Tuesday, April 28, 2009

Notorious Pakistan

So Pakistan finally agreed that the lone terrorist, Kasab is a Paki. This is one thing the world never doubted and the Pakistan’s acceptance was a huge surprise for me. But Pakistan is again playing the game by its own rules. President Zardari attracted a lot of flak for calling Kasab, a terrorist. Afterall, he was fighting for Kashmir. How can anyone who fights for Kashmir, no matter how many lives you take, be a terrorist? I can see a lot of people jumping enthusiastically and aggressively to answer me. Relax, I would like to clarify your opinion does not matter. What matters is that of Pakistan! Some things never change!

Mike - the MBA blogger

Monday, April 27, 2009

Rising Giant - Russia

There is only one joy for us,
And this is all we need,
To wash our faces in the new oil,
Of the drilling rig.

Little wonder Russians are toasting oil: These are boom times. Global oil prices have increased tenfold since 1998, and Russia has pulled ahead of Saudi Arabia as the world's top crude oil producer. The Kremlin's budget now overflows with funds for new schools, roads, and national defense projects, and Moscow's nouveau riche are plunking down millions of dollars for mansion-scale "dachas." Oilers' Day, an annual holiday, honoring the hard labor of the oil workers, is perhaps celebrated only in this part of the world. The pumping heart of the boom is western Siberia's boggy oil fields, which produce around 70 percent of Russia's oil—some seven million barrels a day.

But the opportunity presented by oil could slip through the region's fingers. Despite the remarkable surge in oil prices, oil production in western Siberia has leveled off in recent years. Output barely rose from 2004 to 2007—a period when the rulers of the Kremlin, a cold-eyed and control-oriented crew, seized choice fields once held by private oil barons. The oligarchs, as they were known, were rapacious sorts who jousted among themselves for spoils. But they also heavily invested in the fields in order to maximize production and profits. The Kremlin, by contrast, aims to exploit oil not only as a source of national wealth, but also as a political tool for making Russia a great world power once again. Its heavy-handed tactics have made foreign investors wary and could undermine the boom—and with it Khanty-Mansi's chances for a brighter future.

When Siberia's oil lands came under development, native people were forcibly herded into villages and cut off from their hunting and fishing grounds. Following the breakup of the Soviet Union, the nomads won legal status as "aboriginal people," with the right to roam the oil fields. Rural Russia is also being depopulated by the flight of young people to Moscow and other cities.

To counter these trends, Filipenko has implemented ambitious plans to turn Khanty-Mansi into a place young people will choose to live in rather than leave. And this effort, he boasts, is working. He notes that Khanty-Mansi has the third highest birthrate among provinces in Russia, and unlike the country as a whole, whose population is in decline, Khanty-Mansi's has increased 18 percent since 1989, from a combination of births and immigration.

Oil composes 90 percent of the capital's economy, which is not surprising given the surge in oil prices. But it points to a problem shared by all resource-dependent economies: At some point the resource will be exhausted, and new sources of prosperity will have to be found.

Mike - the MBA blogger

Wednesday, April 8, 2009

Some Politics!

Part of my MBA coursework is a subject Global Political economy. Let me tell you, I thought it was one of the most boring and theoritical subjects. I was so wrong! Now lets interpretate how India and Pakistan have acted/ behaved with each other.

I request every reader to lose your sense of nationality and read the rest of this post, unbiasedly.

The Indian Angle:
The Partition meant India and Pakistan as two separate entities and then India had to deal with a fearful neighbour, Pakistan, which shared borders on both sides. East Pakistan was a worry for India and India used the native sentiments, sentiments of neglect by West Pakistan that led to a growing resentment and sense of separation. And our actions will be remembered, until India gets paid by the same coin! Afghanistan war though condemned by India, especially the enormous innocent lives lost, helped India to protect itself by weakening the Taliban-Pakistan nexus along with securing the border with Afghanistan. News is, India has set up its administrative offices along the Pak-Afghan border lines, just to secure the region. Pakistan has never been cramped for space.

The Pakistan angle:
Kashmir. Kashmir is a 90% Muslim occupied place and Pakistan could not tolerate Kashmir under India. And when Jinnah couldn't get access to his beloved tourist place in his last days, he felt hurt. And so did Pakistan. Ever since India freed East Pakistan as Bangladesh, Pakistan has intensified its activities on Kashmir. Now who is to blame! The war on terror on Afghanistan has radicalized Pakistan community. The pressure on Pakistan has led to poor spending on education. This inturn meant, drop-out ratio is very high. And poor quality schools has forced the students to madrasas, religious schools. Its no secret that a high percentage of this crowd join Taliban, to fight against US forces. Afghanistan and the Pakistan tribal areas has become the breeding place of the world's terror network!

The Neutral view:
Kashmir cannot go to India completely. Kahsmir cannot go to Pakistan completely.
Kashmir cannot be an independent country. If so, any change in demography would be seen by India (or Pakistan) as a strategy to forcefully occupy. Imagine, Kashmir becomes a neutral country, open to both. Millions of People, I bet and perhaps rightfully so, would move from Pakistan to Kashmir and breed. This would be seen by India as a occupying strategy and any imbalance in the region would lead to the never-ending blame game. So does it solve the problem, NO! How about this! US says, Kashmir is free and makes it like Taiwan. It guarantees security, in case of any attack from India and Pakistan. A very good neutral response? True! Would India agree? Never! Would Pakistan agree? Never!

As long as Pakistan continues to send negative vibes and news to the world, India would be very happy to claim splitting Kashmir or accepting LOC would be a security nightmare. So if Pakistan wants any claim over Kashmir, it needs to follow peace. Not for 6months, not for a year but atleast, i am guessing, 5-6 years. And if there is no taliban activity or infiltration and bombs exploding, the pressure would then be shifted to India! Would any soul in Pakistan understand! hmmm....don't think so!

Mike - the MBA blogger