Thief’s back in business (again)

Pakistan's US allied ruling party avoided the collapse of its government Friday after its reversal of unpopular economic reforms helped persuade a key ally not to defect to the opposition. But the economic concessions could cost Islamabad billions in international loans badly needed to stabilize its shaky economy. The Muttahida Qaumi Movement announced it would remain a member of the ruling coalition after a pomp-filled visit to its Karachi headquarters by Prime Minister Yousuf Raza Gilani. Without the MQM's 25 seats, Gilani's Pakistan People's Party would fall short of the 172 seats needed for a parliamentary majority. The political crisis had threatened to distract Pakistan's government from its counterterrorism alliance with the U.S. Some analysts had suggested that Pakistan's powerful army could use the political discord as a reason to counter U.S. pressure to crack down more on Al-Qaida and Taliban militants along the border with Afghanistan. The MQM's decision to rejoin the coalition came a day after Gilani said the government would reverse unpopular fuel price hikes that partly prompted the party's defection. The premier said Friday that the government also would postpone a new tax system meant to raise more revenue.