PROBABLE DEVELOPMENTS IN PAKISTAN

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CIA-RDP79R01012A007900030001-3
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November 13, 1956
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g Declassified in Part - Sanitized Copy Approved for Release @ 50-Yr 2013/08/09 : L CIA-RDP79R01012A007900030001-3 6 5 NIE 5 2 ? 5 6 13 November 1956 atithOOF N? 253 NATIONAL INTELL IGENCE ESTIMATE NUMBER 52-56 (Supersedes N1E 52-55) PROBABLE DEVELOPMENTS IN PAKISTAN Submitted by the DIRECTOR OF CENTRAL INTELLIGENCE The following intelligence organizations participated in the preparation of this estimate: The Central Intelligence Agency and the intelligence organizations of the Departments of State, the Army, the Navy, the Air Force, and The Joint Staff. Concurred in by the INTELLIGENCE ADVISORY COMMITTEE on 13 November 1956. Concurring were the Special Assistant, Intelligence, Department of State; the Assistant Chief of Staff, Intelligence, Department of the Army; the Director of Naval Intelligence; the Director of Intelligence, USAF; and the Deputy Director for Intelligence, The Joint Staff. The Atomic Energy Commission Representative to the IAC, and the Assistant Director, Federal Bureau of Investigation, abstained, the subject being outside of their jurisdiction. ft t1.3.a)A-?". DOC'JMENT NO. 1 NO CHANGE 1;1 CLASS. I /7? DECL CLASS. C, !"? 10: TS S C ________ NEXT 17,EV"_ ,! ALJT)-1: Firl 73 2 DATE: REVIEWER: 00 71 Declassified in Part - Sanitized Copy Approved for Release @ 50-Yr 2013/08/09: CIA-RDP79R01012A007900030001-3 Declassified in Part - Sanitized Copy Approved for Release @ 50-Yr 2013/08/09: CIA-RDP79R01012A007900030001-3 CENTRAL INTELLIGENCE AGENCY DISSEMINATION NOTICE 1. This estimate was disseminated by the Central Intelligence Agency. This copy is for the information and use of the recipient indicated on the front cover and of per- sons under his jurisdiction on a need to know basis. Additional essential dissemination may be authorized by the following officials within their respective departments: a. Special Assistant to the Secretary for Intelligence, for the Department of State b. Assistant Chief of Staff, Intelligence, for the Department of the Army c. Director of Naval Intelligence for the Department of the Navy d. Director of Intelligence, USAF, for the Department of the Air Force e. Deputy Director for Intelligence, Joint Staff, for the Joint Staff f. Director of Intelligence, AEC, for the Atomic Energy Commission g. Assistant Director, FBI, for the Federal Bureau of Investigation h. Assistant Director for Central Reference, CIA, for any other Department or Agency 2. This copy may be retained, or destroyed by burning in accordance with appli- cable security regulations, or returned to the Central Intelligence Agency by arrange- ment with the Office of Central Reference, CIA. 3. When an estimate is disseminated overseas, the overseas recipients may retain it for a period not in excess of one year. At the end of this period, the estimate should either be destroyed, returned to the forwarding agency, or permission should be requested of the forwarding agency to retain it in accordance with IAC?D-69/2, 22 June 1953. The title of this estimate, when used separately from the text, should be classified: FOR OFFICIAL USE ONLY WARNING This material contains information affecting the National Defense of the United States within the meaning of the espionage laws, Title 18, USC, Secs. 793 and 794, the trans- mission or revelation of which in any manner to an unauthorized person is prohibited by law. DISTRIBUTION: White House National Security Council Department of State Department of Defense Operations Coordinating Board Atomic Energy Commission Federal Bureau of Investigation Declassified in Part - Sanitized Copy Approved for Release @ 50-Yr 2013/08/09: CIA-RDP79R01012A007900030001-3 Declassified in Part - Sanitized Copy Approved for Release @ 50-Yr 2013/08/09: CIA-RDP79R01012A007900030001-3 M. TABLE OF CONTENTS Page THE PROBLEM 1 CONCLUSIONS 1 DISCUSSION 2 POLITICAL 2 The "One-Unit" Plan and the Constitution 4 Recent Crises 4 Probable Developments 4 The Communist Party 7 ECONOMIC 8 Present Situation 8 Probable Developments 10 MILITARY 12 FOREIGN AFFAIRS 14 Relations with the West 14 Relations with the Bloc 15 Relations with India and Afghanistan 15 Pakistan as an Ally 16 APPENDIX Summary Conclusions 18 Chart of Political Alignments in Pakistan following 18 Political Parties and Groupings in Pakistan 19 Map of Pakistan following 20 itpeoPt4Plftwkk Declassified in Part - Sanitized Copy Approved for Release @ 50-Yr 2013/08/09: 'CIA-RDP79R01012A007900030001-3 Declassified in Part - Sanitized Copy Approved for Release @ 50-Yr 2013/08/09: CIA-RDP79R01012A007900030001-3 PROBABLE DEVELOPMENTS IN PAKISTANI THE PROBLEM To estimate the present situation and probable developments in Pakistan with particular emphasis on the period through 1957. CONCLUSIONS 1. At least over the next few years, Paki- stan will remain basically unstable, plagued by serious differences of interest and outlook between the two parts of the country, by a dearth of responsible lead- ers, by weak political institutions, and by widespread frustration and discontent, particularly in East Pakistan. (Paras. 10-20) 2. President Mirza will probably continue for the next few years to exercise a dom- inant influence over the government, thus assuring a modicum of stability. Despite the difficulties which Mirza and Prime Minister Suhrawardy will experience in working with one another, their present alliance will probably continue at least for the next six months or so and pos- sibly past the general elections contem- plated for late 1957 or early 1958. (Paras. 21-26) ' Supersedes NIE 52-55, "Probable Developments in Pakistan," 15 March 1955. For Summary Conclusions see Appendix page 18. 3. If Mirza cannot preserve his domin- ance over the government by ordinary means, he would almost certainly exer- cise his emergency powers to rule by de- cree. Such action would widen the ex- isting gap between the government and the people and would probably entail more pervasive and sustained use of au- thoritarian methods than has hitherto been required. Such action would also create additional discontent in East Paki- stan and increase tensions between the two wings of the country. (Paras. 27-28) 4. Despite probable delays and difficulties in finalizing and putting into effect the proposed five year development program for 1955-1960, there will probably be an acceleration of development activities and expenditures in 1959 and 1960, and by the latter year the rate of growth of the national income may approach a level of somewhat over three percent a year. However, Pakistan will almost certainly fail to realize a substantial part of the P614ilioNZ. 1 Declassified in Part - Sanitized Copy Approved for Release @ 50-Yr 2013/08/09: CIA-RDP79R01012A007900030001-3 Declassified in Part - Sanitized Copy Approved for Release @ 50-Yr 2013/08/09: 1CIA-RDP79R01012A007900030001-3 folimOWIT plan goals by 1960 and, despite probable progress in raising food grain production levels, will probably remain subject to food shortages resulting from floods and droughts. (Paras. 40-43) 5. With Pakistan's foreign exchange earnings likely to hold up at approxi- mately present levels and economic de- velopment expenditures likely to lag, Pak- istan will probably require a lower annual level of economic assistance (exclusive of military aid) in FY 1957 and 1958 than was provided by the US in FY 1956. How- ever, in the period following 1958, the probable rising expenditures for the de- velopment program and the increase in annual costs of an enlarged military es- tablishment are likely to require a sub- stantial increase in US economic assist- ance. It is likely that Pakistan will be dependent on larger-scale economic as- sistance by FY 1960 than was granted by the US in FY 1956. (Paras. 43-44) 6. Pakistan will probably continue to make heavy expenditures on its military establishment. However, maintenance of that establishment will require con- tinuing US materiel and direct forces support, not only through the expected completion of the present military aid program in 1959 or 1960, but probably for an indeterminate period. (Paras. 46, 53) 7. Present strains in Pakistan's relations with India will probably continue sub- I. POLITICAL 2 stantially unchanged. There may be some improvement in Afghan-Pakistan relations. (Paras. 63-64) 8. Despite the strain placed on Pakistan's relations with the UK by the crisis arising out of the Anglo-French intervention in Egypt, we believe it unlikely that the Pak- istan government presently plans to leave the Commonwealth, the Baghdad Pact, or SEATO. However, it is still possible that the crisis may develop so as to cause Paki- stan's withdrawal from the Common- wealth and these organizations. (Para. 60) 9. At best, the Pakistan government will be under increasing popular pressure to de-emphasize its ties with the West and demonstrate its independence of "West- ern domination." It will probably take a less active interest in regional defense matters, at least in the absence of greatly increased US support. It would probably be unwilling to grant military bases to the US in peacetime, and almost certain- ly remain unwilling to commit more than token forces for use under SEATO or the Baghdad Pact outside Pakistan. It will probably be increasingly receptive to of- fers of trade and friendship by Commu- nist China, the USSR, and other members of the Bloc. These trends would be ac- celerated if US military and economic aid were reduced. (Paras. 58-62, 65-66) DISCUSSION 10. Despite its success in coping with the weighty problems which confronted it at the outset, Pakistan 3 after nine years of inde- pendent existence still lacks many of the basic ingredients of national unity and stabil- ity. The eastern and western parts of the For map of Pakistan see Appendix, following page 20. Declassified in Part - Sanitized Copy Approved for Release @ 50-Yr 2013/08/09: CIA-RDP79R01012A007900030001-3 Declassified in Part - Sanitized Copy Approved for Release @ 50-Yr 2013/08/09: CIA-RDP79R01012A007900030001-3 4011M1t-T ?-? country, separated by about a thousand miles of Indian territory, represent two widely dis- parate cultural groups, differing from each other in language, social and economic struc- ture, and outlook. These differences lie at the root of the continuing political tug of war between the Bengali leaders of East Pakistan, whose province contains 45 million of Paki- stan's 80 million population, and the Punjab and Pathan elements of West Pakistan who still predominate in the army, the civil service, and the higher offices of the government. Is- lam is now less of a force for national unity than it was at the inception of Pakistan and has increasingly become a source of funda- mentalist opposition to the development of a modern secular state. The Muslim League, which Pakistan's original leaders used as a vehicle of political control, has steadily de- generated, and no effective rival organiza- tions have emerged to take its place. Al- though much of the Pakistani population re- mains ignorant and apathetic about political matters, chronic political instability, recur- rent economic crises, and continuing frus- tration over relations with its neighbors, par- ticularly India, have all contributed to grow- ing popular dissatisfaction with the present state of affairs. 11. During the past few years, ultimate po- litical authority in Pakistan has been in the hands of a small circle of Western-oriented senior administrators headed by the late Gov- ernor General Ghulam Mohammed and his successor (now provisional president of Paki- stan) Iskander Mirza. This group, entirely composed of West Pakistanis, first asserted its authority in early 1953, when Ghulam Mo- hammed summarily dismissed the inept Nazi- muddin Cabinet without reference to the Con- stituent Assembly, which also served as a pro- visional legislature. In September 1954 a number of disgruntled members of the Con- stituent Assembly, mostly from East Pakistan, challenged the power of the group by pushing through a bill curtailing the powers of the Governor General. As a countermove, he dis- missed the Constituent Assembly and brought about a cabinet reshuffle in which Mirza and Army Commander in Chief Ayub, who had 3 worked closely with Ghulam Mohammed, took over the key portfolios of Interior and Defense respectively. After a High Court verdict against the continuation of executive rule, Ghulam Mohammed was persuaded to yield to the Court's decision and in June 1955 he had the provincial legislatures select repre- sentatives to a new Constituent Assembly. However, preponderant power continued to rest with the executive because of its control of patronage, its broad emergency powers, and the continuing support of the army. Be- cause of the deteriorating health of Ghulam Mohammed, this executive power was increas- ingly assumed by Mirza, who finally took over as acting Governor General in August 1955. 12. Although Mirza has continued to hold the political ascendency, the 'restoration of par- liamentary government has ushered in a pe- riod of intense political jockeying for position in which both Mirza's freedom of action and over-all political stability in Pakistan have declined. Possessing neither organized po- litical support of his own nor sufficient pop- ular backing to appeal to the country over the heads of the politicians, Mirza has been forced into a series of deals and compromises in order to secure parliamentary backing for a cabinet acceptable to him. This political maneuvering has also encouraged some strains within the Mirza group, whose prestige and effectiveness had been weakened by the disappearance from the political scene of Ghu- lam Mohammed. 13. The ruling group initially sought to form a coalition government based on an alliance with the Muslim League, which despite its debility remained the only major political organization in West Pakistan and, with strong government backing, was able to secure most of the 40 West Pakistan seats in the new 80-man Constituent Assembly. 4 Although neither the Muslim League nor the ruling group had significant influence in East Paki- stan, the lack of a unified political organiza- tion there left the West Pakistan leaders in a strong bargaining position. They finally took For a listing of major political parties and groupings in Pakistan see Appendix, page 19. Seitiegfealifile" Declassified in Part - Sanitized Copy Approved for Release @ 50-Yr 2013/08/09: CIA-RDP79R01012A007900030001-3 Declassified in Part - Sanitized Copy Approved for Release @ 50-Yr 2013/08/09: CIA-RDP79R01012A007900030001-3 ??? Fazlul Huq's loosely-knit United Front into the coalition, leaving H. S. Suhrawardy's Awami League, which had insisted on the prime ministership for Suhrawardy as the price of cooperation, in opposition. Shortly before the new Constituent Assembly met in September 1955, a new cabinet was set up in which Mohammed Ali of Bogra, whom Mirza had distrusted for some time, was replaced as prime minister by Chaudri Mohammad Ali, a career civil servant who had made a good reputation as finance minister and was one of Mirza's principal associates. The "One-Unit" Plan and the Constitution 14. This arrangement with Huq's group in- volved the acceptance of United Front rule in East Pakistan, where the United Front's pre- vious ineptness in office had resulted in the imposition of direct administration by the central authorities for more than a year. How- ever, it left Mirza in a strong position at the national level, where the United Front mem- bers of the cabinet were effectively isolated from real power. This arrangement also pro- vided a basis for a final drive to push through the "one-unit" scheme for integrating the several provinces of West Pakistan into a single unit. This regrouping, which was finally effected in October 1955 after much heavy and sometimes high-handed pressure from Karachi, was designed to confirm the political ascendency of the Punjabi elite, with which Mirza and most of his friends were as- sociated. 15. With the adoption of the "one-unit" plan, the government promptly proceeded to push through a constitution, which the old Con- stituent Assembly had failed to agree upon despite years of wrangling. This involved some dissension within the Mirza group and some concessions to outside pressures, notably on the religious issue. Despite the objections of Mirza and opposition leader Suhrawardy, Prime Minister Chaudri Mohammad Ali yielded to pressures within the assembly for designation of the new state as an "Islamic Republic," for a requirement that the presi- dent be a Moslem, and for a vaguely worded 4 provision calling for appointment by the president of an Islamic Commission to recom- mend means of bringing the laws of Pakistan into conformity with the Koran. The thorny related issue of whether to have Hindus and other religious minorities vote along with the Moslems (as the secularists and Bengalis wished) or in separate electorates for specially designated minority seats was finally referred to the provincial legislatures for advice. The National Assembly has recently voted to have joint electorates in East Pakistan and separate electorates in West Pakistan. 16. By and large, however, Mirza got what he wanted: a parliamentary form of government with enough power concentrated in the exec- utive to provide the "controlled democracy" which he considered essential for stability at Pakistan's present state of political develop- ment. The constitution provides for govern- ment through a prime minister and cabinet having the confidence (and legislative sup- port) of an elected National Assembly and for a judiciary empowered to pass on constitution- al questions. However, the president is in many respects the actual as well as nominal fountainhead of governmental authority. 5 In exercising normal executive powers, including the appointment of officials and the exercise of the police functions, he is directed to act in accordance with the "advice" of the cabinet. If the view expressed by the former law minister is to be accepted, however, he cannot be held too strictly to account for failure to accept such "advice." Moreover, he is allowed to exercise discretion in determining whether an individual commands sufficient confidence within the National Assembly to be appointed or retained as prime minister. In addition, the president is specifically granted broad discretionary powers, including a conditional right of veto, the right to dismiss the national and provincial assemblies, the right to pro- Once general elections have been held, the presi- dent will be elected for a five-year term by com- bined majority vote of the National Assembly and the two provincial assemblies, meeting con- currently but separately. He can be removed only by the vote of three-quarters of the Na- tional Assembly. Declassified in Part - Sanitized Copy Approved for Release @ 50-Yr 2013/08/09: CIA-RDP79R01012A007900030001-3 Declassified in Part - Sanitized Copy Approved for Release @ 50-Yr 2013/08/09: CIA-RDP79R01012A007900030001-3 ??I1 lasstag. mulgate ordinances when the assembly is not in session, and the right to institute executive rule on the basis of a national or provincial emergency. The two provincial governors, appointed by the president, also have wide powers within their respective spheres. 17. Adoption of the new constitution in early 1956 regularized the position of the Constit- uent Assembly (which became the provisional National Assembly) and of Mirza (who was promptly named provisional president) , thus removing some of the uncertainties which had previously plagued Pakistan politics. It also provided at least a provisional settlement of the status of East Pakistan: Bengali was designated a "state language" along with Urdu, but East Pakistan was forced to accept equal representation with less populous West Pakistan in the National Assembly and the continuation of effective concentration of power in the central government. Recent Crises 18. Any hopes that adoption of a constitution would pave the way for rapid and orderly prog- ress toward more stable and representative government were soon dispelled. In West Pakistan a full-scale political revolt developed under the direction of Mian Mumtaz Daul- tana, a prominent and wealthy Punjab pol- itician, and other old-line Muslim Leaguers who had long been unreconciled to the cen- tralization of power in the Mirza group. Al- though ostensibly directed against Dr. Khan Sahib, a prominent North West Frontier Prov- ince independent whom Mirza had had in- stalled as provincial chief minister, it was clearly aimed at undermining Mirza's posi- tion in the central government. Meanwhile, in East Pakistan, the poor administrative showing of Mirza's United Front allies led to a progressive deterioration of their political position. 19. Mirza succeeded in surmounting the im- mediate threat in West Pakistan by having Khan Sahib and provincial Governor Gurmani set up a new Republican Party in opposition to the Muslim League. Strongly backed by all the pressures at the Karachi government's disposal, it was able to lure away enough provincial deputies from Daultana and his associates to secure (with some extra help from the presiding officer) a vote of confidence in the provincial assembly when it met in May 1956. Similar switches at Karachi turned the central government into a pre- dominantly Republican-United Front coali- tion. 20. Nevertheless, the government's political position remained precarious. Although the Republicans had won an initial victory in West Pakistan, their majority was not a firm one. Prime Minister Chaudri Mohammad Ali's refusal to make a clean break with the Muslim League in favor of the Republicans added to political strains which had been developing between him and Mirza. Most importantly, the United Front, on which the government relied to fill out its parliamentary majority, came under increasingly heavy at- tack in East Pakistan. Despite crude efforts by provincial Governor Fazlul Huq to save the United Front government in East Paki- stan, it was finally supplanted by the Awami League in September 1956. A brief effort was made to continue the United Front in the cen- tral government despite these events. How- ever, when Chaudri, for a number of reasons, resigned on 8 September, Mirza finally ac- cepted H. S. Suhrawardy, whom he had long recognized as his most important rival for power in Pakistan, as prime minister. The Awami League thereupon replaced the United Front in the central government coalition. 6 Probable Developments 21. An extremely able politician and a capa- ble administrator, Suhrawardy is the first prime minister since the assassination of Lia- quat Ali Khan in 1951 with any significant degree of national prestige and appeal as a political leader. His accession may thus help to overcome the mixture of apathy and mis- trust which have to date characterized popu- lar attitudes toward the government. As an For chart of present alignment of political groups in the national and provincial assemblies see Appendix, following page 18. Declassified in Part - Sanitized Copy Approved for Release @ 50-Yr 2013/08/09: CIA-RDP79R01012A007900030001-3 Declassified in Part - Sanitized Copy Approved for Release @ 50-Yr 2013/08/09: 1CIA-RDP79R01012A007900030001-3 ,?Ii#Notior accepted Bengali leader who will presumably be alive to East Pakistan's problems, he may make some progress in developing the support from East Pakistan which the Karachi gov- ernment has so conspicuously lacked in recent years. 22. We believe that the present alliance be- tween Mirza and Suhrawardy will probably re- main in effect at least for the next six months or so and possibly past the general elections contemplated for late 1957 or early 1958. Despite Suhrawardy's career in opposition, he is far closer to Mirza in general outlook than most other Pakistani politicians. He shares Mirza's aspirations for development of a strong Pakistan along secular, Westernized lines, and over the last few months the two men appear to have moved closer together on many issues. In taking the premiership, Suhrawardy specifically promised Mirza that he would maintain Pakistan's Western ties, refrain from interference with the military establishment, and attempt to eliminate left- ist elements from his party. 23. On a more practical plane, both men rec- ognize their dependence on one another. Suhrawardy realizes that he needs Mirza's support to retain his present position, since the latter not only has the power of the presi- dency and the support of the army, but is now also sponsor of the Republican Party. Suhra- wardy, long ambitious for the premiership, will probably not readily expose himself to losing it. Mirza, for his part, probably recognizes that Suhrawardy presently represents the only practical alternative to suspension of parlia- mentary government and rule by decree. 24. Mirza and Suhrawardy will, however, al- most certainly experience some difficulty in working with one another. Both are ambi- tious men and differ in their fundamental views regarding their respective roles. Bas- ically mistrustful and contemptuous of poli- ticians, Mirza is convinced that he, as presi- dent, must retain essential control if stability in Pakistan is to be maintained and he will probably continue to express himself on spe- cific matters with characteristic bluntness. He will probably continue to suspect Suhra- 6 wardy on grounds of opportunism and to have reservations about the presence of radical and anti-Western elements in the Awami League. Suhrawardy, on the other hand, is convinced that the prime minister must be the active political head of the government rather than a mere executive agent for the president, and will accordingly be jealous of his prerogatives. Differences May arise over such questions as what role Suhrawardy and the Awami League are to play in West Pakistan politics and when elections are to be held. There may also be disagreement regarding foreign and military policy; Suhrawardy has in the past been critical of the government on these mat- ters and in the present Middle East crisis he may wish to take a stronger stand against the UK and France than would Mirza. Final- ly, basic social and regional conflicts of in- terest between the Punjabi elite of landlords and merchants with which Mirza is associated and the more equalitarian political society of East Pakistan will also complicate the Mirza- Suhrawardy relationship. Any of these dif- ferences, we believe, may bring these men to a parting of the ways. 25. Pakistan will remain politically unstable, particularly with the approach of the general elections which the government is more or less committed to holding within the next 12 to 18 months. In West Pakistan, it will be difficult for Mirza to hold the Repub- lican Party's slim majority intact in the face of probable renewed efforts to undermine it by Mirza's Muslim League antagonists, possi- ble similar maneuvers by Suhrawardy's fol- lowers, and factionalism within Republican ranks. Resort to emergency powers by Mirza or provincial Governor Gurmani will also re- main a possibility. In East Pakistan the fall of the United Front cabinet has given the Awami League an opportunity to build up its position, but its capacity to cope with the chaotic administrative situation it has in- herited is uncertain. The Awami League it- self is also strained by personal and factional differences between Suhrawardy and Maulana Bashani, the head of the East Pakistan branch of the party. The East Pakistan situation is likely to be further complicated by deal- Declassified in Part - Sanitized Copy Approved for Release @ 50-Yr 2013/08/09: CIA-RDP79R01012A007900030001-3 Declassified in Part - Sanitized Copy Approved for Release @ 50-Yr 2013/08/09: CIA-RDP79R01012A007900030001-3 making between elements of the Awami League and the United Front. At all govern- ment levels preoccupation with political ma- neuvering will continue to interfere with effec- tive administration, thus encouraging a fur- ther growth of popular discontent. In this situation, opposition leaders, and many pro- government politicians as well, will probably be increasingly inclined to resort to dema- gogic appeals on religious, economic, and for- eign policy issues. 26. The struggle for political and popular sup- port is likely to be especially chaotic in East Pakistan, where a long history of political agitation, the relatively limited political power of the landlord class, and continuing popular ? grievances have made for a high degree of popular responsiveness to political stimuli without as yet producing any firm party loy- alties. In West Pakistan the semifuedal char- acter of society puts the big landlords and other notables in a position to control elec- tions and otherwise dominate political life and has made for general cynicism and apa- thy on the part of most of the general public. Despite Mirza's probable inability to secure a genuine popular mandate, he may there- fore be able, by use of the considerable pres- sures and inducements at his disposal, to assure the continuance in office of men will- ing to cooperate with him. However, popular discontent is growing, and Mirza's Muslim League rivals are in a favorable position to capitalize on it, even though they themselves suffer from a lack of real grass roots support. 27. At least in the period prior to general elections, Mirza could and almost certainly would exercise his emergency powers to rule by decree if he were unable to preserve his dominance over the government by ordinary means. Such a crisis would probably be pre- cipitated in the event of a split between Suhral,vardy and Mirza. 28. A resort to emergency executive rule on a nationwide basis could probably be carried out effectively. Despite General Ayub's de- sire to preserve the professional, nonpolitical character of the armed forces and his own withdrawal from active participation in politi- cal affairs, he would probably provide full army backing in an emergency. Mirza could also depend on the civil machinery of govern- ment, whose senior members generally share his viewpoint. With both of these elements lined up behind the president, the establish- ment of executive rule could be accomplished without significant resistance. 29. Nevertheless, a resort to nationwide exec- utive rule would involve serious hazards both for Mirza and for the country. By widening the gap between the government and the people and by sharpening the differences be- tween Mirza and his parliamentary oppo- nents, a resort to executive rule would create an atmosphere in which a restoration of par- liamentary government would involve the risk of serious defeat for Mirza. In order to re- tain power, he would probably feel compelled to resort to considerably more pervasive and sustained use of authoritarian methods than has hitherto been required. Suspension of parliamentary government would create addi- tional discontent in East Pakistan and in- crease tensions between the two wings of the country. 30. Should general elections result in solid majorities for forces strongly opposed to Mir- za's policies and unwilling to accept his re- election as president, Mirza would be strongly tempted to dismiss the legislatures and insti- tute executive rule. However, whether he took such a step would depend on the extent to which the army and civil service were solidly behind him. This in turn would be condi- tioned by the nature of the opposing majority. If this majority clearly threatened the domi- nance of the Punjabi elite, the senior army and civil service officers would probably sup- port and even encourage Mirza to institute authoritarian rule. The Communist Party 31. The Communist Party of Pakistan as such is unlikely to figure importantly in the Paki- stan political situation, over the next year or two at least. A small party estimated to num- ber approximately 1,500, with perhaps twice as many fellow travellers, it is beset by fac- Declassified in Part - Sanitized Copy Approved for Release @ 50-Yr 2013/08/09: CIA-RDP79R01012A007900030001-3 Declassified in Part - Sanitized Copy Approved for Release @ 50-Yr 2013/08/09: CIA-RDP79R01012A007900030001-3 SECRET tional disputes and a lack of effective leader- ship or adequate funds. Banned since 1954, the party is subjected to reasonably effective (though not always firm and consistent) gov- ernment surveillance and repression. The more important East Pakistan branch of the party, which has close links with the Commu- nist Party of India, is not closely tied in with the West Pakistan branch. There are an esti- mated three or four Communists or pro-Com- munists in the 80-man National Assembly and perhaps as many as 25 members in the 309- man East Pakistan legislature. 32. Despite their numerical weakness, the Communists are in a position to encourage and exploit anti-Western, neutralist, and anti- regime sentiment. The pro-Communist bias of the wealthy Mian If tikharuddin, who con- trols three of Pakistan's leading newspapers, the English-language Pakistan Times and the Urdu journal Imroz (which has separate La- hore and Karachi editions) provides a power- ful propaganda medium for the dissemination of pro-Communist and anti-American themes in West Pakistan. In East Pakistan, where the growth potential of the Communist Party is greatest, the Communists have achieved some success in infiltrating the Awami League and other groups. The League's provincial Chairman, Maulana Bashani, is a fellow trav- eller who mouthes Communist doctrine, though like other leftists in the party who adopt various portions of the Communist line he is probably motivated less by ideological conviction than by opportunism. The only clearly identifiable Communist-front par- ties ? both small ? are the Azad Pakistan Party, If tikharuddin's personal political ve- hicle and largely confined to the Punjab, and the Ganatantri Dal of East Pakistan, which elected an admitted Communist to the Na- tional Assembly and has an estimated 11 members in the East Pakistan legislature. One Ganatantri Dal member, possibly a Com- munist, is a member of the provincial cabinet. Communist efforts to organize popular fronts have been generally unsuccessful, and while the party is reportedly still heavily represent- ed in student groups in East Pakistan, its effectiveness in West Pakistan and at the na- tional level is now small. II. ECONOMIC Present Situation 8 33. Pakistan's principal economic asset is ag- riculture, which provides 60 percent of total production, most of its foreign exchange earn- ings, and (in a good year) a precarious self- sufficiency in food at a low standard of living for its large and growing population. It has a national income of less than $6 billion or about $70 per capita for a population of some 80 million. Pakistan is dependent on imports to satisfy nearly all its capital goods require- ments and much of its fuel requirements. It imports a wide array of manufactured con- sumer goods and in most years has been a marginal importer of food grains. To pay for these items it depends primarily on for- eign sales of cotton and jute, which provide 85 percent of Pakistan's export earnings. In recent years it has also relied on US develop- mental and emergency aid. 34. High export earning during the Korean war boom, coupled with good food harvests, encouraged the government to proceed with an ambitious development program. The sub- sequent sharp decline in world commodity prices for cotton and jute and the accom- panying drop in export earnings led to severe strains on the economy. The difficulties were compounded by food deficits as a result of severe drought in 1952 and 1953 and wide- spread flood damage in the three following years. Inflation threatened political stability. In spite of these developments, Pakistan has made progress in certain fields of industrial development during the past five years through a sharp curtailment of consumer goods imports and the support of foreign assistance and external borrowing, about 95 percent of which has come from the US. Emergency US shipments of food and raw materials eased the critical shortages which had been developing, particularly in East Pakistan. 35. Within the last two years the situation has improved in certain respects. Since mid- 1955 the downward trend in foreign exchange earnings was reversed and Pakistan's balance of payments on current account went from a SECRET Declassified in Part - Sanitized Copy Approved for Release @ 50-Yr 2013/08/09: CIA-RDP79R01012A007900030001-3 Declassified in Part - Sanitized Copy Approved for Release @ 50-Yr 2013/08/09: CIA-RDP79R01012A007900030001-3 SECRET surplus of under $1.1 million in 1954-1955 to one of about $80.5 million in 1955-1956.7 The favorable turn in exports was due largely to substantially increased production of jute and to the improved competitive position of Paki- stan's jute and cotton as a result of the de- valuation of the Pakistan rupee on 1 August 1955. Export earnings were also increased by the growth of Pakistan's new textile and jute processing industries, which by late 1955 were not only largely meeting domestic demand but also producing surpluses in some categories for sale abroad. Despite the upward turn in foreign exchange earnings there has only in the last few months been any relaxation of the restrictive import policy maintained through the last four years. The expansion of domestic consumer good industries - par- ticularly textiles and to a lesser extent sugar - has, however, reduced Pakistan's de- pendence on foreign sources of supply and thus relieved considerably the initial pres- sure on the economy resulting from the re- striction of imports. For example, textiles, which averaged a quarter of total purchases 9 abroad during the period 1949-1952, are now almost entirely supplied domestically. 36. Currently, Pakistan is meeting its essen- tial import requirements as well as a good part of the imports which can be presently absorbed by its development program. In the 18 months ending June 1956, the new turn in Pakistan's foreign trade resulted in a bal- ance-of-payments surplus, and in net addition to foreign exchange holdings of about $120 million. Delivered US economic aid in this period accounted for $120 million of the total imports. The equivalent of the US economic aid program during the past year has there- fore gone to build up the foreign exchange reserves of the economy. 37. Total development expenditures in Paki- stan during the five year period through FY 1956 amounted to about $1.4 billion, or about five percent of national income. Public de- velopment expenditures in Pakistan in this period were slightly over one billion dollars, rising from $125 million in FY 1952 to $244 million in FY 1955. In FY 1956 they fell Pakistan's balance of payments position for 1954-1955 and its gold and foreign exchange holdings since 1951 are shown in the following tables: BALANCE OF PAYMENTS OF PAKISTAN (millions of dollars)' 1954 1955 1st half 1956 Goods, services, and capital (total) -36.1 16.4 -9.0 Exports 347.0 402.8 210.0 Imports -389.2 -364.7 -214.0 Services (net) -25.5 -30.3 -20.0 Movement of capital b (net) 31.6 8.6 15.0 Errors and omission -10.7 -8.7 US Government grants and loans 11.7 61.9 60.0 Change in foreign exchange holdings -35.1 69.6 51.0 a. Exchange rate conversion from rupees to dollars was accomplished by using $0.302 for 1954 through July 1955 and $0.210 for the last five months of 1955 and first half of 1956. b. Excludes US Government loans. ( GOLD AND FOREIGN EXCHANGE HOLDINGS OF PAKISTAN (millions of dollars as of end of period) 1951 1952 1953 1954 1955 1st half 1956 447.5 183.0 208.3 173.2 242.8 293.8 SECRET Declassified in Part - Sanitized Copy Approved for Release @ 50-Yr 2013/08/09: CIA-RDP79R01012A007900030001-3 Declassified in Part - Sanitized Copy Approved for Release @ 50-Yr 2013/08/09: CIA-RDP79R01012A007900030001-3 ? SECRET slightly to about $220 million. These expend- itures have been largely directed to industry, power, and transportation. Private invest- ment in the five year period, estimated at roughly $430 million, was concentrated in the fields of textile manufacturing and urban housing. 38. Starting from a negligible base there has been rapid though somewhat unbalanced progress in the establishment of new indus- trial plants 8 and the expansion of supporting power and transportation. In agriculture, while production of major commercial crops expanded, food grain production has made no appreciable progress and on a per capita basis has been declining since 1949. Despite this lag in food grain production, national income in this period has increased at an estimated average rate of between 2.5 and 3 percent per year and on a per capita basis between 1 and 11/2 percent per year. Although capable of feeding itself in good crop ,years, Pakistan has experienced food shortages in six of the last nine years as a result of drought or flood. These shortages have resulted in local food crises, particularly in East Paki?tan, because of poor marketing and storage facilities and inept administration. 39. The Pakistan government now has under consideration a draft Five Year Development Plan (1955-1960) . The plan envisions total development expenditures (public and pri- vate) of over $2.4 billion, as compared to about $1.4 billion in the previous five years, almost 70 percent of which is to be provided by the government. The emphasis is on de- veloping agriculture, power, and transport and on consolidating the gains already made The growth of industrial production in selected industries between 1951 and 1955 is shown in the following table: 1951 1955 Cotton cloth (million yards) 127.7 453.2 Jute goods (thousand long tons) 1.4 61.2 Sugar (thousand long tons) 42.8 95.1 Cement (thousand long tons) 499.0 682.0 Electric power (million kilowatt hours) 225.1 607.3 Gasoline (refined from imported crude oil) (million imperial gallons) 11.1 19.4 Rubber tires and tubes (thousand units) 620.5 2,034.8 10 in industry. The plan aims at raising na- tional income by an average of four percent a year over the plan period. An important theme of the plan is an attempt to rectify the past neglected development of East Pakistan. Approximately 40 percent of planned govern- ment expenditures has been earmarked for East Pakistan, although it is recognized that the lower level of technical and administrative competence in the region will greatly inhibit its ability to utilize the full sum. Probable Developments' 40. The draft plan with some revision will probably be adopted by the government by the end of 1956 or early 1957. Although some projects included in the plan have already been initiated, progress on the implementation of the plan as a whole will involve major de- lays and difficulties. Some progress will have to be made in resolving current political and administrative problems within the govern- ment. Only then will the necessary lines of authority within the central government and between the central government and the pro- vincial governments be sufficiently established to permit a faster implementation of the de- velopment program. Furthermore, as a result of the shift in emphasis to agricultural devel- opment, several years lead time will probably be required to train the necessary technical and administrative personnel. 41. In view of these delays Pakistan will fail to realize a substantial part of the plan goals by 1960. It is almost certain that adminis- trative difficulties in implementing projects will prevent development expenditures from rising much above last year's level in the next two years. This lag will be particularly pro- nounced in East Pakistan. Consequently the feeling in East Pakistan that it is not getting a "proper share" of development funds is likely to persist. 42. There probably will be an acceleration of development activities and expenditures in P There will be some adverse effects to the Paki- stan economy as a result of the dislocations in international trade arising from the blocking of the Suez Canal. We cannot now estimate the extent of these adverse effects. SECRET Declassified in Part - Sanitized Copy Approved for Release @ 50-Yr 2013/08/09: CIA-RDP79R01012A007900030001-3 Declassified in Part - Sanitized Copy Approved for Release @ 50-Yr 2013/08/09: CIA-RDP79R01012A007900030001-3 SECRET 1959 and 1960. Some progress in the field or agriculture is likely, and therefore the de- clining trend in per capita food grain produc- tion which has characterized the period since 1949 will probably be arrested. Recurrent food shortages, however, will probably still result from floods and droughts. Moreover, localized food crises remain likely unless the government presses on with planned improve- ments in the storage and distribution of food grains. The degree of agricultural develop- ment in West Pakistan will depend upon the outcome of the present canal water dispute with India. Although optimum development of Pakistan's agricultural resources in the area is contingent on an early and favorable settlement of the dispute, significant agri- cultural progress could be made even without a settlement as long as India does not curtail the water supplies now available to Pakistan. 43. By 1960 the rate of growth of national in- come may approach a level somewhat over 11 three percent a year. This should permit a slight improvement in consumption standards despite the rapid increase in population. Pak- istan will still be facing formidable problems but a firmer foundation for further balanced economic growth will have been established. 44. Pakistan's present development plan is predicated on a continuation of substantial foreign aid over the entire plan period. The Pakistan government has estimated that the foreign exchange gap to be met through for- eign aid totals $800 million for the implemen- tation of the complete five year program. With Pakistan's foreign exchange earnings likely to hold up at approximately present levels and economic development expenditures likely to lag, Pakistan will probably require a lower annual level of economic assistance (exclusive of military aid) in FY 1957 and FY 1958 than was provided in FY 1956.10 How- ever, in the period following 1958 the rising " US economic aid to Pakistan is summarized in the following tables: US ECONOMIC AID OBLIGATED TO PAKISTAN Fiscal Years 1952-1957 (millions of dollars) MSA Economic Assistance Famine and other urgent relief FY 1952 10.0 FY FY FY FY FY 1953 1954 1955 1956 1957 Total Obligated 10.0 10.8 22.7 68.0 a 71.8 107.7 38.0 b 49.5 b 78.8 22.7 109.8 157.2 Est. 88.0 47.0" Est. 135.0 a. PL 77 b. PL 480 c. as of 4 August 1956 US ECONOMIC AID DELIVERED TO PAKISTAN 1952-1956 (millions of dollars) 1st half 2nd half 1st half 1952 1953 1954 1955 1955 1956 MSA Economic Assistance (grants and loans) 8.0 24.6 10.3 18.9 34.4 30.0 Famine and other urgent relief 66.5 1.4 2.1 7.8 30.0' Total Expenditure 8.0 91.1 11.7 21.0 42.2 60.0 a. Mostly PL 480 shipment SECRET Declassified in Part - Sanitized Copy Approved for Release @ 50-Yr 2013/08/09: CIA-RDP79R01012A007900030001-3 Declassified in Part - Sanitized Copy Approved for Release @ 50-Yr 2013/08/09: CIA-RDP79R01012A007900030001-3 ? SECRET 12 expenditures for the development program Are likely to require a substantial increase in US aid. The need for economic assistance after FY 1958 will be further increased as a result of the increased recurring costs to Paki- stan of the enlarged military establishment. The national income will not rise significantly during this period. It is likely, therefore, that the increasing requirements of the de- velopment and military programs will find Pakistan dependent on larger-scale economic assistance by FY 1960 than was granted by the US in FY 1956. 45. Over the last two years Pakistan's trade with the Bloc has represented about nine percent of its exports but little more than one percent of its imports. Over 80 percent of this trade has been with Communist China (prin- cipally in cotton exports) . Pakistan has in- dicated its willingness to increase imports from the Bloc in return for an expanded mar- ket for its exports by recently concluding, for the first time since 1952, trade agreements with the USSR, Poland, Czechoslovakia, and Hungary. While over the next few years trade with the European Bloc will probably expand somewhat, over-all trade with the Bloc will probably remain about the same or may even decline, since the estimated expansion of cotton production in China may reduce its need for Pakistani cotton. Only in the unlike- ly event of a sharp decline in free world de- mand for Pakistan exports would the Soviet Bloc be in a position to move significantly into the Pakistan market. There have been no firm Soviet Bloc offers to help Pakistan with its development program. In any event, Pakistan is not likely to accept Bloc offers of aid on a scale which might in the govern- ment's opinion jeopardize economic and mil- itary assistance from the US. III. MILITARY 46. The Pakistan government continues to place heavy emphasis on maintaining and improving its armed forces, primarily to at- tain a strong military posture vis-a-vis India and to secure the Afghan border. In recent years, the military establishment has also been important as a pillar of state power and prestige and as an instrument of internal control. Pakistan has participated in SEATO and the Baghdad Pact with the primary ob- jective, from a military standpoint, of acquir- ing increased military aid and strengthening its position vis-a-vis India and to a lesser ex- tent Afghanistan. Pakistan entered an MDAP agreement with the United States in May 1954 under which it is receiving substantial quantities of military end items and direct forces support. However, Pakistan itself has also continued to spend heavily on the mili- tary establishment. Defense expenditures for 1956-1957 are estimated at about $200 million, or about one-third of the total na- tional budget. These expenditures constitute an unusually heavy drain on current revenues, consuming approximately two-thirds of these funds in the 1956-1957 budget. 47. Pakistan's regular military establishment (exclusive of Azad Kashmir and quasi-mili- tary security forces) consists of approximately 180,000 men.11 The dominant service is the Army, whose major units currently comprise six infantry divisions; an armored division still in the formative stage; an infantry bri- gade group; two separate infantry brigades; and an antiaircraft brigade. Almost all of those units are understrength and only partly equipped. Army strength probably is slightly in excess of 161,000, estimated as of 30 June 1956. The Army is supplemented by and controls a 20,000-man Azad-Kashmir State Force, raised and stationed in Pakistani-con- trolled portions of Kashmir. Quasi-military security forces totalling some 53,000 also aug- ment Army strength in an emergency. The Navy, with a personnel strength of 6,100, has four destroyers, two patrol escorts, and five minesweepers. The Air Force of 12,500 men has a total of 350 aircraft, of which, however, only 75 (about half fighters or fighter-bomb- ers) are in operational units. F-86F's are now being introduced into operational units. 48. Pakistan's armed forces, which are out- growths of the military establishment of form- This figure excludes civilian employees, which total: Army, 23,500; Navy, 700; and Air Force, 8,000. SECRET Declassified in Part - Sanitized Copy Approved for Release @ 50-Yr 2013/08/09: CIA-RDP79R01012A007900030001-3 Declassified in Part - Sanitized Copy Approved for Release @ 50-Yr 2013/08/09: CIA-RDP79R01012A007900030001-3 SECRET er British India, have good leadership and training standards and excellent discipline and morale. All personnel except doctors are volunteers, many coming from families in which military service is traditional, and high professional standards have been maintained in the officer corps. However, the dearth of technicians and the low literacy rate of the population create continuing operating and maintenance problems. 49. The US military assistance program for the Pakistan Army aims at streamlining, equipping, and filling out with manpower four of the existing six infantry divisions and increasing armored strength from one bri- gade to one and a half divisions. Two corps headquarters and units of supporting corps troops would also be established to take over administrative and operational command functions which are now performed by GHQ, thus assuring greater flexibility and efficiency. Under the existing program, these goals prob- ably will not be attained before 1960. Pro- vision is also made for a modest program of spare parts replacement, training ammuni- tion, and a war reserve. Materiel shipments to date have been concentrated mainly on al- leviating critical deficiencies in artillery, light armor, signal equipment, and motor transport. New TO&E's are being developed in order to improve the over-all efficiency of tactical units and to bring them in line with US counterparts. Selected Pakistan officers and enlisted men are being trained in US staff and branch schools and with US units in Europe. Some use is still being made of British advisers and training facilities. To date, the capabilities of the Pakistan Army have improved only slightly but the rate of improvement will increase as the program nears completion. Even when the present military assistance program is completed, however, the Army will still be handicapped by a critical shortage of motor transport, and by 1960 will face the need of a major replace- ment of tanks. 50. The Navy, most of whose present vessels are obsolescent, is scheduled to receive one light cruiser and four destroyers from the UK in the next year, as well as three additional 13 minesweepers from the US under the military assistance program. In addition, three of Pakistan's present destroyers are to undergo conversion and modernization under the pro- gram, which will improve Pakistan's capability for defense of Karachi and lines of com- munication in the Arabian Sea. Over-all effectiveness is low, but is slowly improving. 51. The Pakistan Air Force, though still weak, especially in jet aircraft, should improve con- siderably in the next few years. It has an excellent pilot training program, and is sched- uled to receive 120 F-86F's by late 1957. When these aircraft have been received and neces- sary training carried out, the Pakistan Air Force should be able to give a good account of itself. Present weaknesses in airfields are also scheduled to be overcome before 1960 under the military assistance construction program. 52. Despite the improvements being effected in the Pakistan armed forces, their capabilities will remain limited. The military establish- ment as a whole faces tremendous logistical, security, and defense problems inherent in the geographical division of the nation into two parts separated by 1,000 miles of Indian territory. At the end of the present military aid program, Pakistan's capabilities will still be inferior to those of India in view of the latter's determined efforts to maintain its margin of superiority and in view of its stronger economy. With regard to Afghani- stan, Pakistan will probably retain its military superiority and its ability to maintain security in the border area for a considerable time despite the flow of Soviet military aid into Af- ghanistan. However, Pakistan can be ex- pected to press for increased US military as- sistance to offset possible Afghan gains. Since it is primarily concerned with its defenses against India, Pakistan has demonstrated no firm interest in sending in an emergency more than a token force to the defense of the SEATO and Baghdad Pact countries. Paki- stani commitments to regional defense ar- rangements would depend heavily upon US military assistance and the development of armed forces considerably in excess of those presently planned. SECRET Declassified in Part - Sanitized Copy Approved for Release @ 50-Yr 2013/08/09: CIA-RDP79R01012A007900030001-3 Declassified in Part - Sanitized Copy Approved for Release @ 50-Yr 2013/08/09: CIA-RDP79R01012A007900030001-3 ? 40100SW" 14 53. Pakistan's ability to achieve and main- tain a strong military posture will continue to depend on large scale foreign military and budgetary assistance not only up through the completion of the present military aid pro- gram but also for many years thereafter. Pakistan will remain dependent on outside sources of supply for most items of equipment. Recurring costs of maintaining the re- equipped and expanded armed forces at the levels called for by the present aid program will be substantially greater than they now are. 54. Although General Ayub will seek to pre- serve the integrity of the armed forces as a professional body removed from politics and to keep his own involvement in political mat- ters to a minimum, he will almost certainly continue to regard the military establishment as the mainstay of the state, not only against external attack but also against threats of internal disintegration. With Mirza's sup- port, Ayub will almost certainly put up vig- orous opposition to a repetition of past efforts by Chaudri Mohammad Ali, Suhrawardy, and others to make substantial reductions in the military budget; he will also resist any shift in foreign policy which might jeopardize US military assistance. IV. FOREIGN AFFAIRS 55. After entering into a US military aid agreement in May 1954, Pakistan pursued a pro-Western and in particular pro-US policy. It joined with Turkey in the initial moves leading to the formation of the Baghdad Pact grouping, which it joined in the fall of 1955, and is also a member of the Southeast Asia Treaty Organization, to which it played host in March 1956. Pakistan was actively associated with the pro-Western group at the Bandung Afro-Asian Conference in April 1955, and its leaders have on numerous other oc- casions reaffirmed their opposition to Com- munism and their rejection of neutralism. Pakistan is a member of the Commonwealth. 56. Within the last year and a half, however, Pakistani enthusiasm for the present pro- Western policy has cooled. Early disappoint- men ts over the size and timing of US military aid shipments, coupled with increased skep- ticism about US willingness to give active sup- port to the Baghdad Pact organization, have led to some disenchantment. Having adopted a pro-US policy in the hope of achieving ad- ditional prestige and more favored Western treatment vis-a-vis India and Afghanistan, the Pakistanis have been disappointed to find that while their acceptance of military ties with the West has provided India with a new excuse for its intransigence on Kashmir, it has not produced any compensating increase in support for Pakistan from the US and the other members of SEATO or the Baghdad Pact. They are also resentful of the fact that India's neutralism has not impeded its con- tinued receipt of large-scale economic aid from the US. 57. Skillful Soviet use of carrot-and-stick tactics ? on the one hand supporting India and Afghanistan in their controversies with Pakistan, and on the other discreetly hinting that Pakistan might be eligible for special favors if it were not linked with the West ? have stimulated second thoughts about Paki- stan's present policy. Finally, all of these factors have underlined the lack of real sup- port for the government's pro-Western policy. As in other Arab-Asian countries, much of the press and articulate public has from the out- set been strongly influenced against a pro- Western policy by anticolonialist suspicions of the West, a sense of loyalty to other Islamic and Asian countries, a preoccupation with national independence and equality, and a desire to remain aloof from the struggle be- tween the West and the USSR. Relations with the West 58. President Mirza, General Ayub, and cer- tain other key members of the administrative hierarchy are predisposed toward the West by both inclination and self-interest and will almost certainly seek to maintain Western ties. Prime Minister Suhrawardy may be somewhat more responsive to popular neu- tralist sentiment, but he is unlikely to press for any drastic reorientation of Pakistan's foreign policy. Almost all of its leaders rec- SWAMP Declassified in Part - Sanitized Copy Approved for Release @ 50-Yr 2013/08/09: CIA-RDP79R01012A007900030001-3 Declassified in Part - Sanitized Copy Approved for Release @ 50-Yr 2013/08/09: CIA-RDP79R01012A007900030001-3 ognize Pakistan's continuing dependence on Western economic and military aid. Most of them probably also appreciate that Pakistan as a neutral would probably be at even greater disadvantage vis-a-vis India in attempting to compete for world attention and support. 59. Nevertheless, Pakistan will almost cer- tainly give less support to the West than in the past. Its leaders are being increasingly impelled to de-emphasize their ties with the West, including the US, by their growing rec- ognition of the limits on Western willingness and ability to aid Pakistan and by the need to deal with vocal popular and political senti- ment ? to some extent shared by Suhrawardy and other members of the government ? for a demonstrably more independent stand. 60. These tendencies have been greatly in- creased by the Anglo-French military inter- vention in Egypt, which has severely strained Pakistan's Commonwealth tie and has com- plicated relations with the Baghdad Pact. The strong pro-Egyptian, anticolonial popu- lar reaction common to most Asian nations in this crisis has been intensified in Pakistan by the religious factor ? the Pakistanis' emo- tional identification with their Moslem "broth- ers" in Egypt. Despite the strain placed on Pakistan's relations with the UK by the crisis arising out of the Anglo-French intervention in Egypt, we believe it unlikely that the Paki- stan government presently plans to leave the Commonwealth, the Baghdad Pact, or SEATO. However, it is still possible that the crisis may develop so as to cause Pakistan's withdrawal from the Commonwealth and these organi- zations. Relations with the Bloc 61. Although Pakistan's ties with the West will probably continue to place important lim- itations on Pakistani relations with the Bloc, the Karachi government already has a variety of contacts with the Communist countries and is likely to become more receptive to Commu- nist offers of trade and friendship as time goes on.12 This tendency would be intensified 12 See paragraph 45 above for discussion of eco- nomic relations with the Bloc. 15 should Mirza's control of the government be weakened. 62. Pakistan has thus far treated Soviet diplo- matic overtures somewhat gingerly. How- ever, it welcomed Mikoyan's presence at the Independence Day ceremonies in March 1956, and later sent a parliamentary delegation to the USSR, partly in the hope that Moscow might be induced to change its mind on Kash- mir once it heard Pakistan's side of the case and partly in order to demonstrate that its commitments to the West did not restrict its independence. Relations have gone further with Communist China, with which a number of reciprocal visits by various kinds of delega- tions have been arranged since the Bandung Conference. In October 1956 Prime Minister Suhrawardy honored a twice-postponed com- mitment by his predecessor to visit Commu- nist China, and Chou En-lai is scheduled to visit Pakistan in December. The Pakistanis are especially interested in developing rela- tions with Communist China because of the latter's role as a rival of India for leadership in Asia. Various of them also hope that Paki- stan might at least in part supplant India as a channel between Communist China and the West. While Pakistan will probably continue for the immediate future to cooperate with US efforts to bar Communist China from the UN, it will be increasingly difficult to hold in line as time goes on. Relations with India and Afghanistan 63. Pakistan's relations with India will almost certainly continue to be a source of frustra- tion to the Pakistanis, thus contributing to internal dissatisfaction and to Pakistani mis- givings about relations with the West. In the wake of Pakistan's military aid deal with the US in 1954 and the backing given India by Bulganin and Khrushchev during their visit to India in December 1955, the latter's atti- tude on the all-important Kashmir issue be- came more forthright. A number of border incidents took place which India exploited (if it did not actually instigate) as indications of an increased military threat from Pakistan. When the latter sought to regain the initia- tive by getting the SEATO council to endorse Declassified in Part - Sanitized Copy Approved for Release @ 50-Yr 2013/08/09: CIA-RDP79R01012A007900030001-3 Declassified in Part - Sanitized Copy Approved for Release @ 50-Yr 2013/08/09 CIA-RDP79R01012A007900030001-3 194114010/011 16 settlement of the dispute by plebiscite or nego- tiation, Nehru retaliated with a blunt state- ment in effect repudiating India's prior com- mitments to a plebiscite on the ground that circumstances had changed as a result of Pakistan's membership in the Baghdad Pact and SEATO. Pakistan's plans to reintroduce the matter at the UN are likely to result only in further exacerbation of Indo-Pakistan rela- tions, and in further demonstration of West- ern unwillingness to take effective action against India and of Pakistan's impotence. There is little likelihood that any solution of the Kashmir issue satisfactory to Pakistan Will emerge in the foreseeable future. Moreover, the canal waters discussions being conducted by the International Bank for Reconstruction and Development are still stalled, and various lesser disputes between the two parties con- tinue. However, war between the two coun- tries remains highly unlikely. 64. Pakistan's relations with its smaller neigh- bor, Afghanistan, have also been highly un- satisfactory. In the spring of 1955 Pakistan attempted to discipline Afghanistan for con- tinued agitation of the Pushtunistan issue 13 and for other affronts by imposing a de facto embargo on the approximately three-fourths of Afghan foreign trade which hitherto had passed through Pakistan. However, Afghani- stan promptly turned to alternate supply routes through the USSR and, with the Bul- ganin-Khrushchev visit of December 1955 and the acceptance of heavy Bloc credits, in effect accepted the USSR as a protector. In recent months there have been moves by both sides toward a rapprochement, culminating in a visit by Mirza to Kabul in August 1956. There now appears to be some chance that Afghani- stan would be willing to reinsure itself against " Afghanistan has persisted in agitation and propaganda for the granting of autonomy to Pakistan's approximately five million Pathans (Pushtu-speaking peoples) , who are related to the dominant Afghan tribal group. Pakistan in- sists ? and available evidence supports the as- sertion ? that the Pathans in Pakistan evince little or no desire for the creation of Pushtuni- stan. Pakistan has refused to discuss the ques- tion with Afghanistan on the grounds that Pak- istan's territorial integrity is involved. overdependence on the Bloc by building up trade and transit facilities with Pakistan, par- ticularly if necessary construction were fi- nanced by the US. Mirza is also hopeful that some way can be found for persuading the Afghans to moderate their attitude on the Pushtunistan question. Pakistan as an Ally 65. Pakistan will almost certainly wish to maintain close ties with the US and to con- tinue the US military aid program. How- ever, the present Middle East crisis has caused many Pakistanis to question the desirability of continued formal association with the West through SEATO and the Baghdad Pact and in fact has made it uncertain whether the latter grouping can continue in its present form. At best, it appears likely, that Pakistan will continue to regard SEATO as a purely nominal organization, and will take a less active interest in Baghdad Pact matters, at least in the absence of US adherence and greatly increased US support. It will almost certainly remain unwilling to commit more than token Pakistani military forces for use under these treaties outside Pakistan. In view of the present precarious domestic politi- cal situation and the increased strength of neutralist elements in Pakistan, it would prob- ably be unwilling to grant military bases to the US in peacetime. 66. Greater US political support and substan- tially increased economic aid, which were clearly tied to the SEATO or the Baghdad Pact, would probably encourage greater gov- ernmental interest in regional defense activi- ties. Such support and aid would also give the present regime a talking point in defend- ing its pro-Western policies before public opin- ion. However, unless US political support in- cluded strong backing on the Kashmir issue, it would be unlikely to counter effectively cur- rent popular neutralist pressures. A sharp reduction in US aid, on the other hand, would probably accelerate the drift away from the West since it would strike at the prestige of the military and civilian leaders who have advocated a pro-Western policy. Even if US Declassified in Part - Sanitized Copy Approved for Release @ 50-Yr 2013/08/09 CIA-RDP79R01012A007900030001-3 Declassified in Part - Sanitized Copy Approved for Release @ 50-Yr 2013/08/09: CIA-RDP79R01012A007900030001-3 aid were sharply reduced, however, most Paki- stani leaders would probably wish to maintain connections with the West at least as counter- 17 weights against India and as a means of in- creasing Pakistan's bargaining power vis-a-vis the Bloc. Declassified in Part - Sanitized Copy Approved for Release @ 50-Yr 2013/08/09: CIA-RDP79R01012A007900030001-3 Declassified in Part - Sanitized Copy Approved for Release @ 50-Yr 2013/08/09: CIA-RDP79R01012A007900030001-3 APPENDIX SUMMARY CONCLUSIONS A. Over the next few years, Pakistan will remain politically unstable. However, Presi- dent Mirza will probably continue to exercise the dominant influence in government. The present Mirza-Suhrawardy coalition govern- ment will probably continue at least for the next six months and possibly past the next general election. B. Pakistan will probably require a lower annual level of economic assistance (exclusive of military aid) in FY 1957 and 1958 than was provided by the US in FY 1956. However, thereafter it will probably require a substan- tial increase and by FY 1960 be dependent on - larger scale assistance than was granted in FY 1956. C. Pakistan will require continuing US materiel and direct forces support through the expected completion of the present mili- tary aid program about 1959 and probably for an indeterminate period thereafter. D. Pakistan will almost certainly fail to realize a substantial part of the planned de- velopment goals by 1960 and, despite probable 18 progress in raising food grain production lev- els, will probably remain subject to food short- ages resulting from floods and droughts. By 1960 the annual rate of growth of the national income may exceed three percent. E. Despite the strain placed on Pakistan's relations with the UK by the crisis arising out of the Anglo-French intervention in Egypt, we believe it unlikely that the Pakistan gov- ernment presently plans to leave the Common- wealth, the Baghdad Pact, or SEATO. How- ever, it is still possible that the crisis may develop so as to cause Pakistan's withdrawal from the Commonwealth and these organiza- tions. F. At best, the Pakistan government will be under increasing popular pressure to de- emphasize its ties with the West; it would probably be unwilling to grant military bases to the US in peacetime. It will probably be in- creasingly receptive to offers of trade and friendship by members of the Bloc. These trends would be accelerated if US aid were reduced. Declassified in Part - Sanitized Copy Approved for Release @ 50-Yr 2013/08/09: CIA-RDP79R01012A007900030001-3 Declassified in Part - Sanitized Copy Approved for Release @ 50-Yr 2013/08/09: CIA-RDP79R01012A007900030001-3 POLITICAL ALIGNMENTS IN PAKISTAN AS OF 6 NOVEMBER 1956* NATIONAL GOVERNMENT PRESIDENT?ISKANDAR MIRZA PRIME MINISTER?H. S. SUHRAWARDY AWAMI LEAGUE REPUBLICAN COALITION CABINET VOTING STRENGTH IN NATIONAL ASSEMBLY AWAMI LEAGUE 16% UNITED FRONT 19% WEST PAKISTAN GOVERNOR MUSHTAQ GURMANI CHIEF MINISTER?DR KHAN SAHIB REPUBLICAN CABINET VOTING STRENGTH IN PROVINCIAL ASSEMBLY 310 SEATS (5 vacant) 25681 11-56 MUSLIM LEAGUE 15% REPUBLICAN PARTY 35% HINDUS AND INDEPENDENTS 15% 80 SEATS (none vacant) *These alignments orelopproximate at best and ore subject to frequent, often unpredictable changes. EAST PAKISTAN GOVERNOR?FAZLUL HUQ CHIEF MINISTER?ATAUR RAHMAN AWAMI LEAGUE COALITION CABINET VOTING STRENGTH IN PROVINCIAL ASSEMBLY Declassified in Part - Sanitized Copy Approved for Release @ 50-Yr 2013/08/09: CIA-RDP79R01012A007900030001-3 309 SEATS (12 vacant) Declassified in Part - Sanitized Copy Approved for Release @ 50-Yr 2013/08/09: CIA-RDP79R01012A007900030001-3 a * ""';?4 RET POLITICAL PARTIES AND GROUPINGS IN PAKISTAN Pakistan lacks a well-developed and stable party system. For the first few years of its ? existence, the Pakistani political scene was dominated by the Muslim League, which Mo- hammed Ali Jinnah had organized in pre- partition days as the vehicle for the advance- ment of Moslem interests. Other organized groups were small and often specialized in character; e. g., the various small groupings representing Hindu interests in East Pakistan. Over the course of time, other parties emerged, notably in East Pakistan, where the corrupt and inept Muslim League machine was sound- ly thrashed at the polls in March 1954. Al- though the successor parties there have had some real grass roots support, they have re- mained loosely organized and unstable alli- ances of political leaders which have relied more on the depth of popular discontent than on the development of strong political organi- zation to win support. The West Pakistan political organizations are for the most part factional groupings rather than real political parties in the Western sense. Brief characterizations of the more impor- tant political parties and groupings in Paki- stan follow. Muslim League. For many years the gov- ernment party ? the Muslim League still con- tains a high proportion of Pakistan's old-line professional politicians. Suhrawardy is the first prime minister who has not been at least nominally a member of this party. Since its crushing defeat in the East Pakistan elections of 1954, the Muslim League has become little more than a West Pakistan party, though it has made some efforts to make a comeback in East Pakistan and holds 11 of the 303 seats in the provincial assembly. Drawn from and supported by locally entrenched conservative interests, its present leadership has frequently acted as spokesman for religious reactionary elements and will probably seek to capitalize on Moslem fanaticism on future occasions. 19 Principal leaders are Abdur Rab Nishtar, its president, and Mian Mumtaz Daultana. Republican Party. Founded in early 1956 by West Pakistan Chief Minister Khan Sahib, with encouragement from provincial Gover- nor Gurmani and President Mirza, to provide a label under which those willing to back these men against the Muslim League could be rallied. Mainly made up of Muslim League defectors and other provincial and central government legislators who for one reason or another were persuaded to support the Mirza faction, it thus far lacks any real program or organizational machinery. United Front. A loose grouping of East Pakistan political elements which banded to- gether under the leadership of the octogenar- ian Fazlul Huq, a chief minister of Bengal before partition, to oppose the Muslim League in the 1954 provincial elections. Since its overwhelming electoral victory, the magni- tude of which reflected the breadth of oppo- sition to the Muslim League rather than solid support for the United Front, it has had continuing difficulties owing to its adminis- trative ineptitude and its lack of real cohesive- ness: a notable defection was that of the Awami League. However, Huq (now provin- cial governor) and other leaders still have considerable popular appeal. The principal United Front Components at present are: Krishak Sramik (Workers and Peasants) Party, Huq's own organization, and the largest element in the United Front, with about 70 seats in the provincial assembly. Nizam-e-Islam Party, a reactionary group which vigorously opposed the creation of joint electorates in East Pakistan. Some members have defected from the United Front because of what they regarded as violation of Islamic principles. Awami League. Led by H. S. Suhrawardy, a former chief minister of prepartition Ben- Declassified in Part - Sanitized Copy Approved for Release @ 50-Yr 2013/08/09: CIA-RDP79R01012A007900030001-3 Declassified in Part - Sanitized Copy Approved for Release @ 50-Yr 2013/08/09: CIA-RDP79R01012A007900030001-3 gal and now prime minister of Pakistan, it has some branches in West Pakistan but is still primarily a Bengali party. Until its as- sumption of power in East Pakistan and Suhrawardy's elevation to the premiership in 1956, it had been perennially in opposition. The East Pakistan wing of the party, led by Maulana Bashani, contains a strong leftist element including some Communists. Hindu Parties. The Hindu minority in East Pakistan is represented by three parties, the Congress Party, the Scheduled Castes Federa- tion, and the United Progressive Party, with a combined representation in the provincial assembly of about 20 percent of the total. These parties, which stand together on most matters, are thus in a strategic position so long as the Moslem vote is divided. Their importance will probably decline with the adoption of joint electorates. 20 Communist Front Parties. With the Com- munist Party outlawed, the Ganatantri Dal has become a principal refuge for Commu- nists in East Pakistan. The small Azad Paki- stan Party of the wealthy publisher Mian If- tikharuddin is the only noteworthy front or- ganization in West Pakistan. Jamaat-e-Islami, the "mullah's party," is more a pressure group than a political party. It has no representatives in either the provin- cial or central legislatures. However, it still exercises considerable political influence. Its aim is the creation of a "truly" Islamic state. Khudai Khidmatgar (the Red Shirts) is an organization centered in the old North West Frontier Province which had long agitated for greater autonomy for that area. It is now banned. Its leader, Khan Abdul Ghaffer Khan, is the brother of West Pakistan Chief Minister Khan Sahib. Declassified in Part - Sanitized Copy Approved for Release @ 50-Yr 2013/08/09: CIA-RDP79R01012A007900030001-3 Declassified in Part - Sanitized Copy Approved for Release @ 50-Yr 2013/08/09: CIA-RDP79R01012A007900030001-3 4 28 24 1AMMU AND ASHMIR 68 72 76 80 CHINA BOMBAY ? MADRAS CEYLON 6 7 A r 4 - 32 l'/Ii_ ..;`,.. 0Manzat '1. ,/,'d41 ? 1 i iFort Sanderrian ? iv-. ft f .0,,fie caetta n 0 : NN 1/?, BALUCHIST /I 't / I; -,.., __a Si,ibt .i O 4 / .... N (Ku n d i K oKala '.',"-? ---- haran alat ? j ij o ?_ A, BALUCF I 1 R A N -1 11'- STAN 71 .rjaccP S T A r E s / c., ,74 1 \I I 0 N i \ r ./. 1 0 Tura L :, / GWADAB? (TO OMAN) oBela ranpur NEW DELHI 36 32 _28 NEPAL KARACHI FEDMAL ASIA\ KO' Hyderabad BAN EAST PAKISTAN SAME SCALE AS MAIN MAP 1 A Sehilloecong%Z N Sylhet A R A 13 A Ar SEA BAY OF BENGAL ???? International boundary National capital PAKISTAN Province boundary Selected irrigation canal 100 200 300 Miles 100 200 300 Kilometers 92 Cease-fire line O Province capital, 13711 2.55 Declassified in Part - Sanitized Copy Approved for Release @ 50-Yr 2013/08/09: CIA-RDP79R01012A007900030001-3 Declassified in Part - Sanitized Copy Approved for Release @ 50-Yr 2013/08/09: CIA-RDP79R01012A007900030001-3 t9fiGaNtba3'. Declassified in Part - Sanitized Copy Approved for Release @ 50-Yr 2013/08/09: CIA-RDP79R01012A007900030001-3 STAT Declassified in Part - Sanitized Copy Approved for Release @ 50-Yr 2013/08/09: CIA-RDP79R01012A007900030001-3 R Next 1 Page(s) In Document Denied Declassified in Part - Sanitized Copy Approved for Release @ 50-Yr 2013/08/09: CIA-RDP79R01012A007900030001-3