Azad Kashmir is geographically divided into two zones — the hilly and mountainous areas to the north and west and valleys and plains to the south and east. Covering an area of 13,297 square kilometers, it has subtropical highland type of climate with an annual rainfall of 150 centimeters. The total population, according to the 1981 census, was 1.98 million. The population density is about 150 persons per square kilometer. Nearly 92 per cent of the population lives in rural areas. The rate of literacy is higher than the national average which is 28.3 per cent against the national average of 26 per cent.

Azad Kashmir, formally known as Azad Jammu and Kashmir (AJ&K) has a parliamentary form of government with the President as the head of state and the Prime Minister as the chief executive of the government. There is a Legislative Assembly of elected representatives of the people. The Assembly elects the President, while the Prime Minister is the leader of the majority party in the Assembly. Azad Kashmir has four administrative districts, namely, Muzaffarabad, Poonch, Kotli and Mirpur. Muzaffarabad city in the district of the same name is the capital of Azad Kashmir. The Ministry of Kashmir Affairs and Northern Areas in the Pakistan Government serves as a link between the Governments of Pakistan and Azad Kashmir.

Economy

The economy of Azad Kashmir mainly depends on agriculture and forestry. There is, however, a substantial flow of savings from immigrants, which contributes to a somewhat active private sector owning over 210 industrial units in the area. In the private sector, permission has been given in recent years to set up over 70 different industrial units. Important among them are scooter assembly plant, cotton spinning mills, match factory, textile weaving units and other small and medium units. Some of the units have already gone into production.

Azad Kashmir is rich in mineral wealth. Mineral deposits of economic importance, such as those of bauxite, bentonite, coal, fire-clay, graphite, gypsum, limestone, dolomite, mica, pyrite, quartz, soapstone and precious stone have been identified so far, while various government and semi-government agencies are engaged in the exploration, evaluation and development of mineral resources in Azad Kashmir.

For the year 1986-87, the Government of Pakistan provided an amount of Rs. 728.228 million for development activities of Azad Kashmir while another amount of Hs. 648.994 million was given to cover its deficits of non-developmental expenditure. Transport has become a major source of income for the people, while in the energy sector, over 1,000 villages have either been electrified or are in the process of being electrified. There are also power generating projects in Azad Kashmir from mainly hydel sources. In the education sector, there are over 2,588 primary schools, about 335 high schools and 734 middle schools, in Azad Kashmir. In the current year, adult literacy program is also being implemented in Azad Kashmir. There are also a considerable number of Intermediate and Degree colleges, while with the setting up of Azad Kashmir University recently, higher education has received a fillip in the area.

Azad Kashmir abounds in natural beauty. While Muzaffarabad city is presently the main tourist attraction, tourist resorts are being developed in various parts of the tract.

Azad Kashmir has its own arts and crafts of traditional nature. Kashmiri shawls are famous all over the world, while its embroidery is fascinating.

NORTHERN AREAS

The Northern Areas, situated in the Karakoram Range, lie amidst towering mountains of the Himalayas, snow-clad peaks and narrow valleys with heights varying between 3,000 feet and 28,250 feet above sea level. Within a 60-mile radius of Gilgit, there are more than two dozen peaks with heights ranging between 18,000 and 26,000 feet, while K-2, the second highest peak of the world after Mount Everest, stands in Baltistan with a height of 28,250 feet. The areas also have a number of large glaciers, big lakes and green valleys. Baltoro is considered to be the biggest glacier outside the Arctic. The climate is extremely cold in winter and temperate in summer.

Geopolitically, this is one of the most sensitive areas of Pakistan. On the north-western side, it touches the borders of Chinese province of Sinkiang and Afghan Pamir with the USSR close behind. On the southern side, there is a stretch of over 300-mile-long ceasefire line with occupied Kashmir and Ladakb. The area has acquired additional strategic and political importance with the opening of the Karakoram Highway.

The Northern Areas are spread over an area of’ some 72,496 square kilometers with a population of 574,543. The density of population in 8 per square kilometer. The level of literacy is 4.7 percent.

The Northern Areas have three administrative districts, namely, Gilgit, Diamir and Baltistan with 12 sub-divisions. There is a Deputy Commissioner for every district and a Commissioner for the whole of the Northern Areas. The Federal Ministry of Kashmir Affairs and Northern Areas is responsible for the policy and administration of these areas.

Economy

Secluded in the lap of high inaccessible mountains, the Northern Areas have no viable economy although there has been a traditional exercise in terrace cultivation. As a result, the per capita income is very low. But the required level of per capita consumption is being maintained through supply of subsidized food grains and other necessities of life. They used to remain cut off from the rest of the country due to snowfall during the better part of the year and only PTA air services to Gilgit and Skardu could maintain the link. But with the opening of the all-weather Karakoram Highway and Gilgit-Skardu branch of it, the region is now open both for development and tourist trade.. Barter trade by road with the People’s Republic of China has expanded manifold since 1969 from Rs. 0.24 million in that year to Rs. 5.000 million in 1985. Mountaineering expeditions are visiting Pakistan every year in greater numbers. The Northern Areas are also rich in mineral wealth1 Precious and semiprecious stones abound in the areas, while the existence of gold dust in the river beds has been established.

The whole areas have their attractions for the tourists. They are replete with the relics of the past. There are places which attract tourists by their sheer natural beauty. Gilgit, Huriza and Yasin are some of them. Hunza is known for its longevity. Gilgit has a good hotel while motels are found in other places.

In the fifth five-year development plan of Pakistan, the Government spent Rs. 700 million on uplift schemes, while in the sixth five-year plan ending in 1988, an allocation of Rs. 1,768 million has been made; The impact of higher financial allocations and more concerted efforts at development is reflected in greater communication facilities, larger number of schools and dispensaries in far-flung villages and faster progress in social welfare, rural development, water and power sector, agriculture and industry.