14th March

Lock-in on stake sale

The article ridicules the attempt of govt to camouflage its mistake of selling away the telecom licenses at throw-away prices by a proposed three year lock-in period for the selling of promoters’ stake in these companies.

The idea is band-aid solution for the mistake govt has made by selling the precious govt assets at throw away prices to new entrants in the telecom sector. The lock-in solution proposes that promoters who have received licenses in the last year cannot sell their stake for the next three to five years. If it does, then half of the money received from the selling would go to govt while the other half would strictly go to the company. Even the fresh equity that is issued, the proceeds would go to the company and not to promoter. But this just delays the profit for the promoters. While the companies have paid around Rs. 1651 crore for the license, the stake dilution would fetch them Rs. 10K crore. Indeed, there is no hurry to sell the stake for them. Telecom sector is growing leaps and bounds without any effect of recession as it adds 9.2 million subscribers in last month. 

The mistake made by govt needs an explanation to public. Repeated calls for auctioning the licenses, which would have fetched the govt much more money, went unheard. The new proposal doesn’t solve the problem but increases the complexities for existing operators. 

On Knife’s Edge

The article comments on Paksitan’s self-centric political leaders that have never let the Pakistani polity evolve to work collectively. With Pakistan surrounded by four-sided crisis arising from political instability, rising militancy, US military offense and economic crisis, it is imperative for Pakistani polity to rise above individualism.

The euphoria of re-establishment of democracy didn’t last long as Zardari is once again fighting the political crisis. As PML(N) people goes for a long march against the autocracy of Zardari, the fact endorsed by his own party people, the attempts by the latter to prevent Nawaz Sharif from contesting the elections, prevent restoration of Justice Iftikhar Chawdhry as well as to assert his rule in Punjab province proved futile. Zardari might be pushed for another deal with PML(N) to solve the issues but given the history of Pakistani polity, it would only set ground for another crisis in future. Individualism has always been dominant in Pakistani polity, something which is a reason for every crisis in the past and the current crisis being just another example. 

Even as the coalition partners of PPP, the ANP and MQM, distances themselves from the agitation, it is clear that Pakistani feudal elite remains incompetent in solving national issues that require democratic consensus. 

Women on Top?

The article contemplates on the winnability of women in the Indian polity. The statistics show a dismal performance of women in Indian polity during elections compared to their western counterparts. 

With four women, Sonia Gandhi, Mamta Banerjee, Jayalalita and Mayawati, currently dominating the Indian political scenario and all aspiring for the top seat, it is important to note that women in general have been poor performers when it comes to elections. In LS, in the past six decades the women percentage has remained between 3.5-9.2%; in terms of numbers between 19 and 49. Compare it with highest women Senators in US 435-member House of Representatives being 75, while the same for British House of Commons being 128. In the last general elections women candidates performed pathetic mainly in the states of UP, West Bangal, Madhya Pradesh, Haryana and Andra Pradesh. The total of 44 women candidates won out of 177. 

The paradox between India and their western counterparts is ironical. While India has no qualms on having women at leadership posts at any level, but the latter fails when it comes to fight for the offices. On the other hand while women land up winning in elections in the western democracies, they are not preferred options for the top job barring Margaret Thatcher and Angela Markel. For India, currently all the BIG FOUR has potential to make it to the top seat. This should prompt a rethink on winnability quotient of women in general.