Mortgaging of Islamabad F-9 park updates

The economic conditions of Pakistan are no secret. The country is going through a crisis for a long and Pakistan is known as a developing country. Moreover, according to the state representatives, the country's current economic state is attributed to corruption and money laundering. Though the government is striving through the crisis, currently, Pakistan's national debt in relation to GDP is 85.7%. Yes, it is still huge. Allegedly, in consequence of this financial crisis, the mortgaging of Islamabad f-9 Park for 500 billion PKR by issuing the Sukuk bonds was proposed. 

F-9 Park is the largest park in Islamabad, but it is also considered the largest covered area in Pakistan. It spread over an area of about 759 acres and is called the capital park. Moreover, this recreational park is named after Madr-e-Millat, Fatima Ali Jinnah. The recent news about mortgaging the park has stirred up serious tensions among the public and the authorities.

Allegedly, the Mortgaging of Islamabad F-9 Park was proposed by the Finance Division of Pakistan's federal government. This mortgaging agenda stated as "The issuance of Domestic and International Ijara Sukuk against Unencumbered Land of F-9 Park". To Pakistan'sPakistan's misfortune, mortgaging the assets of the country is an old practice. Previous governments have been mortgaging buildings and roads for loans, such as the Karachi airport and motorway. 

About 31 Ijara Sukuk bonds have been executed for 1498 billion PKR by the previous governments against the Jinnah International Airport, Karachi, and M1, M2, M3 motorway. In March 2020, the government issued the Ijara Sukuk worth 750 billion PKR against the Jinnah International Airport Karachi. Moreover, in 2020, the government issued an Energy Sukuk of 200 billion PKR to cope with the due payments of Pakistan's power sector.

Alarmingly, an NoC, No objection Certificate about mortgaging of the Islamabad park was issued in advance by the Capital Development Authority. However, a consequential meeting of the federal cabinet was scheduled on Tuesday. During the meeting, Prime Minister Imran Khan has opposed the mortgaging of Islamabad F-9 Park. 

The Prime minister inquired about the proposal and asked who made such a proposal and why? While briefing the federal cabinet, the finance secretary argued that it was just a Sukuk bond that completely abides by the rules of Islam, and there was nothing wrong with it. Moreover, the agenda was proposed with an intention to correct the previous mistakes by the successive governments. Furthermore, the mortgaging of Islamabad F-9 park is just a symbolic pact, and it does not make any difference.

To this, the PM responded sternly and said he knows very well what the Sukuk bond is. Mortgaging a recreational park casts a wrong impression, and there should be no such mortgaging. Mortgaging this park does not make any sense, not even symbolically. Another cabinet member spoke ironically that if this mortgaging is just symbolical, it is the prime minister's house that should be mortgaged. 

According to the news, now the Islamabad club will be mortgaged rather than the Islamabad F-9 Park in exchange for the Sukuk bonds. The Prime minister has also advised that the land's value must be kept in mind while signing the deal for the Islamabad club.