Economic disparity between East and West Pakistan

The economic disparity between East and West Pakistan.

Economic inequality was the main reason for the plight of East Pakistanis. To the people of East Pakistan, this discrimination was on the one hand similar to colonial exploitation, on the other hand, the difference in the social structure existing in the two regions was similar to class exploitation. Since the mid-fifties, the backwardness of East Pakistan in economic development has been attributed to Pakistan. Discriminatory structures tend to have economic consequences.

Economic disparity:

Economic Infrastructural Inequalities:

West Pakistan has 45% of the country's total population, but allocation of 75% of the national wealth there increases national income and increases employment. As a result, there is a favorable environment for private investment. A dynamic market developed in West Pakistan with residences of high-ranking military-civilian bureaucrats, the establishment of various financial institutions, the location of foreign embassies, etc. Various economic infrastructures were established in West Pakistan on the federal model. The money required by East Pakistan had to be brought from West Pakistan through cheques. Surplus money was deposited in West Pakistan. Due to which capital could not be developed in East Pakistan

Regional investment disparity

In East Pakistan, investment in the economic sector in the 1950s was 21%-26% of total investment. In the 1960s it increased to 32%-36%. On the other hand, the combined revenue and development sector investment in West Pakistan was 74%-79% in the first decade and 64%-68% in the second decade. East Pakistan's share was only 28% of the total Rs 1,160 crore in the First Five Year Plan. In the revenue sector, a total of 254 crore rupees were spent in East Pakistan at that time. In contrast, West Pakistan spent Rs 898 crore.

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Disparity in Average Per Capita Income

There was a clear difference in the average per capita income of the people of both parts of Pakistan. In the fiscal year 1964-1965, the average per capita income of the people of East Pakistan was 281 rupees. On the other hand, the average per capita income of the people of West Pakistan was Rs.412. At that time the disparity was 38.1%. In 1969 this disparity rose to 47.1%.

Disparity in Per Capita Expenditure in Development Sector

The planning of per capita expenditure in development sector in East Pakistan was also discriminatory. In the first five-year plan, in this case, 125 rupees were spent in East Pakistan and 225 rupees in West Pakistan. Its aim was to undermine East Pakistan's potential for economic development, which accelerated regional disparity. Various data show that during the First Five Year Plan, the per capita expenditure on development of East Pakistan was lower than previously planned expenditure. Its amount was only 80 rupees. On the other hand, in West Pakistan it was Rs.205. so The actual disparity in per capita development of the two parts of the country was more than the planned disparity.

Disparity in Industrialization:

In East Pakistan, industrial production was 9.4% of total production in 1949-50 and rose to 20% in 1969-70. In contrast, the industrialized sector in West Pakistan increased from 14.7% in 1949-50 to one-third of production in 1969-70. So it can be said that there was no industrialization in East Pakistan during 1951. Because at this time the number of agricultural workers working in agriculture increased from 84.7% to 85.3%. On the other hand, the number of agricultural laborers in West Pakistan decreased from 65.3% to 59.3% during this period.

Infrastructural disparity:

According to July 1970 figures, the total capacity of all types of power generating stations in East Pakistan was 550,000 KW. On the other hand, West Pakistan had 1956 thousand kilowatts. Annual per capita electricity consumption was 13 kWh in East Pakistan and 11 kWh in West Pakistan. As a result the development of industry in East Pakistan was hampered.

Impediments in the Development of Handicrafts:

Due to the division of the country, the most developed sector of handicrafts in Bengal was seriously affected by weaving. In 1947 the number of handlooms was 250 thousand, in 1951 it decreased to 183 thousand. East Pakistan's textile mills became West Pakistan's forerunners for handlooms and cotton and yarn. Therefore, since the birth of Pakistan, the development of the textile industry in East Bengal has been determined by protecting the interests of West Pakistani industrial establishments and making East Pakistan a market for their products.

Disparities in communication systems:

In the late 1960s, railways carried twice as many passengers and three times as much freight annually in West Pakistan than in East Pakistan. On the other hand, the length of highway in East Pakistan was 2,368 miles and in West Pakistan it was 10.60 miles. In the second half of the 1960s, the annual average growth rate of the contribution of the communications sector to gross provincial production was 11.2% in West Pakistan, and 3.7% in East Pakistan. Moreover, in 1966-67 West Pakistan had five times more motor vehicles than East Pakistan. Moreover, during the Pakistan period, the economic condition of East Pakistan gradually started to deteriorate. Fifteen years after the establishment of Pakistan, East Pakistan had a revenue deficit of 60 crore rupees. On the other hand, West Pakistan had a surplus of Tk 38 crore. In the 1960s, the growth rates in East and West Pakistan were 4.3% and 6.4% respectively. The central government's discriminatory economic plans and policies were responsible for this.

Wealth Trafficking:

A lot of wealth in cash and goods was transferred from East Pakistan to West Pakistan. In economic terms, this is called wealth laundering. As one can see, about 3,000 million rupees were transferred from East Bengal to West Pakistan every year. On the other hand, in the twenty years from 1948-49 to 1968-69, East Pakistan accounted for 19 percent of the total development income of that period. If this money was used for development in East Pakistan, it would have been possible to increase the development activities of the region by 39 percent.

Discrimination in Internal Allocation:

There is also a wide disparity between East and West Pakistan in terms of internal credit allocation. Pakistan Industrial Development Bank, Pakistan Industrial Credit and Investment Corporation, House Building Finance Corporation, Pakistan Agricultural Development Bank loans are widely observed.

Exploitation through import-export controls:

Foreign trade in Pakistan was completely controlled by the government. within The debt trade was conducted from a central office in West Pakistan. As a result, Pakistanis have more commercial opportunities enjoyed.

Inequitable distribution of foreign aid and credit:

From 1947-70, Pakistan received foreign credit commitments worth 7640 million dollars. However, East Pakistan received only $2024 million or 26.6% due to discriminatory policies. However, 64.39 million dollars of this team was utilized and Bangladesh received 1941 million dollars or 30%. But East Pakistan was supposed to receive 56% of the foreign aid received on the basis of population. At least Bangladesh can claim 50% on equalization basis. Due to which it can be seen that the needs of the people of the eastern region have been turned into a debt-ridden country without giving importance; On the other hand, this money has been spent in West Pakistan, depriving East Pakistan of the non-developmental and military sectors, thereby hindering the economic development of East Pakistan.

Exploitation through profit and capital extraction:

Although East and West Pakistan were the same state, the employees and officers of the West stayed in East Pakistan and their monthly or annual migrations went to the West. Western capitalists established some industries in the region as raw materials were cheaper in the east. However, the products produced were not sold directly here but went to West Pakistan and later came to the East as Western exports and the proceeds were taken back to the West. Sometimes after setting up industries in the region, capitalists or governments aim to pay back the capital as soon as possible. The incident took place during the setting up of Adamji Jute Mill. In this case, the goal is to withdraw its entire investment within 3 to 7 years of establishment. A similar attitude was adopted in other industries.

Finally we can say that the West Pakistani rulers used to adopt discriminatory policies with the East Pakistanis in all areas of infrastructure, budget, regional investment, industrialization etc. As a result, the population of East Pakistan fell far behind and gradually it led to the partition of Pakistan. The end result of which was the independence war of 1971 and the partition of the country.