Shaukat Aziz on Security

I’m in Arlington Virginia this weekend attending the Organization of Pakistani Entrepreneurs, D.C. chapter’s annual conference. This year’s theme is “Thriving in A Challenging Economy” and of particular interest was this mornings keynote address by former Pakistani Prime Minster Shaukat Aziz. Although retired from both politics and an illustrious career in international finance, now focusing on non profit work, he shared insights on global affairs ranging from the financial meltdown, terrorism, economic development and challenges facing the Muslim world, ultimately tying it together to make a simple point: international economic development can yield international security.

Aziz attributes economic downturn to sheer “greed” and “arrogance” which resulted in gross regulatory failures and voids in leadership on Wall Street. Stressing consumer confidence and unemployment indexes as opposed to stock market increases as indicators of recovery, he further warned against decoupling emerging markets from states more hard hit by the crisis and marked terrorism of equal importance to the financial crisis. In doing so, he referred to “fault lines” in the international system fractured by terrorism, and called on Muslim IGO’s such as the Organization of Islamic Conference to do more in bridging interfaith dialogue.

It was timely advice since his address was preceded by America’s Ambassador to the Organization of Islamic Conference, Sada Cumber. Addressing a mostly Pakistani audience, he underscored the importance for diasporas to seek opportunities for interfaith dialogue so as to reclaim what has become an internationally inaccurate view of Islam. Proactively promoting interfaith harmony in addition to transcending party lines for non resident Pakistani’s was another prescription. He offered an example of Former President George Bush who when asked about his Clinton as his Democratic successor in the 1990’s explained he supported the American President, suggesting such bipartisan, unified support is what Pakistan requires politically.

But his most provocative insight came during Q&A session when someone asked about the IMF’s role on Kerry-Lugar legislationto Pakistan. Without delving specifically  into IMF policies which disperse funds in a traunch system only as stringent conditions are met in entirety, Aziz succinctly explained that anytime a state accepts IMF funds, they compromise economic sovereignty. It was a powerful, provocative statement from a man whose experience in international finance runs deep. He went on to supplement the idea by describing achievements in maintaining Pakistan’s economic sovereignty during his political tenure when he rejected IMF funding.

Overall, Aziz was insightful, relevant, and quite entertaining. He always manages to capture audiences with sharp commentary that transcends generations and professions. After all, every time i’ve heard him speak has been at entrepreneurial conferences, and I’m far too nerdy to be an entrepreneur.