Pakistan as Usual

THE ARREST of a terrorist Muhammad Sharifullah by Pakistan from an area bordering Afghanistan and his subsequent handing over to the US follows an old Pakistani playbook. Pakistan catches some random terrorist, hands him to the US and then asserts its “sacrifices” in the war against terrorism. This even as it provides sanctuary and zealously guards terrorist masterminds who have caused mayhem in the region. Incredibly, it is a bromide that the Americans have swallowed happily, again and again. The US national security advisor in a telephone call to Pakistan’s foreign minister conveyed President Donald Trump’s appreciation and thanked Pakistan for countering terrorism.

From the airlift of hundreds of al Qaeda operatives from Kunduz in Afghanistan by Pervez Musharraf in November 2001 to safety in Pakistan to the arrest of Sharifullah earlier this month, is a pattern of duplicity that has served Pakistan well. Or it used to.

The fact is that India’s western neighbour is more or less irrelevant to the world. Despite China’s best efforts through the China Pakistan Economic Corridor (CPEC) and sinking more than $60 billion in the bargain, Pakistan’s economy simply refuses to grow. In 2024, the International Monetary Fund (IMF) gave Pakistan a $7 billion loan in a programme to be rolled out over three years. A year before, in 2023, IMF had given Pakistan a $3 billion bailout when the country was tottering. It has availed 20 loans from IMF since 1958, alternating with the boom-and-bust cycles its economy experiences.

Pakistan has much greater affinity towards China—it self-described the relationship as an “iron brotherhood”—but it realises that it needs the US as well in its ‘portfolio’ and does not want to antagonise the world’s largest economy. Hence, the periodic dishing out of “most wanted” terrorists to the US every now and then. But with the US exiting Afghanistan for good in 2021, there are few geostrategic chips left for Islamabad to encash. At one time, back in the 1990s, when it unleashed hordes of terrorists on India and when India would make some noise, the subcontinent would be described as “the most dangerous place in the world.” But even that is passé now. Even China, that has assiduously cultivated Pakistan, is exhausted by repeated injections of cash and the merciless targeting by terrorists of its workers and personnel who work in Pakistan. It is interesting to note that Pakistan escaped from the “grey list” of the Financial Action Task Force (FATF)—the inter-governmental organisation tasked with curbing money laundering and terrorist financing—in October 2022 due to heavy-lifting by China.

At this stage of its existence, it is tough for Pakistan to become a ‘normal’ country. Its breeding of terrorist hordes as a means to influence outcomes in Jammu & Kashmir (J&K), an Indian Union territory it has prized since 1947, as well as keeping Afghanistan ‘in its pocket’, has backfired spectacularly. J&K is fast progressing towards normalcy after decades of separatist violence while the Taliban, the new masters of Afghanistan, get into periodic fistfights with their masters in Islamabad. The toxic brew of Islamic radicalism, domestic terrorism and utter mismanagement of its economy has left Pakistan eking out an existence from loan to loan. Ideally, it should devote attention to reforming its economy and mending fences with its neighbours. But that is for its rulers to decide.

Meanwhile, it is important for India not to aid Pakistan in any manner. It is time that shibboleths like “one cannot escape geography” were discarded. India’s approach should be simple: leave Pakistan alone—no trade, low-key diplomatic relations and minimising people-to-people contacts: these serve no purpose. If Pakistan tries any misadventure, then it should be served an appropriate response in that case.

The toxic brew of Islamic radicalism, domestic terrorism and utter mismanagement of its economy has left Pakistan eking out an existence from loan to loan

Mind Your Language

India—with its plethora of languages and dialects—is in the midst of a strange display of linguistic insecurities that surface periodically in its different parts. Last month, a tit-for-tat series of assaults took place in Karnataka where a bus conductor was assaulted after he asked two students to speak in Kannada as he did not speak Marathi. The incident took place in Belgavi, a district bordering Maharashtra. A bus conductor from Maharashtra was, in turn, assaulted after the incident. As a result, bus services were suspended between the two states.

Barely a week later, the political scenario in Tamil Nadu heated up over allegations of Hindi imposition—a perennial political theme in that state—by the ruling DMK party. Assembly elections are due in the state next year. It is another matter that all ruling parties at the Centre, irrespective of their political outlook, have steered clear of any controversy on this score as Tamil politics is hypersensitive to any—mostly unfounded— allegations of ‘imposition’ of Hindi or any other alleged form of ‘domination’ by outside forces.

In India, with its medley of languages and dialects, English serves as a link language. But over time, due to the natural course of events—intermingling for work and travel across different states, among other factors—people from different parts of the country have picked up Hindi. The language has never been imposed on anyone. A sane response to these controversies was given by Andhra Pradesh Chief Minister N Chandrababu Naidu on March 6: “Language is only a means of communication. All of you are aware that Telugu, Kannada, Tamil, and other languages are shining globally. Knowledge is different, language is different. I’m going to promote 10 languages, including international languages, in every university.” It goes without saying that India is richer in no small part due to its linguistic diversity, something that is cherished by all right-thinking persons.

The Big Picture

Jamnagar, Gujarat: March 4, 2025 : The Lion’s Share Prime Minister Narendra Modi feeds a lion cub after inaugurating Vantara, an animal rescue, rehabilitation and conservation centre established by Anant Ambani.

Newsmaker: Virat Kohli

Master At Play
At 36 he is still as hungry for runs as ever

VIRAT KOHLI, 36, has reached that stage of his career where his numbers in ODI cricket make sense only because of how far he has elasticised the possibilities of what is achievable in the minds of cricket fans worldwide, yet these statistics seem wholly unbelievable. In the ongoing ICC Champions Trophy alone, a tournament in which India finds itself in the final thanks to his mammoth contributions, several records have been further stretched by his phenomenal acts.

Against Pakistan in the group stage, he reached 14,000 ODI runs quicker than anyone else, by 63 innings. There in Dubai, he also extended his own century mark to 51, 28 of which have been scored when India hunt down a target. Then, during his other chase masterclass of 84 against Australia in the semifinals, he put himself on the verge of 6,000 ODI runs scored in just ones, his singles alone tallying more than his rival Steve Smith, Australia’s captain on the day, has scored in the format. Not to be left behind when fielding, Kohli also took his 161st ODI catch—five more than Mohammad Azharuddin’s long-standing record for India and fast reeling in Mahela Jayawardene’s summit of 218.

Kohli is the first to admit that these personal stats are at best a bonus to India winning matches and tournaments. Thanks to his efforts, the country finds itself on the verge of yet another ICC trophy in subsequent years, following the T20 World Cup win in 2024. If India were to beat New Zealand in the final, it will be Kohli’s fourth ICC medal and that will be the only number this team-man will be seen chasing on March 9. (By Aditya Iyer)

Noisemaker: Abu Azmi

Batting For Aurangzeb

Samajwadi Party Maharashtra MLA Abu Azmi is no stranger to controversy. It was no surprise that he jumped into the polarised discussion on Mughal emperor Aurangzeb, claiming the Bollywood hit Chhaava portrayed the monarch in wrong light. Seeking to defend the Mughal, Azmi claimed that the emperor, known for being a puritan and for imposing the Jizya tax on non-Muslims, actually built temples rather than destroying them. Then, Azmi’s objectives were not historical accuracy but rather playing to the Islamist gallery. In doing so, he might have deflected attention from the resignation of a high-profile NCP minister. But then, Azmi usually has several fish to fry.

Ideas
Conflict Of Interest

News made it to a national newspaper when a conference of paediatricians was sponsored by a manufacturer of infant formula. The reason was the conflict of interest implicit in this relationship. If parents go to a paediatrician, then the expectation is that whatever the doctor recommends will be in the interest of the child. If the doctor has a financial relationship with a company, then the primary interest being served might be of the company. Laws are designed to prohibit such conflicts. While the medical sector has always grappled with the issue, conflict of interest can exist in every stream. Take the judiciary. A number of lawyers have their relatives as judges in the system. If their case is listed before the latter, then it is expected for judges to recuse themselves because they might be biased in their findings. Often, transparency is an antidote to conflict of interest. When public-listed companies have financial dealings with other companies related to promoters, the law requires disclosure. The market swiftly evaluates it and, if it is in bad faith, punishes the company. A doctor who accepts favours from a pharmaceutical company might subconsciously start recommending its products because of gratitude. A paediatrician might prescribe infant formula even when he knows that there is nothing as nutritious as breast milk.

Money Mantra
The Risk Quotient
Some stocks outperform in recoveries despite the downturn

JUST SIX MONTHS ago, mid-cap stocks were flying high, touching record levels. Everyone wanted a piece of the action. Then came the correction. Headlines screamed about overvaluation, global uncertainty, and cautious institutional inflows. Many retail investors panicked and exited.

History tells us that mid caps tend to outperform in recoveries. After every correction—whether it was 2009, 2014, or 2020—mid caps have bounced back stronger than large caps. And right now, with valuations cooling off and fundamentals still intact, is the stage set for another strong comeback?

While it would be impossible to say when this will happen, we have probably entered the territory where it is time to show some signs of contrarian thinking and start to look at these stocks.

Many quality mid caps have shed 30-50 per cent from their peaks, bringing valuations back to reasonable levels. Stocks that were trading at expensive 30x P/E multiples are now available at 18-20x, making them far more attractive.

Despite global headwinds, India remains one of the fastest-growing economies in the world, with strong credit growth, rising consumption, and a booming capex cycle. Mid caps, being the backbone of industrial expansion, are positioned to benefit the most.

Savvy investors are already accumulating mid-cap banks, manufacturing, auto ancillaries, and digital businesses. These are sectors with long-term tailwinds. The correction has created pockets of value.

Unlike in previous cycles, mid-cap earnings are still growing at a healthy pace in some of the above sectors, while valuations have become more reasonable. This is a rare combination that sets the stage for strong future gains.

Recall what happened in 2020. The mid caps crashed, investors panicked, and then came a 90 per cent-plus rally in just a year. While others hesitate, this could be the perfect time to increase the risk quotient and go overweight on quality mid caps. (By Ramesh Singh)

Viral
Without Love, Meghan

Meghan Markle, the Duchess of Sussex, returned to the small screen with a new cooking and lifestyle show, With Love, Meghan, that was released on Netflix. And almost instantly, various moments from the show went viral on social media. This included a long drawn-out and sometimes painful moment when the duchess appeared to not understand the word “look” that the actress Mindy Kaling mispronounced, something many viewers felt she was pretending to fail to understand. In another viral moment, again with Kaling, the duchess revealed that she had now adopted Sussex as her last name. While Meghan and her husband Prince Harry have their fans, they have also invited derision for stepping back from their royal duties. The new show is a way for Meghan to reinvent her persona as a domestic goddess, but going by the moments that went viral, it isn’t working.

Abu AzmiChina-PakistanIndian stock marketterrorismVirat Kohli