NEW YORK: The Multiparty Investigation Team (JIT) report showed more harmful than expected as Pakistan’s key stock index slumped the greatest in more than eight years after a probe set up to investigate Prime Minister Nawaz Sharif’s wealth said it found evidence of likely corruption, tumbling the country deeper into political crisis, reported the international media.
It was reported that Prime Minister Nawaz Sharif’s notice might push the country into political doubt.The Supreme Court is reviewed the jit report and also said that Sharif was unable to account for the difference between his wealth and known sources of income, and will convene a hearing on July 17. If the court accepts the charges, it may lead to Sharif’s notice or removal from power under the Constitution.Its jit report of july
“There exists a important difference between the wealth declared” and the means through which he generated income, according to a report by investigators appointed by the Supreme Court in April. The investigators submitted their report to a board of justices, who ordered the report be made public on Monday.
If an suspect cannot account for his sources of income, “the court shall believe, unless the contrary is proved, that the person is guilty of the offence of corruption,” the jit report reads.Pakistan’s standard KSE100 Index declined 4.7 percent at close in Karachi, the most since February, 2009 and the biggest loser among stocks globally. The report turned out to be more damaging than expected and investors will remain disordered amid the biggest political ruction since the government took office in 2013, said Faisal Bilwani, head of equities at Elixir Safeties Pakistan.
The Prime Minister’s daughter, Maryam Nawaz, rejected the report in tweet: “Every flaw will not only be disputed but decimated” in the Supreme Court, she wrote. “Not a single penny of public exchequer complicated.”
Sharif will challenge the investigators’ findings in court, Minister for Planning and Improvement, Ahsan Iqbal, said.The findings “will have a huge impact on Pakistani politics as it will become a major election issue,” political and security analyst Zahid Hussain said in Islamabad. “The major problem will be political doubt. Nawaz Sharif will be damaged goods.”
Imran Khan of the Pakistan Tehreek-e-Insaf demanded Sharif to leave or quit over the findings.Removal of the prime minister from power could obstruct an cheap which is growing its fastest in a decade. Sharif, who has promised to step down if found guilty of graft by the court, has denied any wrongdoing.
Pakistan’s economy grew 5.3 percent in 2016, it’s highest in 10 years, after Sharif averted a balance-of-payment crisis in 2013 with help from an International Monetary Fund loan and Chinese substructure and energy financing. The country’s benchmark stock index has rushed about 10 percent since it was included in the MSCI Inc.’s emerging markets index in June.
“The PM being investigated for graft and normally that’s a good investment opportunity when the markets fall due to political noise,” said Carsten Hesse, a London-based emerging-market evenhandedness strategist at Berenberg Bank, which doesn’t cover Pakistan. “That’s long term very optimistic as it will help the country to fight corruption and the next front-runner might not accept graft.