invariably turn to these publications while looking for a speech, statement, high-level visit from and to Pakistan, joint communiqué/joint statement, message and agreement etc. They keep on inquiring about the latest position of various publications, insisting on their updating. All these publications are being managed by the Research Division of the Ministry, headed by Mr. Riaz Ahmed Syed, Director General. For further information, queries and suggestions, he can be contacted at: Ph: 0519207943 and e-mail address riaz.syed@mofa.gov.pk *************************************************** 122 Foreign Office Year Book 2006-07 X. VARIOUS CONSTRUCTION PROJECTS HOME/ABROAD New Office Block T he Foundation Stone laying ceremony of the new Block of the Ministry of Foreign Affairs was performed by the Prime Minister on 18 October 2004. After completing the time consuming pre-construction formalities, the groundbreaking ceremony was performed by the Foreign Minister on 24 August 2005 which marked the commencement of work on the site. The construction, with an estimated cost of Pak Rs.560 million is expected to be completed by October 2007. The project is being funded through Public Sector Development Program (PSDP). The project which had remained on the drawing board for decades, materialized after it received the support of the President who remains convinced that for the efficient functioning of this important Ministry, congenial working conditions have to be provided. The New Block would provide the much needed space of about 200 rooms and necessary ancillary facilities like meeting rooms, a library, archives section, banquet hall and canteens etc. Conference Hall Initially the Conference Hall (referred to as Auditorium in the project documents) was part of the New Block, but in a series of internal review meetings, it was felt that because of its peculiar needs, the Ministry of Foreign Affairs requires a functional/ purpose built Conference Hall in place of an auditorium. The lack of Conference Hall to cater for medium sized conferences like OIC Ministerial Meetings in Islamabad was a major consideration in this regard. The security concerns also required that such facility should not be part of the New Block and built at separate location. The Conference Hall, with its allied facilities, would be the first of its kind and meet the growing demand for conference services in the capital. It would be able to accommodate sixty delegations and three hundred delegates. The construction, with an estimated cost of Pak Rs.110 million is expected to be completed by October 2007.The Hall would also be available to other government Ministries/ Divisions and non-government organizations. Others  All the pre-construction formalities in respect of Hostel for Trainees of Foreign Affairs Training Academy at F-5/2, Islamabad completed during the financial year 2006-07 and the construction work started on 02 July 2007. 123 Foreign Office Year Book 2006-07  Abroad Pre-construction formalities of the Foreign Office School in Sector H11/4, Islamabad, also commenced during the year under review. The following buildings were constructed/purchased during the year 2006-07:      Embassy Complex at the Embassy of Pakistan, Jakarta. Embassy Residence at the Embassy of Pakistan, Vienna. Embassy Residence at Pakistan Permanent Mission to the UN, Geneva. Chancery Building, Consulate General of Pakistan, Frankfurt. The construction of Chancery Building and apartments for the officials has been completed at the Embassy of Pakistan, Bangkok. The construction of the Ambassador‟s and officers‟ residences is in progress. construction of The pre-construction formalities are underway for Government owned buildings in the following Missions: -       Embassy Complex at Bahrain. Embassy Complex at Brunei Darussalam. Embassy Complex at Canberra Embassy Complex at Doha. Embassy Complex at Kathmandu. Construction of Residential Complex (Officers‟ accommodation) at the High Commission of Pakistan, New Delhi. ******************************************************** 124 Foreign Office Year Book 2006-07 XI. DIPLOMATIC MISSIONS ABROAD P akistan maintains 114 diplomatic missions abroad, of various levels. They are divided in five categories as listed below: Ambassadorial level Missions Cd'A level Missions Consulates General Consulates 84 01 17 17 Missions headed by other Ministries Total 05 114 Ambassadorial Level S.No. Name of Country 1. 2. 3. 4. 5. 6. 7. 8. 9. 10. 11. 12. 13 14. Afghanistan Algeria Argentina Australia (HC) Austria Azerbaijan Bahrain Bangladesh (HC) Belgium Bosnia Herzegovina Brazil Brunei Darussalam(HC) Cambodia Canada (HC) Place of Mission Kabul Algiers Buenos Aires Canberra Vienna Baku Bahrain Dhaka Brussels Sarajevo Brasilia Bander Sri Begawan Phnom Penh Ottawa 125 Foreign Office Year Book 2006-07 15. 16. 17. 18. 19. 20. 21. 22. 23. 24. 25. 26. 27. 28. 29. 30. 31. 32. 33. 34. 35. 36. 37. 38. 39. 40. 41. China Cuba Czech Republic Denmark Egypt Ethiopia France Germany Greece Hungary India(HC) Indonesia Iran Iraq Ireland Italy Japan Jordan Kazakhstan Kenya (HC) Democratic People‟s Republic of Korea Republic of Korea Kuwait Kyrgyzstan Lebanon Libya Malaysia(HC) Beijing Havana Prague Copenhagen Cairo Addis Ababa Paris Berlin Athens Budapest New Delhi Jakarta Tehran Baghdad Dublin Rome Tokyo Amman Almaty Nairobi Pyongyang Seoul Kuwait Bishkek Beirut Tripoli Kuala Lumpur 126 Foreign Office Year Book 2006-07 42. 43. 44. 45. 46. 47. 48. 49. 50. 51. 52. 53. 54. 55. 56. 57. 58. 59. 60. 61. 62. 63. 64. 65. 66. 67. 68. 69. Maldives (HC) Mauritius (HC) Mexico Morocco Myanmar Nepal Netherlands New Zealand Nigeria (HC) Norway Oman Philippines Poland Portugal Qatar Romania Russian Federation Saudi Arabia Senegal Serbia Singapore (HC) South Africa (HC) Spain Sri Lanka (HC) Sudan Sweden Switzerland Switzerland (UN) Male Port Louis Mexico City Rabat Yangon Kathmandu The Hague Wellington Abuja Oslo Muscat Manila Warsaw Lisbon Doha Bucharest Moscow Riyadh Dakar Belgrade Singapore Pretoria Madrid Colombo Khartoum Stockholm Berne Geneva 127 Foreign Office Year Book 2006-07 70. 71. 72. 73. 74. 75. 76. 77. 78. 79. 80. 81. 82. 83. 84. Syrian Arab Republic Tajikistan Thailand Tunis Turkey Turkmenistan UAE UK (HC) Ukraine USA USA (UN New York) Uzbekistan Vietnam Yemen Zimbabwe (HC) Damascus Dushanbe Bangkok Tunisia Ankara Ashgabat Abu Dhabi London Kiev Washington New York Tashkent Hanoi Sana'a Harare (HC stands for High Commission) Charge Affaire’s Level S.No . 1. Name of Country Place of Mission Niamey Niger Consulate-General Level S.No . Name of Country Place of Mission Jalalabad Kandhar Mazar-e-Sharif 1. Afghanistan 2. Afghanistan 3. Afghanistan 128 Foreign Office Year Book 2006-07 4. Afghanistan 5. Canada 6. Canada 7. China 8. China 9. Germany 10. Italy 11. India 12. UK 13. Saudi Arabia 14. Spain 15. UAE 16. USA 17. USA Herat Toronto Vancouver Chengdu Guangzhou Frankfurt Milan Mumbai Manchester Jeddah Barcelona Dubai New York Los Angeles Consulate Level S.No . 1. 2. 3. 4. 5. 6. 7. Name of Country Iran Iran UK UK UK USA USA Place of Mission Zahidan Meshed Bradford Birmingham Glasgow Chicago Houston 129 Foreign Office Year Book 2006-07 Missions headed by other Ministries S.No . 1. 2. 3. 4. 5. Name of Country Australia Canada Hong Kong Turkey China Place of Mission Sydney Montreal Hong Kong Istanbul Shanghai ******************************************************** 130 Foreign Office Year Book 2006-07 XII. BUDGET AND ADMINISTRATION OF FINANCES Salient Features T he total outlay of budgetary allocation of the Ministry of Foreign Affairs for the financial year 2006-07 was Rs.7,112,934,000. The allocation comprises four Demands as listed under:52 53 54 – Foreign Affairs Division (Main HQ‟s) – Foreign Affairs (Missions) – Other Expenditure of Foreign Affairs Division 164 – Capital Outlay on Works of Foreign Affairs Division Brief of Demands Demand No. 52 –Headquarter It caters for the expenditure at Headquarter i.e including CAO‟s office, Disarmament Cell, Afghan Trade Development Cell (ATDC), Foreign Service Academy, Foreign Office Hostel, Ghazi Illum Deen Shaheed Hostel, Camp Offices at Karachi, Lahore, Peshawar & Quetta, State Guest Houses at Karachi & Lahore. Demand No. 53 – Missions Under this Demand provision of budget is made for all the Pakistan Missions Abroad including offices from the Government departments, Accounts Wing of the CAO at London, Washington & Jeddah etc. Demand No. 54 – Other Expenditure of Foreign Affairs Division This Demand caters to the expenditure on VVIP visits abroad, other delegation to be sent abroad, Pakistan‟s Contribution & Subscription to UN & Other Regional and International Organizations, Entertainment & Gifts for the Foreign Dignitaries, Probationers, Envoys Conferences at Headquarters‟ as well as Abroad, Demarcation of Pak-India Boundary, Grant-in-Aid to Institute of Strategic Studies, Ibd and Welfare of Pakistanis Abroad. 131 Foreign Office Year Book 2006-07 Demand No. 164-Capital outlay on works of Foreign Affairs Division This Demand caters for the expenditure of development projects started by the Ministry viz. Construction of new Foreign Office Building & creation of a Foreign Office Portal. The project “Websites of Pakistani Missions” has been completed, for its recurring expenditures supplementary grant will be obtained during the next financial year. Budget for the previous & current Financial Year Demand No 52 53 54 164 Name of Demand Headquarter Missions Abroad Other Expenditure of Foreign Affairs Division Capital Outlay on Works of Foreign Affairs Division Grand Total Budget 2005-06 409,531,000 4,251,210,000 998,617,000 100,000,000 Budget 2006-07 452,714,000 5,037,945,000 1,063,464,000 112,934,000 5,759,358,000 6,667,057,000 Revenue Receipts Pakistan Mission‟s abroad collect a huge amount of revenue on behalf of the Government of Pakistan and same is credited into the Federal Consolidated Fund (FCF) through the CAO. These receipts include mainly the Consular Fee, Pakistan Community Welfare & Education Fund (PCW&EF), and 1. Non judicial sale of stamps, 2. Sale of stores and material, 3. Citizenship, naturalization, passport and copy-right fee, 4. Other receipts. The figures relating to last four years are as under: Year 2003-04 2004-05 2005-06 2006-07 Amount Collected Rs.2,109,534,025 Rs.2,515,413,577 Rs.2,678,402,244 Rs.2,704,592,155 ******************************************************** 132 Foreign Office Year Book 2006-07 XIII. IMPORTANT SPEECHES/STATEMENTS i) Address by President General Pervez Musharraf to the 61 Session of the United Nations General Assembly: New York; 19 September 2006 Respected General Secretary and Distinguished st Madam President, Delegates. I am indeed very happy to see a sister from fraternal Bahrain presiding over this important session of the General Assembly. Your election symbolizes the increasingly significant role women are playing in the Muslim world. Madam President, you will have Pakistan‟s full support in fulfilling your challenging responsibilities. Since the devastating earthquake in the northern regions of Pakistan last October, this is the first occasion that I am addressing this very august body. I, therefore, take this opportunity to express our deepest gratitude for the relief and financial assistance we received from around the world. We were deeply moved by the global solidarity displayed in the hour of our distress and need. Madam President, multilateral cooperation is the key to addressing the existing and emerging challenges of the 21st century - political disputes, terrorism, proliferation, poverty, hunger, disease, economic disparities, migration, unemployment, environmental degradation and natural disasters. We appreciate the Secretary General‟s initiatives to equip the United Nations to respond to these challenges. But we are yet a distance from the vision endorsed at the 2005 UN Summit. Madam President, over the past six-years, despite daunting external and internal challenges, Pakistan has been transformed into a dynamic nation, moving rapidly towards the vision of our Founder - a modern, progressive, Islamic and democratic republic. We have reformed our institutions of governance and our economy. Democratic governance has been introduced at the grass root level. We are focusing on the uplift of the under privileged sections of our society - the poor, the women and the minorities. Women are being politically and economically empowered and protected against discrimination. Minorities have been politically mainstreamed. We also have unshackled the media. Having successfully put our economy on an upsurge; we are now embarked on second generation reforms to spread the benefits of growth to all our people. One of our strategic aims is to utilize Pakistan‟s unique geo-strategic position to build trade, energy and communication corridors linking South Asia, West Asia, Central Asia and China. Regional integration will accelerate economic growth and prosperity in our part of Asia, and even going beyond. Of course, Pakistan still faces daunting challenges, within and without. We are facing them boldly to build an environment of peace and stability in our region. 133 Foreign Office Year Book 2006-07 Madam President, Pakistan desires a peaceful environment in the region. We are being engaged in a peace process with India, aimed at confidence building and resolving issues, including the Jammu and Kashmir dispute that have been the source of tension and conflict between the two countries in the past. Improved relations, and the conducive international environment, have brought an acceptable solution of this long-standing dispute within reach. I am confident that my positive meeting with Prime Minister Manmohan Singh in Havana will help to carry forward the peace process which is vital for the future of both countries and for peace in South Asia and beyond. A stable security environment is also important for peace in our region. Pakistan has proposed the creation of a Strategic Restraint Regime in South Asia, encompassing minimum nuclear deterrence and a balance of conventional forces. We do not want to enter into an arms race. But we will do whatever is necessary to preserve the credibility of our minimum defensive deterrence level. Pakistan has a legitimate requirement for nuclear power generation to meet the energy needs of our expanding economy and our expanding industry. As a responsible nuclear State, we will continue to seek nuclear technology for power generation under strict IAEA safeguards. We cannot accept discrimination in the nuclear field. Madam President, Peace and stability in Afghanistan is in Pakistan‟s vital interest. It will assure tranquility on our Western frontiers. It will also enable Pakistan to realize its ambition of linking Central Asia and South Asia through Afghanistan and Pakistan. Afghanistan confronts complex security, political and economic challenges including a resurgent Taliban who also threaten Pakistan‟s efforts against extremism and terrorism. The common challenge imposes a joint responsibility on Pakistan, Afghanistan and the coalition forces. Problems along the bordering regions of Pakistan and Afghanistan are compounded by the continuing presence in Pakistan of over three million Afghan refugees, some of them sympathetic to the Taliban. The incentives offered to the refugees for their voluntary return by the international community are minimal. A serious international commitment is required to facilitate their repatriation back to their country. Madam President, The unfortunate history of our region has placed Pakistan in the frontline of the global campaign against terrorism. We cooperate daily with many countries including the United States and the United Kingdom. Our cooperation has pre-empted several terrorist plots, such as the one uncovered recently to blow up airliners flying from London. Over the past five years, Al-Qaeda has been significantly degraded as an organization in our region. While we confront terrorism, our strategy must seek to eliminate this phenomenon comprehensively. We cannot do so unless we understand and address the root causes of terrorism today. How are terrorists able to find 134 Foreign Office Year Book 2006-07 willing recruits even among educated youth in advanced and democratic societies? The reasons are very clear. Across the Muslim world, old conflicts and new campaigns of military intervention have spawned a deep sense of desperation and injustice. Each new battleground involving an Islamic state has served as a new breeding ground for extremists and terrorists. Indiscriminate bombings, civilian casualties, torture, human rights abuses, racial slurs and discrimination only add to the challenge of defeating terrorism. In my view a two pronged strategy, which I call “Enlightened Moderation”, is required to address the situation. This strategy envisages that, apart from combating terrorism frontally, the international community must undertake resolute efforts to resolve the conflicts afflicting the Islamic world. Unless we end foreign occupation and suppression of Muslim peoples, terrorism and extremism will continue to find recruits among alienated Muslims in various parts of the world. We also need to bridge, through dialogue and understanding, the growing divide between the Islamic and Western world. In particular, it is imperative to end racial and religious discrimination against Muslims and to prohibit the defamation of Islam. It is most disappointing to see personalities of high standing oblivious of Muslim sensitivities at these very critical moments. Madam President, the greatest challenge to global security; to the campaign against terrorism; to the promotion of harmony among civilization; to the very credibility of the United Nations, is the cauldron of conflict that is the Middle East exemplified by the latest Israeli aggression against Lebanon. We hope that the resolution painstakingly brokered in the Security Council will lead to rapid and complete Israeli withdrawal and restoration of Lebanon‟s sovereignty over its entire territory. The attack on Lebanon has far reaching implications for the Middle East. The ability and relevance of the moderate forces to bring about a just peace in the region has been put to a very severe test. The world must, however, still support them to address the festering problems of the region, comprehensively and fairly. It is time to end Israel‟s conflicts with all its neighbours. It is time, first and foremost, to end the tragedy of Palestine. There should be no doubt in anybody‟s mind that this is the core of the challenge, not only to tackle the Iraq and Afghanistan problems, but also to deal with the menace of terrorism and extremism at the root. The confrontation over Iran‟s nuclear programme threatens further instability in this already inflamed region. We are encouraged by the Iran and 5+1 negotiations and believe that this issue can be resolved peacefully in a manner that accommodates the legitimate rights and interests of all the parties involved. Resort to coercion and, worse, the use of force, could lead to grave consequences in region and globally. 135 Foreign Office Year Book 2006-07 Madam President, The dynamic economic performance of several developing countries, especially in Asia, has transformed the world‟s geoeconomic map. Yet, most developing countries find that international trade and financial structures are weighted against them. With the Doha Round in the doldrums; new modalities must be found to utilize the full potential of trade and development. Similarly, the international financial system should ensure a more equitable share of international liquidity and investment for the developing countries. Madam President, unless the activities of the United Nations accommodate the concerns and priorities of its general membership, this Organization risks losing its global moral authority. The General Assembly should reassert its Charter responsibilities, while the Security Council should be reformed to make the activities of the Council more democratic, transparent, inclusive and accountable to the general membership. The reform of the Security Council is of vital interest to every Member State and must therefore be adopted by consensus or the widest possible agreement. This important session of the Assembly will elect the next Secretary General of the United Nations. Pakistan hopes that consensus will soon develop in the Security Council and this Assembly on a qualified candidate from Asia. Pakistan will extend its full support to the new Secretary-General, as we have done to Mr. Kofi Annan, to build a United Nations that can advance the world decisively towards the noble vision of preventing the scourge of war and promoting better standards of life for all peoples of world in freedom. I thank you, Madam President. -------------------------------------------------------------------------------------- ii) Address by President General Pervez Musharraf to the 34 ICFM, held in Islamabad on 15-17 May 2007 th Mr. Chairman, Honourable Secretary General of the OIC, Distinguished Ministers of Foreign Affairs, Excellencies, Ladies and Gentlemen, On behalf of the people and Government of Pakistan, I warmly welcome the distinguished Ministers and delegations from brotherly member sates of the Organization, as well as observers and guests, to this Islamic Conference. It is a great honour for Pakistan to host this Conference. This is the fourth regular session of the OIC Ministers in our country. Pakistan has also had the privilege of hosting the Second Islamic Summit and two Extraordinary Ministerial meetings. This is testimony to our consistent commitment to the 136 Foreign Office Year Book 2006-07 common aspirations of the Islamic countries and their collective endeavour to realize them. Excellencies, This conference convenes at a defining moment for the Muslim World, faced as we are with the need to overcome internal and external challenges, at a time of turbulence and transition in world affairs. The turbulence is the consequence of the ill-considered use of force; of foreign occupation; of the suppression of the rights of peoples to self-determination; of spreading terrorism; growing asymmetry in political and economic power among states; and pervasive poverty, hunger and disease which afflicts one-fifth of humanity. The breakdown of the bi-polar world, uneven impact of globalization and the emergence of new global threats – terrorism, poverty and climate change – have given rise to imposed challenges, but they also offer opportunities to the international community to collectively re-order the world in ways that can promote universal peace and prosperity. The Islamic world is in the epicenter of the current conflict and tension. Most major crises today involve Islamic countries. Our peoples are the principal victims of global violence, whether perpetrated by States or terrorists. We have among us the richest but also the weakest and poorest States. Our economies are not yet fully or equally integrated into the global market place. Our individual and collective decisions, and our destiny, will significantly affect the shape of the emerging world order. This conference offers a timely opportunity for the Muslim world to address the challenges and construct appropriate responses to exploit the opportunities. We can and must reverse our descendant trajectory in the world. We must recognize that, unfortunately, the crises confronting the Islamic world are not only external; they are also internal – flowing from our own weaknesses, vulnerabilities and divisions. Excellencies, It is time that we acknowledge that, in many of our countries, there is underway, today, an internal battle for the soul of Islam. Pitted in this battle is, on the one hand, the immutable message of Islam – the message of humanity, egalitarianism, moderation tolerance and co-existence. Fourteen centuries ago, this message was revolutionary in its appeal. It led to the rapid spread of our Faith and the flowering of a glorious civilization that bridged the ancient and the contemporary periods of history, Islam was at the centre of intellectual and scientific progress, contributing enormously to all fields of human endeavour, giving rise to a splendid civilization. The fortunes of the Islamic world suffered major reversals due to internal divisions, external aggression, colonial occupation and intellectual stagnation. Yet, even in the state of siege we have suffered for so long, the Islamic ideal has remained – a common humanity, a commitment to the ethical values we share with other great religions, and the quest for a universal human civilization. 137 Foreign Office Year Book 2006-07 Unfortunately, our image is being distorted by the projections and practices of an extremist minority seeking to shape the destiny of our nations in their own image. The dogma and vision of this minority is in direct conflict with the true message of Islam. It propagates a rigid, static and extremist version of our moderate and dynamic religion. It is intolerant of those whose beliefs are different, whether non-Muslim or Muslim. It misuses all opportunities it finds available including mosques, madrassahs and the internet to propagate its extremist doctrine. It seeks to cynically manipulate the justified anguish of our people against Western policies to promote extremism and obscurantism, and seeks to insulate our societies from the rest of the world. Worst, it seeks to justify, propagate and often perpetrate act of terrorism against innocent men, women and children which directly and flagrantly, violate the basic tenets and spirit of Islam. The doctrine of hate and exclusion of these extremists, and their acts of indiscriminate violence, do not promote the just causes they claim to espouse. They enable Islam‟s detractors to malign our Faith and project it as a religion of violence. The majority of Muslims – moderate and tolerant – suffer discrimination, exclusion and oppression, as a result of the extremists‟ actions and proclamations. Excellencies, We cannot allow the extremists to tarnish the image of Islam and Muslims; to prevent our peoples from achieving the fruits of peace, prosperity and modernization. It is up to us – the Muslim States – to lead the struggle against extremism and terrorism. To defeat terrorism we must comprehend its true nature and its causes – which are invariably political. Some terrorism is local; some is global. The campaign against terrorism, whether local or global, will not succeed unless we pursue a comprehensive approach, combining military, political, economic, social and cultural actions. Most importantly, we must address the root causes of terrorism. Terrorism does not emanate from any ideology, religion or doctrine. Efforts to link terrorism with Islam reveal ignorance of biased motives. Such manifestations of Islamophobia must be rejected. We must also reject theories and campaigns pushing the West and the Islamic World towards a clash. These are dangerous tends propelled by prejudice and unfounded fears. The roots of terrorism – both local and global – lie in the series of unresolved conflicts that afflict our region; in the on-going suppression of so many of our peoples; in the denial of the right of selfdetermination of our peoples – in the occupation of our lands; and the pervasive discrimination against Muslims – as individuals, communities and nations. Excellencies, Distinguished Delegates, 138 Foreign Office Year Book 2006-07 To eliminate the resort to terrorism, to arrest the appeal of terrorism for the indoctrinated, alienated and oppressed, we, the Muslim nations must take the lead in finding solutions for the conflicts that rate in the lands of Islam – in Palestine, Lebanon, Iraq, Afghanistan and Kashmir. The just and peaceful resolution of these, and other disputes, involving Muslim peoples will automatically marginalize the extremists who preach violence and terrorism as vengeance against the West. It will also help to restore global peace and world order. Excellencies, The multiple crises afflicting the Middle East – Palestine, Lebanon, Iraq and tensions between Iran and the United States – are now all interlinked. Solutions to these conflicts need to be pursued comprehensively. Early this year, I initiated consultations – and undertook visits to a number of Islamic capitals both in the Middle East and outside the region to build support for the just and peaceful solutions to these crises, to warn of the dangers and to promote harmony within the Muslim world. Foreign Ministers of seven Islamic countries then met in Islamabad and I, along with other leaders were invited to the Arab League Summit in Makkah. This effort, whose approaches found resonance is another earnest of Pakistan‟s commitment to do all it can for the problems that afflict the Muslim World. Today, there is a renewed hope for an end to the tragedy of Palestine. We welcome the Palestinian Unity government created under the Makkah Agreement. Pakistan will support President Mahmud Abbas, and the Palestinian government, with all possible political and financial support. We call on the entire international community to do so as well. We also welcome the revival of the peace initiative of His Majesty King Abdullah of Saudi Arabia at the recent Arab League Summit. Its acceptance by Israel can open the door to fair and final solution of the conflict and realization of the vision of two States – Israel and Palestine – living side by side in peace, within secure and recognized boundaries. We hope that negotiations will also be opened soon between Syria and Israel to reach a just settlement based on Israeli withdrawal from the occupied Syrian Golan heights in accordance with Security Council resolutions. Pakistan welcomes Syria‟s willingness to assist in promoting peace and stability in the region. Lebanon, a peaceful and vulnerable State, has suffered grievously in the latest war unleashed by Israel. Lebanon must be helped to rebuild and recover from this aggression. It is Pakistan‟s hope that all Lebanese political forces will unite under a national government. It is also important that Lebanon‟s sovereignty, territorial integrity and independence is fully respected. Excellencies, 139 Foreign Office Year Book 2006-07 The raging violence, death and destruction witnessed each day in Iraq is a tragedy of monumental proportions for its people. It is also a grievous wound on the body politic of Islam. We condemn the violence and terrorism in Iraq, perpetrated or supported by internal or external elements. We call for an early end to this latest Islamic tragedy. Requesting peace in Iraq, and reconstructing this ravaged country, will require genuine national reconciliation as well as the support and cooperation of its neighbours and international community. The realization of national reconciliation requires an early and decisive end to sectarian violence and control of militias. An equitable sharing of political power, revenues and resources; a sincere commitment, on all sides, to preserve Iraq‟s unity and territorial integrity; the rebuilding of national institutions, specially impartial and effective security institutions, and the withdrawal of foreign forces. Iraq‟s neighbours, who met again recently, have a special responsibility to stabilize Iraq, encourage all Iraqi political groups to participate in national reconciliation, and reiterate assurances to respect Iraq‟s unity and territorial integrity. Within the context of an agreed peace plan, the Muslim Countries should seriously consider, if desired by the Iraqis, to provide all possible assistance, including peacekeeping forces under a UN mandate, to promote and maintain security. Excellencies, Beyond Iraq, there are ominous portents in the progressive escalation of tensions between Iran and the U.S. over Iran‟s nuclear programme and the situation in Iraq. Pakistan calls for an urgent halt to this escalation. We are opposed to the use or threat of force. We recommend early negotiations for a comprehensive settlement of all issues fuelling confrontation and tension in the Gulf region. There is considerable political space for a negotiated settlement of these issues. Iran has the inalienable right to the peaceful use of nuclear energy. It has the means to allay the concerns raised regarding its nuclear programmes. We welcome Iran‟s willingness to contribute to the promotion of peace and security in the Gulf and the Middle East. Pakistan also welcomes the diplomatic efforts of Saudi Arabia and other members of the Gulf Cooperation Council to help building a stable structure of peace and security in the region. The fortunes of this region, adjacent to our Western borders, have direct implications for Pakistan‟s national security and economic prospects. We believe that, at an appropriate moment, a high level Conference should be convened, with wider regional participation of Muslim countries, on Peace, Security and Cooperation in Gulf region. The objectives of such a Conference, could be to:Resolve outstanding regional disputes and differences; prevent the threat or use of force; 140 Foreign Office Year Book 2006-07 effectively counter terrorism and sectarian divisions elaborate appropriate regional security arrangements; build partnerships to ensure sustainable peace and security; and promote cooperation to foster socio-economic progress in the region. security of energy production, its transit, and assurances of supply. - Excellencies, Pakistan is also actively engaged in advancing peace in South Asia. A peaceful and sable Afghanistan is our dearest wish. This is what the people of Afghanistan deserve after so much suffering and turmoil. It is also essential to ensure tranquility on our frontier and to enable Pakistan to establish direct trade and energy links with Central Asia, which would benefit both of our countries. Afghanistan is emerging from unfortunate circumstances of conflict and instability spreading over a quarter of a century. Still, Afghanistan faces formidable challenges as it engages in the task of national reconciliation and national reconstruction starting with the Bonn Process. It is essential to implement a comprehensive strategy that must include rapid socio-economic development. Peace has to be built from the grass roots, offering incentives and disincentives to win the hearts and minds of the people. International community‟s generous assistance can play a critical role in ensuring success. For success in Afghanistan, mutual trust between Pakistan, Afghanistan and the international coalition is essential. I hope that the Ankara Summit represents a new beginning. The forthcoming meeting of national Jirgas will, we hope, help to evolve an effective strategy for peace and stability in Afghanistan. Excellencies, Distinguished Delegates, Pakistan‟s relations with India have witnessed positive turn in recent years. Both counties have recognized that their differences cannot be resolved militarily. War cannot be contemplated in a nuclear environment. Nor can Pakistan or India achieve the full potential of their growing economies without peace. The composite dialogue enjoys wide popular support in both countries. Considerable progress has been made in instituting confidence building measures relating to Kashmir and nuclear and conventional forces. Yet, durable peace depends on our ability to reach a fair and just solution to the 141 Foreign Office Year Book 2006-07 central dispute over Jammu and Kashmir, a solution acceptable to Pakistan, India and, above all, to the people of Jammu and Kashmir. We deeply appreciate the principled position of the OIC that provided invaluable support to the Kashmiri people and the leadership in the struggle for their justified and fundamental rights. The resolution of this long standing dispute can usher in a new era of hope, progress and prosperity in South Asia. Excellencies, Distinguished Delegates, Apart from seeking conflict resolution and redressing power asymmetries the Islamic nations must join together in demanding justice and protection for Muslim minorities and communities in non-Islamic countries. They constitute an integral part of the Islamic Umma. Today, many of these Muslim communities are suffering oppression and discrimination in the rising tide of Islamophobia, which this conference will discuss separately. Excellencies, Distinguished Delegates, Our countries cannot defeat terrorism, nor defend ourselves effectively against externally imposed injustices, so long we remain economically and socially underdeveloped. Our collective potential is enormous. We are 57 States, one-fifth of humanity, with 70% of the world‟s energy resources. Our membership includes some of the richest and most dynamic economies, some with surplus resources and others with advanced technological capacity. But we also have some of poorest and most deprived peoples, unemployed, illiterate and marginalized. Yet, this diversity within our membership also creates economic complementarities which can be exploited for mutual benefit. Already, investment and trade flows among OIC countries are increasing, rapidly. Pakistan welcomes the considerable interest of our Gulf neighbours in Pakistan‟s fast growing economy. Pakistani manpower and expertise, in turn, are helping to sustain the dynamic growth in the Gulf and other Islamic countries. I suggest that, with the collaboration of the Islamic Chamber of Commerce which I am glad to note is opening a new office in Jeddah, studies and specific projects should be prepared to enlarge mutual trade and investment among the OIC countries. Pakistan is prepared to take the lead in this process. Social progress is of critical importance. The emphasis in the Holy Quran on the pursuit of knowledge is extraordinary. We remember a time in our history when the Muslim world was a beacon of light in the development of the sciences, mathematics, medicine, arts, and architecture. The backwardness and weaknesses that afflict our societies today can only be reversed with the help of renewed emphasis on education and science & technology. The OIC 142 Foreign Office Year Book 2006-07 must play a galvanizing role in reinforcing our efforts for improved education and scientific knowledge. Another important aspect of progress is intellectual. Our social, political and religious thought needs renewal and reinvigoration. It is essential for us to provide a credible intellectual alternative to retrogressive thinking within and the onslaught on our faith, tradition and ways of life from outside. Clearly, the challenges we face would be neutralized not by the force of arms, but by the force of logic. We need to revive the tradition of Ijtehad. I call upon our scholars – both religious and others – to exert themselves for the intellectual reinvigoration of the Ummah. The Islamic societies need internal reforms to st cope with the challenges of development and modernization in the 21 century. We must also adopt a concrete strategy to promote technical and technological cooperation amongst our countries. We should identify the technology rules and regimes which discriminate against our countries and mount collective efforts to change these. We should identify areas where research and development is required to address the priority problems of the Islamic countries and generate public and private financing to undertake such research. I reiterate my proposal made at the Makkah Summit for the establishment of a network of centers of excellence in science and technology to build the human resources for development and utilize the potential of information technology to promote such scientific and technological cooperation and capabilities. Pakistan, in its capacity as the chair of COMSTECH, is prepared to spearhead this initiative. I shall soon convene the OIC Committee on Science and Technology to promote these objectives. COMSTECH itself should be transformed into a Specialized Organ of the OIC so that it can play its due role. Excellencies, The poorest and most vulnerable among our member States deserve the full support and assistance of their more fortunate brothers. Many of our countries are already engaged in such development cooperation. Islamic countries must also become active in providing humanitarian assistance to the millions of Muslims suffering from conflict or natural disaster. In this context, we must warmly welcome the establishment of the 10 billion dollar target Development and Humanitarian Fund by the Islamic Development Bank. The Bank can become the instrument for planning, coordination and institutionalization of development cooperation among Islamic countries – encompassing investment, loans, grants and technical assistance. I urge all Member States to make their due contribution. Excellencies, The OIC has a vital role in the realization of the objectives and aspirations of the Islamic countries. We must persist in the effort to transform this Organization into an effective and efficient instrument for this purpose. This was the objective of the Pakistan initiated resolution on enlightened moderation approved by the OIC Summit in Kuala Lumpur which set up a 143 Foreign Office Year Book 2006-07 Group of Eminent Persons. Its report was incorporated in the Extraordinary Makkah Summit which called for the revitalization of the OIC including a revision of its Charter. If it is possible I hope that the Charter can be finalized for adoption at this meeting. We must also ensure that the Charter lays down clear criteria of unanimity for membership and observer status, so that the objective and character for our Organization are not affected. I understand that there is much debate on changing the name of the OIC. I trust that this will not impede progress on the revision of the Charter. If consensus on change is difficult, let us stick to what we have, on which we are all agreed and which is internationally recognized. If our Organization can be made more effective and better able to safeguard, project and serve the interests of the Ummah, we can live with the present name. Excellencies, The Islamic countries can succeed in meeting the multiple challenges they confront and in exploiting the opportunities for peace and development that exist today if they have a clear strategic vision, consistent with the line of humanistic message of Islam; if they adopt policies that serve the interests of their people and if they are confident and courageous in the pursuit of truth, justice and their legitimate rights. May Almighty Allah grant your Conference success in your important deliberations. -------------------------------------------------------------------------------------- iii) Speech by Foreign Minister Khurshid M. Kasuri, on “Pakistan’s Role in Regional and Global Peace” at the Council on Foreign Relations: Washington D.C; 19 June 2007 Excellencies, Distinguished guests, Ladies and Gentlemen, It is a matter of great honour and privilege for me to be in the midst of such a distinguished gathering. I am grateful to the Council on Foreign Relations for providing me this opportunity to share my thoughts with you on “Pakistan‟s Role in Regional and Global Peace”. I am sure, with the presence of so many experts and eminent scholars here, we would have a very fruitful interaction. Ladies and Gentlemen, Pakistan, as a responsible member of the international community, has always endeavored to promote peace and stability not only in the region but also at the global level. Our foreign policy remains focused on the promotion of peace and security because we believe that peace is inextricably linked to progress and prosperity. Peace can yield unparalleled dividends not only for 144 Foreign Office Year Book 2006-07 Pakistan but for the entire international community. We are, therefore, actively engaged in building bridges of friendship and cooperation with all countries especially our neighbours. Pakistan‟s capacity to play an effective role in promoting regional peace and stability has been enhanced by our close relations with all the major world powers particularly the United States which is our close friend and ally. We have been partners since the cold war. Today, we are partners in fighting terrorism as well as in the efforts to build a more peaceful, secure and stable world order. Our strategic interests now converge on a wider spectrum of bilateral, regional and global issues. Both countries recognize that a long term, broad-based and substantial relationship is in their mutual interest. In recent years, cooperation between the two countries has extended beyond the war on terror to incorporate the areas of defence, economy, trade, investment, and education. Pakistan is maintaining extremely close relations with China. We are strategic partners in the maintenance of peace and stability in the region. Recently, we signed an agreement on Friendship and Cooperation which shall not only enhance bilateral relations in all fields but will also contribute to peace and stability in the region. Similarly, our relations with the European Union, Russia and Japan are also steadily growing. Apart from security cooperation, we are developing strong economic and trade relationships as well as building linkages in the educational, technological and scientific spheres. Distinguished Guests, The most potent threat to regional and global peace emanates from terrorism. Our principled stand against international terrorism constitutes a major plank of our foreign policy. We remain committed to challenging extremism and rooting out the evil of terrorism from our region, which constitutes a menace not only to the international community but also to our own security and well-being. In our neighbourhood, NATO and allied forces are engaged in battling terrorists and extremists. We have and will continue to support their endeavours to ensure peace and stability on our western border. Pakistan has a vital stake in Afghanistan‟s peace, stability and prosperity. Our destinies are intertwined. Instability in Afghanistan has always had a harmful effect on Pakistan. A stable Afghanistan, at peace with itself, is in our core interest. Since 2001, Pakistan has supported the Bonn process, measures for constitution-making, and the elections in Afghanistan. We continue to host around 3 million Afghan refugees. Pakistan is also contributing substantially to reconstruction in Afghanistan. We have pledged 300 million dollars for various projects including infrastructure, education and health sectors, and human resource development. 145 Foreign Office Year Book 2006-07 Our overall relationship has vastly improved. The two countries have exchanged almost a dozen visits at the level of Head of State / Government. Our bilateral trade is reaching the unprecedented level of $ 1.5 billion. Pakistan has facilitated Afghanistan‟s entry into SAARC. These expanding ties in the political, trade, economic, and reconstruction fields provide the overall perspective in which the Pakistan-Afghanistan relationship must be viewed. Ladies and Gentlemen, The issue of security along the Pakistan-Afghanistan border indeed casts a shadow on our relations; but let me emphasize that Pakistan is doing its best to secure its borders with Afghanistan and wipe out Al-Qaeda elements on its soil. We have deployed over 90,000 troops in this most difficult and inhospitable terrain and erected 1000 posts to stop cross border movement of militants. Over 80 operations have been conducted in the region, in which hundreds of Al-Qaeda and Taliban have been captured or killed. We have lost over 700 brave men. Our efforts have been duly recognized. In his testimony to the Senate Foreign Relations Committee on 8 March 2007, Assistant Secretary Boucher acknowledged Pakistan‟s role as “a vital partner and ally in our fight against Taliban and Al Qaeda”. Appreciating Pakistan‟s contribution he said “Pakistan has launched attacks on training facilities and armed infiltrators, and have arrested Taliban leadership figures”. Against this back drop, calls to Pakistan to „do more‟ are unfair – particularly when securing the border is a shared responsibility. All sides must do more. The level and quality of information and intelligence-sharing also has to be improved. We have taken a number of steps to foster coordination within the Tripartite Commission (TPC) and bilaterally with Afghanistan. To address the trust deficit, we are further intensifying cooperation within the intelligence and political realms. It has been agreed to have monthly meetings between the Intelligence Chiefs and quarterly meetings between the Foreign Ministers. The two sides have agreed on the agenda and dates (first week of August) for holding the first ever Pak-Afghan Peace Jirga. The Jirga process is likely to improve the bilateral political atmosphere and also help in creating stability in Afghanistan. The government has also entered into peace deals with the tribal elders to put an end to the activities of Taliban in the tribal areas. On the other hand, the government has undertaken various development programmes for the area, including establishment of Reconstruction Opportunity Zones and Federally Administered Tribal Areas (FATA) Development Plan with US assistance. However, the need for mutual trust, coordination and timely exchange of information is of vital importance to improve the security situation in Afghanistan. It is for this reason that a Joint Intelligence Operations center was established in Kabul in January 2007. Distinguished Guests, 146 Foreign Office Year Book 2006-07 It is very important to take a holistic view of the situation in Afghanistan. Despite many challenges, Afghanistan has made commendable progress in diverse fields. The successful completion of the Bonn process is a very significant development. We, however, feel that military strategy must be complimented by an inclusive political process. As reconstruction gathers pace, the economy improves, corruption and inefficiency are brought under control, and the menace of narcotics is addressed, we hope things will stabilize. Surely, the Afghan people want peace. They need progress and prosperity. They cannot afford to side with the forces of instability. For its part, Pakistan will continue to work constructively with international partners to address the myriad challenges faced by Afghanistan. Our vision of Pakistan serving as a corridor for the flow of trade, commerce and energy remains contingent upon durable peace and stability in Afghanistan. Ladies and Gentlemen, In South Asia today, we have a shared responsibility to channel all our energies for the betterment of our people who constitute 1/5th of this planet‟s population. The greatest challenge is, therefore, economic development to eradicate poverty, illiteracy and disease. And for this, we need an enabling environment of peace and stability. I firmly believe that the region can rise to its true potential only when this basic ingredient is made available. Thus, our approach of peace and development in South Asia includes: First, dialogue for settlement of all disputes, in particular Kashmir. Second, restraint and security balance in South Asia. We do not desire an arms race in the region, conventional or nuclear. Third, cooperation for economic development of the region both at the bilateral level and within the framework of South Asian Association for Regional Cooperation (SAARC). Our relations with India have come a long way from the tense period in 2001 and 2002 when India had amassed its troops along the Pakistani border. Today, the situation is much more stable as a result of the offer for ceasefire along the LoC made by President Musharraf in November 2003. We have agreed on several Confidence Building Measures (CBMs) to remove mistrust between the two countries. The establishment of an energy corridor, the Iran-Pakistan-India (IPI) Gas Pipeline, will possibly be the most significant measure to normalize relations between the two countries. This is something that could not have been imagined a few years aback. Pakistan and India are now actively engaged in a Composite Dialogue which encompasses talks on Peace and Security including Jammu and Kashmir and CBMs in nuclear and conventional fields. Issues such as Siachen, Sir Creek, Wullar Barrage, Terrorism and Drug Trafficking are also being addressed. Three rounds of Composite Dialogue have been completed and the fourth round is underway. 147 Foreign Office Year Book 2006-07 As a result of the peace process and the Composite Dialogue, there has been significant improvement in the atmospherics between the two countries. High level contacts have become more frequent and people to people contacts have reached an unprecedented level. The bilateral trade has increased from around $200 million before the peace process to more than $1095 million in 2005-06. Similarly, the bus and train links between the two countries have become operational. These improvements notwithstanding, Pakistan continues to emphasize that there is a clear need to make progress on substantive issues between India and Pakistan. Now that the atmospherics have improved, the two countries need to move to the next stage, that of dispute resolution, especially to resolve the fundamental issue of Jammu and Kashmir. President Musharraf‟s courageous, bold and flexible approach towards dispute resolution, as well as his proposals of demilitarization and self-governance of Kashmir, is a manifestation of our sincere desire to constructively engage with India. These ideas have also found resonance amongst the Kashmiri leaders on both sides. I believe that the demonstration of political will could usher in a new era in India-Pakistan relations. Let me assure you of our sincerity to untie the Gordian knot that has bedeviled relations between the two countries. Distinguished Guests, Pakistan's nuclear capability is being viewed by some as a destabilizing factor in the region. In fact, our nuclear capability must be viewed in the context of India's pursuit of the nuclear option and our security concerns. Pakistan does not seek regional domination or great power status. We do not threaten any country and wish to live in peace. Our strategic capabilities have been developed in self-defense following the Indian nuclear test of 1974 that disrupted the security balance by providing a nuclear edge over Pakistan to India's already existing numerical advantage in conventional weapons. The nuclear tests by India in 1998 obliged Pakistan to respond by conducting its own tests in order to establish credible nuclear deterrence. Failure to do so could have created a dangerous ambiguity about our capacity and led to possible miscalculation. The importance of deterrence became clear when it prevented a conflict following Indian deployment of more than a million troops on our borders in 2001-2002. As a nuclear weapon state, we adhere to a doctrine of minimum credible deterrence and are opposed to any nuclear proliferation or arms race in the region. Accordingly, we have proposed a Strategic Restraint Regime to India. We are also against the introduction of anti-ballistic missile systems which would have a destabilizing impact on the entire region. Pakistan is committed to the prevention of nuclear proliferation and has developed a strong command and control structure as well as effective export controls to protect our strategic assets and to ensure against nuclear leakage. However, we believe that no restrictions should be imposed on peaceful uses of nuclear energy under appropriate safeguards. As a fossil fuel deficit country, we need to develop nuclear power generation facilities to 148 Foreign Office Year Book 2006-07 meet the energy requirements of our expanding economy. We are prepared to accept all safeguards for our civilian nuclear power sector. Ladies and Gentlemen, Pakistan's pro-active participation in the work of multi-lateral institutions and organizations, particularly the United Nations, is indicative of our desire to promote peace and stability at the international level. Pakistan is a peaceful and moderate country that respects international law and upholds the principles and purposes of the UN Charter. At the United Nations, Pakistan is currently the Chairman of the Group of 77 & China for 2007. In this capacity, we are working closely with the developing states in protecting and promoting our common interests. We are also working for the promotion of inter-faith harmony and understanding to counter Islamophobia and other kinds of religious or ethnic profiling against Muslims. Last December the General Assembly adopted by consensus a resolution jointly tabled by Pakistan and Philippines on the “Promotion of Inter-religious and Intercultural Dialogue, Understanding and Cooperation for Peace”. Pakistan has supported all peace efforts towards resolving the Palestinian issue, the Oslo Peace Accords, the Declaration of the Arab League Summit of March 2002 (Saudi Peace Plan), the Quartet Peace Process and UN Resolutions 242 and 338. Pakistan is concerned over the deteriorating security situation in Iraq, which has not improved in the wake of the political process which began in January 2005, leading to the general elections in December 2005 and subsequent formation of the National Unity Government in May 2006, under Prime Minister Mr. Nouri Kamal Al-Maliki. On the Iranian nuclear issue, Pakistan respects Iran‟s right to peaceful nuclear technology as a signatory to NPT. At the same time Pakistan is confident that Iran would fulfill its obligations under the NPT. Pakistan believes that still there is room for a diplomatic solution of the problem, within the framework of IAEA. We are against the use of force or any other coercive measures against Iran that could further escalate the tension. In all sincerity, Pakistan believes that the concerned parties can and must amicably resolve the issue. Distinguished Guests, Pakistan is one of the oldest, largest and most consistent troop contributors to UN peacekeeping operations/missions in Africa, Asia and Europe and over the years our participation has increased. In Africa, Pakistan is currently participating in peacekeeping missions in Liberia, Cote d‟Ivoire, DRC, Burundi, Sudan and Sierra Leone. Pakistan was the top troop contributor during 2003-2005. Currently we have more than 10,000 personnel deployed in Peacekeeping Operations in Africa. Our policy of contributing troops for 149 Foreign Office Year Book 2006-07 UN Peacekeeping Missions is based on the conviction that peacekeeping is an essential tool for maintaining international peace and security. On account of its role as one of the largest troop contributing countries, Pakistan has been elected a member of the Organizational Committee of the Peace Building Commission. Ladies and Gentlemen, In order to promote peace, security and stability at the bilateral, regional and global levels, it is imperative to create economic interdependencies that ensure a win-win situation for all parties. The international environment is rapidly changing as a result of globalization. Geo-politics is being replaced by geo-economics as economic considerations increasingly take precedence over political calculations. Pakistan's location at the hub of Central Asia, South Asia, and West Asia ensures multiple advantages. It is fast emerging as the bridgehead for multiple corridors of cooperation between all three regions involving energy, trade, transportation, and tourism. Pakistan provides the shortest access to the sea for all the landlocked countries of Central Asia and an energy corridor for them as well as China. Our role as the junction for intra-regional cooperation is underscored by the fact that Pakistan is the only country which is a member of both the Economic Cooperation Organization of Central, Eastern and Western Asian states and the South Asian Association for Regional Cooperation. Moreover, we have also recently joined the Shanghai Cooperation Organization as an Observer and are moving towards a full dialogue partnership with ASEAN. Ladies and Gentlemen, Let me conclude by emphasizing that Pakistan would continue to play a pivotal role in the handling of global and trans-national issues. We will not waiver in our resolve to eliminate terrorism and extremism nor will we falter in our efforts to ensure peace and stability at the regional and global levels. We will persevere in the promotion of democracy, moderation and human rights. Above all, we will continue our efforts to create new synergies among interlocking regions and constituencies so that we leave a legacy of amity, cooperation and prosperity for our future generations. I thank you all for your attention. ****************************************************************** 150 Foreign Office Year Book 2006-07 XIV. AGREEMENTS/PROTOCOLS/MoUs SIGNED DURING JULY 2006 – JUNE 2007 Afghanistan Pakistan-Afghanistan Memorandum of Understanding (MoU) on construction of Chaman-Spinboldak rail link. Argentina Pakistan – MERCOSUR framework Agreement on Trade. MoU for cooperation in the field of Argentina. Bahrain MoU on Social Development Cooperation MoU on Political Consultation Bosnia & Herzegovina Agreement on Defence Industries Collaboration. Agreement on Air Services Agreement on Establishment of JEC Exchange of Instruments of Ratification with regard to Agreement on Avoidance of Double Taxation. Brazil Production sharing agreement between OGDCL, Pakistan and PETROBRAS (Brazil) Brunei Darussalam Agreement establishing PakistanBrunei Joint Investment Company with the capital of 1.5 billion rupees. Chile MoU on Sanitary and Photosanitary Issues related to bilateral trade in plant and plant materials and animal and animal products. MoU for cooperation in the field of Agriculture. China Free Trade Agreement between the Government of the Islamic Republic of Pakistan and the Government of the People‟s Republic of China Signed in Islamabad on 23 May 2007. Signed during the visit of the Minister for Commerce to Argentina on 21 July 2006. Signed during the visit of the Minister for Food & Agriculture to Argentina in December 2006. Signed on 20 December 2006 -doSigned during the visit of the President of Pakistan to Bosnia & Herzegovina from 27-29 April 2007. -do-do-do- Signed in February 2007. Signed during the visit of the Energy Minister of Brunei to Pakistan from 4-6 November 2006. Signed during the visit of the Chilean Minister of State for Agriculture to Pakistan for the meeting of Cairns Group from 16-18 April 2007. -do- Signed during the visit of the Chinese President to Pakistan in November 2006. 151 Foreign Office Year Book 2006-07 Five-year Development Program on Trade and Economic Cooperation between the Islamic Republic of Pakistan and the People‟s Republic of China Executive Program of the Cultural Agreement between the Government of the People‟s Republic of China and the Government of the Islamic Republic of Pakistan for the year 2007-08. Pak-China Framework Agreement on Tank Project between NORINCO and HIT. Agreement on Economic and Technical Cooperation between the Government of the Islamic Republic of Pakistan and the Government of the People‟s Republic of China Framework Agreement on security of financing for Pakistan-China bilateral cooperation between Ministry of Finance and Revenue (Finance Division), Government of the Islamic Republic of Pakistan and China Export & Credit Insurance Corporation. Agreement between ENGRO Asahi Polymer and Chemicals Ltd. (Pakistan) and National Chemical Engineering Group Corporation (China) relating to a PVC back integrated complex at Port Qasim and Reconstructiion of an EDC VCM Plant at Port Qasim. Agreement between the National Bank of Pakistan and Plum Qingqui Motors Limited for launching a Community Transport Scheme under its President‟s Rozar Scheme. Contract Agreement between National Highway Authority and M/s China Road and Bridge Corporation (CRBC) for improvement of KKH from Raikot to Khunjerab Chainage 335 KM (KM471 to KM806). Agreement between Saindak Metals Limited and China Metallugical Group Corporation for Exploration and Development of Saindak East -do- -do- -do- -do- -do- -do- -do- -do- -do- 152 Foreign Office Year Book 2006-07 Ore Body for Utilization in Saindak Copper-Gold Project Balochistan. MoU for the grant of exploration licence in blocks Baska and Bhawalpur East between Ministry of Petroleum and Natural Resources of the Government of the Islamic Republic of Pakistan and China North Industries Corporation and China Zhenhua Oil Company Limited. MoU regarding financial support for up-gradation/rehabilitation of KKH between the Export-Import Bank of China and the Ministry of Economic Affairs and Statistics of the Islamic Republic of Pakistan. MoU between the China Development Bank and the Ministry of Finance and Revenue (Revenue Division), Government of the Islamic Republic of Pakistan on the Establishment of Joint Investment Company. Framework Agreement on Security of Financing for China-Pakistan Bilateral Cooperation MoUbetween Huawei Technologies Co., Ltd, and Pak Telecom Mobile Limited for successful implementation of the expansion of PTML GSM 900/1800 Network. The second protocol to the agreement between the Government of the Islamic Republic of Pakistan and the Government of the People‟s Republic of China for avoidance of double taxation and prevention of fiscal evasion with respect to taxes on income. Agreement on mutual legal assistance in criminal matters between the Government of the Islamic Republic of Pakistan and the Government of the People‟s Republic of China. Framework agreement between Pakistan Space and Upper Atmosphere Research Commission (SUPARCO) and China National Space Administration (CNSA) on -do- -do- -do- -do- -do- Signed during the visit of Prime Minister Shaukat Aziz to China from 16-21 April 2007. -do- -do- 153 Foreign Office Year Book 2006-07 deepening cooperation in space science and technology. Project implementation regulations for the five-year development program on economic cooperation between the Islamic Republic of Pakistan and the People‟s Republic of China. MoU on cooperation between the Foreign Service Academy of the Ministry of Foreign Affairs, Pakistan and China Foreign Affairs University, Ministry of Foreign Affairs of the People‟s Republic of China. MoU on cooperation between the Ministry of Industries, Production & Special Initiatives, Government of Pakistan and the National Development and Reform Commission of the People‟s Republic of China. MoU on cooperation between the Planning Commission of Pakistan and the National Development and Reform Commission of the People‟s Republic of China. MoU between the Higher Education Commission of the Islamic Republic of Pakistan and the Ministry of Education of the People‟s Republic of China on the establishment of an engineering, science and technology university in Pakistan. MoU for construction of cross-border cable system between Pakistan and China. MoU between the Pakistan Space and Upper Atmosphere Research Commission and China Great Wall Industry Corporation on cooperation on Paksat-1R and press program. MoU between the Shanghai Stock Exchange and Karachi Stock Exchange. MoU on cooperation between the National Defence University of the Islamic Republic of Pakistan and the Party School of the Central Committee of the Communist Party of China, the People‟s Republic of China. -do- -do- -do- -do- -do- -do- -do- -do- -do- 154 Foreign Office Year Book 2006-07 Czech Republic MoU on establishment of bilateral cooperation between the Academy of Science of Czech Republic and Pakistan Academy of Sciences to promote scientific cooperation between the two countries. MoU on cooperation in Higher Education. MoU on cooperation between the Pakistan Foreign Service Academy and the Czech Diplomatic Academy. MoU on establishment of Pak-Czech Joint Business Council between the Federation of Pakistan Chambers of Commerce and Industry (FPCCI) and the Confederation of Industry of Czech Republic. Egypt MoU on Abolition of Visa on Diplomatic Passports MoU on Cultural Exchange Program 2006-2010. MoU on Establishment of Joint Business Council MoU on Cooperation between Foreign Service Academy of the Ministry of Foreign Affairs of Pakistan and the Institute for Diplomatic Studies of the Arab Republic of Egypt. Hungary Pakistan-Hungary MoU on Political Consultations and International Cooperation. “The Concession Agreement for Margala Block”, signed by the Hungarian Oil Company MOL. India Agreement between the Islamic Republic of Pakistan and the Republic of India on reducing the risk from accidents relating to nuclear weapons. Italy Executive Programme of Cultural, Scientific & Technology Cooperation between the Italian Republic and the Islamic Republic of Pakistan for the years 2006-08. Signed during the visit of the Prime Minister of Czech Republic to Pakistan from 8-10 May 2007. -do-do- -do- Signed during the 2 session of PakEgypt JMC, held in Istanbul on 15 December 2006. -do-do-do- nd Signed during the visit of Hungarian Foreign Minister to Pakistan from 7-8 November 2006. -do- Signed in New Delhi on 21 February 2007. Signed during the visit of the Italian Deputy Foreign Minister to Pakistan from 3-4 November 2006. 155 Foreign Office Year Book 2006-07 MoU on implementation of the Italian Emergency Programme to support earthquake affected population in Pakistan. Agreement on Debt-for-Development Swap between the Government of the Islamic Republic of Pakistan and the Government of the Italian Republic. MoU between the Higher Education Commission, Government of the Islamic Republic of Pakistan and POLITECNICO DI TORINO, Italy. Japan Revised Pak-Japan “Avoidance of Double Taxation Treaty”. -do- -do- -do- Signed in Islamabad at the end of the second round of bilateral talks, held on 15-17 May 2007. The treaty is expected to come into force in 2008. Signed during the Prime Minister‟s visit to Jordan in May 2007. Signed during the 6 session of Pakistan-Kazakhstan JMC, held at Astana on 18-20 April 2007. Signed in March 2007. Signed during the visit of the President of Pakistan to Poland from 22-24 April 2007. -do-do-doth Jordan MoU on Pakistan-Jordan Strategic Dialogue Kazakhstan Protocol on exchange of trade delegations. Oman Pakistan-Oman MoU on Air Services Poland Protocol on educational and scientific cooperation. Protocol on art and cultural cooperation. Agreement on cooperation in the sphere of defence industry. MoU between the State Bank of Pakistan and the National Bank of Poland in the fields of Banking Supervision and Cooperation. MoU between SMEDA and its Polish counterpart, Polish Agency for Enterprise Development. MoU on cooperation between the Foreign Service Academy of Pakistan and the International Affairs Institute of Poland. Russian Federation Agreement for cooperation in the fields of culture, education and scientific exchanges. -do- -do- Signed during the visit of the Russian Prime Minister to Pakistan from 11-13 April 2007. 156 Foreign Office Year Book 2006-07 Agreement for cooperation in the area of narcotics control. South Africa Cooperation arrangement between the Air Forces of Pakistan and South Africa Sudan A 3-year cultural exchanging program -do- Signed during the visit of the Chief of Air Staff to South Africa in May 2007. MoU in the field of sports Syria MoU on establishment of political consultation mechanism between the Ministries of Foreign Affairs of the two countries. United Arab Emirates Agreement on cooperation to fight terrorism and organized crime between the Government of the United Arab Emirates and the Government of the Islamic Republic of Pakistan. Protocol on cultural cooperation between the Government of Islamic Republic of Pakistan and the Government of the United Arab Emirates for calendar years 2007-08. Protocol on media cooperation between the Government of the United Arab Emirates and the Government of Islamic Republic of Pakistan for the calendar years 2007-09. MoU on establishment of a Joint Business Council (JBC) between the Federation of UAE Chambers of Commerce & Industry (UAE CCI) and the Federation of Pakistan Chambers of Commerce & Industry (FPCCI). MoU for the establishment of a political consultation mechanism between the Ministry of Foreign Affairs of the Islamic Republic of Pakistan and the Ministry of Foreign Affairs of the United Arab Emirates. United Kingdom „Development Partnership Agreement‟ Signed during the visit of the Minister of Culture of Sudan to Pakistan in June 2007. -doSigned during the visit of the Syrian Foreign Minister to Pakistan from 1517 May 2007. th Signed during the 9 JMC held in Islamabad on 11-12 June 2007. -do- -do- -do- -do- Signed during the visit of the British 157 Foreign Office Year Book 2006-07 signifying a ten-year development assistance programme by UK Government. United States of America MoU on cooperation in the field of agriculture. Prime Minister to Pakistan from 18-19 November 2006. Signed by Dr. Atta-ur-Rehman, Advisor to the Prime Minister of Pakistan and Dr. Gale A. Buchanan, Under Secretary for Research, Education and Economics of the U.S. Department of Agriculture, during the former‟s visit to USA in July 2006. Signed during the visit of the Prime Minister of Pakistan to Uzbekistan from 13-15 March 2007. Uzbekistan Agreement between the Government of the Islamic Republic of Pakistan and the Government of the Republic of Uzbekistan on cooperation in the field of transport and transit of goods Treaty between the Government of the Islamic Republic of Pakistan and the Government of the Republic of Uzbekistan on mutual legal assistance in criminal matters. MoU between the International Islamic University Islamabad-Pakistan and the Tashkent Islamic University, under the cabinet of the Ministers of the Republic of Uzbekistan. MoU between the Karachi Chamber of Commerce and Industry and Chamber of Commerce and Industry of Uzbekistan. Vietnam Visa abolition agreement for diplomatic and official passports holders with Vietnam. Yemen Agreement on abolition of visa requirements for the holders of diplomatic and official passports. Agreement on cooperation in the fields of higher education & scientific research, agriculture & irrigation and culture. MoU on establishment of a Joint Business Council. -do- -do- -do- Signed during the visit of the Additional Foreign Secretary (South Asia & Pacific) to Vietnam in January 2007. Signed during the visit of the Prime Minister of Pakistan to Yemen from 10-12 December 2006. -do- -do- XV. HIGH LEVEL VISITS FROM 158 Foreign Office Year Book 2006-07 AND TO PAKISTAN DURING JULY 2006 – JUNE 2007 VISITS FROM PAKISTAN President’s Visits 13-16 June 2006 6-7 September 2006 11-30 September 2006 20-24 January 2007 29-31 January 2007 5-6 February 2007 President‟s visit to Shanghai (China) and Almaty (Kazhkstan) President‟s visit to Afghanistan President‟s visit to Brussels, Havana (Cuba), New York and Washington President‟s visit to Saudi Arabia, Egypt, Jordan, Syria and U.A.E. President‟s visit to Indonesia and Malaysia President‟s visit to Iran and Turkey Prime Minister’s Visits 2-5 July 2006 2-4 August 2006 30 Aug-4 Sept 2006 7-13 November 2006 10-15 December 2006 24 December 2006 4 January 2007 24-30 January 2007 13-15 March 2007 26-28 March 2007 3-4 April 2007 16-22 April 2007 17-20 May 2007 6 June 2007 Prime Minister‟s visit to Geneva Prime Minister‟s visit to Malaysia (Stopover at Bangkok) Prime Minister‟s visit to Oslo, London & Istanbul Prime Minister‟s visit to New York & Halifax (Canada) Prime Minister‟s visit to Yemen and Saudi Arabia Prime Minister‟s visit to Ashgabat (Turkmenistan) Prime Minister‟s visit to Kabul (Afghanistan) Prime Minister‟s visit to Davos and Brussels Prime Minister‟s visit to Uzbekistan Prime Minister‟s visit to Hong Kong Prime Minister‟s visit to New Delhi Prime Minister‟s visit to China (Beijing, Chengdu and Boao) Prime Minister‟s visit to Jordan Prime Minister‟s visit to Kabul (Afghanistan) VISITS TO PAKISTAN 159 Foreign Office Year Book 2006-07 18 October 2006 29 October-03 Nov 2006 4-7 November 2006 18-20 November 2006 23-26 November 2006 20-22 December 2006 6-10 March 2007 12-13 April 2007 8-10 May 2006 His Majesty the King of Jordan His Royal Highness the Prince of Wales His Excellency the Prime Minister of Malaysia His Excellency the Prime Minister of U.K. His Excellency the President of China His Royal Highness the Crown Prince of Bahrain His Excellency the Former Prime Minister of Australia Bob Hak His Excellency the Prime Minister of Russian Federation His Excellency the Prime Minister of Czech Republic The text of the book or its excerpts may be reproduced, stored in a retrieval system or transmitted by any means without the permission of the Ministry of Foreign Affairs. ****************** 160 Foreign Office Year Book 2006-07 161